KATZMANN, J.
This appeal arises from a construction accident
Background. Fraco is a designer, manufacturer, and seller of industrial mast-climbing platforms used in construction. The mast-climbing platforms are used instead of scaffolding. They are long platforms that are hydraulically lifted up (or lowered down) a mast extending up the side of a structure. Construction workers, such as masons, stand on the platforms to install materials, such as stone and windows. On April 8, 2004, Fraco sold Bostonian six platforms, including the mast-climbing platform (Machine No. 10) at issue in this construction accident, for $225,710. Bostonian paid an initial amount upon delivery and then paid the remainder in five monthly installments. The terms and conditions of the contract provided the following language as to the right of ownership:
The terms and conditions of the sales contract also included
On April 11, 2006, DaSilva's estate filed suit against Fraco, as well as other defendants.
On February 5, 2009, Bostonian moved for summary judgment on Fraco's third-party claims. The Superior Court judge originally assigned to the case held oral argument and allowed Bostonian's motion for summary judgment as to Fraco's contribution claims.
Discussion. 1. Standard of review. On appeal, we review the motion judge's grant of summary judgment de novo. Dennis v. Kaskel, 79 Mass.App.Ct. 736, 740 (2011). We undertake the following evaluation:
Shawmut Worcester County Bank, N.A. v. Miller, 398 Mass. 273, 281 (1986) (internal citations omitted).
2. Common-law indemnity. Fraco provided Machine No. 10, and Fraco employees helped to install it at the worksite. It is
a. While denying any negligence on its part, Fraco contends that if it was in fact liable, its liability was derivative or vicarious of Bostonian's liability; Bostonian, not Fraco, dismantled Machine No. 10, and a Bostonian employee directed the removal of the anchor tie that led to the collapse of the mast-climbing platform and the death of the plaintiffs' decedent. In short, Fraco contends that if this case were to proceed to trial, the evidence would show that it played at most a de minimis role in erecting Machine No. 10 at the construction site and that Bostonian was liable for the accident. Ultimately, Fraco argues that this question of liability is an issue of fact that requires a jury trial and that is not amenable to resolution at summary judgment. We disagree.
The exclusivity provision in the workers' compensation statute, G. L. c. 152, § 23 (see note 5, supra), "ordinarily bars a third party sued by the employee from recovering against the negligent employer who has paid workers' compensation." Larkin v. Ralph O. Porter, Inc., 405 Mass. 179, 181 (1989). In Liberty Mut. Ins. Co. v. Westerlind, 374 Mass. 524 (1978), a case where the defendant attempted to implead an employer which, like Bostonian, had paid workers' compensation benefits to the employee's estate, the Supreme Judicial Court observed, "The majority position is that a third-party tortfeasor may recover indemnity from an employer only if the employer had expressly or impliedly contracted to indemnify the third party or if the employer and the third party stand in a relationship that carries with it the obligation to indemnify the third party." Id. at 526. Setting aside, for the moment, the language in Westerlind allowing for contractual indemnity, see part 3, infra, we focus on the court's statement that a relationship between two parties may give rise to third-party common-law indemnification. The Supreme Judicial Court has provided guidance as to the scope of the relationship
In Decker v. Black & Decker Mfg. Co., 389 Mass. 35 (1983), the plaintiff, an employee injured in a workplace accident, sued the manufacturer and supplier of the equipment involved in the accident. The court held that the relationship between a product manufacturer/supplier and the purchaser is not a relationship that typically gives rise to third-party common-law indemnification. Id. at 39-41. Prior to bringing suit, the plaintiff had received double compensation from his employer pursuant to the workers' compensation statute, upon a finding that the employer had engaged in "serious and wilful misconduct." The plaintiff's complaint against the manufacturer alleged negligent manufacture, negligent failure to warn, and negligent failure to correct defects in the equipment. As to the supplier, the plaintiff alleged negligent failure to inspect, negligent failure to warn, and breach of express and implied warranties. Id. at 36. The defendants filed a third-party complaint against the employer, asserting, as here, that a "special relationship" giving rise to indemnification from the employer arose because they "did not join in the act of negligence which caused the plaintiff's injury." Id. at 40. The Supreme Judicial Court rejected the argument. The court first noted that "[t]his right to indemnity is limited to those cases in which the would-be indemnitee is held derivatively or vicariously liable for the wrongful act of another." Id. at 40. The court then went on to explain that, under the facts of the case, the defendants could not satisfy this requirement: either the defendants would be liable because of their own negligent acts (and hence their liability would not be derivative of the employer's negligence), or, if as the defendants asserted, they were not negligent at all, that would constitute an "absolute defense" to the underlying action, but "[s]uch a defense ... does not provide the basis for an indemnity claim." Id. at 41, citing cases, and noting, "As in ... Westerlind, ... we base our decision on the statutory scheme embodied in G. L. c. 152."
In Larkin v. Ralph O. Porter, Inc., 405 Mass. at 185, the Supreme Judicial Court held that the relationship between a general contractor and a subcontractor is not a relationship that typically gives rise to third-party common-law indemnification.
Id. at 185.
In the suit underlying the case at bar, DaSilva's estate alleged that Fraco, the manufacturer of the scaffolding, was independently liable — not vicariously or derivatively liable for the wrongful acts of Bostonian, DaSilva's employer. Thus, this case presents the paradigm where the plaintiff's injuries could be attributed both to the manufacturer of a product used by the plaintiff's employer in the construction process and to the negligence of the employer in the use of the product — for which the employer was immune from direct suit by the employee. In the present litigation, Fraco, the product manufacturer, seeks to shift its own liability to Bostonian, the employer; this — as Decker, supra, and Larkin, supra, instruct — it cannot do. "[T]here is no evidence that the relationship between [Fraco and Bostonian] is a special relationship carrying with it an obligation to indemnify
We note in passing that the Supreme Judicial Court has long been aware of the criticism surrounding the potential availability of common-law indemnification in cases involving workers' compensation and that the court has looked to the Legislature for guidance in resolving this issue. In 1978, in Liberty Mut. Ins. Co. v. Westerlind, 374 Mass. at 527, the court commented, "We... note that strong policy arguments exist on both sides of the issue whether a third party should have a right of recovery on the basis of contribution or indemnification.... Such conflicting policy considerations are best resolved in the Legislature where the resolution can be based on full consideration of the competing interests and the ramifications involved with any change of the legislative scheme of G. L. c. 152." In 1989, the court observed in Larkin v. Ralph O. Porter, Inc., 405 Mass. at 186 n.4, "In 1985 and 1986, the Legislature substantially revised the statutory scheme of workers' compensation. Nevertheless, the
b. Citing Rathbun v. Western Mass. Elec. Co., 395 Mass. 361 (1985), Fraco argues in the alternative that further fact finding is necessary because if its own negligence (if any) were determined to be de minimis as compared to that of Bostonian, Fraco would be entitled to common-law indemnification under a "differing degree of fault" theory. In Rathbun, the Supreme Judicial Court noted that in rare exceptions, indemnification has been allowed to a joint tortfeasor. The court stated:
Id. at 364. The Rathbun court further stated that even though "[p]robably no instructive general rule can be stated as to when indemnity will or will not be allowed to a negligent person ... [i]n those cases in which indemnity has been allowed to a negligent indemnitee, the indemnitee's negligence has been insignificant in relation to that of the indemnitor." Ibid. See Economy Engr. Co. v. Commonwealth, 413 Mass. 791, 794 (1992) ("[in] rare cases ... the fault of one joint tortfeasor... [may be] so slight as to grant it rights of indemnity against another joint tortfeasor").
Fraco contends that under the aforementioned language in Rathbun, Fraco would be entitled to common-law indemnification from Bostonian if Fraco's fault is relatively insignificant in
3. Contractual indemnity. Fraco contends that under the plain language of the sales contract, Bostonian was required to provide Fraco with indemnification. Fraco argues that the judge committed error in entering summary judgment for Bostonian because the judge could not have reasonably construed the language of the sales agreement in a manner that would have exempted Bostonian from indemnifying Fraco. We disagree.
In the terms and conditions of the sales contract, the parties included the following provisions as to risk of loss and indemnification:
Under Georgia law, unless an indemnity contract "expressly, plainly, clearly, and unequivocally" states that the negligence of the indemnitee is covered, the indemnitor does not incur an obligation to indemnify the indemnitee for its loss. Park Pride Atlanta, Inc. v. City of Atlanta, 246 Ga.App. 689, 691 (2000). See Service Merchandise Co. v. Hunter Fan Co., 274 Ga.App. 290, 296 (2005). Courts are to construe the language of an indemnification contract strictly against the party seeking indemnification. See id. at 292.
The terms of the sales contract for Machine No. 10 do not
With respect to the "Transfer of Risks and Insurance" provision, we note that this provision, unlike the "Indemnification by the BUYER" provision, is not followed by a survival clause. Given that the contract terminated by its own terms when Bostonian made the final installment payment (sometime before the accident), the "Transfer of Risks and Insurance" provision is not relevant here.
In sum, because the contract does not "expressly, plainly, clearly, and unequivocally" provide that Bostonian will indemnify Fraco, the Superior Court judge properly entered summary judgment for Bostonian on Fraco's contractual indemnification claim. See Park Pride Atlanta, Inc. v. City of Atlanta, 246 Ga. App. at 691.
Conclusion. There was no error in the allowance of Bostonian's motion for summary judgment on Fraco's common-law and contractual indemnification claims.
Judgment affirmed.