Direct Settlement by Howard Trafman and Jadyn Atteberry Averts High-Damages Exposure in Third-Party Action

Being named as a third-party defendant does not mean going along for the ride.  Howard Trafman and Jadyn Atteberry recently demonstrated that fact by securing a low-dollar direct settlement with Plaintiff in a significant motor vehicle case with nearly $400,000 in medical specials alone.

Plaintiff, an employee of our client’s store, filed a lawsuit against a driver he accused of negligently operating his vehicle through our store’s parking lot, causing a collision.  Plaintiff was clocked out for lunch and exiting the parking lot. After a few depositions were completed, Defendant filed a third-party complaint against the insured store alleging respondeat superior concerning Plaintiff’s own alleged negligent driving actions in the lot. LPP filed a successful motion to dismiss, arguing the respondeat superior action was a derivative action given that Defendant already alleged an affirmative defense of comparative fault against Plaintiff. The judge agreed, but granted Defendant leave to file an amended third-party complaint to plead an independent cause of action against the insured store.  Defendant did so, including an allegation that prior to the date of accident, Plaintiff was given a verbal warning by his manager for traveling at an excessive rate of speed in the parking lot and therefore his insurer should have afforded better training and supervision.

With the belief that the judge would likely allow the amended third-party complaint to survive, LPP instead explored a direct settlement with Plaintiff (who had no worker’s compensation claim).  Plaintiff’s injuries were serious, with ongoing treatment, a large specials total already, and future deficits almost certain.  LPP reached a $5,000.00 settlement with Plaintiff and over the objection of Defendant, the Court granted a motion for good faith finding, settlement and dismissal.