SCI Propane, LLC v. Frederick
2015 Ind. LEXIS 716
| Ind. | 2015Background
- On May 13, 2004 a gas leak and explosion at the Kindles’ home killed Stephan Frederick; his minor son and wife survived. The Estate (personal representative) sued SCI and others for wrongful death.
- Liability was bifurcated from damages; jury apportioned 65% fault to defendants and 35% to the Kindles. Liability findings were not challenged here.
- Before the damages trial, the Estate sought a summary judgment ruling that attorneys’ fees are recoverable under Indiana’s General Wrongful Death Statute (GWDS), Ind. Code § 34‑23‑1‑1; SCI opposed. Trial court and Court of Appeals agreed with the Estate.
- The Indiana Supreme Court granted transfer to decide a question of first impression: whether attorneys’ fees are recoverable as damages under the GWDS when the decedent left a surviving spouse and/or dependents.
- The Court found the GWDS ambiguous but, applying statutory construction and precedent, held attorneys’ fees are not recoverable as damages for decedents who leave a surviving spouse and/or dependents and reversed the attorneys’ fee award.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether attorneys’ fees are recoverable as damages under the GWDS when the decedent is survived by a spouse and/or dependents | Estate: GWDS’s open‑ended language (“including, but not limited to”) permits attorneys’ fees; McCabe supports fees under related statutes | SCI: GWDS limits recoverable items; fees are not compensatory damages that “inure” to survivors; American Rule disfavors fee awards absent explicit authorization | Held: Attorneys’ fees are not recoverable as damages under the GWDS when the decedent leaves a surviving spouse and/or dependents; reversed fee award |
Key Cases Cited
- McCabe v. Commissioner, Indiana Dep’t of Ins., 949 N.E.2d 816 (Ind. 2011) (interpreting AWDS and applying in pari materia construction to allow attorneys’ fees under related wrongful death statute)
- Estate of Kuba v. Ristow Trucking Co., 508 N.E.2d 1 (Ind. 1987) (GWDS must be strictly construed; damages must reflect loss to survivors)
- Durham ex rel. Estate of Wade v. U‑Haul Int’l, 745 N.E.2d 755 (Ind. 2001) (applied Kuba to preclude punitive damages under GWDS)
- Loparex, LLC v. MPI Release Techs., LLC, 964 N.E.2d 806 (Ind. 2012) (reiterating American Rule and presumption against fee awards as compensatory damages)
- Walczak v. Labor Works‑Ft. Wayne LLC, 983 N.E.2d 1146 (Ind. 2013) (legislative intent favors logical, consistent statutory application)