City of Lincoln v. County of Lancaster
297 Neb. 256
| Neb. | 2017Background
- A Lancaster County deputy intentionally made physical contact with a City of Lincoln police officer, injuring the officer’s shoulder; the City paid ~$63,418 in workers’ compensation for the injury.
- The County had a retained-limits liability policy: $250,000 retained limit per occurrence, $4,750,000 policy limit; insurer obligated to indemnify only for amounts in excess of the retained limit.
- The City sued the County seeking reimbursement of the workers’ compensation expenses.
- The County raised sovereign immunity under the Political Subdivisions Tort Claims Act (the Act) and argued the intentional-tort (battery) exception applied; it also argued it had not waived immunity by purchasing insurance.
- The district court granted summary judgment for the County, finding the claim arose from a battery (an intentional tort barred by the Act) and that the County’s insurance procurement did not waive immunity for claims below the $250,000 retained limit.
- The Nebraska Supreme Court affirmed, but on the alternative ground that the policy’s insuring agreement required an "occurrence" (an accidental event), and a battery is intentional and thus not covered — so there was no policy coverage and therefore no waiver of immunity.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether the City’s claim arises from a battery (intentional tort) | The City did not contest the factual characterization on appeal (argued later but improperly) | The contact was intentional and thus a battery, exempting the County from the Act’s waiver | Court held the claim arose from a battery; intentional-tort exception applies |
| Whether the County waived sovereign immunity by purchasing liability insurance under § 13-916 | City: procurement of liability insurance waived immunity for this claim | County: policy required an "occurrence" (accident) and excluded intentional acts; no coverage, so no waiver | Held: no coverage because battery is intentional and not an "occurrence," so no waiver of immunity |
| Whether a claim within the County’s retained/self-insured limit would be covered/waive immunity | City: waiver could be limited by retained limit, so claim might fall within waiver | County: retained limit means insurer pays only above retention; if claim under retention, immunity persists | Court declined to decide generally; unnecessary because no coverage existed for intentional battery |
| Whether the policy’s "personal injury" insuring grant covers battery | City suggested alternative coverage arguments | County pointed to the policy’s definitional limits excluding battery from "personal injury" offenses listed | Held: "personal injury" definition did not include battery; no coverage under that grant |
Key Cases Cited
- Kimminau v. City of Hastings, 291 Neb. 133 (Neb. 2015) (interpreting Act’s scope)
- Drake-Williams Steel v. Continental Cas. Co., 294 Neb. 386 (Neb. 2016) (insurance policy interpretation principles)
- Britton v. City of Crawford, 282 Neb. 374 (Neb. 2011) (battery as intentional tort)
- Austin v. State Farm Mut. Auto. Ins. Co., 261 Neb. 697 (Neb. 2001) (intentional acts are not accidents for coverage)
- Blaser v. County of Madison, 288 Neb. 306 (Neb. 2014) (§ 13-916 insurance waiver framework)
- State of Florida v. Countrywide Truck Ins. Agency, 294 Neb. 400 (Neb. 2016) (assignment/briefing requirements on appeal)
- Linscott v. Shasteen, 288 Neb. 276 (Neb. 2014) (procedural rules on supplemental/reply briefing)
- Farr v. Designer Phosphate & Premix Internat., 253 Neb. 201 (Neb. 1997) (discussion distinguishing accidents from intentional acts)
- Anderson v. Union Pacific RR. Co., 295 Neb. 785 (Neb. 2017) (appellate courts need not decide unnecessary questions)
