Roger Hoschar v. Appalachian Power Company
739 F.3d 163
| 4th Cir. | 2014Background
- Roger Hoschar, a boilermaker employed by Industrial Contractors, worked intermittently on elevated welding at Appalachian Power Company’s (APCO) Philip Sporn coal plant, removing accumulations of bird droppings and fly ash from precipitator Unit 5.
- In 2009 Hoschar was found to have lung histoplasmosis; he sued APCO and ICI in West Virginia state court alleging premises negligence and failure to warn about bird manure hazards.
- APCO removed the case to federal court under diversity jurisdiction, claiming its principal place of business (nerve center) is Columbus, Ohio; Hoschar sought remand asserting APCO’s headquarters is in Charleston, West Virginia.
- Discovery showed APCO had 27 officers: five based in Charleston handling day-to-day regional operations; 22 (including CEO, CFO, board) based in Columbus directing major corporate decisions and policy.
- The district court denied remand (finding Columbus the nerve center) and granted APCO summary judgment, holding APCO lacked actual or constructive knowledge of a histoplasmosis risk from the bird droppings and thus owed no duty to Hoschar.
- The Fourth Circuit affirmed: Columbus is APCO’s principal place of business under the Hertz nerve-center test, and no genuine issue of material fact existed to impose a duty on APCO concerning histoplasmosis.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether APCO’s principal place of business (for diversity) is Charleston or Columbus | Hoschar: APCO’s headquarters is Charleston; removal lacks complete diversity | APCO: Columbus is the nerve center where high-level officers direct, control, coordinate APCO | Columbus is APCO’s principal place of business; diversity jurisdiction exists (remand denied) |
| Whether APCO owed a duty re: histoplasmosis (summary judgment) | Hoschar: NIOSH/OSHA materials put APCO on notice such that APCO had actual or constructive knowledge and a duty to warn/protect | APCO: No evidence it knew or should have known histoplasma was present; mere presence of bird droppings insufficient to create duty | No duty as a matter of law; APCO lacked actual or constructive knowledge of histoplasmosis risk; summary judgment affirmed |
Key Cases Cited
- Hertz v. Friend, 559 U.S. 77 (establishes the "nerve center" test for corporate principal place of business)
- Central W. Va. Energy Co. v. Mountain State Carbon, 636 F.3d 101 (4th Cir. 2011) (applies Hertz; nerve center determined by location of controlling officers)
- Senkus v. Moore, 535 S.E.2d 724 (W. Va. 2000) (premises-liability negligence elements; duty tied to foreseeability)
- Hawkins v. U.S. Sports Ass'n, Inc., 633 S.E.2d 31 (W. Va. 2006) (owner liability requires actual or constructive knowledge of hazardous condition)