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BOBBITT v. SIMS METAL MANAGEMENT
2:20-cv-07577
D.N.J.
Aug 21, 2023
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Background

  • Plaintiff Michael Bobbitt, a General Industrial employee, slipped on ice on Sims Metal Management property after arriving in a company truck and walking from a porta-potty toward the building where he was to perform contracted work.
  • Sims sued General (third-party) for contractual indemnification and breach of contract arising from the underlying negligence claim.
  • On summary judgment the Court dismissed Sims’s breach claim but denied summary judgment on Sims’s indemnification claim.
  • General moved for reconsideration, arguing the indemnity applies only to injuries connected to the defined contractual "Work" (capital W) and not to this porta-potty/driveway accident.
  • The Court denied reconsideration, holding New York law and the contract’s causation language cover injuries "arising out of," "resulting from," or "in connection with" work-related operations, including en route and necessary site activities.
  • The Court found General failed to show a change in law, new evidence, or clear error and thus did not meet the high standard for reconsideration.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Scope of contractual indemnity: whether Plaintiff's porta-potty/parking-lot fall is covered Sims: injury arose "incident to" and "in connection with" General's operations; indemnity applies General: indemnity limited to injuries from the defined contractual "Work" (specific tasks); porta-potty fall unrelated Court: indemnity language and NY precedent cover injuries en route/incident to operations; indemnity applies
Motion for reconsideration standard: whether Court erred and should revisit summary judgment on indemnity Sims: no basis for reconsideration; General merely disagrees General: Court misconstrued "Work" and ignored contract plain meaning, creating manifest injustice Court: General failed to show intervening law, new evidence, or clear error; motion denied

Key Cases Cited

  • Worth Constr. Co., Inc. v. Admiral Ins. Co., 888 N.E.2d 1043 (N.Y. 2008) ("arising out of" means originating from, incident to, or having connection with).
  • Hunter Roberts Constr. Grp., LLC v. Arch Ins. Co., 75 A.D.3d 404 (N.Y. App. Div. 2010) (focus on general nature of operation rather than precise cause).
  • Chelsea Assocs. LLC v. Laquila-Pinnacle, 21 A.D.3d 739 (N.Y. App. Div. 2005) (injury en route to a work assignment arises out of the work).
  • O’Connor v. Serge Elec. Co., 58 N.Y.2d 655 (N.Y. 1982) (employees must be able to reach workplaces; injuries during movement arise out of work).
  • Longwood Cent. Sch. Dist. v. Am. Empls. Ins. Co., 35 A.D.3d 550 (N.Y. App. Div. 2006) (accident traversing parking lot to inspect a site condition arose out of work).
  • Turner Constr. Co. v. Pace Plumbing Corp., 298 A.D.2d 146 (N.Y. App. Div. 2002) (use of on-site bathroom was a necessary activity arising in connection with work).
  • Max’s Seafood Café v. Quinteros, 176 F.3d 669 (3d Cir. 1999) (standards for granting reconsideration).
Read the full case

Case Details

Case Name: BOBBITT v. SIMS METAL MANAGEMENT
Court Name: District Court, D. New Jersey
Date Published: Aug 21, 2023
Citation: 2:20-cv-07577
Docket Number: 2:20-cv-07577
Court Abbreviation: D.N.J.