Ex parte Ultratec Special Effects, Inc.
Annotate this CaseUltratec Special Effects, Inc. ("Ultratec"), filed two petitions for mandamus relief from the Alabama Supreme Court, to get the trial court to vacate its October 25, 2018 order denying Ultratec's motion for a summary judgment on claims asserted against it by David Cothran, as the administrator of the estate of his sister, Aimee Cothran, and by Donald Ray Sanderson, as the administrator of the estate of his wife, Virginia Marie Sanderson (collectively, "the Estates"), based on, among others, Ultratec's claim that it was immune from suit based on the exclusivity provisions of the Alabama Workers' Compensation Act. Aimee Cothran and Virginia Sanderson were working at an Ultratec HSV plant when they were killed by an explosion. They separately sued Ultratec, alleging, among other causes of action, negligence and strict liability. Ultratec’s answer asserted the exclusivity provisions of the Act. Specifically, Ultratec argued that it was immune because it and Ultratec HSV were a single employer group for purposes of the Act; because Aimee and Virginia were jointly employed by both Ultratec and Ultratec HSV; and because Ultratec HSV operated as a division of Ultratec. The Estates filed a response in opposition to the motion for a summary judgment, arguing that a parent corporation is not entitled to the immunity provided by the exclusivity provisions of the Act in a tort action for the injury or death of an employee of the corporation's subsidiary; that questions of fact existed as to whether Ultratec and Ultratec HSV were separate entities; and that the joint-employer doctrine is inapplicable as a matter of law. Following a hearing, the trial court entered an order denying Ultratec's motion for a summary judgment, holding that Ultratec was protected by the exclusivity provisions of the Act. Given the “abundance of disputed facts,” the Alabama Supreme Court could not say Ultratec demonstrated a clear legal right to mandamus relief on the issue of whether Ultratec and Ultratec HSV were separate entities, or that the Alabama Legislature intended to extend immunity to parent corporations for employees killed on the job. Ultratec’s applications for relief were granted in part, denied in part, but the petitions were ultimately denied.
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