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TERRY v. OLD HAT CHIMNEY LLC (2021)

Court of Appeals of Georgia.2021-08-18No. A19A1104

Summary

Holding. The judgment is reversed because the trial court's summary judgment ruling relied exclusively on the Respondeat Superior Rule, which has been abrogated by Georgia's apportionment statute as established in Quynn v. Hulsey, and the employer offered no other grounds to support summary judgment.

Mathew Terry brought a negligence suit against Old Hat Chimney and its employee after a vehicle collision. Terry asserted negligence against the employee and dual theories of liability against the company: vicarious liability under respondeat superior and direct liability based on negligent hiring, training, and supervision. The company moved for summary judgment on the direct liability claim, arguing it would be redundant given the company's admission regarding vicarious liability.

The trial court granted the motion, and the appellate court initially affirmed. However, the Georgia Supreme Court vacated that decision and remanded for reconsideration after deciding a separate case that fundamentally altered the governing law. The Supreme Court had ruled that the "Respondeat Superior Rule"—which allowed employers to escape judgment on direct negligence claims when they conceded vicarious liability—was incompatible with Georgia's apportionment statute and therefore no longer valid. Because the trial court's summary judgment rested entirely on this now-defunct rule and the company presented no alternative legal basis for the ruling, the appellate court reversed.

Summary generated by law.co from the public-domain opinion. The opinion text itself is public domain.

Key issues

  • Whether an employer's admission of vicarious liability bars a plaintiff's direct negligence claim for negligent hiring, training, and supervision
  • Whether the Respondeat Superior Rule is consistent with Georgia's apportionment statute
  • Scope of summary judgment when the sole legal basis has been overruled

Procedural posture

The case returned to the Court of Appeals following the Georgia Supreme Court's vacation and remand for reconsideration in light of intervening precedent.

Authorities cited

No cited authorities resolved to law.co cases yet.

Opinion

Mathew Terry sued Old Hat Chimney, LLC, and its employee, Nickolas James Payne, for damages allegedly sustained when a company van driven by Payne rear-ended Terrys vehicle. Terry asserted a negligence claim against Payne. He further alleged that Old Hat was (1) vicariously liable for Paynes negligence based on the doctrine of respondeat superior, and (2) directly liable to him for negligently hiring, training, and supervising Payne. Terry did not raise a claim for punitive damages.

After conceding that Payne was an Old Hat employee working within the scope of his employment at the time of the collision, Old Hat moved for partial summary judgment. Specifically, it sought judgment as a matter of law on Terrys direct liability claim, arguing that any recovery for negligent hiring, training, and supervision would be duplicative because the company had “admitted to the essential elements of the respondeat superior theory of vicarious liability.” The trial court granted Old Hats motion, and Terry appealed. We affirmed the trial courts judgment on August 20, 2019, noting that pursuant to Hosp. Auth. of Valdosta/Lowndes County v. Fender, 342 Ga. App. 13, 802 S.E.2d 346 (2017),

if a defendant employer concedes that it will be vicariously liable under the doctrine of respondeat superior if its employee is found negligent, the employer is entitled to summary judgment on the plaintiffs claims for negligent entrustment, hiring, training, supervision, and retention, unless the plaintiff has also brought a valid claim for punitive damages against the employer for its own independent negligence.

Terry v. Old Hat Chimney, 351 Ga. App. 673, 674, 832 S.E.2d 650 (2019) (punctuation omitted).

The Supreme Court of Georgia subsequently granted Terrys application for certiorari, vacated our decision, and remanded the case to us for reconsideration in light of Quynn v. Hulsey, 310 Ga. 473, 850 S.E.2d 725 (2020). See Terry v. Old Hat Chimney, Case No. S20C0168 (2020). In Quynn, the Supreme Court considered whether the historical rule articulated in Fender (known as the “Respondeat Superior Rule”) had been abrogated by OCGA § 51-12-33, Georgias apportionment statute. The Court ultimately determined that “the Respondeat Superior Rule is inconsistent with the plain language of the apportionment statute,” id. at 477, 850 S.E.2d 725, and it overruled Fender and similar decisions that hold otherwise. See id. at 482 n.10, 850 S.E.2d 725.

In moving for partial summary judgment, Old Hat relied exclusively on the Respondeat Superior Rule, and the trial court granted Old Hats motion solely on that basis. As recently found in Quynn, however, the rule and the cases applying it are no longer good law. Old Hat has offered no other grounds for affirming the trial courts summary judgment ruling. Accordingly, we reverse.

Judgment reversed.

Mercier, Judge.

Barnes, P. J., and Brown, J., concur.