ADMIRALTY LAW GOVERNS EMPLOYER'S THIRD PARTY ACTION TO RECOVER MAINTENANCE AND CURE PAYMENTS.
American Commercial Barge Line Company and American Commercial Barge Line LLC v. Allen Chase Roush.
1990952
SUPREME COURT OF ALABAMA
2000 Ala. LEXIS 445
October 20, 2000, Released
OVERVIEW: Appellant shipowner's employee was injured in an automobile accident while a passenger in appellee's vehicle. Appellant was required to pay the employee maintenance and cure because a seaman injured in the service of his ship was entitled to benefits, regardless of fault. Appellant filed an indemnity action against appellee to recover the money paid to the employee, arguing appellee's negligence caused his injuries. The trial court granted appellee's motion to dismiss, holding Alabama law did not recognize a right of indemnity for maintenance and cure payments in the absence of a contractual or statutory right. Appellant challenged the dismissal. The court held federal maritime law governed the indemnity claims of shipowners against third-party defendants for the payment of maintenance and cure. The court concluded a shipowner could recover those payments from a third-party whose negligence partially or wholly precipitated the seaman's injury.
OUTCOME: Judgment reversed, because appellant shipowner was entitled to recover those payments from appellee whose negligence may have partially or wholly caused appellant's employee's injury, therefore dismissal was error. Whether the action was barred by the statute of limitations was a matter for the trial court to address on remand.
