Tullier v. Halliburton Geophysical Services, Inc., 95-30037
| Court | United States Courts of Appeals. United States Court of Appeals (5th Circuit) |
| Writing for the Court | Before WISDOM, GARWOOD and JONES; EDITH H. JONES |
| Citation | 81 F.3d 552 |
| Parties | Shawn TULLIER, Plaintiff, v. HALLIBURTON GEOPHYSICAL SERVICES, INC., Defendant/Cross-Claimant/Cross-Defendant/Appellant. v. McCALLS BOAT RENTALS, INC., Defendant/Cross-Defendant/Cross-Claimant/Appellee. |
| Docket Number | No. 95-30037,95-30037 |
| Decision Date | 25 April 1996 |
Page 552
v.
HALLIBURTON GEOPHYSICAL SERVICES, INC.,
Defendant/Cross-Claimant/Cross-Defendant/Appellant.
v.
McCALLS BOAT RENTALS, INC.,
Defendant/Cross-Defendant/Cross-Claimant/Appellee.
Fifth Circuit.
Bob F. Wright, Domengeaux, Wright, Moroux and Roy, Lafayette, LA, for plaintiff.
James E. Diaz, Sr., Onebane, Donohoe, Bernard, Torian, Diaz, McNamara and Abell, Lafayette, LA, for Halliburton Geophysical Services, Inc.
James A. Blanco, Stockwell, Sievert, Viccellio, Clements & Shaddock, Lake Charles, LA, Robert W. Clements, Lake Charles, LA, for McCalls Boat Rentals, Inc.
Appeals from the United States District Court for the Western District of Louisiana.
Before WISDOM, GARWOOD and JONES, Circuit Judges.
EDITH H. JONES, Circuit Judge:
The contracting parties to a time charter for a vessel used in the offshore oil and gas industry agreed to indemnify each other for job-related liabilities and to back up the cross-indemnity provisions with insurance. Their dispute involves which comes first, the "additional assured" coverage of McCall Boat Rentals, Inc., or Halliburton Geophysical Services' indemnity obligation. Following established caselaw in this circuit, we hold that the "additional assured" coverage must be exhausted before HGS's indemnity responsibility is called into play. It is therefore necessary to reverse the district court's contrary decision and remand for further proceedings.
Shawn Tullier, an HGS employee, slipped and fell in a pool of water while working in the galley of McCall's vessel M/V JOYCE McCALL. Tullier sued and settled with HGS and McCall, triggering this controversy under the parties' time charter agreement. McCall and HGS had each agreed broadly to indemnify and defend the other party from
Page 553
and against claims brought by or on behalf of the indemnitor's employees. Time Charter Agreement pp 5.11.1 and 5.11.2. While the cross-indemnity provisions are for our purposes identical, the parties agreed to treat the insurance provisions backing up their indemnities quite differently. HGS was required "to insure the liabilities it assumes under this Time Charter with a manuscript comprehensive general liability coverage with appropriate maritime endorsements." p 6.4. McCall, however, agreed to provide insurance as follows:5.9 (b) Protection and Indemnity (P & I) insurance on SP-23 form to at least the full value of the vessel with minimum limits equal to $1,000,000.00 per occurrence. The P & I policy shall ... be endorsed to amend the sistership clauses to provide full coverage for Additional Assureds for claims involving vessels or equipment owned, chartered or involving vessels or equipment owned, chartered or otherwise controlled by OWNER or Additional Assureds, and to provide contractual liability coverage covering the obligations of OWNER to HGS under time charter, and to delete the "as owner" limitations as respects the Additional Assureds to underwriters against claims by the Additional Assureds....
(e) Comprehensive General Liability insurance (or equivalent third party liability insurance) with bodily injury and property damage limits of $1,000,000.00 per accident or occurrence. Follow form excess liability insurance shall be obtained to provide single limit coverage of no less than $5,000,000.00 per occurrence.
5.9.1 On all policies of insurance referred to above, OWNER (McCall) shall obtain endorsements from its underwriters providing that HGS ... shall be named by endorsement as Additional Assureds.
5.9.2 All such insurance required herein shall be endorsed to provide that the insurance provided thereby shall be primary insurances, as respects to the Additional Assureds, irrespective of any "excess" or "other insurance" clauses contained therein.
Thus, McCall's insurance was intended specifically to cover HGS as an additional assured, to delete the "as owner" limitations with respect to HGS, and to constitute primary coverage for the additional assureds.
Based on these provisions, McCall cross-claimed against HGS for defense and contractual indemnity for Tullier's settlement, and Halliburton cross-claimed against McCall for breach of the time charter because of McCall's alleged failure...
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97-2710 La.App. 4 Cir. 8/12/98, Ridings v. Danos & Curole Marine Contractors, Inc.
...provisions, the trial court held in its written Reasons for Judgment: It is clear from Tullier v. Halliburton Geophysical Services, Inc. 81 F.3d 552 (5th Cir.1996) that the insurance obligation of American Oilfield Divers primes the contractual defense/indemnity obligation of Danos and Curo......
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Ridings v. Danos & Curole Marine Contractors, Inc., 97-CA-2710.
...provisions, the trial court held in its written Reasons for Judgment: It is clear from Tullier v. Halliburton Geophysical Services, Inc. 81 F.3d 552 (5th Cir.1996) that the insurance obligation of American Oilfield Divers primes the contractual defense/indemnity obligation of Danos and Curo......
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Becker v. Tidewater, Inc., 08-30183.
...the indemnitee must exhaust the insurance coverage before receiving indemnity. See, e.g., Tullier v. Halliburton Geophysical Servs., Inc. 81 F.3d 552 (5th Cir.1996); Klepac v. Champlin Petroleum Co., 842 F.2d 746 (5th Cir. 1988); Ogea v. Loffland Bros. Co., 622 F.2d 186 (5th Cir.1980). The ......
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Becker v. Tidewater, Inc., 08-30183.
...the indemnitee must exhaust the insurance coverage before receiving indemnity. See, e.g., Tullier v. Halliburton Geophysical Servs., Inc. 81 F.3d 552 (5th Cir.1996); Klepac v. Champlin Petroleum Co., 842 F.2d 746 (5th Cir. 1988); Ogea v. Loffland Bros. Co., 622 F.2d 186 (5th Cir.1980). The ......
-
97-2710 La.App. 4 Cir. 8/12/98, Ridings v. Danos & Curole Marine Contractors, Inc.
...provisions, the trial court held in its written Reasons for Judgment: It is clear from Tullier v. Halliburton Geophysical Services, Inc. 81 F.3d 552 (5th Cir.1996) that the insurance obligation of American Oilfield Divers primes the contractual defense/indemnity obligation of Danos and Curo......
-
Ridings v. Danos & Curole Marine Contractors, Inc., 97-CA-2710.
...provisions, the trial court held in its written Reasons for Judgment: It is clear from Tullier v. Halliburton Geophysical Services, Inc. 81 F.3d 552 (5th Cir.1996) that the insurance obligation of American Oilfield Divers primes the contractual defense/indemnity obligation of Danos and Curo......
-
Becker v. Tidewater, Inc., 08-30183.
...the indemnitee must exhaust the insurance coverage before receiving indemnity. See, e.g., Tullier v. Halliburton Geophysical Servs., Inc. 81 F.3d 552 (5th Cir.1996); Klepac v. Champlin Petroleum Co., 842 F.2d 746 (5th Cir. 1988); Ogea v. Loffland Bros. Co., 622 F.2d 186 (5th Cir.1980). The ......
-
Becker v. Tidewater, Inc., 08-30183.
...the indemnitee must exhaust the insurance coverage before receiving indemnity. See, e.g., Tullier v. Halliburton Geophysical Servs., Inc. 81 F.3d 552 (5th Cir.1996); Klepac v. Champlin Petroleum Co., 842 F.2d 746 (5th Cir. 1988); Ogea v. Loffland Bros. Co., 622 F.2d 186 (5th Cir.1980). The ......