249 So. 3d 845
La. Ct. App.2018Background
- On Feb. 17, 2015, Troylond Wise drove his privately owned Peterbilt pulling a parade float; Bridget Jackson was a passenger and was gravely injured after being thrown from the float and run over by the truck.
- Wise had a five-year written lease (effective Sept. 1, 2011) leasing his tractor-trailer to ACME Truck Line; the lease included a clause giving ACME "exclusive possession, control and use" and prohibiting use for parades/social events.
- Jackson sued Wise, ACME (lessee), and First Guard (insurer); First Guard has settled and been dismissed; Jackson alleges ACME is liable under federal FMCSA/ICC lease regulations and common-law vicarious liability.
- ACME moved for summary judgment arguing Wise was not acting in ACME’s course and scope, the lease prohibited parade use, federal lease regulations (49 C.F.R. §376.12) do not create strict liability and in any event apply mainly to interstate commerce, and that owner-lessor status alone does not create liability.
- Trial court granted ACME summary judgment, finding the federal regulatory provisions inapplicable to this intrastate parade trip and that Wise acted outside the scope of any employment; the court also denied Jackson’s motion for new trial. The appellate court affirmed.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Applicability of 49 C.F.R. §376.12 (FMCSA/ICC lease rule) | Jackson: §376.12(c)(1) imposes "complete responsibility" on lessee and creates statutory/strict liability once a regulated lease exists. | ACME: §376.12 does not automatically impose strict liability; regulation and MCS-90 primarily govern interstate commerce and do not apply to this intrastate parade trip. | Court: §376.12 does not impose vicarious liability here; federal rules do not control liability for an intrastate trip and state law/scope-of-employment governs. |
| Vicarious liability of carrier-lessee for owner-operator’s negligence | Jackson: Lease plus carrier placarding (logo) and regulation mean ACME is vicariously liable for Wise’s negligence. | ACME: Even under a regulated lease, carrier liability depends on whether the driver acted within the scope of employment; Wise violated the lease and was not acting for ACME. | Court: ACME not liable—Wise acted outside scope of employment and contrary to lease, so no vicarious liability. |
| Whether ACME raised new legal theory at hearing (La. C.C.P. art. 966(F)) | Jackson: Trial court erred by allowing ACME to assert at hearing that §376.12 is inapplicable due to intrastate nature—argument not in written motion, depriving plaintiff of notice. | ACME: It rebutted Jackson’s reliance on §376.12; pointing out inapplicability is proper; Jurey and other authorities were cited earlier. | Court: No reversible error; a party may point out another party’s argument is inapplicable, and the court did not base judgment on a new unbriefed ground. |
| Denial of motion for new trial | Jackson: New trial warranted because trial court relied on unbriefed/new legal theory and erred on substantive law. | ACME: Summary judgment correctly granted; no basis for new trial. | Court: Denial not an abuse of discretion; Jackson failed to meet burden to show entitlement to new trial. |
Key Cases Cited
- Simmons v. King, 478 F.2d 857 (5th Cir.) (federal motor carrier regulations preempt state tort law for interstate carrier employee actions)
- Price v. Westmoreland, 727 F.2d 494 (5th Cir.) (lessee vicarious liability where vehicle was hauling in interstate commerce)
- Rodriguez v. Ager, 705 F.2d 1229 (10th Cir.) (earlier cases imposing strict/lease liability)
- Wellman v. Liberty Mut. Ins. Co., 496 F.2d 131 (8th Cir.) (cases imposing strict liability under pre-1992 interpretations)
- White v. Excalibur Ins. Co., 599 F.2d 50 (5th Cir.) (federal law does not mandate broader liability than state employer/employee principles)
- Canal Ins. Co. v. Coleman, 625 F.3d 244 (5th Cir.) (MCS-90 endorsement covers only vehicles engaged in interstate commerce at time of loss)
- Jurey v. Kemp, 77 So.3d 83 (La. App. 1 Cir.) (MCS-90 and related federal insurance/coverage principles inapplicable to intrastate trips)
- Jackson v. City of New Orleans, 144 So.3d 876 (La.) (standard for material fact and summary judgment review)