Release signed while checking in at a resort stopped heir’s claims when the decedent drowned while canoeing.
Posted: June 26, 2023 Filed under: California, Paddlesports, Release (pre-injury contract not to sue) | Tags: assumption of the risk, Canoeing, drowning, Estate, Express Assumption of the Risk, Gross negligence, Mayacamas Holdings LLC, Mayacamas Ranch, Release, Unambguous Language, Unambigous, Waiver of Liability Leave a commentCompare the release and what the court said it covered in this case to the narrow interpretation of a release by Wisconsin law.
Estate of Johnson v. Mayacamas Holdings LLC (Cal. App. 2021)
State: California: California Court of Appeals, First District, Fifth Division
Plaintiff: Estate of Lamerle Johnson, Sr., Danielle Martin Johnson, LaMerle Johnson, Jr., and Deja Thomas
Defendant: Mayacamas Holdings LLC
Plaintiff Claims: general negligence, premises liability, and wrongful death, alleging that Mayacamas Ranch LLC negligently owned, possessed, leased, maintained, operated, designed, inspected, supervised, managed, and controlled the resort premises
Defendant Defenses: Release and Assumption of the Rik
Holding: For the defendants
Year: 2021
Summary
The deceased signed a release when checking into the resort. During a hike, the deceased and others found a lake and canoes. They parties canoed on the lake with the deceased eventually falling out of his canoe and drowning.
The plaintiffs claim the release did not name and thus did not cover all the defendants and did not identify canoeing as a risk. The court found the release was written broadly enough to cover the defendants and the risks the decedent encountered.
Facts
Mayacamas Ranch was a resort in Calistoga. The property included a “Building Parcel,” with guest cottages, a man-made pool, and other structures, and a “Lake Parcel,” with a pond called Hidden Lake. On the shore of Hidden Lake were at least two 12-foot fiberglass canoes. An unmarked white bin, containing life vests, was nearby.
At the time relevant to this case, the Building Parcel of Mayacamas Ranch was owned by respondent Mayacamas Holdings LLC (Mayacamas Holdings), and the Lake Parcel was owned by respondent Profit Recovery Center. Both parcels were operated and managed by respondent Paradise With Purpose, a hospitality management company.[1]
In December 2016, Johnson attended a retreat at Mayacamas Ranch hosted by Rockwood Leadership Institute. Upon his arrival, he received a “Release & Waiver of Liability,” which the resort required guests to review and sign before they were assigned rooms and given keys. Johnson signed the release on December 5, 2016.
On December 6, 2016, Johnson and another guest, Troy Williams, went hiking and “stumbled upon” Hidden Lake. Johnson took one of the canoes onto the water, apparently without incident.
On December 7, 2016, Johnson, Williams, and two other guests (Heracio Ray Harts and Eddy Zheng) went hiking before the day’s scheduled activities. They arrived at Hidden Lake and took turns taking the two canoes onto the water. They did not locate any life vests; although they found the white bin, they could not open it.
While Johnson and Williams were in their respective canoes on Hidden Lake, Johnson began “horsing around” and rocking Williams’s canoe. Williams started to return to shore. When he looked back, he saw that Johnson’s canoe had flipped over and Johnson was in the water. Williams saw “panic in [Johnson’s] face.”
As Williams tried to help Johnson, Williams fell into the water, which was so cold that he had to swim to shore. Zheng entered the water to look for Johnson, and Harts ran to get help. Darlene Nipper, the chief executive officer of Rockwood Leadership Institute, arrived at the scene and unsuccessfully tried to find Johnson. First responders later found Johnson’s deceased body.
On the day of the incident, the canoes were unsecured; previously, they had been secured with a chain and a lock. The water temperature in Hidden Lake was about 40 degrees, and the air temperature was roughly 38 degrees. Respondents had no policies, procedures, or practices to warn guests about specific safety hazards associated with cold water shock and swimming or canoeing at Hidden Lake.
Analysis: making sense of the law based on these facts.
Under California law, a release is an express assumption of the risk document which negates the defendant’s duty of care.
If the plaintiff signed a release of all liability, the release applies to any ordinary negligence of the defendant, so long as the act of negligence that resulted in the plaintiff’s injury is reasonably related to the purpose for which the release was given. The release must be” ‘” ‘clear, unambiguous, and explicit in expressing the intent of the subscribing parties.
In this case, the appellate court found the release was clear, unambiguous and explicit in expressing the parties (both the defendant and the decedent’s) intent that the decedent assumed the risk of his possible injury.
The release was entitled “Release & Waiver of Liability,” communicating to Johnson that he was releasing claims and waiving liability. It explicitly stated that he would “assume full responsibility for all risks of bodily injury, death or property damage,” and that he would “hold harmless Mayacamas Ranch, its officers, agents, principals and employees and the owners of the real property.” It further stated that Johnson would “waive, release, and discharge any and all claims, rights and/or causes of action which [he] now ha[s] or which may arise out of or in connection with [his] presence at Mayacamas Ranch.” (Italics added.) In short, the release applied to any ordinary negligence liability arising out of Johnson’s stay at the ranch, which would include his use of the canoe on Hidden Lake at the resort.
The court then looked at whether the release identified all the named defendants. The release only identified “Mayacamas Ranch,
its officers, agents, principals and employees and the owners of the real property.” It did not identify by name “Paradise With Purpose, Profit Recovery Center, or Mayacamas Holdings.” The plaintiff argued because those three defendants were named in the release they were not covered by the release.
The appellate court found that all the parties were covered by the release. The parties and the land those parties controlled were all managed by the named defendant and the language identifying other parties was sufficient to cover the non-named parties.
Although the release did not identify the Mayacamas Defendants by name, a reasonable person in Johnson’s position-signing a release and waiver of liability for all claims arising from his presence at Mayacamas Ranch-would necessarily expect the phrase “Mayacamas Ranch, its officers, agents, principals and employees” to include the entity that was operating, and doing business as, “Mayacamas Ranch.”
The plaintiff argued the scope of the release was ambiguous. The release mentioned swimming so the release could only be applied to the swimming pool not canoeing on a lake.
The court did not buy it. “An ambiguity exists only”‘ “when a party can identify an alternative, semantically reasonable, candidate of meaning of a writing.” The language of the release covered swimming, it also covered “any and all claims, rights and/or causes of action which I now have or which may arise out of or in connection with my presence at Mayacamas Ranch.” That language alone in the release would cover canoeing in a lake while on the property.
The court summed up the release in this statement.
Here, the purpose of the release was for guests to waive all future claims arising out of their presence at the ranch and their use of its property and facilities, which necessarily included canoeing on Hidden Lake.
The plaintiff then argued the actions of the defendant were grossly negligent.
‘Gross negligence'” is a” ‘” ‘want of even scant care'” ‘” or” ‘” ‘an extreme departure from the ordinary standard of conduct.'” ‘” [“‘ “such a lack of care as may be presumed to indicate a passive and indifferent attitude toward results”‘ “].) By contrast, ordinary negligence is “a failure to exercise the degree of care in a given situation that a reasonable person under similar circumstances would employ to protect others from harm.” [“‘ “[M]ere nonfeasance, such as the failure to discover a dangerous condition or to perform a duty,”‘ amounts to ordinary negligence.”].) Thus, while “[e]vidence of conduct that evinces an extreme departure from safety directions or an industry standard could demonstrate gross negligence,” “conduct demonstrating the failure to guard against, or warn of, a dangerous condition typically does not rise to the level of gross negligence.”
The plaintiff’s argued that
Here, appellants claim that the Mayacamas Defendants were grossly negligent because they did not lock up the canoes, post signs, provide a flotation device and life vests, or warn guests about “cold water shock” and canoeing at the lake, including admonishing them that canoes can capsize and life vests should be worn.
However, the court found these actions were not gross negligence but simply malfeasance, which is covered by ordinary negligence and as such, the release.
Assumption of the risk was also raised as a defense to the claims of the plaintiff. The plaintiff argued that drowning while canoeing was not an inherent risk of canoeing. The court found otherwise.
In addition to contending that the release negated the element of duty under an express assumption of risk theory, the Mayacamas Defendants contended in the trial court that they had no liability based on the primary assumption of risk theory. Under that theory, “operators, instructors and participants in the activity owe other participants only the duty not to act so as to increase the risk of injury over that inherent in the activity.” Whether a given risk is inherent in the sport is a question of law to be answered by the court.
The court did not go into that issue with any greater detail because its decision on the release meant the issue was resolved without looking at assumption of the risk.
The release, as flawed as it might appear to be, was written broadly enough under California law, to deny the claims of the plaintiff.
So Now What?
Compare this case, and how the release was interpreted to the decision in Schabelski v. Nova Cas. Co. (Wis. App. 2022) discussed in Wisconsin finding more ways to invalidate releases, which makes writing a release difficult. There is no way this release would have survived under Wisconsin law.
This release did not name the defendants properly, did not identify the risks with any specificity yet was written broadly enough to meet the requirements of a release under California law.
In Wisconsin, a release cannot be written broadly and must specifically identify the risks the release is being used to prevent.
That does not mean you can write releases in some states and not care about how they are written. A poorly written release is always the best example to teach or write about because they are always appealed. Good releases never get to court because the plaintiffs cannot find the holes necessary to make a claim.
Get your release written by an attorney, not a sports professor, who knows the law and knows your land, business or activity.
Other California Cases looking at Releases.
Most references in case law to assumption of the risk are to this California decision
What do you think? Leave a comment.
| Jim Moss is an attorney specializing in the legal issues of the outdoor recreation community. He represents guides, guide services, and outfitters both as businesses and individuals and the products they use for their business. He has defended Mt. Everest guide services, summer camps, climbing rope manufacturers; avalanche beacon manufacturers, and many more manufacturers and outdoor industries. Contact Jim at Jim@Rec-Law.us |
Jim is the author or co-author of eight books about legal issues in the outdoor recreation world; the latest is Outdoor Recreation Insurance, Risk Management,
To see Jim’s complete bio go here and to see his CV you can find it here. To find out the purpose of this website go here.
If you are interested in having me write your release, download the form and return it to me.
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Estate of Johnson v. Mayacamas Holdings LLC (Cal. App. 2021)
Posted: June 26, 2023 Filed under: California, Paddlesports, Release (pre-injury contract not to sue) | Tags: assumption of the risk, Canoeing, Estate, Express Assumption of the Risk, Gross negligence, Mayacamas Ranch, Release, Survivors, unambiguous, unambiguous language, Waiver of Liability Leave a commentTo Read an Analysis of this decision see
Release signed while checking in at a resort stopped heir’s claims when the decedent drowned while canoeing.
ESTATE OF LAMERLE JOHNSON, SR., et al., Plaintiffs and Appellants,
v.
MAYACAMAS HOLDINGS LLC, Defendants and Respondents.
A161183
California Court of Appeals, First District, Fifth Division
December 21, 2021
NOT TO BE PUBLISHED
Alameda County Super. Ct. No. RG17853267
NEEDHAM, J.
The Estate of Lamerle Johnson, Sr., Danielle Martin Johnson, LaMerle Johnson, Jr., and Deja Thomas (appellants) sued respondents after Lamerle Johnson, Sr. (Johnson) tragically drowned while canoeing on a lake at respondents’ resort. The trial court entered judgment in respondents’ favor after granting their motion for summary adjudication, based largely on the fact that Johnson had signed a release of liability. Appellants now contend the court erred because (1) respondents were not identified by name as parties to the release and were not third-party beneficiaries; (2) the release could be construed to pertain only to claims arising from swimming at the pool, not canoeing on the lake; (3) there was a material factual dispute as to whether respondents were grossly negligent; and (4) the court erred in sustaining an objection to the declaration of appellants’ expert witness. We will affirm the judgment.
I. FACTS AND PROCEDURAL HISTORY
A. Mayacamas Ranch
Mayacamas Ranch was a resort in Calistoga. The property included a “Building Parcel,” with guest cottages, a man-made pool, and other structures, and a “Lake Parcel,” with a pond called Hidden Lake. On the shore of Hidden Lake were at least two 12-foot fiberglass canoes. An unmarked white bin, containing life vests, was nearby.
At the time relevant to this case, the Building Parcel of Mayacamas Ranch was owned by respondent Mayacamas Holdings LLC (Mayacamas Holdings), and the Lake Parcel was owned by respondent Profit Recovery Center. Both parcels were operated and managed by respondent Paradise With Purpose, a hospitality management company.[1]
B. Release and Waiver of Liability
In December 2016, Johnson attended a retreat at Mayacamas Ranch hosted by Rockwood Leadership Institute. Upon his arrival, he received a “Release & Waiver of Liability,” which the resort required guests to review and sign before they were assigned rooms and given keys. Johnson signed the release on December 5, 2016.
The release stated: “I am aware that the grounds and facilities of Mayacamas Ranch are rural and rustic. I do not have any medical or physical conditions, which would impair or affect my ability to engage in any activities or which would cause any risk of harm to myself or to the participants or otherwise endanger my health while attending and utilizing Mayacamas Ranch. . . . I am further aware that certain activities available at the Ranch may be dangerous, for example, swimming, consuming alcohol, or hiking the trails. I understand that the Ranch does not provide lifeguards or any other forms of supervision for the use of the facilities nor for monitoring consumption of alcoholic beverages. I understand that the Ranch does not have on staff anyone trained in CPR nor first aid. Pool [c]loses promptly at 10 p.m. to adhere to strict property noise ordinance. . . . I assume full responsibility for all risks of bodily injury, death or property damage and hold harmless Mayacamas Ranch, its officers, agents, principals and employees and the owners of the real property. . . . I waive, release, and discharge any and all claims, rights and/or causes of action which I now have or which may arise out of or in connection with my presence at Mayacamas Ranch. I acknowledge that I have read and agree to all Mayacamas Ranch policies listed in this release & waiver of liability.” (Italics added.)
C. Johnson Drowns While Canoeing
On December 6, 2016, Johnson and another guest, Troy Williams, went hiking and “stumbled upon” Hidden Lake. Johnson took one of the canoes onto the water, apparently without incident.
On December 7, 2016, Johnson, Williams, and two other guests (Heracio Ray Harts and Eddy Zheng) went hiking before the day’s scheduled activities. They arrived at Hidden Lake and took turns taking the two canoes onto the water. They did not locate any life vests; although they found the white bin, they could not open it.
While Johnson and Williams were in their respective canoes on Hidden Lake, Johnson began “horsing around” and rocking Williams’s canoe. Williams started to return to shore. When he looked back, he saw that Johnson’s canoe had flipped over and Johnson was in the water. Williams saw “panic in [Johnson’s] face.”
As Williams tried to help Johnson, Williams fell into the water, which was so cold that he had to swim to shore. Zheng entered the water to look for Johnson, and Harts ran to get help. Darlene Nipper, the chief executive officer of Rockwood Leadership Institute, arrived at the scene and unsuccessfully tried to find Johnson. First responders later found Johnson’s deceased body.
On the day of the incident, the canoes were unsecured; previously, they had been secured with a chain and a lock. The water temperature in Hidden Lake was about 40 degrees, and the air temperature was roughly 38 degrees. Respondents had no policies, procedures, or practices to warn guests about specific safety hazards associated with cold water shock and swimming or canoeing at Hidden Lake.
D. Johnson’s Estate and Survivors Sue
In March 2017, appellants sued Mayacamas Ranch LLC, Rockwood Leadership Institute, and others. They asserted causes of action for general negligence, premises liability, and wrongful death, alleging that Mayacamas Ranch LLC negligently owned, possessed, leased, maintained, operated, designed, inspected, supervised, managed, and controlled the resort premises.
In April 2018, appellants filed an amended complaint in which they acknowledged that Mayacamas Ranch LLC was a dissolved entity that was no longer operating. In its place, appellants named three new defendants- respondents Mayacamas Holdings, Profit Recovery Center, and Paradise With Purpose (Mayacamas Defendants).
E. Mayacamas Defendants’ Summary Judgment Motion
In December 2019, the Mayacamas Defendants moved for summary judgment or, in the alternative, summary adjudication. They argued that the release provided a complete defense to each cause of action, the primary assumption of the risk doctrine also barred liability, and Thomas lacked standing to bring a wrongful death action.
Appellants opposed the motion, arguing inter alia that the release did not identify the Mayacamas Defendants, did not cover canoeing on Hidden Lake, and did not absolve the defendants from liability for gross negligence. They also argued that primary assumption of the risk was inapplicable and that Thomas had standing to file suit.
On the issue of gross negligence, appellants submitted a declaration from Dr. John R. Fletemeyer, a purported expert in “aquatics safety,” who stated that the defendants’ failure to take certain safety precautions-such as failing to provide warnings, limit access to the canoes, or make life vests accessible-fell “far below the generally accepted customs and practices in the aquatic safety industry, such that it rises to a level of gross neglect, recklessness and a deliberate and willful disregard for the safety of the public and their guests, including Mr. Johnson.”
In July 2020, the trial court granted summary adjudication for the Mayacamas Defendants on each cause of action, concluding that the release was “unambiguous as a matter of law.” The court found “no triable issue of material fact as to the existence of gross negligence, which could negate the legal effect of the Release,” observing that Dr. Fletemeyer’s opinion “fail[ed] to establish what the accepted customs and practices in the aquatic safety industry [were], or how they appl[ied] to properties like Mayacamas Ranch.” The court sustained the Mayacamas Defendants’ objection to paragraph 16 of Dr. Fletemeyer’s declaration, which had set forth his opinion on gross negligence, as conclusory and lacking in foundation. The court added that “Mr. Johnson’s assumption of risk in signing the Release functions as a defense to the Plaintiffs’ claims based on negligence.”
Judgment was entered in favor of the Mayacamas Defendants as to all causes of action. This appeal followed.
II. DISCUSSION
In reviewing a grant of summary judgment, we conduct an independent review to determine whether there are triable issues of material fact and the moving party is entitled to judgment as a matter of law. (Code Civ. Proc., § 437c, subd. (c); Aguilar v. Atlantic Richfield Co. (2001) 25 Cal.4th 826, 843.) A defendant seeking summary judgment must show that at least one element of the plaintiff’s cause of action cannot be established, or that there is a complete defense to the cause of action. (Code Civ. Proc., § 437c, subd. (o)(1) & (2).) The burden then shifts to the plaintiff to show there is a triable issue of material fact as to that issue. (Code Civ. Proc., § 437c, subd. (p)(2); See Alex R. Thomas & Co. v. Mutual Service Casualty Ins. Co. (2002) 98 Cal.App.4th 66, 72.) We construe the moving party’s evidence strictly, and the nonmoving party’s evidence liberally, in determining whether there is a triable issue. (Thomas, at p. 72.)
A. The Release Unambiguously Bars Appellants’ Claims
A written release of future liability reflects an express assumption of the risk by the plaintiff, thereby negating the defendant’s duty of care. (Eriksson v. Nunnink (2015) 233 Cal.App.4th 708, 719 (Eriksson).) If the plaintiff signed a release of all liability, the release applies to any ordinary negligence of the defendant, so long as the act of negligence that resulted in the plaintiff’s injury is reasonably related to the purpose for which the release was given. (Benedek v. PLC Santa Monica (2002) 104 Cal.App.4th 1351, 1357-1358.) The release must be” ‘” ‘clear, unambiguous, and explicit in expressing the intent of the subscribing parties.'” ‘” (Eriksson, supra, 233 Cal.App.4th at p. 722, italics omitted.)
Here, the release was clear, unambiguous, and explicit in expressing the parties’ intent that Johnson assume all risks of injury or damage at Mayacamas Ranch and waive and release all claims related to his stay. The release was entitled “Release & Waiver of Liability,” communicating to Johnson that he was releasing claims and waiving liability. It explicitly stated that he would “assume full responsibility for all risks of bodily injury, death or property damage,” and that he would “hold harmless Mayacamas Ranch, its officers, agents, principals and employees and the owners of the real property.” (Italics added.) It further stated that Johnson would “waive, release, and discharge any and all claims, rights and/or causes of action which [he] now ha[s] or which may arise out of or in connection with [his] presence at Mayacamas Ranch.” (Italics added.) In short, the release applied to any ordinary negligence liability arising out of Johnson’s stay at the ranch, which would include his use of the canoe on Hidden Lake at the resort.
B. Appellants’ Arguments
Appellants contend the release was insufficient in three respects: it did not apply to the Mayacamas Defendants; it did not apply to canoeing; and it did not apply to gross negligence. Their contentions lack merit.
1. Application of the Release to the Mayacamas Defendants
The release stated that Johnson would hold harmless “Mayacamas Ranch, its officers, agents, principals and employees and the owners of the real property.” It did not explicitly name Paradise With Purpose, Profit Recovery Center, or Mayacamas Holdings. Therefore, appellants contend, the Mayacamas Defendants “were not parties to the Release” and could not invoke its protections unless they were intended third-party beneficiaries. Appellants further contend there was no evidence that the release was intended to benefit the Mayacamas Defendants and appellants presented evidence to the contrary.
Although the release did not identify the Mayacamas Defendants by name, a reasonable person in Johnson’s position-signing a release and waiver of liability for all claims arising from his presence at Mayacamas Ranch-would necessarily expect the phrase “Mayacamas Ranch, its officers, agents, principals and employees” to include the entity that was operating, and doing business as, “Mayacamas Ranch.” That entity was the defendant, Paradise With Purpose, which-as alleged in the amended complaint- operated and managed both parcels. (At the time the release was signed, the legal entity previously known as “Mayacamas Ranch, LLC” had already been dissolved.) Further, a reasonable person in Johnson’s position would understand that “owners of the real property” meant those who owned the property on which Mayacamas Ranch was located: that is, Mayacamas Holdings, which owned the Building Parcel, and Profit Recovery Center, which owned the Lake Parcel, as alleged in the amended complaint.
The cases on which appellants rely do not suggest otherwise. In Vahle v. Barwick (2001) 93 Cal.App.4th 1323, an attorney had represented clients in a personal injury matter that was resolved by a settlement agreement.
When the clients later sued the attorney for malpractice, the attorney argued that a provision in the settlement agreement, by which the clients had released the opposing party in the personal injury case and “their agents, servants, assigns . . . and all other persons . . .” from all claims related to the personal injury litigation, released the attorney as to the subsequent malpractice claim. (Italics added.) The court rejected the argument, noting that the release was plainly intended only to release the opposing party and those in privity with the opposing party, and not the clients’ own attorney. (Id. at pp. 1326-1333.)
In Neverkovec v. Fredericks (1999) 74 Cal.App.4th 337, a passenger in a vehicle involved in an accident sued the driver of the other car. The defendant driver contended the claim was barred by a release the plaintiff had signed with the insurer of the vehicle in which the plaintiff had been riding. That release had exonerated certain individuals “and any other person, firm or corporation charged or chargeable with responsibility or liability.” (Italics added.) The court of appeal concluded there was a triable issue of material fact as to whether the plaintiff had intended to release the driver with the words “any other person.” (Id. at pp. 342-345.) The question, the court explained, is whether “a reasonable person in the releasing party’s shoes would have believed the other party understood the scope of the release.” (Id. at p. 351.)
Here, we do not have a situation where we must divine whether the parties intended the Mayacamas Defendants to fall within a phrase such as “all other persons” or “any other person.” The release expressly identified the ranch, its agents, its officers, its principals, its employees, and the owners of the real property as the ones who would be held harmless. The only reasonable interpretation is that, by this language, the release was intended to protect the entities that were subject to liability as operators of the resort and owners of the real property-the Mayacamas Defendants.
Appellants argue that they submitted evidence showing that the Mayacamas Defendants were not third-party beneficiaries. They cite to a discovery response in which Profit Recovery Center stated it owned the Lake Parcel but did not own or control the Building Parcel (the land where the” ‘resort and retreat center'” was located). Whether Profit Recovery Center owned the Building Parcel is irrelevant, however, because it owned the Lake Parcel and was therefore one of the “owners of the real property” under the release. Similarly, appellants point us to a discovery response in which Mayacamas Holdings stated it owned the Building Parcel and not the Lake Parcel, but that still makes Mayacamas Holdings an “owner[] of the real property” under the release. Appellants also refer to discovery responses indicating that the Mayacamas Defendants had no “relationship” except that they shared a chief executive officer or manager, but they fail to demonstrate why that matters.
Whether the release should be construed such that Mayacamas Holdings, Profit Recovery Center, and Paradise With Purpose were parties to the release, or were intended third-party beneficiaries, they are entitled to the benefits and protections of the release.
2. Application to the Canoe Incident
Appellants next contend the scope of the release was ambiguous and could reasonably be construed to apply only to Johnson’s use of the resort’s swimming pool, and not to canoeing; because of this ambiguity, they argue, there was a material factual dispute that precluded summary judgment.
Appellants’ argument is meritless. An ambiguity exists only”‘ “when a party can identify an alternative, semantically reasonable, candidate of meaning of a writing.” ‘” (Cohen v. Five Brooks Stable (2008) 159 Cal.App.4th 1476, 1485 (Cohen).) It is not semantically reasonable to conclude that the release covered only Johnson’s swimming in the pool.
As mentioned, the release was exceedingly broad. It stated that Johnson assumed “full responsibility for all risks of bodily injury, death or property damage” and “waive, release, and discharge any and all claims, rights and/or causes of action which I now have or which may arise out of or in connection with my presence at Mayacamas Ranch.” (Italics added.) Given this language, no reasonable person would think that the release pertained only to swimming in the swimming pool. Appellants point to a sentence in the release that states: “I am further aware that certain activities available at the Ranch may be dangerous, for example, swimming, consuming alcohol, or hiking the trails.” (Italics added.) But in that sentence, “swimming” was just an “example” of dangerous activities, and there was no attempt to provide an exhaustive list of the risks. While the release mentioned the pool’s closing time, that was plainly to solicit adherence to a “noise ordinance” and in no way limited the release’s scope. To the contrary, the first sentence of the release recited Johnson’s awareness that the “grounds and facilities of Mayacamas Ranch are rural and rustic,” suggesting a far broader scope to the release than just the pool. (Italics added.) And finally, the fact that the release did not specifically mention canoeing is immaterial. (See Cohen, supra, 159 Cal.App.4th at p. 1485 [the express terms of the release must apply to the defendant’s negligence, but the release need not mention the defendant’s specific negligent act].) Canoeing would be performed in the canoes provided at Hidden Lake, which was part of the “grounds and facilities of Mayacamas Ranch,” and involved Johnson’s “presence” at the resort.
The cases on which appellants rely are inapposite. In those cases, the harm that caused the plaintiff’s injuries was outside the purpose of the release. (Huverserian v. Catalina Scuba Luv, Inc. (2010) 184 Cal.App.4th 1462, 1466-1469 [release given in connection with the rental of scuba diving equipment was expressly limited to “boat dives or multiple day rentals” and therefore did not apply where the decedent had not rented the equipment for those purposes]; Sweat v. Big Time Auto Racing, Inc. (2004) 117 Cal.App.4th 1301, 1303-1308 [release signed as a condition of watching an automobile race from the “pit area” did not cover injuries incurred when bleachers in the pit area collapsed, because the purpose was to require attendees to assume the risk of injury as a result of being in close proximity to the race, not defectively constructed or maintained bleachers].) Here, the purpose of the release was for guests to waive all future claims arising out of their presence at the ranch and their use of its property and facilities, which necessarily included canoeing on Hidden Lake.
3. No Triable Issue as to Gross Negligence
A release of liability bars claims for ordinary negligence, but not gross negligence. (City of Santa Barbara v. Superior Court (2007) 41 Cal.4th 747, 750 (Santa Barbara).) Appellants contend they established triable issues of material fact as to whether the Mayacamas Defendants acted with gross negligence. We disagree.
” ‘Gross negligence'” is a” ‘” ‘want of even scant care'” ‘” or” ‘” ‘an extreme departure from the ordinary standard of conduct.'” ‘” (Santa Barbara, supra, 41 Cal.4th at p. 754; Chavez v. 24 Hour Fitness USA, Inc. (2015) 238 Cal.App.4th 632, 640 [“‘ “such a lack of care as may be presumed to indicate a passive and indifferent attitude toward results”‘ “].) By contrast, ordinary negligence is “a failure to exercise the degree of care in a given situation that a reasonable person under similar circumstances would employ to protect others from harm.” (Santa Barbara, supra, 41 Cal.4th at pp. 753-754; Anderson, supra, 4 Cal.App.5th at p. 881 [“‘ “[M]ere nonfeasance, such as the failure to discover a dangerous condition or to perform a duty,”‘ amounts to ordinary negligence.”].) Thus, while “[e]vidence of conduct that evinces an extreme departure from safety directions or an industry standard could demonstrate gross negligence,” “conduct demonstrating the failure to guard against, or warn of, a dangerous condition typically does not rise to the level of gross negligence.” (Willhide-Michiulis v. Mammoth Mountain Ski Area, LLC (2018) 25 Cal.App.5th 344, 365 (Willhide-M ichiulis).)
Here, appellants claim that the Mayacamas Defendants were grossly negligent because they did not lock up the canoes, post signs, provide a flotation device and life vests, or warn guests about “cold water shock” and canoeing at the lake, including admonishing them that canoes can capsize and life vests should be worn. This alleged wrongdoing, however, does not constitute gross negligence, but “[m]ere nonfeasance”-the failure to guard against, or warn of, dangerous conditions. (See Willhide-Michiulis, supra, 25 Cal.App.5th at pp. 358-365 [where snowboarder collided with snow grooming equipment, allegations that the equipment was used on an open run without spotters or adequate warning of the danger did not demonstrate gross negligence]; Anderson v. Fitness Internat., LLC (2016) 4 Cal.App.5th 867, 878-883 [customer who slipped and fell in health club’s shower room failed to plead gross negligence by alleging that the shower room floor was routinely covered with oily and soapy residue, because there was no extreme departure from expected conditions or safety standards, and the defendant did not actively increase the risk or conceal it].)
Dr. Fletemeyer’s opinion that the failure to take the stated precautions fell “far below the generally accepted customs and practices in the aquatic safety industry, such that it rises to a level of gross neglect” did not create a triable issue of fact. As discussed post, the trial court did not err in sustaining defendants’ objection to Dr. Fletemeyer’s statement as conclusory and lacking in foundation. (Willhide-Michiulis, supra, 25 Cal.App.5th at pp. 355-356.) In any event, Dr. Fletemeyer’s opinion missed the mark, because he did not explain the customs and practices of aquatic safety in the context of places such as Mayacamas Ranch and Hidden Lake. There was no showing, therefore, of an extreme departure from the ordinary standard of conduct.
Nor did the alleged actions of the Mayacamas Defendants increase the inherent risks of canoeing. A reasonable person in Johnson’s position understands that canoeing on a lake (in 38-degree weather) poses risks such as the canoe capsizing or the canoer otherwise falling into the water and having to swim to safety. Not only is this conclusion readily drawn from general experience, it is confirmed by the deposition testimony of Johnson’s own companions, who knew enough about the dangers of canoeing to inquire of Johnson’s ability to swim and to search for life vests; despite not finding any, they ventured onto the water. (See Anderson v. Fitness Internat., LLC, supra, 4 Cal.App.5th at pp. 878-883 [no gross negligence where the defendant did not actively increase the risk or conceal it]; cf. Eriksson, supra, 191 Cal.App.4th at p. 856-857 [triable issue as to gross negligence where defendant unreasonably increased the inherent risk of injury in horse jumping by allowing the victim to ride an unfit horse and concealing the horse’s unfitness].)
Appellants’ reliance on Rosencrans v. Dover Images, Ltd. (2011) 192 Cal.App.4th 1072 (Rosencrans) is misplaced. In Rosencrans, a motorcycle rider fell on a motorcross track during a practice run, at a location where he was not visible to other riders; after he stood and picked up his motorcycle, two other motorcyclists struck him. (Id. at p. 1077.) The court determined that, as a matter of law, the operator owed the plaintiff a duty to minimize the risks of motorcross by providing a system, such as a “caution flagger,” to alert riders of a fallen participant. (Id. at pp. 1084-1085.) Based on admissible evidence in the form of an instructional manual, which directed that flaggers should remain at the flag station at all times when competitors are on the course, and a declaration of a motocross safety expert, who averred that the common practice was to always place caution flaggers at their posts and the failure to do so greatly fell below the standard of care in the motocross industry, the court concluded there was a triable issue of fact as to whether the operator’s failure to provide the caution flagger constituted an extreme departure from the ordinary standard of conduct-that is, gross negligence. (Id. at pp. 1086-1087.)
Here, even assuming that the Mayacamas Defendants’ alleged wrongdoing constituted a breach of their duty of care, there is no evidence comparable to that in Rosencrans suggesting the conduct was so extreme as to constitute gross negligence. There was no evidence, for example, of an applicable instructional manual. Nor was there admissible testimony from an expert that such conduct would greatly fall below the standard of care applicable specifically to operators of resorts akin to Mayacamas Ranch.
Appellants fail to establish that the court erred in granting summary adjudication and entering judgment based on the release.
C.
Primary Assumption of the Risk
In addition to contending that the release negated the element of duty under an express assumption of risk theory, the Mayacamas Defendants contended in the trial court that they had no liability based on the primary assumption of risk theory. Under that theory, “operators, instructors and participants in the activity owe other participants only the duty not to act so as to increase the risk of injury over that inherent in the activity.” (Nalwa v. Cedar Fair, L.P. (2012) 55 Cal.4th 1148, 1154.) Whether a given risk is inherent in the sport is a question of law to be answered by the court. (Id. at pp. 1158-1159.) Respondents argue that falling out of a canoe and drowning is an inherent risk of canoeing, and there was no evidence that the Mayacamas Defendants increased that risk.
It is unclear whether the trial court addressed the primary assumption of risk argument. The court stated in its order that “Mr. Johnson’s assumption of risk in signing the Release function[ed] as a defense to the Plaintiffs’ claims based on negligence.” (Italics added.) Because the court discussed assumption of the risk “in signing the Release” and referred to the Eriksson case, the Mayacamas Defendants contend the court was referring to express assumption of the risk and never ruled on the primary assumption of the risk theory. On the other hand, the court made its statement under the heading of “Issue 4,” which pertained to assumption of the risk (based in part on the language of the release), separate from “Issues 1[-]3,” which pertained to the theory of waiver based on the release. Appellants argue that the court did invoke the “primary assumption of the risk” doctrine as an alternative basis for its ruling, and erred in doing so.
Even if the trial court relied on the primary assumption of the risk doctrine, we need not and do not address this alternative ground for the court’s decision, because we affirm the ruling based on the express assumption of the risk doctrine as discussed ante.
D. Exclusion of Evidence
In concluding there were no triable issues of material fact as to gross negligence, the trial court sustained respondents’ objection to paragraph 16 of Dr. Fletemeyer’s declaration. Paragraph 16 read as follows: “Based on my background, education, training, experience, skill, and specialized knowledge in aquatics safety, there are many reasonable, inexpensive, simple, and effective safety precautions, outlined above and referenced below, that the Property-Defendants should have taken under the circumstances. Their failures, whether taken individually or in any combination, more likely than not caused or contributed to the Drowning and death of Mr. Johnson. These failures fall far below the generally accepted customs and practices in the aquatic safety industry, such that it rises to a level of gross neglect, recklessness, and a deliberate and willful disregard for the safety of the public and their guests, including Mr. Johnson.” Subparagraphs set forth the safety precautions that, according to Dr. Fletemeyer, should have been taken and would have saved Johnson’s life.
The court sustained the objection to paragraph 16 on the ground it was conclusory and lacking in foundation, because Dr. Fletemeyer failed to establish industry standard or custom, particularly as it applied to Mayacamas Ranch. Appellants contend this was error. The traditional rule is that evidentiary rulings in summary judgment proceedings are reviewed for an abuse of discretion. (Serri v. Santa Clara University (2014) 226 Cal.App.4th 830, 852.) It is now an open question whether that remains the standard or whether the standard is de novo. (Reid v. Google, Inc. (2010) 50 Cal.4th 512, 535.) Under either standard, we would uphold the trial court’s ruling.”
Dr. Fletemeyer professed to be an expert in “aquatics safety” and opined about customs and practices in the “aquatic safety industry,” but nothing in his declaration defined the standard and custom specifically for a resort like Mayacamas Ranch or the body of water known as Hidden Lake. Although appellants insist that Dr. Fletemeyer identified the reasonable industry practices relating to safety precautions in paragraph 16(a) and preceding paragraphs, those passages amount to a legal conclusion that certain things the Mayacamas Defendants did not do constituted reasonable industry standard practices, without particularizing the “industry” to which he referred, identifying the “industry standard,” or explaining how it applies to resorts like the ranch. (Willhide-Michiulis, supra, 25 Cal.App.5th at p. 344, 366 [trial court did not abuse its discretion by excluding expert declarations that “did nothing more than to provide conclusions that the [defendants]conduct violated industry standards and constituted gross negligence”].) Appellants fail to establish error.
III. DISPOSITION
The judgment is affirmed.
We concur. SIMONS, Acting P. J. BURNS, J.
20
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Notes:
[1] In October 2017, Mayacamas Ranch was destroyed by fire. Paradise With Purpose is purportedly suspended by the California Secretary of State and barred from defending against appellants’ lawsuit. (See Grell v. Laci Le Beau Corp. (1999) 73 Cal.App.4th 1300, 1306.) Philadelphia Indemnity Insurance Company filed a motion to intervene in this appeal to protect its interests as the insurer of Paradise With Purpose and the interests of its insured. We granted the motion, and Philadelphia Indemnity Insurance Company filed its joinder to respondents’ brief.
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A federal district court in Massachusetts upholds indemnification clause in a release.
Posted: April 27, 2015 Filed under: Massachusetts, Racing, Racing, Release (pre-injury contract not to sue), Triathlon | Tags: #race, Conscious Pain and Suffering, Duty to Warn, Estate, Indemnification, Negligent infliction of emotional distress, Personal Representative, Release, swimming, Triathlon, USA Triathlon, Waiver, Wrongful Death Leave a commentAll prior decisions have found that indemnification clauses in releases are not effective because it creates a conflict of interest within a family.
Angelo, v. USA Triathlon, 2014 U.S. Dist. LEXIS 131759
State: Massachusetts, United States District Court for the District of Massachusetts
Plaintiff: Cheryl Angelo, Personal Representative of the Estate of Richard Angelo,
Defendant: USA Triathlon
Plaintiff Claims: wrongful death, conscious pain and suffering, and negligent infliction of emotional distress
Defendant Defenses: Release and indemnification
Holding: not a final ruling
Year: 2014
I cannot determine if this case is over, however, the ruling is quite interesting and worth the risk of having to reverse this post.
The deceased joined the USA Triathlon (USAT) and in doing so signed a Waiver and Release of Liability, Assumption of Risk and Indemnity Agreement. The deceased signed the document electronically. The deceased registered online for the National Age Group Championship in Vermont and again signed an “indemnity agreement” electronically. The two releases were identical.
The deceased died during the triathlon during the swim portion of the event. The deceased wife and personal representative of his estate brought this lawsuit in Federal District Court of Massachusetts.
The defendant USAT filed a motion for summary judgment, and this review is of the court’s ruling on that motion.
Analysis: making sense of the law based on these facts.
The motion for Summary Judgment was a partial motion on the counterclaim of the defendant based on the indemnity provisions in the two releases.
The court refers to the releases as “the indemnity agreements” which create a lot of confusion when reading the decision. The court first examined Massachusetts law relating to releases.
Under Massachusetts law, “[c]ontracts of indemnity are to be fairly and reasonably construed in order to ascertain the intention of the parties and to effectuate the purpose sought to be accomplished.”
And then Massachusetts law on indemnity agreements.
Indemnity contracts that exempt a party from liability arising from their own ordinary negligence are not illegal. Further, contracts of indemnity can survive a decedent’s death and become an obligation of a decedent’s estate.
The language in the indemnification agreement was deemed by the court to be broad. The plaintiff argued the release was ambiguous as to who the release applied to. However, the court disagreed finding the release:
…clearly states that “I . . . agree to Indemnify, Defend and Hold Harmless” the released parties from liability “of any kind or nature . . . which may arise out of, result from, or relate to my participation in the Event.” Both the scope of the indemnity and the party bound by the agreement are clear and unambiguous.
The court then looked at how the release affected the specific claims of the plaintiff. The first count in the complaint was based on wrongful death, and the third was for wrongful death because of gross negligence of the defendant and included a claim for punitive damages.
The court looked at the damages that might be recoverable under these two theories because how the money was identified would determine if the money could be recovered on the indemnification claim.
That means the indemnification claim is against the person who signed the release or in this case their estate. The deceased could not pledge his wife’s assets to the indemnification because he could not sign for her, only his assets. “The decedent, while having authority to bind his estate, lacked authority to bind his surviving family members who did not sign the indemnity agreements and are not bound thereby.” The wrongful-death claim money is not an asset of the state; it is held by the personal representative on behalf of the heirs to the estate. So any money recovered under the wrongful-death statute or claim would not be subject to indemnification.
That is because “w]rongful death is not, in any traditional sense, a claim of the decedent.”
Accordingly, to satisfy the indemnity obligation, USAT may look to the assets of the decedent’s estate. (noting that a contract of indemnity agreed to by a decedent became an obligation of the decedent’s estate). USAT may not, however, look to any recovery on the wrongful death claim for satisfaction, as that recovery would be held in trust for the statutory beneficiaries and would not become an asset of the estate.
Then the court looked to see if the release would stop gross negligence claims. The court found no “controlling authority” on this issue, but held that it would not stop a claim for gross negligence based on the law of appellate decisions in the state.
In the closely analogous context of releases, the Massachusetts Appeals Court has held that, for reasons of public policy, a release would not be enforced to exempt a party from liability for grossly negligent conduct, though otherwise effective against ordinary negligence.
So the court found the release would stop the negligence claims and dismissed count one of the complaints and found that the release would not stop a claim for gross negligence and allowed count three to proceed.
However, the court also stated the motion was denied if the indemnification provision in the release attempted to be satisfied from the wrongful-death proceeds. Alternatively, the indemnification clause would apply to any money received for any successful claim other than wrongful death.
The second claim was for conscious pain and suffering of the decedent. Under Massachusetts law, conscious pain and suffering is a claim of the decedent, brought on behalf of the decedent by his estate. The release barred this claim and would allow the defendant to be indemnified by it. “By executing the two agreements, the decedent both released his claim of conscious pain and suffering caused by USAT’s negligence and indemnified USAT for any losses occasioned by such a claim.”
Putting aside the release for a moment, if the personal representative of the decedent received any recovery for his conscious suffering, USAT would be able to reach that recovery to satisfy the decedent’s indemnity obligation. Thus, USAT’s Motion for Summary Judgment is ALLOWED insofar as the claim for conscious suffering caused by USAT’s negligence was both released and indemnified.
The fourth count was for Negligent Infliction of Emotional Distress, which was inflicted on the wife of the decedent who was present at the race. The original complaint was only brought in the name of the personal representative, not her name individually. Consequently, the court agreed to allow the plaintiff to amend her complaint to bring this claim.
However, the court also found that any money received by the plaintiff on her claim for negligent infliction of emotional distress would also be subject to the indemnification claims of the defendant.
The indemnity language in those agreements is broad enough to reach a claim for negligent infliction of emotional distress as a claim “aris[ing] out of” the decedent’s participation in the triathlon. Thus, USAT is entitled to indemnification on any losses resulting from such a claim.
However, the indemnification claim was only applicable to any money paid on this claim to the decedent, not the decedent’s wife. Again, the decedent could not pledge his wife’s assets by his signature.
The court looked at the defendant’s claim that the defense costs of the action should be paid based on the indemnification clause. The court agreed with the defendant’s argument for the costs too.
The language of the indemnity agreements does clearly obligate the decedent’s estate to make USAT whole on these losses. As with the claims discussed above, USAT may seek indemnity from the decedent’s estate for their defense costs, which predate this Motion as well as prospective costs to the extent that the plaintiff chooses to proceed on at least one claim, which is subject to indemnification.
So any money the lawsuit received that was payable to the estate was subject to the indemnification clause in the release, and that money could be received based on money paid or the cost of defending the lawsuit and recovering the money. Money held in trust, based on a wrongful-death claim was not subject to indemnification.
The release blocked all claims of the decedent and any claims of the wife that were derivative of the decedent’s claims.
Effectively, the case is over because there is no way to get any money, that would not be subject to indemnification. Then any other asset of the estate would be subject to the indemnification due to the cost of defending the lawsuit.
So Now What?
The reasoning for the motion for summary judgment is simple. If the defendant is able to act on the indemnification, any money received by the plaintiff will just turn around and go back to the defendant. Consequently, the damages are reduced to about zero and the chances of settling skyrocket.
However, the importance of the motion is the court upheld the indemnification clause! Normally courts through these out as being a violation of the doctrine or parental immunity, or because they create a conflict of interest between members of a family.
I have never seen an indemnification clause upheld in a recreational release.
See Indemnification agreements? What are you signing?
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Jim Moss is an attorney specializing in the legal issues of the outdoor recreation community. He represents guides, guide services, outfitters both as businesses and individuals and the products they use for their business. He has defended Mt. Everest guide services, summer camps, climbing rope manufacturers; avalanche beacon manufactures and many more manufacturers and outdoor industries. Contact Jim at Jim@Rec-Law.us |
Jim is the author or co-author of six books about the legal issues in the outdoor recreation world; the latest is Outdoor Recreation Insurance, Risk Management and Law.
To see Jim’s complete bio go here and to see his CV you can find it here. To find out the purpose of this website go here.
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Angelo, v. USA Triathlon, 2014 U.S. Dist. LEXIS 131759
Posted: April 21, 2015 Filed under: Legal Case, Massachusetts, Racing, Triathlon | Tags: #race, Estate, Indemnification, Negligent infliction of emotional distress, Pain and Suffering, Personal Representative, Release, swimming, Triathlon, USA Triathlon, USAT, Wrongful Death Leave a commentTo Read an Analysis of this decision see: A federal district court in Massachusetts upholds indemnification clause in a release.
Angelo, v. USA Triathlon, 2014 U.S. Dist. LEXIS 131759
Cheryl Angelo, Personal Representative of the Estate of Richard Angelo, Plaintiff, v. USA Triathlon, Defendant.
Civil Action No. 13-12177-LTS
UNITED STATES DISTRICT COURT FOR THE DISTRICT OF MASSACHUSETTS
2014 U.S. Dist. LEXIS 131759
September 18, 2014, Decided
September 19, 2014, Filed
COUNSEL: [*1] For Cheryl Angelo, Plaintiff: Alan L. Cantor, LEAD ATTORNEY, Joseph A. Swartz, Peter J. Towne, Swartz & Swartz, Boston, MA.
For USA TRIATHLON, Defendant: Douglas L. Fox, Shumway, Giguere, Fox PC, Worcester, MA.
JUDGES: Leo T. Sorokin, United States District Judge.
OPINION BY: Leo T. Sorokin
OPINION
MEMORANDUM AND ORDER ON DEFENDANT’S MOTION FOR PARTIAL SUMMARY JUDGMENT
SOROKIN, D.J.
This action arises from a tragic set of facts in which Richard Angelo died while participating in the swim portion of a triathlon organized by the defendant, USA Triathlon (“USAT”). Plaintiff Cheryl Angelo (“the plaintiff”), as personal representative of Richard Angelo (“Angelo” or “the decedent”), has brought claims of wrongful death, conscious pain and suffering, and negligent infliction of emotional distress. USAT has counterclaimed for indemnity against any liability and legal costs associated with this action pursuant to indemnity agreements executed by the decedent prior to his participation in the triathlon. USAT has now moved for partial summary judgment on its claim for indemnity. Doc. No. 18. The plaintiff has opposed the Motion. Doc. No. 19. For the reasons stated below, USAT’s Motion is ALLOWED IN PART and DENIED IN PART.
I. [*2] STATEMENT OF FACTS
The following facts are stated in the light most favorable to the plaintiff as the nonmoving party, although the key facts for the purposes of this motion are not disputed. Angelo was a member of USAT since, at the latest, 2011. Doc. No. 18-1 at 1 ¶ 3. When Angelo last renewed his membership on August 12, 2011, he agreed to and electronically signed a “Waiver and Release of Liability, Assumption of Risk and Indemnity Agreement.” Id. at 1 ¶ 3, 4. That agreement only required the member to execute the document, and, accordingly, the plaintiff did not sign the form. Id. at 4-5. That document contained a provision that, in its entirety, reads as follows:
4. I hereby Release, Waive and Covenant Not to Sue, and further agree to Indemnify, Defend and Hold Harmless the following parties: USAT, the Event Organizers and Promoters, Race Directors, Sponsors, Advertisers, Host Cities, Local Organizing Committees, Venues and Property Owners upon which the Event takes place, Law Enforcement Agencies and other Public Entities providing support for the Event, and each of their respective parent, subsidiary and affiliated companies, officers, directors, partners, shareholders, members, agents, employees [*3] and volunteers (Individually and Collectively, the “Released Parties” or “Event Organizers”), with respect to any liability, claim(s), demand(s), cause(s) of action, damage(s), loss or expense (including court costs and reasonable attorneys [sic] fees) of any kind or nature (“Liability”) which may arise out of, result from, or relate to my participation in the Event, including claims for Liability caused in whole or in part by the negligence of the Released Parties. I further agree that if, despite this Agreement, I, or anyone on my behalf, makes a claim for Liability against any of the Released Parties, I will indemnify, defend and hold harmless each of the Released Parties from any such Liability which any [sic] may be incurred as the result of such claim.
Id. at 4.
USAT arranged to hold its National Age Group Championship on August 18, 2012, in Burlington, Vermont. Id. at 2 ¶ 5. On February 17, 2012, Angelo registered for the championship and, as part of his registration, electronically signed an indemnity agreement identical to the one excerpted above. Id. at 2 ¶ 6. As with the prior agreement, only Angelo as the participant was required to, and in fact did, sign the form. Doc. Nos. 18-1 at 33-34, 19-2 [*4] at 3. Angelo competed in that triathlon and died during his participation in the swim portion of that event or shortly thereafter. Doc. No. 18-2 at 11-12.
The plaintiff, the decedent’s wife and the personal representative of his estate, then brought this action in Essex Superior Court, alleging wrongful death, conscious pain and suffering by the decedent, gross negligence resulting in the decedent’s death, and negligent infliction of emotional distress suffered by the plaintiff, who was present at the site of the race. Doc. No. 6 at 12-16. USAT subsequently removed the action to this Court. Doc. No. 1.
II. STANDARD OF REVIEW
Summary judgment is appropriate when “the movant shows that there is no genuine dispute as to any material fact and the movant is entitled to judgment as a matter of law.” Fed. R. Civ. P. 56(a). Once a party “has properly supported its motion for summary judgment, the burden shifts to the non-moving party, who ‘may not rest on mere allegations or denials of his pleading, but must set forth specific facts showing there is a genuine issue for trial.'” Barbour v. Dynamics Research Corp., 63 F.3d 32, 37 (1st Cir. 1995) (quoting Anderson v. Liberty Lobby, Inc., 477 U.S. 242, 256, 106 S. Ct. 2505, 91 L. Ed. 2d 202 (1986)). The Court is “obliged to []view the record in the light most favorable to the nonmoving party, and to draw all reasonable inferences [*5] in the nonmoving party’s favor.” LeBlanc v. Great Am. Ins. Co., 6 F.3d 836, 841 (1st Cir. 1993). Even so, the Court is to ignore “conclusory allegations, improbable inferences, and unsupported speculation.” Prescott v. Higgins, 538 F.3d 32, 39 (1st Cir. 2008) (quoting Medina-Muñoz v. R.J. Reynolds Tobacco Co., 896 F.2d 5, 8 (1st Cir. 1990)). A court may enter summary judgment “against a party who fails to make a showing sufficient to establish the existence of an element essential to that party’s case, and on which that party will bear the burden of proof at trial.” Celotex Corp. v. Catrett, 477 U.S. 317, 322, 106 S. Ct. 2548, 91 L. Ed. 2d 265 (1986).
III. DISCUSSION
USAT has moved for partial summary judgment on their counterclaim for indemnity.1 USAT asserts that the decedent’s execution of the two release and indemnity agreements (“the indemnity agreements”) released or indemnified, or both, all claims that arise from his participation in the National Age Group Championship, including all claims brought by the plaintiff in this action. The plaintiff counters that the indemnity agreements could not function to release her claims for wrongful death or negligent infliction of emotional distress, and that an indemnity agreement is not enforceable insofar as it exempts the indemnitee from liability for its own grossly negligent conduct.
1 The Court understands this motion for summary judgment to be limited to the scope of the release and indemnity agreement [*6] and its application to the plaintiff’s claims as raised in the Complaint and as amplified in the motion papers. Despite USAT’s argument to the contrary, the Court does not believe this motion to be an appropriate vehicle to address the substantive merits of the plaintiff’s pleadings or claims.
Under Massachusetts law,2 “[c]ontracts of indemnity are to be fairly and reasonably construed in order to ascertain the intention of the parties and to effectuate the purpose sought to be accomplished.” Post v. Belmont Country Club, Inc., 60 Mass. App. Ct. 645, 805 N.E.2d 63, 69 (Mass. App. Ct. 2004) (quoting Shea v. Bay State Gas Co., 383 Mass. 218, 418 N.E.2d 597, 600 (Mass. 1981)). Indemnity contracts that exempt a party from liability arising from their own ordinary negligence are not illegal. Id. at 70. Further, contracts of indemnity can survive a decedent’s death and become an obligation of a decedent’s estate. Id. at 71.
2 The parties do not contend that the law of any other state applies.
Here, the language in the indemnity provision is broad. The plaintiff argues, briefly, that the indemnity agreements are ambiguous as to who is bound by the agreements. The Court disagrees. The agreement clearly states that “I . . . agree to Indemnify, Defend and Hold Harmless” the released parties from liability “of any kind or nature . . . which may arise out of, result from, or relate to my participation [*7] in the Event.” Doc. No. 18-1 at 4. By the plain language of the provision, the signatory of the agreement agreed to indemnify USAT for any losses arising from his participation in the triathlon, including losses and damages associated with lawsuits arising from his participation. See Post, 805 N.E.2d at 70. Both the scope of the indemnity and the party bound by the agreement are clear and unambiguous. A close examination is required, however, to ascertain the applicability of the provision to the specific claims raised and the sources available to satisfy the indemnity.
A. Counts 1 and 3: Wrongful Death
The first count in the plaintiff’s Complaint alleges wrongful death due to USAT’s negligence. The third count alleges wrongful death due to USAT’s gross negligence and seeks punitive damages. Under Massachusetts law, an action for wrongful death is “brought by a personal representative on behalf of the designated categories of beneficiaries” set forth by statute. Gaudette v. Webb, 362 Mass. 60, 284 N.E.2d 222, 229 (Mass. 1972); see Mass. Gen. Laws ch. 229, §§ 1, 2. “The money recovered upon a wrongful death claim is not a general asset of the probate estate, but constitutes a statutory trust fund, held by the administratrix as trustee for distribution to the statutory beneficiaries.”3 Marco v. Green, 415 Mass. 732, 615 N.E.2d 928, 932 (Mass. 1993) (quoting Sullivan v. Goulette, 344 Mass. 307, 182 N.E.2d 519, 523 (Mass. 1962)). These [*8] aspects of Massachusetts law have led another judge of this Court to the conclusion that “[w]rongful death is not, in any traditional sense, a claim of the decedent.” Chung v. StudentCity.com, Inc., Civ. A. 10-10943-RWZ, 2011 U.S. Dist. LEXIS 102370, 2011 WL 4074297, at *2 (D. Mass. Sept. 9, 2011).
3 The Massachusetts Legislature has created limited statutory exceptions whereby the recovery on a wrongful death claim may be reached to pay certain specified expenses. Mass. Gen. Laws ch. 229, § 6A. None of those exceptions are implicated by the present Motion. See id.
As stated above, the indemnity agreements signed by the decedent, by their terms, clearly were intended to indemnify losses arising from an action for wrongful death as a claim “aris[ing] out of” the decedent’s participation in the triathlon. Thus, USAT is entitled to indemnity on losses resulting from that claim. That does not end the matter, however, because the parties raise the question of where USAT may look in order to satisfy the indemnity obligation. The decedent, while having authority to bind his estate, see Post, 805 N.E.2d at 71, lacked authority to bind his surviving family members who did not sign the indemnity agreements and are not bound thereby, see Chung, 2011 U.S. Dist. LEXIS 102370, 2011 WL 4074297, at *2. Accordingly, to satisfy the indemnity obligation, USAT may look to the assets of the decedent’s estate. See [*9] Post, 805 N.E.2d at 71 (noting that a contract of indemnity agreed to by a decedent became an obligation of the decedent’s estate). USAT may not, however, look to any recovery on the wrongful death claim for satisfaction, as that recovery would be held in trust for the statutory beneficiaries and would not become an asset of the estate. See Estate of Bogomolsky v. Estate of Furlong, Civ. A. 14-12463-FDS, 2014 U.S. Dist. LEXIS 86998, 2014 WL 2945927, at *2 (D. Mass. June 26, 2014).4 USAT concedes this outcome as to the plaintiff’s negligent infliction of emotional distress claim, Doc. No. 20 at 11-12, and given the structure of wrongful death claims in Massachusetts, there is no reason for a different result as to the wrongful death claims.5
4 In Estate of Bogomolsky, a recent decision of another session of this Court, Judge Saylor came to the same conclusion, finding that a judgment creditor of a decedent’s estate would not be able to restrain the proceeds of an insurance policy distributed pursuant to the wrongful death statute, as the proceeds of the policy were held in trust for the decedent’s next of kin and did not belong to the decedent’s estate. Estate of Bogomolsky, 2014 U.S. Dist. LEXIS 86998, 2014 WL 2945927, at *2.
5 While the plaintiff notes that the Massachusetts Appeals Court has reserved the question of whether an indemnification provision would be [*10] enforced to effectively release the claims of people who were not signatories of such an agreement, see Post, 805 N.E.2d at 70-71, this case, as in Post, does not present that circumstance, as the indemnity agreements in this case do not purport to extinguish the plaintiff’s right to bring her claims nor her right to recover on those claims.
Count three of the plaintiff’s Complaint, alleging that the decedent’s death was a result of USAT’s gross negligence, raises the issue of whether Massachusetts courts would enforce an indemnity contract to the extent it functioned to indemnify a party’s own gross negligence. The Court has uncovered no controlling authority from the Supreme Judicial Court of Massachusetts on this issue, nor any case of the Massachusetts Appeals Court on point. In such a case, “[w]here the state’s highest court has not definitively weighed in, a federal court applying state law ‘may consider analogous decisions, considered dicta, scholarly works, and any other reliable data tending convincingly to show how the highest court in the state would decide the issue at hand.'” Janney Montgomery Scott LLC v. Tobin, 571 F.3d 162, 164 (1st Cir. 2009) (quoting N. Am. Specialty Ins. Co. v. Lapalme, 258 F.3d 35, 38 (1st Cir. 2001)).
In the closely analogous context of releases, the Massachusetts Appeals Court has held that, for reasons of public policy, [*11] a release would not be enforced to exempt a party from liability for grossly negligent conduct, though otherwise effective against ordinary negligence. Zavras v. Capeway Rovers Motorcycle Club, Inc., 44 Mass. App. Ct. 17, 687 N.E.2d 1263, 1265 (Mass. App. Ct. 1997). The Supreme Judicial Court, although not adopting that holding, has noted that public policy reasons exist for treating ordinary negligence differently from gross negligence when enforcing releases. Sharon v. City of Newton, 437 Mass. 99, 769 N.E.2d 738, 748 n.12 (Mass. 2002). Finally, Judge Saylor of this Court, examining this caselaw, has concluded that the Supreme Judicial Court would not enforce an indemnity agreement to the extent it provided for indemnification of a party’s own gross negligence. CSX Transp., Inc. v. Mass. Bay Transp. Auth., 697 F. Supp. 2d 213, 227 (D. Mass. 2010).
This Court, having studied the caselaw, agrees with and reaches the same conclusion as Judge Saylor: specifically that Massachusetts courts would not enforce an indemnity provision insofar as it relieved a party from liability stemming from its own gross negligence. Thus, the indemnity agreements executed by the decedent are not enforceable to the extent they would require the decedent’s estate to indemnify losses arising from USAT’s grossly negligent conduct.6
6 This conclusion would gain significance if the plaintiff were to be awarded punitive damages owing to USAT’s alleged gross negligence. Punitive damages [*12] awarded under the wrongful death statute, unlike compensatory damages under that statute, are considered general assets of the decedent’s estate. Burt v. Meyer, 400 Mass. 185, 508 N.E.2d 598, 601-02 (Mass. 1987). Any punitive damages, however, could not be reached in satisfaction of the indemnity obligation because gross negligence or more culpable conduct is the predicate upon which an award of punitive damages is based under the statute. See Mass. Gen. Laws ch. 229, § 2.
Accordingly, USAT’s Motion for Summary Judgment as to the plaintiff’s claims of wrongful death is ALLOWED insofar as it seeks indemnity from the decedent’s estate for USAT’s allegedly negligent conduct. The Motion is DENIED insofar as it seeks to satisfy the indemnity obligation from any amounts recovered on the wrongful death claim and insofar as the agreement would require the decedent’s estate to indemnify liability arising from USAT’s grossly negligent conduct.
B. Count 2: Conscious Pain and Suffering
The second count of the plaintiff’s Complaint alleges that USAT’s negligence caused the decedent’s conscious pain and suffering. Under Massachusetts law, a claim for conscious pain and suffering is a claim of the decedent, which may be brought on the decedent’s behalf by his or her personal representative. [*13] Gaudette, 284 N.E.2d at 224-25; see Mass. Gen. Laws ch. 229, § 6. Any recovery on such a claim is held as an asset of the decedent’s estate. Mass. Gen. Laws ch. 229, § 6. By executing the two agreements, the decedent both released his claim of conscious pain and suffering caused by USAT’s negligence and indemnified USAT for any losses occasioned by such a claim. Putting aside the release for a moment, if the personal representative of the decedent received any recovery for his conscious suffering, USAT would be able to reach that recovery to satisfy the decedent’s indemnity obligation. See Estate of Bogomolsky, 2014 U.S. Dist. LEXIS 86998, 2014 WL 2945927, at *2. Thus, USAT’s Motion for Summary Judgment is ALLOWED insofar as the claim for conscious suffering caused by USAT’s negligence was both released and indemnified.
In response to this argument, however, the plaintiff has stated her intent to proceed on the conscious suffering count only on a theory of gross negligence, and not to proceed upon ordinary negligence. As noted above, both the release and the indemnity provisions of the agreements are unenforceable to exempt USAT from liability for their own grossly negligent conduct. See CSX, 697 F. Supp. 2d at 227; Zavras, 687 N.E.2d at 1265. Thus, insofar as the plaintiff chooses to proceed on the conscious pain and suffering count only on a theory of gross negligence, USAT’s Motion for Summary [*14] Judgment is DENIED. If she chooses to so proceed, the plaintiff shall amend her Complaint accordingly.
C. Count 4: Negligent Infliction of Emotional Distress
The fourth and final count of the plaintiff’s Complaint alleges USAT’s negligent infliction of emotional distress on the plaintiff, who was present at the race venue. As an initial matter, the plaintiff, as currently denominated in the Complaint, only brings claims as personal representative of the estate of the decedent. Negligent infliction of emotional distress, however, alleges a harm directly against the plaintiff in her individual capacity, see Cimino v. Milford Keg, Inc., 385 Mass. 323, 431 N.E.2d 920, 927 (Mass. 1982), and thus cannot be brought in a representative capacity.
In response, the plaintiff has indicated her intent to amend her Complaint to bring this claim in her individual capacity. The Court will allow the amendment, as it is not futile in light of the Court’s rulings on the indemnity agreements. The indemnity language in those agreements is broad enough to reach a claim for negligent infliction of emotional distress as a claim “aris[ing] out of” the decedent’s participation in the triathlon. Thus, USAT is entitled to indemnification on any losses resulting from such a claim. As conceded by [*15] USAT, however, any recovery on the emotional distress claim would belong to the plaintiff individually, and thus USAT would not be able to use that recovery to satisfy the indemnity and may look only to the estate of the decedent. Doc. No. 20 at 11-12. Accordingly, the plaintiff may so amend her Complaint to perfect her claim of negligent infliction of emotional distress.
D. Defense Costs
USAT also claims an entitlement to defense costs arising from the provisions in the indemnity agreements obligating the signatory to defend and hold harmless USAT. The language of the indemnity agreements does clearly obligate the decedent’s estate to make USAT whole on these losses. As with the claims discussed above, USAT may seek indemnity from the decedent’s estate for their defense costs which predate this Motion as well as prospective costs to the extent that the plaintiff chooses to proceed on at least one claim which is subject to indemnification.7 See Mt. Airy Ins. Co. v. Greenbaum, 127 F.3d 15, 19 (1st Cir. 1997) (“[U]nder Massachusetts law, if an insurer has a duty to defend one count of a complaint, it must defend them all.” (citing Aetna Cas. & Surety Co. v. Continental Cas. Co., 413 Mass. 730, 604 N.E.2d 30, 32 n.1 (Mass. 1992)).
7 Should the plaintiff decide to proceed only on those claims that, following the reasoning of this Order, are not subject to the [*16] indemnity obligation, the parties may request leave to brief the issue of USAT’s entitlement to prospective defense costs at that time.
IV. CONCLUSION
In conclusion, USAT’s Motion for Summary Judgment, Doc. No. 18, is ALLOWED as set forth above insofar as USAT seeks to establish the release of the conscious pain and suffering claim and indemnity from the decedent’s estate for the claims wrongful death, conscious pain and suffering, and negligent infliction of emotional distress caused by USAT’s ordinary negligence. USAT’s Motion is DENIED, however, insofar as it argues for release of or indemnity on any claims caused by their own gross negligence and insofar as it seeks satisfaction of the indemnity obligation from any recovery on the wrongful death or emotional distress claims. The plaintiff shall amend the Complaint within seven days to more clearly specify the capacity in which each claim is brought and add the allegations of gross negligence, both as described in the plaintiff’s papers. The defendant shall respond to the Amended Complaint within seven days of its filing. The Court will hold a Rule 16 conference on October 21, 2014 at 1 p.m.
SO ORDERED.
/s/ Leo T. Sorokin
Leo T. Sorokin
United [*17] States District Judge









