JANE TRICHE MILAZZO, District Judge.
Before the Court is Gulf South Pipeline Company, LP's Motion for Partial Summary Judgment on Contractual Additional Insured Status (Doc. 74). For the following reasons, the Motion is GRANTED.
This is a consolidated action of five cases arising from a pipeline explosion. Plaintiffs Jason Mays, Brian Beadell, Matthew Boyd, and Adam Zima ("Plaintiffs") allege that they worked for C-Dive, LLC ("C-Dive") aboard its vessel, the DSV MS KERCI. According to Plaintiffs, the DSV MS KERCI was servicing a pipeline owned by Gulf South Pipeline Company, LP ("Gulf South") in the Gulf of Mexico. During work on August 26, 2015, there was a release of gas that caused an explosion and injured Plaintiffs.
The following business relationships involving the pipeline work are undisputed. The pipeline in question was owned and operated by Gulf South, a subsidiary of Boardwalk Pipelines, LP ("Boardwalk Pipelines"). In January 2011, Boardwalk Pipelines entered into a Master Services Agreement ("MSA") with C-Dive. The MSA was a blanket contract that did not itself authorize any specific work but that would be followed by work orders between the parties adopting the terms of the MSA. On August 11, 2015, C-Dive and Gulf South entered into a work order, the Scope of Work Agreement ("SWA"), whereby C-Dive was to decommission the pipeline later involved in the explosion.
The SWA between C-Dive and Gulf South contains a provision incorporating the MSA. The MSA applies to, at least in part, both Boardwalk Pipelines and its subsidiaries, including Gulf South. The agreement is "by and between BOARDWALK PIPELINES, LP (hereinafter referred to as `Boardwalk') and C-DIVE, LLC," and provides that "[r]eference to Boardwalk shall also include its subsidiaries and direct or indirect affiliates of Boardwalk, including but not limited to . . . Gulf South Pipeline Company, LP."
In separate consolidated actions, Plaintiffs bring claims for negligence, Jones Act negligence, and unseaworthiness against C-Dive and Gulf South. In the final consolidated matter, C-Dive seeks a limitation of liability pursuant to 46 U.S.C. § 30505. Gulf South makes cross-claims in each of the consolidated actions against C-Dive, alleging that C-Dive is required to defend and indemnify Gulf South under the MSA. Gulf South also makes third-party claims in each of the consolidated actions against Catlin Insurance Company ("Catlin") and New York Marine & General Insurance Company ("New York Marine") as an additional insured under policies those companies issued to C-Dive. Gulf South asserts that the MSA requires C-Dive to make Gulf South an additional insured on C-Dive's comprehensive general liability policies issued by Catlin and New York Marine, triggering coverage for Gulf South via automatic additional insured clauses in those policies.
C-Dive, Catlin, and New York Marine previously moved for summary judgment seeking dismissal of Gulf South's claims for additional insured status under C-Dive's policies. This Court denied that Motion. Gulf South now moves for a partial summary judgment, holding that it is a contractual named additional insured under the policies of insurance issued by Catlin and New York Marine.
Summary judgment is appropriate if "the record, including depositions, documents, electronically stored information, affidavits or declarations, stipulations. . ., admissions, interrogatory answers, or other materials" "shows that there is no genuine dispute as to any material fact and the movant is entitled to judgment as a matter of law."
In determining whether the movant is entitled to summary judgment, the Court views facts in the light most favorable to the non-movant and draws all reasonable inferences in his favor.
In its prior order addressing the Motion filed by C-Dive, Catlin, and New York Marine, the Court held that the language of the MSA was clear and that it unambiguously required C-Dive to name Boardwalk Pipelines, LP and its subsidiaries, including Gulf South, as additional insureds on its insurance policies.
Gulf South now moves for a holding that it is an additional insured under the policies of insurance issued by Catlin and New York Marine. In opposition to this Motion, C-Dive, Catlin, and New York Marine (the "Opposing Parties") assert substantially the same arguments previously addressed. The reiteration of these arguments and counsel's passionate appeal at oral argument have not, however, changed this Court's opinion. Indeed, upon reviewing this issue for a second time, the Court has become further rooted in its interpretation of the MSA. By way of one example, the MSA reads in part:
It would be absurd to read this passage to mean that while Boardwalk Pipelines, LP and its subsidiaries are entitled to approve of the insurance companies selected and inspect the policies, only Boardwalk Pipelines, LP is entitled to coverage therein. When the insurance requirements of the MSA are read as a whole, it is clear that the terms "Boardwalk" and "Boardwalk Pipelines, LP" are interchangeable, and any other reading would lead to absurd results.
Having already found the MSA to be clear and unambiguous, this Court need not consider the evidence submitted by the Opposing Parties regarding the negotiation of the MSA.
Because this Court has held that C-Dive was required to add Gulf South as an additional insured to its policies pursuant to the MSA and SWA, the Court now turns to the policies. It is undisputed that both the Catlin and the New York Marine policies contain additional insured endorsements, which specifically provide that they will include as additional insureds any person or organization for which C-Dive is obligated by written contract to include said party as an additional insured. Accordingly, Gulf South is entitled to coverage as an additional insured on C-Dive's policies with Catlin and New York Marine.
For the foregoing reasons, Gulf South's Motion is GRANTED.