Workers'comp. Corp. v. Nat. Serv. Indust.

980 So. 2d 130
CourtLouisiana Court of Appeal
DecidedMarch 5, 2008
Docket2007-CA-1089
StatusPublished

This text of 980 So. 2d 130 (Workers'comp. Corp. v. Nat. Serv. Indust.) is published on Counsel Stack Legal Research, covering Louisiana Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Workers'comp. Corp. v. Nat. Serv. Indust., 980 So. 2d 130 (La. Ct. App. 2008).

Opinion

980 So.2d 130 (2008)

LOUISIANA WORKERS' COMPENSATION CORPORATION
v.
NATIONAL SERVICE INDUSTRIES, INC. OF CALIFORNIA, National Linen and Uniform Services, LLC, Scott Cassanova and American Home Assurance Company.

No. 2007-CA-1089.

Court of Appeal of Louisiana, Fourth Circuit.

March 5, 2008.

*131 Musa Rahman, Johnson, Stiltner & Rahman, Baton Rouge, LA, for Plaintiff/Appellant.

George J. Nally, Jr., Rebecca Davis, Nalley & Dew, A PLC Metairie, LA, for Defendant/Appellee.

(Court composed of Chief Judge JOAN BERNARD ARMSTRONG, Judge PATRICIA RIVET MURRAY, Judge EDWIN A. LOMBARD).

EDWIN A. LOMBARD, Judge.

Plaintiff, The Louisiana Workers' Compensation Corporation ("LWCC"), appeals the judgment of the district court granting summary judgment to Defendants, National Service Industries, Inc. of California, National Linen and Uniform Services, LLC, Scott Casanova, and American Home Insurance Company (sometimes hereinafter collectively referred to as "Defendants"). For the reasons more fully set forth below, we affirm.

Relevant Facts

This lawsuit arose out of an automobile accident that occurred on or about July 26, 2005, on Interstate 10 in Metairie, Louisiana, when Scott Casanova, an employee of National Linen and Uniform Services, LLC, rear-ended the car in front of him causing a multi-car collision. Victor Saraceno, a fifty-eight year old electrical engineer employed by Davies Engineering, was fatally injured as a result of the accident. Two weeks after his death, Mr. Saraceno's son-in-law, Mr. Peter Scalfani, filed a claim for death benefits under a workers' compensation insurance policy Mr. Saraceno had obtained in 1993 when he was working as an independent contractor. For unknown reasons, Mr. Saraceno had continued to pay the premiums on this policy up until the time of his death, despite the fact that his employer, Davies Engineering, provided him with workers' compensation insurance coverage as part of his employee benefits package.

According to the deposition testimony of Mr. Saraceno's employer, on the day of the accident, Mr. Saraceno came to work, as usual, and met with a client to turn over a project that he had completed. After this meeting, Mr. Saraceno, his supervisor, and the client, spontaneously decided to go to lunch. Afterward, Mr. Saraceno returned to the office. Having completed the project he was working on, Mr. Saraceno decided to leave the office early that day. No one knows where he went from the time he left work until the time that the fatal accident occurred at 5:45 that evening.

After a cursory investigation conducted by LWCC's adjuster, Andrew Davis, LWCC concluded that Mr. Saraceno was in the course and scope of his employment as an independent contractor at the time of the fatal accident and that death benefits should be made payable to Mr. Saraceno's only living dependent, his eighty-four year-old mother, Bessie Saraceno. LWCC's conclusion that benefits were payable under the policy was based on information allegedly gleaned from conversations with Mr. Scalfani and Mr. Gary Laiche, Mr. Saraceno's supervisor at Davies *132 Engineering, that Mr. Saraceno was paid hourly and had a flexible schedule. After LWCC paid the death benefits to the decedent's mother, it brought suit against Defendants to recover the payments made.

Trial Court and Arguments on Appeal

Defendants filed a motion for summary judgment, which the trial court granted, on the basis that LWCC paid the death benefits in error as Mr. Saraceno was not in the course and scope of his employment at the time of the accident. The court further found that LWCC was not entitled to pursue a lawsuit against the Defendants for benefits it erroneously paid to Mrs. Saraceno.

Plaintiff now appeals the trial court judgment, arguing that the trial court erred in granting summary judgment to the Defendants since there are genuine issues of material fact as to whether Mr. Saraceno was in the course and scope of his employment as an independent contractor at the time of the accident. LWCC further argues that regardless of whether it paid the death benefits to Mrs. Saraceno in error, it is still entitled to recover the benefits it voluntarily paid.

Law and Discussion

Under the Workers' Compensation Act, employers are responsible for compensation benefits to employees or their dependent survivors only when the injury results from an accident "arising out of and in the course of his employment." LSA-R.S. 23:1031; O'Regan v. Preferred Enterprises, Inc., 98-1602 (La.3/17/00), 758 So.2d 124; Mundy v. Department of Health and Human Resources, 593 So.2d 346 (La. 1992). Additionally, Louisiana Revised Statute 23:1101 allows the employer or employee to seek redress, in the form of reimbursement of benefits paid, from the third person who caused the employee's work-related injury. See Roche v. Big Moose Oil Field Truck Service, 381 So.2d 396 (La.1980). § 23:1101 provides:

A. When an injury or compensable sickness or disease for which compensation is payable under this Chapter has occurred under circumstances creating in some person (in this Section referred to as "third person") other than those persons against whom the said employee's rights and remedies are limited in R.S. 23:1032, a legal liability to pay damages in respect thereto, the aforesaid employee or his dependents may claim compensation under this Chapter and the payment or award of compensation hereunder shall not affect the claim or right of action of the said employee or his dependents, relations, or personal representatives against such third person, nor be regarded as establishing a measure of damages for the claim; and such employee or his dependents, relations, or personal representatives may obtain damages from or proceed at law against such third person to recover damages for the injury, or compensable sickness or disease.
B. Any person having paid or having become obligated to pay compensation under the provisions of this Chapter may bring suit in district court against such third person to recover any amount which he has paid or becomes obligated to pay as compensation to such employee or his dependents. The recovery allowed herein shall be identical in percentage to the recovery of the employee or his dependents against the third person, and where the recovery of the employee is decreased as a result of comparative negligence, the recovery of the person who has paid compensation or has become obligated to pay compensation shall be reduced by the same percentage. The amount of any credit due the employer may be set in the judgment of the district court if agreed to by *133 the parties; otherwise, it will be determined pursuant to the provisions of R.S. 23:1102(A).
C. For purposes of this Section, "third person" shall include any party who causes injury to an employee at the time of his employment or at any time thereafter provided the employer is obligated to pay benefits under this Chapter because the injury by the third party has aggravated the employment related injury

Therefore, pursuant to § 23:1101, in order for LWCC to bring an action against Defendants for indemnification, Mr. Saraceno's fatal injury must have occurred while he was in the course and scope of his employment as an independent contractor.

In this case, the trial court found no support for LWCC's contention that it is entitled to recover the benefits it paid to Mrs. Saraceno from the Defendants pursuant to § 23:1101, finding that Mr.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Mundy v. Dept. of Health & Human Resources
593 So. 2d 346 (Supreme Court of Louisiana, 1992)
Hebert v. Jeffrey
671 So. 2d 904 (Supreme Court of Louisiana, 1996)
Ledet v. Hogue
540 So. 2d 422 (Louisiana Court of Appeal, 1989)
McLin v. Industrial Specialty Contractors
851 So. 2d 1135 (Supreme Court of Louisiana, 2003)
Champagne v. Ward
893 So. 2d 773 (Supreme Court of Louisiana, 2005)
O'REGAN v. Preferred Enterprises, Inc.
758 So. 2d 124 (Supreme Court of Louisiana, 2000)
Stephens v. Justiss-Mears Oil Co.
312 So. 2d 293 (Supreme Court of Louisiana, 1975)
Richard v. Hall
874 So. 2d 131 (Supreme Court of Louisiana, 2004)
Roche v. Big Moose Oil Field Truck Service
381 So. 2d 396 (Supreme Court of Louisiana, 1980)

Cite This Page — Counsel Stack

Bluebook (online)
980 So. 2d 130, Counsel Stack Legal Research, https://law.counselstack.com/opinion/workerscomp-corp-v-nat-serv-indust-lactapp-2008.