Amy Hiltner v. Owners Insurance Company

United States Court of Appeals for the Eighth Circuit · March 5, 2020 · No. 18-2624

Summary

The Eighth Circuit held that a district court's fault allocation improperly imposed a heightened duty of care on a sober designated driver, in violation of North Dakota law, which does not recognize such a duty. The court vacated the judgment and remanded for new findings, finding that the district court's rationale still implicitly relied on the driver's sobriety to conclude she had the "greatest ability to assess danger." The case addresses underinsured motorist benefits, comparative fault, and the standard of care for designated drivers in negligence actions.

Court
United States Court of Appeals for the Eighth Circuit
Writing for the Court
COLLOTON; WOLLMAN; KELLY
Jurisdiction
Federal
Decision date
March 5, 2020
Docket number
18-2624
Procedural posture
Appeal from district court judgment after remand
Standard of review
de novo for conclusions of law, clearly erroneous for findings of fact
Precedential value
Published
Parties
Owners Insurance Company v. Amy Hiltner
Disposition
vacated

Topics

insurance coveragenegligencecomparative faultstandard of careappellate procedure

Practice areas

InsuranceTorts

Questions Presented

  1. Whether the district court on remand again applied an impermissibly high burden on Denault as the designated driver in allocating fault.

Holdings

  1. The district court's order on remand did not eliminate the legal error identified in Hiltner I because the rationale still implicitly relied on Denault's sobriety as giving her the greatest ability to assess danger, and the allocation remained unchanged.

Key quotations

the court's decision regarding fault is not influenced by Denault's status as the sober designated driver
Denault had the greatest ability to assess danger
Other jurisdictions affirmatively have rejected such a duty, citing the potential that heightened exposure to liability would chill designated drivers from performing a valuable service.

Factual background

Amy Hiltner was seriously injured after falling from the trunk of a car driven by her friend Samantha Denault, who was the designated driver. Despite Denault's pleas, Hiltner and another passenger sat on the trunk. As Denault drove, Josh Jeffries pushed on her leg, causing the car to accelerate, and Hiltner fell and hit her head. The district court allocated fault: Denault 55%, Jeffries 25%, Hiltner 20%.

Procedural history

After a bench trial, the district court allocated fault 55% to Denault, 25% to Jeffries, and 20% to Hiltner. Owners appealed, and the Eighth Circuit vacated and remanded in Hiltner I because the district court improperly applied a heightened duty of care to Denault as the designated driver. On remand, the district court stated it was not applying a heightened standard but did not alter the fault allocation. Owners again appealed.

Remand instructions

The judgment is vacated and the matter is remanded for new findings and conclusions on the allocation of fault. The chief judge of the district court should reassign this case for further proceedings because the district judge is no longer in service.

Court Document

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