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Bujol v. Entergy Services8/14/2002
owns Air Liquide International, S.A., which in turn owns American Air Liquide, Inc., which in turn owns AL American Holdings, which in turn owns ALAC. Thus, as the parties describe the relationship, ALSA is the corporate ancestor of ALAC, which is the owner of the Plaquemine plant and employer of the injured men at the time of the accident.
LAEC, an engineering company, was hired in 1990-1991 to build an addition to the Plaquemine plant. Plaintiffs alleged that LAEC failed to investigate the effect that increased capacity would have on the existing facility at Plaquemine. Specifically, plaintiffs averred LAEC failed to ascertain the effect of the plant modification on the automatic control valve that exploded in 1994.
After the accident, ALAC put together a special task force to investigate the accident that ultimately issued what became known as the "Schmidt Report." The report sets forth the following recommendation for the Plaquemine plant: the erection of " arrier walls ... around all oxygen control valve stations in high velocity pressure reducing service. Such walls are to be designed and constructed to withstand the expected forces involved in an oxygen pipeline fire and resulting rupture . ... Manual ... valves ... are to be within the barrier wall. Their operating hand wheels must project and be accessible outside the barrier wall."
The recommendation that a barrier wall be erected is consistent with a requirement previously issued by ALSA for its plants in France and for its subsidiaries worldwide. A history of a barrier-wall requirement was adduced at trial through the testimonial and documentary evidence: A series of accidents, beginning with a fatality at a Mons, Belgium plant in 1968, initiated efforts by ALSA, which culminated in the adoption by the European compressed gas industry of a standard calling for the erection of barrier walls for the protection of workers in the industry's plants. ALSA implemented a program of building barrier walls around distribution stations during the mid-1970s. Prior to the accident at the Plaquemine plant, barrier walls were used at ALSA subsidiary plants in Canada and Argentina.
ACTION OF THE TRIAL COURT
Following a jury trial, judgment was rendered in favor of plaintiffs and against the insurers for compensatory and exemplary damages. The jury answered, "Yes" to the following interrogatory: "Do you find that Air Liquide, S.A. [ALSA] assumed a duty for safety at ALAC's Plaquemine Air Separation Plant?" After answering other interrogatories concerning ALSA's liability, the jury found ALSA was 80 percent at fault for the accident, and ALSA's insurers were cast for a percentage of the compensatory damages ultimately awarded in the judgment. The jury also found ALSA liable for exemplary damages. The jury found LAEC to be 15 percent at fault.
The remaining percentage of fault was assessed by the jury against Entergy, which was not a party at the time of this trial. The parties stipulated that Entergy was at fault, but the jury was left to determine the percentage of fault.
National Union and X.L. also challenged coverage under their policies. These issues were decided against the insurers by the trial court.
Additionally, the trial court partially granted a motion for judgment notwithstanding the verdict (JNOV). The court reduced the compensatory damages awarded to Mr. Perkins by $1,000,000.00 and reduced the awards to the Hracek plaintiffs from a total of $8,049,484.00 to $2,999,484.00, which reduction is the subject of their answer to this appeal. The exemplary damage award was correspondingly reallocated.
On appeal, the issues raised by the parties a
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