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176 So. 3d 609
La. Ct. App.
2015
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Background

  • Shawn Johnson, a Wood Group mechanic, was injured in a boat collision on March 12, 2014 while traveling in Grand Pass (a navigable waterway).
  • Johnson filed claims for benefits under both the Longshore and Harbor Workers’ Compensation Act (LHWCA) and the Louisiana Workers’ Compensation Act (LWCA); the employers/insurers provided separate carriers for federal and state coverage.
  • At the OWC hearing defendants filed a declinatory exception arguing federal exclusivity under La. R.S. 23:1035.2; the WCJ found the LWCA did not apply and dismissed Johnson’s LWCA claim with prejudice but did not expressly find LHWCA coverage.
  • Parties did not dispute the injury occurred in navigable waters or that Johnson was acting in the course and scope of employment; dispute focused on the LHWCA “status” (and to a lesser extent “situs”) requirements.
  • The LHWCA insurer had denied federal coverage at the time of the OWC hearing; Johnson argued dismissal with prejudice improperly extinguished his state remedy if federal benefits were later denied.
  • The appellate court vacated the OWC judgment and remanded, instructing the OWC not to proceed until a definitive federal-court determination whether Johnson qualifies for LHWCA (or similar federal) benefits.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Whether LWCA claim is precluded by federal compensation statutes (e.g., LHWCA) Johnson: OWC erred; state claim should not be dismissed absent definitive federal finding Defendants: Federal exclusivity under La. R.S. 23:1035.2 precludes state remedy if LHWCA applies Court: OWC erred in dismissing state claim with prejudice before a definitive federal determination; vacated and remanded
Whether defendants proved LHWCA coverage (situs and status tests) Johnson: Defendants failed to carry burden to show status/situs necessary for LHWCA coverage Defendants: Injury occurred on navigable waters and employment was maritime-related, satisfying status/situs Court: WCJ did not make express findings that LHWCA applied; appellate court did not resolve merits of status/situs and treated related assignments as moot
Whether Grand Pass is navigable (situs) Johnson: Argued insufficiency of evidence that Grand Pass is navigable Defendants: Grand Pass is navigable (connects Mississippi River to Gulf) Court: Parties largely did not dispute navigability; appellate opinion accepts Grand Pass as navigable for purposes of discussion
Appropriateness of dismissal with prejudice before federal resolution Johnson: Dismissal with prejudice improperly deprives him of state remedy if federal benefits denied Defendants: Dismissal appropriate because concurrent jurisdiction no longer permitted; must be either federal or state Court: Dismissal with prejudice was an abuse of discretion; vacated and remanded for OWC to await federal adjudication

Key Cases Cited

  • Flowers v. Coastal Cargo Co., Inc., 815 So.2d 198 (La. Ct. App.) (federal compensation scheme precludes state benefits under La. R.S. 23:1035.2)
  • Bienvenu v. Texaco, Inc., 164 F.3d 901 (5th Cir.) (explaining LHWCA two-part situs and status test)
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Case Details

Case Name: Johnson v. Ace American Insurance Co.
Court Name: Louisiana Court of Appeal
Date Published: Sep 23, 2015
Citations: 176 So. 3d 609; 2015 La.App. 4 Cir. 0277; 2015 La. App. LEXIS 1833; 2015 WL 5604322; No. 2015-CA-0277
Docket Number: No. 2015-CA-0277
Court Abbreviation: La. Ct. App.
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    Johnson v. Ace American Insurance Co., 176 So. 3d 609