Williams v. Trinity Med. Mgmt., L.L.C.

331 F. Supp. 3d 557
CourtDistrict Court, E.D. Louisiana
DecidedJuly 18, 2018
DocketCIVIL ACTION NO. 17-353
StatusPublished
Cited by2 cases

This text of 331 F. Supp. 3d 557 (Williams v. Trinity Med. Mgmt., L.L.C.) is published on Counsel Stack Legal Research, covering District Court, E.D. Louisiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Williams v. Trinity Med. Mgmt., L.L.C., 331 F. Supp. 3d 557 (E.D. La. 2018).

Opinion

NANNETTE JOLIVETTE BROWN, CHIEF JUDGE

In this litigation, Plaintiff Michael Williams ("Plaintiff") seeks declaratory judgment that the defense and indemnification clause of a settlement agreement between Plaintiff and Hyperion Safety Services, L.L.C. ("Hyperion") does not obligate Plaintiff to defend and/or indemnify Hyperion in litigation ongoing in the United States District Court for the Middle District of Pennsylvania.1 Plaintiff argues that the defense and indemnification clause at issue does not cover Hyperion's contractual liability to a third party, and to read it as requiring defense and indemnification of Hyperion in the Pennsylvania litigation would violate public policy.2 Pending before the Court is Hyperion's motion for summary judgment, in which Hyperion seeks declaratory judgment that the defense and indemnification clause is valid and enforceable and that Plaintiff owes a duty to defend and indemnify Hyperion against the claims made against Hyperion in the Pennsylvania litigation.3 Plaintiff requests that the Court treat his opposition as his own motion for summary judgment, seeking declaratory judgment and dismissal of Hyperion's claim for defense and indemnity.4

Having considered the motions, the complaint, the memoranda in support and opposition, the record, and the applicable law, the Court will grant Hyperion's motion for summary judgment, and enter declaratory judgment in Hyperion's favor insofar as the defense and indemnification clause in the Settlement Agreement requires Plaintiff to defend and indemnify Hyperion against claims based on contractual liability arising from the incident that allegedly gave rise to Plaintiff's injury.

I. Background

A. Factual Background

In connection with the motion for summary judgment, Hyperion states the following uncontested material facts.5

*560Plaintiff worked for Hyperion as a safety representative and was assigned to work at Inflection Energy, LLC ("Inflection"), located in Lycoming County, Pennsylvania.6 On January 5, 2014, Plaintiff slipped and fell, injuring his right ankle.7 On February 14, 2014, Plaintiff filed a claim petition for worker's compensation in Pennsylvania against Hyperion.8 On June 17, 2014, Plaintiff's worker's compensation claim was dismissed due to Plaintiff's failure to appear for a scheduled hearing.9 On July 28, 2014, Louisiana Worker's Compensation Corporation, Hyperion's worker's compensation insurer, sent a demand letter to Plaintiff's employer, asserting a lien of $20,644.81, which evidenced payments made to Plaintiff under Hyperion worker's compensation policy.10

On January 5, 2015, Plaintiff filed suit against Hyperion in the Eastern District of Louisiana, seeking damages for negligence under the Jones Act and for maintenance-and-cure benefits under general maritime law related to Plaintiff's January 5, 2014 injury (hereinafter, the "Louisiana Litigation").11 The action was given Case No. 15-00011 and assigned to Section G of this Court. Plaintiff later stated in a response to requests for production that no prior or current lawsuits or worker's compensation claims existed in which he was a party.12

That same day, on January 5, 2015, Plaintiff, while being represented by the same attorney that filed the other lawsuit, filed suit against Inflection and U.S. Well Services, L.L.C. ("U.S. Well") also in the Eastern District of Louisiana seeking damages related to Plaintiff's January 5, 2014 injury.13 The action was given Case No. 15-00012 and assigned to Section F of this Court. Plaintiff did not note the related litigation on the Civil Cover Sheet in the lawsuit against Inflection and U.S. Well.14 On April 2, 2015, Civil Action No. 15-00012 was transferred to the Middle District of Pennsylvania (hereinafter, "the Pennsylvania Litigation").15

On September 22, 2015, U.S. Well filed a third-party complaint against Hyperion in the Pennsylvania Litigation, seeking contribution and indemnification from Hyperion subject to a Master Service Agreement.16

On January 11, 2016, Plaintiff and Hyperion held a mediation regarding the Louisiana Litigation, during which a Mediation Agreement was signed.17 The Mediation Agreement provided: "Plaintiff agrees to defend, indemnify and hold harmless Trinity and Hyperion from and against any and all claims arising out of this incident, including, but not limited to any contribution or tort indemnity claims by U.S. Well Services, LLC and Inflection Energy, *561LLC."18

On February 6, 2016, Plaintiff and Hyperion executed a "Release, Receipt, and Indemnification Agreement" (the "Settlement Agreement") for the Louisiana Litigation, which contained the following acknowledgment: "It is specifically understood and agreed that Michael Williams reserves all rights he has against Inflection Energy, LLC and U.S. Well Services, LLC. Inflection Energy, LLC and U.S. Well Services, LLC are not released parties."19 The Settlement Agreement also contained the following defense and indemnification clause: "Michael Williams agrees to defend, indemnity [sic], and hold harmless Trinity and Hyperion from and against any and all claims arising out of this incident, including, but not limited to any contribution or tort indemnity claims by U.S. Well Services, LLC and Inflection Energy, LLC. "20

At the time of the execution of the Settlement Agreement, which ended the Louisiana Litigation, Plaintiff attested that he (1) was capable of fully understanding the terms and conditions of this agreement, (2) was fully aware of all his legal rights arising out of or resulting from the accident and injury sustained by him on January 5, 2014, and (3) consulted with an attorney as to his rights and remedies and the terms of the Settlement Agreement.21

On September 26, 2016, Plaintiff filed a second claim petition for worker's compensation against Hyperion in Pennsylvania.22 On the claim petition for worker's compensation filed on September 26, 2016, Plaintiff was asked, "Is there other pending litigation in this case?"23 Plaintiff checked the box marked "No."24 On January 3, 2017, Hyperion sent its defense to Plaintiff and demanded Plaintiff defend, indemnify, and hold harmless Hyperion against any and all claims made by U.S. Well in the Pennsylvania Litigation.25

In addition to the uncontested facts stated by Hyperion, Plaintiff asserts that there is no evidence that Plaintiff received additional compensation for the specific relinquishment of his rights as a seaman, pursuant to the Settlement Agreement whereby Plaintiff agreed to defend, indemnify, and hold harmless Hyperion.26 Plaintiff also asserts that Plaintiff's counsel denied there was any additional compensation, whether offered by Hyperion or received by Plaintiff.

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Bluebook (online)
331 F. Supp. 3d 557, Counsel Stack Legal Research, https://law.counselstack.com/opinion/williams-v-trinity-med-mgmt-llc-laed-2018.