Delaney v. Rapid Response, Inc.
81 F. Supp. 3d 769
D.S.D.2015Background
- On July 24, 2012, driver Mark A. DeProw, operating a leased semi displaying Rapid Response 1, LLC’s USDOT placard, made a prohibited U‑turn on SD Hwy 212; motorcyclist Andy R. Davis crashed attempting to avoid the semi and suffered traumatic brain injuries.
- DeProw was cited and pled guilty to violating SDCL § 32‑26‑25 (illegal U‑turn). Andy was traveling within the speed limit.
- Rapid Response 1, LLC had an "Independent Contractor Vehicle Lease Agreement" with Rapid Response, Inc. that on its face granted Rapid Response 1, LLC exclusive possession, control and use of the truck; the truck nonetheless was operated under Rapid Response, Inc.’s supervision and drivers, including DeProw.
- Plaintiffs moved for partial summary judgment on liability and causation against Rapid Response 1, LLC; defendants did not respond and thus failed to controvert plaintiffs’ statement of undisputed facts.
- The court treated the facts as admitted for summary judgment purposes, found DeProw’s illegal U‑turn constituted negligence per se and was the proximate cause of Andy’s injuries, and held Rapid Response 1, LLC liable for DeProw’s negligent acts under federal motor‑carrier leasing regulations and South Dakota agency/respondeat superior principles.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether DeProw’s conduct constituted negligence and causation for Andy’s injuries | DeProw’s prohibited U‑turn violated SD law and caused the crash; statute violation = negligence per se | Denied negligence; contested causation (generally) | Held: DeProw’s illegal U‑turn is negligence per se and was a proximate/legal cause of Andy’s injuries (partial SJ granted) |
| Whether Rapid Response 1, LLC is liable for DeProw’s negligence under federal leasing regs (49 C.F.R. § 376.12) | Lease and displayed USDOT placard make DeProw a statutory employee of Rapid Response 1, LLC; lessee liable | Argued (implicitly) that leasing/operational facts rebut agency/statutory employment | Held: Under either irrebuttable‑or‑rebuttable interpretations, DeProw is a statutory employee and Rapid Response 1, LLC is liable; RR1 failed to rebut presumption (and did not respond) |
| Whether South Dakota agency/respondeat superior attaches to this conduct | Plaintiff: DeProw acted within scope of employment (driving to pick up cargo under carrier direction); employer liable | Implicit defense: operation/authority disputes or independence | Held: Under SD law and foreseeability test, DeProw acted within scope of employment; Rapid Response 1, LLC vicariously liable |
| Choice of law: whether South Dakota law governs substantive issues | Plaintiff: Injury and conduct occurred in South Dakota; SD has greatest relationship | Defendant: Rapid Response, Inc. is a Missouri corporation (minor contact) | Held: South Dakota substantive law applies (most significant relationship factors favor SD) |
Key Cases Cited
- Matsushita Elec. Indus. Co. v. Zenith Radio Corp., 475 U.S. 574 (1986) (summary judgment standard—view facts in light most favorable to nonmovant)
- Anderson v. Liberty Lobby, Inc., 477 U.S. 242 (1986) (standard for genuine dispute of material fact at summary judgment)
- Engel v. Stock, 225 N.W.2d 872 (S.D. 1975) (violation of safety statute constitutes negligence per se)
- Wellman v. Liberty Mut. Ins. Co., 496 F.2d 131 (8th Cir. 1974) (pre‑1992 "logo liability" decisions imposing lessee liability under leasing regs)
- Grinnell Mut. Reinsurance Co. v. Empire Fire & Marine Ins. Co., 722 F.2d 1400 (3d Cir. 1983) (cases addressing carrier‑lessee liability for leased vehicles)
- Zamalloa v. Hart, 31 F.3d 911 (9th Cir. 1994) (discussing statutory employment and multiple statutory employers under leasing regs)