Western Industries, Inc. v. Poole

634 S.E.2d 118, 280 Ga. App. 378, 2006 Fulton County D. Rep. 2327, 2006 Ga. App. LEXIS 857
CourtCourt of Appeals of Georgia
DecidedJuly 10, 2006
DocketA06A1356
StatusPublished
Cited by22 cases

This text of 634 S.E.2d 118 (Western Industries, Inc. v. Poole) is published on Counsel Stack Legal Research, covering Court of Appeals of Georgia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Western Industries, Inc. v. Poole, 634 S.E.2d 118, 280 Ga. App. 378, 2006 Fulton County D. Rep. 2327, 2006 Ga. App. LEXIS 857 (Ga. Ct. App. 2006).

Opinion

Johnson, Presiding Judge.

Western Industries, Inc. (Western) appeals from the trial court’s denial of its motion for partial summary judgment concerning Jerry Lee Poole’s claims for negligent hiring and retention, negligent entrustment, and punitive damages arising from an automobile collision in which a Western employee injured Poole while driving a company truck. We hold that the trial court should have granted *379 Western’s motion on the negligent entrustment and punitive damages claims, but did not err when it denied summary judgment on the negligent hiring and retention claim. We therefore affirm in part and reverse in part.

On appeal from a grant of a motion for summary judgment, we review the evidence de novo, viewing it in the light most favorable to the nonmovant, to determine whether a genuine issue of fact remains and whether the moving party is entitled to judgment as a matter of law. 1

So viewed, the evidence shows that in May 2002, Samuel Shareef applied for a position as a service technician with Western, an extermination company. Western’s branch manager for the state of Georgia interviewed Shareef for the job, and was responsible for evaluating his application and making the decision to hire him. The branch manager testified to “our policy” that “we can’t hire somebody unless we have a drug screen and unless we have a motor vehicle record of some sort.” Under this policy, prospective employees were required to provide the manager or his immediate subordinate with a copy of their motor vehicle records, which would have been “the only way we would know if [a prospective employee] has a suspended license.” The branch manager also testified that “[t]here’s no way [Shareef] could have been hired” without providing a copy of his motor vehicle record. That record was not recovered from his employment file at Western, however.

The written application included questions as to whether Shareef had incurred any accidents or motor vehicle violations in the last three years and whether his driver’s license had ever been suspended or revoked. Shareef answered “No” to these questions. In fact, however, Shareef had been convicted of misdemeanor hit-and-run in December 1999. 2 His license was suspended for eight months as a result.

Although the branch manager testified that he would not have hired Shareef had he known of this hit-and-run conviction and license suspension, Western hired Shareef as a driver in August 2002. At that time, he received and signed a policy statement concerning employees’ use of company vehicles, which informed him that “[d]riving record checks will periodically be done on your driver’s license.” On November 1, 2002, while driving a company truck in the scope of his employment, Shareef was involved in a collision with a truck driven by Poole, who suffered injuries in the crash. Shareef later pled nolo *380 contendere to a citation for failure to maintain lane, 3 and was fired shortly thereafter. Western did not learn of Shareef s former hit-and-run conviction and license suspension until after Shareef had left the company.

In July 2004, Poole sued Shareef for negligence, and included Western as a defendant under the theory of respondeat superior. Poole later added claims against Western for negligent hiring, negligent retention, and negligent entrustment, as well as a prayer for punitive damages. The trial court denied Western’s motion for partial summary judgment as to these latter claims and granted a certificate of immediate review. We granted Western’s interlocutory application to consider whether the trial court should have granted summary judgment on the claims raised in Poole’s amended complaint.

1. Western first contends that the trial court erred in refusing to grant it summary judgment on the question of punitive damages. We agree.

Under Georgia law, punitive damages may be awarded only in such tort actions in which it is proven by clear and convincing evidence that the defendant’s actions showed willful misconduct, malice, fraud, wantonness, oppression, or that entire want of care which would raise the presumption of conscious indifference to consequences. Mere negligence, although gross, will not alone authorize the recovery of punitive damages. There must be circumstances of aggravation or outrage. 4

In accordance with these principles, this Court has allowed a plaintiff alleging negligent hiring and/or retention to proceed with a punitive damages claim against the employer only when some facts support a conclusion that the employer acted with such “an entire want of care” as to “raise [a] presumption of conscious indifference to [the] consequences.” 5 A plaintiff can shoulder this burden of proof only by showing that an employer had actual knowledge of numerous and serious violations on its driver’s record, or, at the very least, when the employer has flouted a legal duty to check a record showing such violations. 6

*381 Here, the record contains no evidence supporting either of these conclusions. It is undisputed that Western had no actual knowledge of Shareefs 1999 hit-and-run conviction and that this conviction, with the suspension arising from it, was the only blot on his driving record prior to the 2002 collision. Nor has Poole argued or presented evidence to the effect that Western was under any statutory or regulatory duty to obtain Shareefs driving record. Thus Poole cannot recover punitive damages in this case, and the trial court erred when it denied Western’s motion for summary judgment on this issue. 7

2. Western also argues that the trial court erred when it denied summary judgment on Poole’s claim for negligent entrustment of a company vehicle. Again, we agree.

A claim for the negligent entrustment of a motor vehicle cannot succeed in the absence of a showing that an employer has “actual knowledge that the driver is incompetent or habitually reckless.” 8

It is not sufficient . . . for a plaintiff to show constructive knowledge, i.e., that the entrustor should have known the person being entrusted was not competent. The entrustor is not liable merely because he or she, by the exercise of reasonable care and diligence, could have ascertained the fact of the incompetency of the driver. 9

Since Poole has not pointed to any facts suggesting that Western had actual knowledge of Shareefs hit-and-run conviction, his claim for negligent entrustment also fails. 10 Thus the trial court erred when it denied Western summary judgment on this claim.

3. Finally, Western argues that Poole’s claim for negligent hiring and retention was also susceptible to summary judgment in Western’s favor. We disagree.

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Bluebook (online)
634 S.E.2d 118, 280 Ga. App. 378, 2006 Fulton County D. Rep. 2327, 2006 Ga. App. LEXIS 857, Counsel Stack Legal Research, https://law.counselstack.com/opinion/western-industries-inc-v-poole-gactapp-2006.