Mary Katherine MYERS, Widow [of Michael Earl Myers] and Administratrix of the Estate of Michael Earl Myers, Deceased, Appellant
v.
YAMATO KOGYO COMPANY, LTD.; Sumitomo Corporation, Arkansas Steel Associates; Sumitomo Corporation of Americas d/b/a Sumitomo Corporation of America, SC Steel Investment, Inc.; SC Steel Investment, LLC; Yamato Kogyo (U.S.A.) Corporation; and Yamato Kogyo America, Inc., Appellees
Page 297
[Copyrighted Material Omitted]
Page 298
APPEAL
FROM THE ARKANSAS WORKERS COMPENSATION COMMISSION [NO.
G401823]
Paul
Byrd Law Firm, PLLC, by: Paul Byrd Little Rock, and Paul D.
Gates; John Patterson, P.A., Attorney at Law, by: John
Patterson; Brian G. Brooks, Attorney at Law, by: Brian G.
Brooks; and Saltz, Mongeluzzi, Barrett & Bendesky, P.C., by:
David L. Kwass, and David Langsam, Pro Hac Vice, for
appellant.
Wright
Lindsey & Jennings LLP, Little Rock, by: John D. Davis, Scott
A. Irby, Baxter D. Drennon, and Michael A. Thompson, for
appellees.
OPINION
BRANDON
J. HARRISON, Judge
Michael Myers was killed at work when a load of molten metal
spilled and covered his body. His employer, Arkansas Steel
Associates, LLC, did not dispute that Myerss death on 19
February 2014 was work related and is paying death benefits
to Michaels widow, Mary Myers. In May 2016, Mary Myers,
individually and as an administratrix of her husbands estate
and a representative of his wrongful-death beneficiaries,
filed a lawsuit in the White County Circuit Court. The
circuit court, in part, transferred jurisdiction to the
Arkansas Workers Compensation Commission. In June 2018, the
Commission found that some entities— Yamato Kogyo
Company, Ltd.; Sumitomo Corporation; Sumitomo Corporation of
Americas d/b/a Sumitomo Corporation of America; SC Steel
Investment, Inc.; SC Steel Investment, LLC; Yamato Kogyo
(U.S.A.) Corporation; and Yamato Kogyo America, Inc.—
were entitled to the exclusive-remedy provisions of the
Arkansas Workers Compensation Act. Myers appeals that
decision.
This
appeal raises at least two important questions in the law of
workers compensation:
• May an employee of a subsidiary entity sue one or more
parent corporations in tort, or are parent corporations
immune "employers" under the exclusive-remedy
provision of the Workers Compensation Act? See Ark.
Code Ann. § 11-9-105(a) (Supp. 2017).
• If one or more parent corporations are deemed
"employers" within the meaning of the act, does
that violate article 5, section 32 of the Arkansas
Constitution? Ark. Const. art. V, § 32, amended by
Ark. Const. amend. XXVI.
I.
The
parties stipulated to the following facts when litigating
this case before the administrative law judge:
1. On February 29, 2014, Michael Earl Myers was employed by
Arkansas Steel Associates, LLC as a ladle man in a steel
plant.
2. While Michael Myers was working in the course and scope of
his employment for Arkansas Steel Associates, LLC, a load of
molten metal spilled from a Hot Metal Crane inside the Melt
Shop of the steel plant.
3. The molten metal engulfed his entire body causing, among
other things, catastrophic injuries and death.
4. Liberty Mutual Insurance, Arkansas Steel Associates, LLCs
insurance carrier, is paying death benefits to Claimant Mary
Myers, the widow of Michael Earl Myers, arising from his
work-related death.
Page 299
5. Arkansas Steel Associates, a New York general
partnership, no longer exists and is hereby dismissed from
this action.
6. SC Steel Investment, Inc. no longer exists and is hereby
dismissed from this action.
7. Sumitomo Corporation of Americas was a principal and
stockholder of Arkansas Steel Associates, LLC at the time of
Michael Earl Myers afore-described workplace injury and
death.
8. At the time of Michael Earl Myers afore-described
workplace injury and death, Sumitomo Corporation wholly owned
Summit Global Management of America, Inc., which wholly owned
Sumitomo Corporation of Americas.
9. After Michael Earl Myers afore-described workplace injury
and death, Summit Global Management of America, Inc. merged
into Sumitomo Corporation of Americas.
10. SC Steel Investment, LLC was a principal and stockholder
of Arkansas Steel Associates, LLC at the time of Michael Earl
Myers afore-described workplace injury and death.
11. Sumitomo Corporation wholly owned SC Steel Investment,
LLC at the time of Michael Earl Myers afore-described
workplace injury and death. 12. Yamato Kogyo (U.S.A.)
Corporation was a principal and stockholder of Arkansas Steel
Associates, LLC at the time of Michael Earl Myers
afore-described workplace injury and death.
13. Yamato Kogyo America, Inc. wholly owned Yamato Kogyo
(U.S.A.) Corporation at the time of Michael Earl Myers
afore-described workplace injury and death.
14. Yamato Kogyo Company, Ltd. wholly owned Yamato Kogyo
America, Inc. at the time of Michael Earl Myers
...