Opinion by Justice Garza.
This case involves personal injuries allegedly caused by a contract working dog ("CWD") on a United States military base in Afghanistan. Appellant LaTasha Freeman argues that the trial court erred in granting a plea to the jurisdiction dismissing her suit against appellees, American K-9 Detection Services, LLC ("AMK9") and Hill Country Dog Center, LLC ("HCDC"). We reverse and remand.
Freeman was employed as an administrative clerk by Honeywell International, Inc., a private military contractor that provided support to the United States Army's operations at Camp Mike Spann, a forward operating base in Afghanistan. AMK9 is a Florida corporation that trains and deploys military working dogs and their handlers; HCDC is a Texas corporation that also trains dogs for government work.
In her petition, Freeman alleged that, on or about November 9, 2011, while in the course and scope of her employment at Camp Mike Spann, she was attacked by an unprovoked CWD owned by AMK9 and "negligently left unattended" by its handler, an AMK9 employee. She alleged that the dog at issue, named Callie or Kallie, was "trained, certified, received veterinary services, and/or were purchased" by AMK9 from HCDC in Bandera County, Texas; that the dog's handler "while stationed overseas" was "trained, managed, and employed" by AMK9; and that HCDC also trained the handler. Freeman alleged that AMK9 was negligent for failing to properly train the dog, failing to properly train the dog's handler, failing to keep the
AMK9 filed an answer asserting, among other things, that its actions were not a proximate cause of Freeman's injuries. AMK9 also filed a plea to the jurisdiction alleging that it was immune to suit due to its status as a private defense contractor. In particular, AMK9 asserted that it is immune "under four separate theories: the `Political Question' Doctrine, the Combat Activities Exclusion of the Federal Tort Claims Act, the Derivative Immunity Doctrine, and the preemption provided by the Defense Production Act of 1950."
AMK9 later filed a motion for leave to designate the United States Army ("Army") and/or the United States Department of Defense ("DOD") as responsible third parties "to the extent that [Freeman] claims that the failure to control the CWD was tortious or otherwise somehow the cause of her injury." According to AMK9, the Army negligently designed and built the pen in which the dog was held at the time of the incident.
The trial court granted AMK9's plea to the jurisdiction without specifying its grounds and dismissed the suit as to both defendants. It later granted AMK9's motion to designate responsible third parties. This appeal followed, in which Freeman contends by three issues that the trial court erred by (1) dismissing her suit against AMK9 and HCDC pursuant to the plea to the jurisdiction, (2) doing so without giving her the opportunity to replead, and (3) granting AMK9's motion to designate responsible third parties.
A plea to the jurisdiction is a dilatory plea used to defeat a cause of action without regard to whether the claims asserted have merit. Bland Indep. Sch. Dist. v. Blue, 34 S.W.3d 547, 554 (Tex. 2000). The plea challenges the trial court's subject matter jurisdiction. Id.; see Tex. Dep't of Transp. v. Jones, 8 S.W.3d 636, 638 (Tex.1999). Whether a trial court has subject matter jurisdiction and whether the pleader has alleged facts that affirmatively demonstrate the trial court's subject matter jurisdiction are questions of law that we review de novo. Tex. Dep't of Parks & Wildlife v. Miranda, 133 S.W.3d 217, 226 (Tex.2004); Tex. Natural Res. Conservation Comm'n v. IT-Davy, 74 S.W.3d 849, 855 (Tex.2002).
The plaintiff has the initial burden to plead facts affirmatively showing that the trial court has jurisdiction. Tex. Ass'n of Bus. v. Tex. Air Control Bd., 852 S.W.2d 440, 446 (Tex.1993); Univ. of N. Tex. v. Harvey, 124 S.W.3d 216, 220 (Tex. App.-Fort Worth 2003, pet. denied). We construe the pleadings liberally in favor of the pleader, look to the pleader's intent, and accept as true the factual allegations in the pleadings. See Miranda, 133 S.W.3d at 226, 228. If the pleadings do not contain sufficient facts to affirmatively demonstrate the trial court's jurisdiction, but do not affirmatively demonstrate incurable defects in jurisdiction, the plaintiff should be afforded the opportunity to amend its pleadings. Id. at 226-27.
Because the trial court did not specify the grounds upon which it granted the plea, we will sustain the judgment if it is correct on any theory of law applicable to the case and supported by the record. Tarkington Indep. Sch. Dist. v. Aiken, 67 S.W.3d 319, 327 (Tex.App.-Beaumont 2002, no pet.).
In support of its plea, AMK9 filed several affidavits, including that of Willard Chipman, who stated that he served as AMK9's Assistant Program Manager of Operations in Afghanistan prior to October 2012. Chipman further stated:
In response, Freeman produced, among other evidence, her affidavit describing the events at issue as follows:
Freeman also produced an email she received from R. Keith Dorough, an AMK9 project manager. The email states in part:
Under "Analysis," the report stated: "This was an unexpected incident that has not occurred as yet. Handlers will have to ensure that both doors of the shelter are closed at all times."
As noted, AMK9 asserted in its plea that the trial court lacked subject matter jurisdiction under: (1) the political question doctrine; (2) the combatant activities exception to the waiver of immunity provided in the Federal Tort Claims Act ("FTCA"), (3) the doctrine of derivative immunity, and (4) the Defense Production Act of 1950.
Under the political question doctrine, a case presents a non-justiciable political question when one of the following characteristics is "inextricable" from the case: (1) "a textually demonstrable constitutional commitment of the issue to a coordinate political department"; (2) "a lack of judicially discoverable and manageable standards for resolving it"; (3) "the impossibility of deciding without an initial policy determination of a kind clearly for nonjudicial discretion"; (4) "the impossibility of a court's undertaking independent resolution without expressing lack of the respect due coordinate branches of government"; (5) "an unusual need for unquestioning adherence to a political decision already made"; or (6) "the potentiality of embarrassment from multifarious pronouncements by various departments on one question." Harris v. Kellogg Brown & Root Servs., Inc., 724 F.3d 458, 465 (3d Cir.2013) (citing Baker v. Carr, 369 U.S. 186, 217, 82 S.Ct. 691, 7 L.Ed.2d 663 (1962)); Lane v. Halliburton, 529 F.3d 548, 558 (5th Cir.2008); see Goldberg v. Comm'n for Lawyer Discipline, 265 S.W.3d 568, 576 (Tex.App.-Houston [1st Dist.] 2008, pet. denied) (noting that a trial court lacks jurisdiction over a non-justiciable controversy).
In Harris, an Army staff sergeant died by electrocution while taking a shower in his barracks in Iraq. 724 F.3d at 463. His estate sued KBR, the military contractor that was allegedly responsible for maintaining the barracks, alleging that KBR negligently installed and maintained a water pump at the barracks. Id. KBR asserted, and the trial court agreed, that the suit raised a non-justiciable political question and was pre-empted by the policy embodied in the combatant-activities exception to the waiver of governmental immunity
Id. at 465-66 (citations omitted). The Court continued: "Because defense contractors are not coordinate branches of government, a determination must first be made whether the case actually requires evaluation of military decisions. If so, those military decisions must be of the type that are unreviewable because they are textually committed to the executive." Id. at 466. There, KBR argued that the claims against it "would require judicial review of the military's decisions about where to house soldiers on a battlefield — decisions that are unreviewable because they involve strategic calculi about how best to defend against threats." Id.
The Harris court noted that "[m]ilitary control over a contractor's actions is one common way that evaluation of strategic military decisions becomes necessary." Id. (noting that "[m]ilitary control requires evaluation of military decisions because if the contractor is simply doing what the military ordered it to do, then review of the contractor's actions necessarily includes review of the military order directing the action"). In that case, due to the "lack of detailed instructions in the work orders and the lack of military involvement in completing authorized work orders," military control did not introduce an unreviewable military decision into the case. Id. at 467. Nevertheless, the court held that the plaintiff's claims "might still present unreviewable military decisions if proving those claims or KBR's defenses necessarily requires evaluating such decisions." Id.
After thoroughly reviewing the claims and defenses raised by the pleadings and evidence, the court held that, depending on which state's law was applied by the trial court, KBR's "contributory negligence and proximate cause defenses may present nonjusticiable issues." Id. at 469. In Harris, the trial court had not yet determined whether Pennsylvania, Tennessee, or Texas law applied. As to KBR's proximate-cause defense (in which it argued that the military's actions were a proximate cause of the soldier's death), the appeals court noted:
Id. at 474. Tennessee and Texas use proportional-liability systems. Id. (citing TEX. CIV. PRAC. & REM.CODE ANN. § 33.004 (West, Westlaw through 2015 R.S.)). Accordingly, if the law of either of those two states applied, "then damages cannot be estimated without evaluating unreviewable military decisions." Id. On the other hand, if Pennsylvania law applied, then "calculation of damages does not require evaluating strategic military decisions because the plaintiffs are free to obtain the entirety of their relief from [the contractor]." Id. The court further held that the question of whether KBR's contributory-negligence defense presented a non-justiciable issue also turned on the applicable state law. Id. at 475 (stating that "[t]o determine whether [the soldier's] alleged negligence caused more than 50 percent of the harm, the degree of causation that can be assigned as between the military's alleged negligence and KBR's alleged negligence must also be determined.... This assignment of fault to the military inevitably would require evaluating the wisdom of the strategic military decisions that caused the death"); see Id. at 477 (observing that, although the military was not a party in the case, Tennessee and Texas law "permit fault to be assigned to nonparties for the purposes of contributory negligence"). The court remanded for a determination of which state's law to apply. Id.
AMK9, relying in large part on Harris, contended in a brief supporting its plea to the jurisdiction that Freeman's claims against it are non-justiciable because:
We disagree. AMK9 is asserting a "proximate cause defense" such as that raised by KBR in Harris. That is, it is alleging that the negligence of the Army proximately caused Freeman's injuries, at least in part. But when analyzing whether a proposed defense implicates a non-justiciable issue, "courts must first decide whether the defendant has `present[ed] sufficient evidence to permit a jury to conclude that he established the [elements of the] defense by a preponderance of the evidence.'" Id. at 469 (quoting United States v. Stewart, 185 F.3d 112, 125 (3d Cir.1999)). On the other hand, "if there is insufficient evidence to support the defense, or if the defense does not present a nonjusticiable issue, then the case goes forward." Id.
Proximate causation is comprised of both cause-in-fact and foreseeable harm. See, e.g., Transcont'l Ins. Co. v. Crump, 330 S.W.3d 211, 222 (Tex.2010). Here,
We further observe that Freeman's claims against AMK9 were not exclusively based on the dog's escape from the kennel on November 9, 2011. Rather, Freeman additionally claimed in her live pleading that AMK9 "failed to properly train [its] animal handler and [its] CWD to not attack without a command and/or without cause." In our jurisdictional analysis, we must accept as true the factual allegations made in Freeman's pleadings unless AMK9 is able to produce evidence controverting jurisdictional facts. See Miranda, 133 S.W.3d at 226, 228. AMK9 has not produced evidence showing either that: (1) contrary to Freeman's pleadings, it properly trained the handler and the CWD; or (2) that judicial determination of whether it properly trained the handler and CWD would "necessarily require" the evaluation of "military decisions" so as to make the claim unreviewable. See Harris, 724 F.3d at 467. AMK9 also did not establish that the Army retained any sort of control over AMK9's training methods — in fact, AMK9 concedes that, under its contract, it was "given discretion" in how to train the dogs.
For the foregoing reasons, we find that the political question doctrine does not bar Freeman's claims.
The doctrine of sovereign immunity provides that "no state can be sued in her own courts without her consent, and then only in the manner indicated by that consent." Tooke v. City of Mexia, 197 S.W.3d 325, 331 (Tex.2006) (citing Hosner v. DeYoung, 1 Tex. 764, 769 (1847)). The FTCA waives sovereign immunity for certain tort claims against the federal government. See 28 U.S.C.A. § 2674 (West, Westlaw through P.L. 114-49). However, the FTCA does not waive immunity for claims "arising out of the combatant activities of the military ... during time of war." 28 U.S.C.A. § 2680(j) (West, Westlaw through P.L. 114-49). Although the
Contractors and common law agents acting within the scope of their employment for the government generally have derivative sovereign immunity. Butters v. Vance Int'l, Inc., 225 F.3d 462, 466 (4th Cir.2000); see Yearsley v. W.A. Ross Const Co., 309 U.S. 18, 20-21, 60 S.Ct. 413, 84 L.Ed. 554 (1940) (noting that "there is no liability on the part of the contractor for executing [the] will [of Congress]"). However, the Texas Supreme Court has held that a government contractor "is not entitled to sovereign immunity protection unless it can demonstrate its actions were actions of the [governmental entity], executed subject to the control of the [governmental entity]." K.D.F. v. Rex, 878 S.W.2d 589, 597 (Tex.1994). In other words, "private parties exercising independent discretion are not entitled to sovereign immunity." Brown & Gay Eng'g, Inc. v. Olivares, 461 S.W.3d 117, 124 (Tex. 2015) (citing K.D.F., 878 S.W.2d at 597).
The Texas Supreme Court, in Brown & Gay, recently considered the scope of derivative immunity for government contractors. See id. There, the plaintiff claimed that Brown & Gay, a government contractor, negligently designed and constructed a roadway, thereby causing a fatal accident. Id. at 121. Brown & Gay argued that it was entitled to derivative immunity as an "employee" of the Fort Bend County Toll Road Authority (the "Authority"), the governmental entity that issued the contract. Id. at 120 (citing Tex. Adjutant General's Office v. Ngakoue, 408 S.W.3d 350, 356 (Tex.2013) (explaining that a suit against a government official acting in an official capacity is "merely another way of pleading an action against the entity of which the official is an agent")). The trial court agreed with Brown & Gay and dismissed the case, but the Fourteenth Court of Appeals reversed, holding that Brown & Gay was not entitled to immunity because it was an independent contractor, rather than an employee, of the Authority. Id.
The Texas Supreme Court affirmed the court of appeals' decision. Id. The Court first reviewed federal case law establishing that derivate immunity is extended to private contractors "only in limited circumstances":
Id. at 124-26 (footnote omitted). The Court noted that, in each of the cited cases, "the complained-of conduct for which the contractor was immune was effectively attributed to the government. That is, the alleged cause of the injury was not the independent action of the contractor, but the action taken by the government through the contractor." Id. at 125. In Brown & Gay, on the other hand, the plaintiffs did not complain of harm caused by Brown & Gay's "implementing the Authority's specifications or following any specific government directions or orders," nor did they complain about the decision to build the roadway at issue or "the mere fact of its existence." Id. Instead, the plaintiffs argued that Brown & Gay was "independently negligent in designing the signs and traffic layouts" for the roadway. Id. Thus, the supreme court rejected Brown & Gay's "contention that it is entitled to share in the Authority's sovereign immunity solely because the Authority was statutorily authorized to engage Brown & Gay's services and would have been immune had it performed those services itself." Id. at 127.
Id. at 512, 108 S.Ct. 2510. Boyle involved a separate exemption to the waiver of immunity provided in the FTCA for discretionary governmental functions. See Id. at 511, 108 S.Ct. 2510 (citing 28 U.S.C.A. § 2680(a)). In Saleh v. Titan Corp., 580 F.3d 1 (D.C.Cir.2009), the District of Columbia Court of Appeals applied Boyle in the context of the combatant-activities exception. It held that, under the combatant-activities exception, state tort claims are preempted "where a private service contractor is integrated into combatant activities over which the military retains command authority." Id. at 10; see Harris, 724 F.3d at 480.
Here, the evidence established that the services and "equipment" provided by AMK9 — i.e., the CWD and its handler — did not conform to specifications provided by the military. In particular, Freeman alleged that AMK9's handler was negligent in failing to close the outer doors of the kennel, and in support of these allegations, she produced a copy of a "Performance Work Statement" applicable to AMK9's contract with the United States Government. The Performance Work Statement stated in part that AMK9 was required to close doors to facilities "[a]t the close of each work period."
The Performance Work Statement additionally incorporated "Contract Working Dog Certification Standards" which provided in part that CWDs must be trained so as to attack only when commanded.
We conclude that, under applicable law, AMK9 is not entitled to derivative sovereign immunity as to Freeman's claims.
The Defense Production Act of 1950 authorizes the Department of Defense to issue so-called "rated order" contracts which, because they are "necessary or appropriate to promote the national defense, shall take priority over performance of any other contract or order...." 50 U.S.C.A. app. § 2071(a) (West, Westlaw through P.L. 114-49); see Martin v. Halliburton, 618 F.3d 476, 480 (5th Cir.2010). The willful failure to perform a rated order contract carries a criminal penalty. See id. §§ 2071(a), 2073; Martin, 618 F.3d at 480. The statute provides, however, that "[n]o person shall be held liable for damages... for any act or failure to act resulting directly or indirectly from compliance with a rule, regulation, or order issued pursuant to this Act...." Id. § 2157 (West, Westlaw through P.L. 114-49); see Hercules Inc. v. United States, 516 U.S. 417, 429, 116 S.Ct. 981, 134 L.Ed.2d 47 (1996) (noting that section 2157 "plainly provides immunity" and "expressly provid[es] a defense to liability ...").
AMK9 has produced evidence indicating that its contract with the military was a "rated order" under this statute. However, Freeman disputes that AMK9 "compli[ed] with the ... order" such that the section 2157 defense would apply. See 50 U.S.C.A. app. § 2157. In any event, AMK9's plea to the jurisdiction did not cite any authority, and we have found none, indicating that the section 2157 defense, even if established, deprives the trial court of subject matter jurisdiction.
Finally, AMK9 contends on appeal that it is entitled to absolute governmental immunity under Westfall v. Erwin, 484 U.S. 292, 108 S.Ct. 580, 98 L.Ed.2d 619 (1988).
The Westfall Court noted that the purpose of official immunity "is not to protect an erring official, but to insulate the decisionmaking process from the harassment of prospective litigation." Id. at 583. But Freeman's suit does not seek to challenge the "decisionmaking process" of either the military or AMK9; instead, as we have explained above, it seeks to hold AMK9 liable for its failure to comply with decisions that were already made regarding training and supervision of the CWD. In other words, the acts which Freeman claims caused her to suffer injury did not "fall within the scope of [AMK9's] duties." See Westfall, 484 U.S. at 295-98, 108 S.Ct. 580. Accordingly, AMK9 is not entitled to immunity under Westfall and its progeny.
Because none of the theories raised by AMK9 operate to deprive the trial court of subject matter jurisdiction, the trial court erred in granting the plea to the jurisdiction. We sustain Freeman's first issue as it relates to her claims against AMK9.
We next address whether dismissal of the claims against HCDC was proper. Freeman contends that the trial court erred in dismissing those claims because HCDC did not file a plea to the jurisdiction. HCDC responds on appeal by arguing that the trial court properly found, sua sponte, that it lacked jurisdiction over Freeman's suit against it. In particular, HCDC appears to argue that the trial court lacked jurisdiction because (1) "[a]s a matter of law, liability related to domestic animals runs only to the owner or keeper of the animal at the time of the incident" and (2) Freeman judicially admitted that only AMK9 owned or kept the dog at issue at the time of the incident.
We find that the trial court's sua sponte dismissal of the claims against HCDC was erroneous. HCDC did not put forth any authority establishing that it was immune to Freeman's suit, either under any of the theories advanced by AMK9 or under any other theory. Further, even assuming that HCDC is correct that "liability related to domestic animals" may only be imposed on "the owner or keeper of the animal at the time of the incident" and not on a third party, HCDC has not directed us to any authority, and we find none, establishing that a trial court lacks subject matter jurisdiction over such claims against a third party.
Freeman contends by her third issue that the trial court erred in granting
TEX. CIV. PRAC. & REM.CODE ANN. § 33.011(6) (West, Westlaw through 2015 R.S.). A defendant may move to designate a responsible third party, and the trial court must grant the motion unless another party files a timely objection and establishes:
Id. § 33.004(a), (g) (West, Westlaw through 2015 R.S.). We review a trial court's ruling on such a motion for abuse of discretion. MCI Sales & Serv. v. Hinton, 272 S.W.3d 17, 36 (Tex.App.-Waco 2008), aff'd, 329 S.W.3d 475 (Tex.2010); see In re Arthur Andersen LLP, 121 S.W.3d 471, 483 (Tex.App.-Houston [14th Dist.] 2003, orig. proceeding) (noting that "a trial court ordinarily has great discretion regarding joinder of third parties"); see also Helm v. Kingston, No. 13-10-00224-CV, 2011 WL 6746064, at *9 (Tex.App.-Corpus Christi Dec. 21, 2011, pet. denied) (mem.op.). A trial court has no discretion in determining what the law is or in applying the law to the facts. Walker v. Packer, 827 S.W.2d 833, 840 (Tex.1992).
Freeman filed an objection to AMK9's motion to designate responsible third parties in which she contended that AMK9 "did not plead sufficient facts about the alleged responsibility of [the Army or DOD] to satisfy the pleading requirements of the Texas Rules of Civil Procedure." See id. § 33.004(g)(1).
In its motion, AMK9 pleaded the following facts regarding the alleged liability of the Army and/or DOD:
"The elements of a negligence cause of action are the existence of a legal duty, a breach of that duty, and damages proximately caused by the breach." Gharda USA, Inc. v. Control Solutions, Inc., 464 S.W.3d 338 (Tex.2015). AMK9 has pleaded facts alleging that the Army had a "duty to design, construct, and provide the kennels," but it has not alleged, either implicitly or explicitly, that the Army breached this duty by designing and constructing the kennels such that, if the outer door to the kennel were open, a CWD would be able to escape. AMK9 has not pleaded any facts establishing that the Army or DOD committed any other "negligent act or omission" or engaged in any "other conduct or activity that violates an applicable legal standard." See TEX. CIV. PRAC. & REM.CODE ANN. § 33.011(6). Accordingly, we agree with Freeman that AMK9 failed to plead sufficient facts concerning the alleged liability of the Army and/or DOD. We conclude that the trial court abused its discretion in granting AMK9's motion for leave to designate the Army and/or DOD as responsible third parties.
We reverse the trial court's judgments (1) dismissing Freeman's claims against both AMK9 and HCDC for lack of subject matter jurisdiction and (2) granting AMK9's motion to designate responsible third parties. The cause is remanded for further proceedings consistent with this opinion.
Id.
The parties dispute whether HCDC "withdrew" the Rule 91 a motion by this agreement or merely consented to have it heard at a later date. In any event, it is undisputed that the trial court never ruled upon any Rule 91a motion. Therefore, the issue of whether the claims against HCDC should have been dismissed under the rule as "baseless" is not before us on appeal.