White v. Lundeberg Maryland Seamanship School, Inc.

57 F.R.D. 128, 16 Fed. R. Serv. 2d 980
CourtDistrict Court, D. Maryland
DecidedNovember 28, 1972
DocketCiv. No. 71-1237
StatusPublished
Cited by16 cases

This text of 57 F.R.D. 128 (White v. Lundeberg Maryland Seamanship School, Inc.) is published on Counsel Stack Legal Research, covering District Court, D. Maryland primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
White v. Lundeberg Maryland Seamanship School, Inc., 57 F.R.D. 128, 16 Fed. R. Serv. 2d 980 (D. Md. 1972).

Opinion

FRANK A. KAUFMAN, District Judge.

Plaintiff, a ship maintenance and shipyard employee, alleges that he was injured on November 7, 1968 in the course of performing, at the direction of his employer, the third party defendant herein, maintenance services for a vessel owned, controlled and/or managed by defendants and used for training seamen who are members of the defendant Union. The parties are in agreement that the vessel is owned by the trustees of a trust created in 1965 jointly by the Union and a group of employers. The trust instrument specifically provides that “[i]t shall be known as the HARRY LUNDEBERG SCHOOL OF SEAMANSHIP.” 1 2The purpose of the trust is “to provide training programs and unemployment benefits for employees covered by [the] collective bargaining agreements” 2 between the Union and the employer group who established the trust.

I.

Defendant Harry Lundeberg School of Seamanship (School) has filed a motion seeking, as to itself as one of the defendants, a dismissal of the complaint on the ground that plaintiff should have named the trustees of the defendant trust as defendants and not the trust itself as an entity. Pursuant to the provisions of Federal Civil Rule 17(b), this Court looks to Maryland law to determine if the trust, as such, has the capacity to be sued.3 But none of [130]*130counsel or this Court have uncovered any controlling Maryland statute or court opinion. The general rule is that a trust as an entity does not have the capacity to be sued and that that capacity exists only in its trustees. Coverdell v. Mid-South Farm Equipment Association, 335 F.2d 9, 12-14 (6th Cir. 1964). In Coverdell, Judge Weinman discussed and distinguished Pavlovscak v. Lewis, 274 F.2d 523 (3d Cir. 1959), noting that in that case, the Third Circuit applied Pennsylvania law in reaching the conclusion that service, effected upon the United Mine Workers of America Welfare and''Retirement Fund by service upon the employee of the trust in charge of the “trust” activities in Pennsylvania, was valid. In Pavlovscak, Judge Hastie stated (at 525) that “Pennsylvania procedural law treats this Fund, for purposes of suability and amenability to process, like an ordinary unincorporated association.” In that connection, it is to be noted that Md.Ann.Code art. 23, § 138 provides: “Every unincorporated association or joint stock company having a recognized group name may sue or be sued in such group name in any action affecting the common property, rights and liabilities of such association or joint stock company.” However, there is no Maryland authority, similar to that found by Judge Hastie to exist in Pennsylvania, teaching that School should be treated herein as an unincorporated association for purposes of sua-bility and amenability to process. In the absence of such Maryland authority, and the availability of other grounds upon which this Court can determine the issue posed by School’s motion, this Court expresses no opinion as to whether Maryland law is the same as, or different from, the Pennsylvania principles referred to by Judge Hastie.

In this case, School has, for some time, conducted substantial business activities under the trade name (in which it is designated as defendant in the original complaint herein) without having indicated its status as a trust. Further School, or those controlling its destiny, formed a corporation with a name very similar to the trade name of the trust for the purpose of holding title to some, but not all,4 of the vessels owned by School, i. e., the trust. Also, School has paid for some obligations billed to that corporation in its corporate name for work done on vessels in fact owned by School as a trust. In this case, the complaint sets forth the full and correct name of the corporation, the full and correct trade name of the trust, and the full and correct name of the Union. In this case, also, service was effected upon the manager of the office in which a major portion of School’s substantial business activities are conducted. Against the composite totality of such a factual background, and in the absence of any controlling Maryland precedent, this Court concludes that School has so acted that it would be inequitable to permit it to hide behind the technical defense it asserts herein and that therefore in this case School has the capacity to be sued in its trade name and served through its managing agent. Defendant School’s motion to dismiss is accordingly hereby denied.

II.

Because of the closeness of the question posed by School’s aforesaid motion to dismiss, plaintiff has asked this Court to grant plaintiff’s motion to amend his complaint5 to bring the trustees, in their representative capacity, into this suit, with the amendment, pur[131]*131suant to Federal Civil Rule 15(c), relating back to the filing date of the original complaint, namely, November 4, 1971, three days before the third anniversary of the alleged injuries to plaintiff. Service upon School’s managing agent was effected on November 17, 1971. Service upon the Union was effected on November 16, 1971. Earlier, on November 10, 1971, service was effected on the corporate defendant. Plaintiff seeks to have its amendment naming the individual trustees of School as defendants become effective not later than a date before the lapse of the three-year period, that is, not later than November 7,1971.

Plaintiff’s suit herein is predicated on general maritime law. Giddens v. Isbrandtsen Co., 355 F.2d 125, 126 (4th Cir. 1966); Larios v. Victory Carriers, Inc., 316 F.2d 63, 65 (2d Cir. 1963). Thus, there is no “rigid limitation” period. Giddens, supra 355 F.2d at 126. Rather, courts are wont to apply the doctrine of laches, and in so doing, “customarily follow by analogy the state statute of limitations and hold the claim barred unless the [plaintiff] shows special circumstances excusing the delay.” Wilson v. Northwest Marine Iron Works, 212 F.2d 510, 511 (9th Cir. 1954). Md.Ann.Code art. 57, § 1 provides a three-year limitations period in negligence actions. That provision would appear to provide the statutory measuring rod herein.

Rule 15(c)’s requirement that the “claim . . . asserted in the amended pleading arose out of the conduct, transaction, or occurrence set forth or attempted to be set forth in the original pleading . . .,” is clearly satisfied, for the only occurrence in question is the alleged injury to plaintiff on November 7,1968.

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Bluebook (online)
57 F.R.D. 128, 16 Fed. R. Serv. 2d 980, Counsel Stack Legal Research, https://law.counselstack.com/opinion/white-v-lundeberg-maryland-seamanship-school-inc-mdd-1972.