Alexsis, Inc. v. Terry
Alexsis, Inc. v. Terry
Opinion of the Court
The defendant, Alexsis, Inc., appeals from a judgment holding the plaintiff, Rayburn Terry, to be totally and permanently disabled as the result of a work-related injury and awarding him compensation benefits plus future medical expenses. The appeal was taken to our supreme court, which transferred it to this court. We reverse and remand.
Terry worked for the Alabama Department of Transportation (formerly the Highway Department) ("the ADOT") for approximately 25 years. He was injured on the job on June 27, 1991. He returned to work in November 1991 and worked until he retired in March 1993 with full retirement benefits of $631.56 per month. He then sued for compensation based upon his injury at work, pursuant to §
Section
The ADOT is authorized by §
Terry filed his action for benefits against Alexsis as the administrator of the Employee Injury Program. Alexsis moved to dismiss the action on jurisdictional grounds; that motion was denied. Alexsis then moved for a summary judgment; that motion was denied. After a trial, the court entered a judgment in which it held that Terry was permanently and totally disabled, awarded him $197,687.72 in compensation benefits, and ordered Alexsis to pay all future reasonable medical expenses. Alexsis appealed.
The dispositive issue is whether Alexsis is immune from suit as an agent of the State of Alabama. This court addressed a similar question regarding the Alabama State Docks Department ("the ASDD") in Bowden v. Southern Risk Services, Inc.,
" 'There is no dispute as to any material fact that the Alabama State Docks Department is an agency of the State of Alabama. There is no dispute as to any material fact that Southern Risk Services is an agent for the Alabama State Docks.' "
574 So.2d at 813. The trial court entered a summary judgment against Bowden. This court affirmed, holding that the defendants had made a prima facie showing that they were immune from suit and that Bowden had *Page 1323 failed to present substantial evidence to refute that showing.Bowden, 574 So.2d at 814. Our supreme court quashed its writ of certiorari, despite a dissent maintaining that Southern was an independent contractor doing work for the state, that sovereign immunity did not extend to independent contractors, and that Southern was the appropriate entity to be sued for the adjudication of a disputed claim for benefits from the ASDD's escrow fund. Bowden, 574 So.2d at 816 (Jones, J., concurring in part and dissenting in part).
Terry argues that Bowden is not dispositive in this case because of a distinction between §
Because Terry's action is barred by the doctrine of sovereign immunity, we need not address the other issues raised by Alexsis. We note that Terry argued in his brief that a third-party beneficiary theory applied to his action against Alexsis, pursuant to caselaw interpreting §
The trial court's judgment is reversed, and the cause is remanded with instructions to dismiss the case.
The foregoing opinion was prepared by Sam A. Beatty, Retired Justice, Supreme Court of Alabama, while serving on active duty status as a judge of this court under the provisions of §
REVERSED AND REMANDED.
THIGPEN, YATES, and CRAWLEY, JJ., concur.
ROBERTSON, P.J., dissents without opinion.
MONROE, J., dissents with opinion.
Dissenting Opinion
I disagree that Terry's claim against Alexsis, Inc. is barred by the doctrine of sovereign immunity. Alexsis is a private enterprise hired by the state agency as an independent contractor to administer claims made by injured employees. Because it is an independent contractor, I do not believe that it is immune from lawsuits under the doctrine of sovereign immunity. As Justice Jones pointed out in his dissent in Exparte Bowden,
As Justices Jones and Shores conclude in their dissenting opinions in Ex parte Bowden, supra, and Alabama State Docks v.Saxon,
Because I do not believe that sovereign immunity can properly be extended to cover an independent contractor hired by a state agency, I must respectfully dissent.
Reference
- Full Case Name
- Alexsis, Inc. v. Rayburn Terry.
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