CIVIL PROCEDURE CLASS 18

1
CIVIL PROCEDURE CLASS 18

• Professor Fischer
• Columbus School of Law
• The Catholic University of America
• October 8, 2003

2
WRAP-UP OF LAST CLASS

• We discussed the rules for adding claims against
  existing parties (cross-claims and counterclaims)
  (FRCP 13)
• REMINDER big picture - JOINDER

3
RULE 13(h)

• Allows additional parties to be joined to a
  counterclaim or cross-claim under Rules 19 or 20

4
Rule 13(i)

• Provides for separate trials (R. 42(b))/or and
  separate judgments (R. 54(b)) on counterclaims or
  cross-claims due to the potential of such claims
  to confuse juries
• Note R. 42(b) provides for separate hearings in
  the same trial severance of parties under R. 21
  will result in separate trials as will exercise
  of courts discretion under R. 20(b)

5
FRCP 14 IMPLEADER

• What is IMPLEADER (also known as third party
  practice) and what is its PURPOSE?

6
FRCP 14 IMPLEADER

• What is the defendant called in third-party
  proceedings?
• THIRD-PARTY PLAINTIFF (TPP)
• What is the impleaded person called?
• THIRD PARTY DEFENDANT (TPD)

7
DISTINGUISING IMPLEADER,

• From COUNTERCLAIMS?
• From CROSS-CLAIMS?

8
Who can be joined under FRCP 14?

• Persons, not already parties, who, under
  applicable law, may be obligated to reimburse the
  D .
• What are some examples?
• e.g. tortfeasor seeks contribution or indemnity
  from others who may be liable to P if D is found
  liable but whom P has not sued
• OR someone not a party who has acted a a
  guarantor of a transaction and who will be liable
  under the guarantee if D is found liable
• MUST SUCH PERSONS BE JOINED?

9
HYPO

• Assume the Massachusetts contribution statute
  applies. Souter is involved in a car accident
  with two other drivers, Scalia and Rehnquist.
  Souter sues Scalia for negligence. Can Scalia
  implead Rehnquist on the basis that his
  negligence also caused Souters injuries?

10
HYPOTHETICAL

• Assume the Massachusetts contribution statute
  applies. Souter is involved in a car accident
  with two other drivers, Scalia and Rehnquist.
  Souter sues Scalia for negligence. Can Scalia
  implead Rehnquist on the basis that it was
  Rehnquist who was negligent, not Scalia?

11
SERVICE REQUIREMENTS

• Hypo Souter is involved in a car accident with
  two other drivers, Scalia and Rehnquist. Souter
  sues Scalia for negligence. Scalia wants to
  implead Rehnquist on the basis that his
  negligence also caused Souters injuries.
• Advise Scalia as to what rule governs service and
  filing of a third-party complaint.

12
Timing of Impleader Claims

• At what stage of the action can a third -party
  complaint be served?
• At any time (14(a))
• When is the leave of court required?
• If third-party complaint is filed more than 10
  days after answer is served

13
Relation of third-party claims to original claim

• Can a D make a third-party claim under FRCP 14
  that is unrelated to the claims against that D?
• No, the third-party claim must relate to the main
  claim and must depend on the outcome of the main
  action. See U.S. v. Olavarrieta at CB p. 332

14
YET MORE PARTIES

• Can a TPD implead other parties and if so, in
  what circumstances?
• If a TPD impleads someone, what is that person
  called?
• That person is a fourth-party defendant
• Diagram P-----D/TPP-------TPD------FPD
• Can this go on and on forever?

15
SEPARATE TRIALS

• What provision of FRCP 14 provides for separate
  trials?
• To prevent overly complex trials that would
  confuse the trier of fact, 14(a) provides- Any
  party may move to strike the third-party claim or
  for its severance or separate trial.
• Also dont forget rules 42(b) and 21!

16
Counterclaim Ds and impleader

• Can a P who is a counterclaim-D implead third
  parties and if so, in what circumstances? What
  provision of the FRCP governs this?

D
P
T
17
PLEADING REQUIREMENTS FOR THIRD-PARTY COMPLAINTS

• A third-party complaint must comply with FRCP 8
  and 11
• 8(a) A pleading which sets forth a claim for
  relief, whether an original claimor third-party
  claim shall contain (2) a short and plain
  statement of the claim showing that the pleader
  is entitled to relief
• Rules 12 (defenses) and 13 (counterclaims/cross
  claims) also apply

18
PLAINTIFFS AND THIRD-PARTY Ds

• Can a P sue a person joined as a TPD and if so,
  in what circumstances?
• Yes, so long as the Ps claim arises out of the
  same transaction or occurrence as the original
  claims. This is discretionary, not mandatory.
• If the TPD has a counterclaim against the P it is
  governed by R. 13
• If more than one TPD is sued by a P the TPDs can
  cross-claim against each other subject to R.
  13(g) this is permissive

19
THIRD-PARTY D and PLAINTIFF

• Can a TPD claim against the original plaintiff
  and if so, in what circumstances?
• Yes, if the claim arise out of the same
  transaction or occurrence.
• TPDs claim(s) against the P are generally
  permissive unless the P has already sued TPD, in
  which case the TPDs claim(s) would likely be
  compulsory counterclaims

20
JURISDICTION AND THIRD-PARTY CLAIMS

• There must be an basis for the federal court to
  have subject matter jurisdiction over the third
  party claim either diversity, jurisdiction, or
  supplemental jurisdiction
• Third party claims must also satisfy requirements
  of personal jurisdiction (remember Rule
  4(k)(1)(B) special 100 mile bulge rule that
  slightly extends personal jurisdiction for these
  claims)
• Venue requirements dont apply to R. 14 claims

21
GROSS V. HANOVER INSURANCE CO.

• Who did defendants seek to implead and for what
  claims?
• This is a subrogation claim. What does that mean?

22
GROSS V. HANOVER INSURANCE CO.

• What arguments does P mak
• e in support of their contention that leave to
  implead should be denied?
• How does the court rule on defendants motion?
  What is the courts reasoning?

23
PRACTICE EXERCISE 13

• Please see your casebook at p. 334
• Please hand in