Legal Document

432 U.S. 249 97 Supreme Court Reporter 2348 53 United States Reports Lawyer’s Edition 2d Series KF101.8 U54 320 NORTHEAST MARINE TERMINAL COMPANY, INC., et al., Petitioners,v.Ralph CAPUTO al. INTERNATIONAL OPERATING Petitioner, versus Carmelo BLUNDO Nos. 76-444 and 76-454. Argued April 18, 1977. Decided June 17, Syllabus In 1972 Congress amended the Longshoremen's Harbor Workers' Compensation Act (Act) to extend coverage additional workers in an attempt avoid anomalies inherent a system that drew lines at water's edge by allowing compensation under only injured on seaward side of pier. The relevant sections, as so amended, broadened definition "navigable waters States" required situs compensable injury include "any adjoining pier, wharf, dry dock, terminal, building way, marine railway, or other area customarily used employer loading, unloading, repairing, vessel," 33 Code KF62 § 903(a) (1970 ed., Supp. V), also modified covered "employee" mean person engaged maritime employment, including any longshoreman longshoring operations, harborworker ship repairman, shipbuilder, shipbreaker," 902(3)(1970 V). Respondent Blundo, whose job "checker" pier for petitioner International Terminal Operating company was check mark cargo being unloaded from vessel container (a large metal box resembling truck trailer without wheels) which had been taken off vessel, when, while marking "stripped" (unloaded) container, he slipped some ice Caputo, who, though member regular stevedoring "gang" another company, temporarily hired Northeast Marine terminal laborer load unload containers, barges, trucks, rolling dolly loaded with ship's into consignee's truck. awards both respondents Act, were upheld Appeals. Held: 1. Both satisfied "status" test eligibility compensation, since they "engaged employment" therefore "employees" within meaning 902(3) time their injuries. Pp. 265-279. (a) Congress' intent adapt modern cargo-handling techniques, such containerization, have moved much longshoreman's work onto land, clearly indicates tasks stripping are included category "longshoring operations" 902(3), hence it is apparent respondent task integral part unloading process altered advent statutory when ice. 269-271. (b) text amendments focuses primarily occupations (longshoreman, harbor worker, etc.), legislative history, shows wanted did not depend fortuitous circumstance whether occurred land over water, demonstrate intended provide continuous amphibious longshoremen, amendments, would be activity, meant cover who gang worked either ship, day his could assigned number tasks, loading trucks. 271-274. (c) Respondents' cannot defeated so-called "point rest" theory, whereby longshoremen's "maritime considered, case taking out vessel's hold, moving away side, carrying its point rest shed, theory appears nowhere never mentioned during process, does comport intent, restricts remedial designed coverage. 274-279. 2. injuries "situs" Act. 279-281. Caputo helping parked inside States." Pacific KF135 P2 279. Although Blundo's stuffing containers storage, rather than ships, nevertheless too test, located even if assumed phrase "customarily used" modifies all preceding terms, immediately term "other area," working "adjoining . (and) unloading." Cir., 544 Federal Reporter, 2nd 35, affirmed. William M. Kimball, New York City, petitioners E. Barrett Prettyman, Washington, D. C., Co., Incorporated Angelo C. Gucciardo, Blundo. Frank Haw. Hawai‘i KFH45 A2 Easterbrook, respondent, Director, Office Programs, pro hac vice, special leave Court. Mr. Justice MARSHALL delivered opinion 1 (LHWCA Act), 901 seq., substantial "extend (the Act's) protect workers." S.Rep.No.92-1125, Page (1972) (hereinafter S.Rep.).1 these consolidated cases we must determine City waterfront, entitled compensation. To answer question reach Amendments. 2 sections ones providing "coverage" defining "employee." They provide, italics indicate material added 1972: 3 "Compensation shall payable respect disability death employee but results occurring upon navigable (including ). ." 4 "The 'employee' means shipbreaker, master crew repair small eighteen tons net." 5 Specifically issue here Blundo sustained 6 * At employed five years (ITO) facility Brooklyn, N.Y., known 21st Street Pier. As checker responsible checking recording vessels, containers.2 beginning each until arrived know shore. He reassigned completed initially. App. 63-39, 112. 7 On January 8, 1974, ITO removed 19th outside Brooklyn brought overland unopened independent trucking It break seal placed foreign port show Customs Agents. After broken, contents against manifest sheet describing cargo, consignees, on, which, transported. item identifying number. checking, pallets, sorted according put bonded warehouse pending customs inspection. stripped Id., 69-74, 86-90. 8 sought LHWCA. Administrative Law Judge concluded requirements Benefits Review Board (BRB) affirmed.3 9 Ralph Pittston Stevedoring Co.4 When needed, went waterfront hiring hall, where companies operators available. occasions stevedore ships 39th Pier Brooklyn; (Northeast), operations same location. 8-10, 14-16. 10 16, 1973, "terminal labor(er)." Pet. Certiorari Number 76-444, 48a; 14. A may lighters,5 trucks.6 8; Brief Petitioners 4. assigned, along forklift driver, help consignees' truckmen trucks discharged Northeast's terminal.7 cheese 27-40. 11 found awarded him BRB affirmed.8 12 employers filed petitions review decisions Appeals Second Circuit cases. thorough consideration language, purposes Amendments, court held, one judge dissenting, LHWCA.9 view conflict afforded Amendments,10 granted certiorari consider cases.11 429 998, 522, 50 607 (1976). We affirm. II 13 enacted LHWCA 1927, 44 Statutes-at-Large 1424, after this thwarted efforts through state programs. 1917, Court, Southern Jensen, 244 205, 37 524, 61 L.Ed. 1086, held power workmen's remedy longshoremen gangplank between decision left protected Acts. State Industrial commission Nordenholt Corp., 259 U.S 263, 42 473, 66 933 (1922). Dissatisfied gap thus created, recognizing nature made desirable "one law whole directly not," authorize apply statutes Jensen line.12 Its attempts allow uniform systems, however, struck down unlawful delegations congressional power. Washington W. Dawson & 264 219, 302, 68 646 (1924); Knickerbocker Ice Stewart, 253 149, 40 438, 64 834 (1920). Finally, convinced way harborworkers enact federal system, Congress, passed 14 was, sense, typical compensating "arising course employment."13 But simply gapfiller fill void created inability waters. Thus, provided "upon permitted "if recovery proceedings (could) validly law."14 15 initial apprehension difficulties existence two systems proved well founded. courts spent next 45 trying ascertain respective spheres systems. commentators described it, "the relationship (LHWCA) otherwise applicable (was) shrouded impenetrable confusion." G. Gilmore Black, Admiralty 409 (2d ed. 1975) (Gilmore). unnecessary examine detail Court's dispel confusion.15 Suffice say remedies particular situations line, see, e. g., Davis Department Labor Industries 317 249, 63 225, 87 246 (1942), clear stopped edge. Nacirema Johnson, 396 212, 90 347, 24 371 (1969). 16 supra, killed attaching ships' cranes might existed men hurled water accident, Corporation Oosting, 238 F.Supp. 78 (ED Va. 1965), aff'd, 398 900 (CA4 1968) (en banc),16 deck performing operation, Calbeck Travelers insurance 370 114, 82 1196, 368 (1962). dissent protested incongruity unfairness having determined "where body falls" argued "status oriented, reaching employment." U.S., 224, S.Ct., 354 (Douglas, J., dissenting). majority, agree. 17 "There said treatment ship. construing (Extension Jurisdiction 1948, 46 740,) amend effect result, pier-based equipment still remain And coincide limits admiralty jurisdiction whatever however change replaces line uncertain contours can perpetuate landward wide confusion previously side. While no doubt choose paths remedy, plain fact chose instead separating invitation move addressed Court." 223-224, 354."17 18 1972, line. 19 Amendments first significant effort reform 1927 judicial gloss attached it. main concern scope accommodating desires three interested groups: (1) shipowners discontented many use doctrine "seaworthiness" recover full damages regardless fault; (2) judicially doctrine, indemnify thereby lose benefit exclusivity remedy; (3) improve schedule deemed inadequate parties.18 meet "specifically eliminating suits vessels seaworthiness outlawing indemnification actions 'hold harmless' indemnity agreements(; continuing) third parties negligence(; raising) benefits level commensurate present salaries needs sole support will payments Act." S.Rep. 5.19 20 increasing benefits, recognized disparity rates significantly lower exacerbate harshness already unpopular realized technology extended, there relegated what Senate House stated: 21 "(C)overage stops edge; Workmen's laws. result type depending accident occurs. 22 "To make matters worse, most laws inadequate. 23 "It structure embodied (the) Committee bill enacted, permanently disabled longshoreman, occurred, continue land. noted containerization LASH-type more performed heretofore."20 problems, extended shoreward. vessel."21 time, persons Previously, long work-related worker narrowly defined class,22 eligible her least employment. necessary employed. Pennsylvania Railroad O'Rourke, 344 334, 340-342, 73 305-306, 367 (1953). waters" expanded geographical area, became describe affirmatively class desired compensate. requirement employment," V).23 25 changed essentially looking injured. now requirements. III 26 turn is, injuries.24 difficult failure define terms "longshoremen," operations"25 history.26 27 closest came key "typical example" shoreward Reports.27 example those involved essential elements storage holding area. makes overall covered. employees truckdrivers, responsibility pick up deliver destined transportation Also excluded perform purely clerical handling cargo. useful outer bounds included, speak situations.28 particular, silent people, situs, see Part IV, infra, moves sea immediate unloading.29 28 Nevertheless, guidance resolving question. language broad suggests should take expansive Indeed, construction appropriate legislation. "must liberally construed conformance purpose, avoids harsh incongruous results." Voris Eikel, 346 328, 333, 74 88, 92, 98 Consideration behind reveals Caputo.30 One primary motivations recognition techniques" 13; H.R.Rep. 10, U.S.Code Cong. Admin.News 4707. Noted specifically impact containerization. Unlike traditional break-bulk handling, handled separately stored individually hold waits port, permits time-consuming stowage unstowage absence vessel. containerized has reduced costly amount manpower get vessel.31 effect, operation shoreward; substitute Friendly observed below, "(s)tripping functional equivalent sorting ship; shore holds." Dellaventura, (CA2 1976). techniques heretofore done board operations."32 29 His items container. This reached explicitly state: "(C)heckers, example, functions new amendment." H.R.R. Rep. 11, 4708. status test.33 30 desire accommodate technological changes Caputo's case, old-fashioned putting goods delivery Another dominant theme underlying assists us analyzing status. "uniform activity." 10-11, "fortuitous (to longshoreman) water." encompass areas Director OWCP "all physical activity anywhere meeting (test)." 20. "(M)aritime view, "include(s) particularly transfer transportation." 25. Under someone like final steps transportation: 31 need decide, uniformity supports Director's view34 entitles everyone clear, minimum, performs task, shipbreaker. history throughout employment activity. seems therefore, mind spend indisputably 32 That readily apparent. gang, participated laborer. capacity, transportation, discharging lighters barges,35 8. Not idea set morning assignment day. avoided then lighter. 24. Since vessel,36 exclude Act's afternoon revitalize shifting eliminate. NAS seek proposing theory.37 claimed art industry denotes ends (or, begins) function begins (or ends, loading). Petitioner 76-454, 9. See, n. 4, supra. contend longshoremen" includes longshore (and gang) takes carries shed." rest, argue 34 contention decisive factor determination several fatal weaknesses. First, history. understand why, stop point, term. conspicuous telling. 35 term's unexplained undermines petitioners' theory. More fundamentally, restrictive, failing appropriately fail give obvious moment operation." focus uniformity. First noted: evil old bifurcated point-of-rest approach seem sort bifurcation, beyond cease covered." Stockman John T. Clark Son Boston, Inc., 539 264, 275 addition, fails Coverage excludes equivalents indicated, operations.38 36 find consistent given Reports. See 27, 266-267, equally broader Consistency illustrative enough overcome overwhelming evidence theory.39 this, surprising limitation rejected Circuits considered it40 virtually commentators.41 reject incapable defeating our conclusion "employees." IV 38 Having established repairing vessel)." 39 There dispute Caputo. correctly concedes, "unquestionably met 3(a) because adjoins parts ships." fenced-in ran Streets. "finger-piers." end berth them. storage. Judge's Pages 52a-53a. latter 41 argues (or) vessel." labeled argument "halfhearted" dismissed footnote. F.2d, 51 19. agree merit discussion. below modify areas." note sponsor House, Representative Daniels, section "expand(ing) limited law, piers, wharves, terminals." 118 Cong.Rec. 36381 (1972). little how facilities used.42 43 Second, assume read entire adjoined finger-piers vessels. Accordingly, conclude expand edge, here. Accord, 271-272; I. O. Baltimore BRB, 529 1080, 1083-1084 1975), en banc, 542 903 tests, ordered. 86 1251, Amendments). wheels. carry amounts consignees. If single consignee, intact him, consignee. inland. analogous phase called "stuffing." 86-89, 96-98, 101-103, 105-107; 4; National Association Stevedores Amicus Curiae 30. contested claims heard administrative judge. 919(d) available three-member appointed Secretary Labor. empowered "to hear appeals raising party interest LHWCA)." §§ 921(b)(1), V); generally Regulations 801-802 subject appeals. 921(c) Prior instance deputy commissioners district courts. 921. procedure claims. Service (BRBS) unofficial reporter Board's decisions. BRB's BRBS 376 (1975) 45a. reproduced id., 49a. synopsis 71 (ALJ) (1975). necessary, introduce terminology. "A contractor contract shipowner, agent, charter operator." Dept. Labor, Programs Task Force Report, Longshore Program 103 "(A) operator, own lease property, safe receipt movement place property except shipside." Ibid. Typically, getting "distributed uninterrupted flow." 104. designated operates, winchman hustler works, holdman. ranges workers. Because arrivals irregular, demand varies lighter closed barge. discussion infra. record "ships' stores" laundry separate classification "ship laborer" this. Compare 24-25 3. stipulated going come one. 6. reported opinions 47a, 51a. ibid. ; Sea-Land Service, Compensation, 540 629 (CA3 1976); Jacksonville Shipyards, Perdue, 533 (CA5 1976), cert. sub nom. Pfeiffer Ford, 76-641, Halter Fabricators, Nulty, 76-880, 76-1166; (CA1 pending, 76-571; Board, 1976) banc), Maritime Terminals, Brown, 76-706, Adkins Baltimore, 76-730. For cases, 40, questioned (OWCP), here, proper 5. (The administer programs, 701.201 (1976).) participation substituted Director. named neither raised concerning identity respondent. before us. recently promulgated regulation making nature. Fed.Reg. 16133 (Mar.1977). H.R.Rep.No.639, 67th Cong., Sess., fully, Report easy reason why representatives workmen ask Laws. peripatetic men. do work; go different jurisdictions. local labor force conditions workmen. Much wharves. dray railroad car articles dock another, actually Their not." S.Rep.No.139, 65th 1st (1917). "Injury," "employee," "employer" 902(2), (3), (4): "(2) 'injury' accidental arising occupational disease infection arises naturally unavoidably injury. "(3) nor net. "(4) 'employer' part, dock)." Title Act: "(a) chapter employee, dock) law. No "(1) net; An officer agency thereof government, political subdivision thereof. "(b) occasioned solely intoxication willful intention injure kill himself another." Victory Carriers, Law, 404 202, 204-209, 92 418, 420-423, 383 (1971); 216-224, 350-354, (1969); 417-423; Atlantic Larson, 89 (1976); Note, Broadened LHWCA, La.L.Rev. 683 (1973). reversed banc Fourth four incidents Deputy Commissioner man accident; others compensated. petition involving fell reiterated suggestion shipowner warranty seaworthiness. sturdiness modification. observed, denying intolerable ample Arts. N Dec. Immigration Nationality Decisions Constitution suitable solution." 216, 427. Public Welfare bill: last 1961, maximum $70 per week. Clearly, order adequate income replacement increase urgently required. "While every agreed mid-1960's raised, exclusive worker. feeling willing guarantee payment fault, right "Since 1946, due (starting Seas Shipping Sieracki, 328 85, 872, 1099 (1946)), possible avail sue owner ruled owner, seaworthiness, liable caused fault. (under ruling Ryan Pan-Atlantic S. 350 124, 76 232, 100 133 (1956),) shipping succeeded recovering theories express implied warranty, transferring liability actual longshoremen." that, despite provision employer's medical stevedore-employer indirectly utilizes technique suing unseaworthiness doctrine." social costs suits, delays, crowding calendars pay lawyers' services seldom resulted real 92-576, 5-11, 1253. 12-13. report Extension Shoreside Areas. H.R.Rep.No. 92-1441, 10-11 H.R.Rep.), 4698, 4707 contains identical section. precluded retained exclusions contained 903(a)(1), (2), (b). 14, "a 902(3). section, 903, States. These 21, correspond 902(4) V) reads: "arose employers. 53a-54a; 52a-53a; operations. look subcategories. involve people Amendments; defined. Weyerhaeuser Gilmore, 528 957 (CA9), denied, 868, 179, 148 discussions statute elaboration. Section-by-Section Analysis states: "Section 2(a) amends 2(3) longshoreing (sic ) harborworker, shipbuilder traditionally retains masters, members unload, less 16. extension, believes repairman builder water. workers, repairmen, builders, shipbreakers, (excluding masters vessel) permit bulk form, typically transported them intend just further trans-shipment covered, jobs require participate However, checkers, amendment. Likewise extending individuals employer, i. e., engaged, form individual none work, waters, waters." exhaustive clear. Some types "holding area" inland movement. 46; Tr. Oral Arg. 44. And, bringing 274-275, mention incontrovertible placing steps. discussion, 38, 54; 540. accused "seemingly (going) stance moving, storing culling pier." 274. enlightening belong Association. ILA 15. union membership factor. vagaries unrelated 52; Stockman, 272; 543-544; cf. 962. private suggest, Respondents 19-21, definitions Bi-State Compact Jersey Waterfront Commission, approved 67 541. N.Y.Unconsol. Laws 9806, 9905 (McKinney 1974). Section 9806 provides, part: " 'Pier' quay. 'Other terminal' warehouse, depot (other pier) thousand yards waterborne freight part. 'Longshoreman' natural person, carrier physically berthed piers terminals, engage direct custodial accounting therefor tabulation hours terminals carriers stevedores, "(c) supervise definition." provides supplementary definitions: "(6) incidental including, to, coopers, general maintenance men, mechanical miscellaneous horse cattle fitters, grain ceilers carpenters, barge, be, involving, (10) "(10) pier), enclosed open, freight. "As 'marine warehousing, distributing packing inclusive common ownership control." indicators terminology industry, assume, absent indication action 1953 attribute degree acumen few Congressmen claim." 50. "(T)he greatest economies promised efficiency using specially fitted all-container important running dead unloading. earns heavy fixed continue. Moreover, fast turnaround reload 36-48 compared seven eight days conventional substantially cuts needed handle volume "Labor productivity astonishingly increased major gangs produced average hour 300 hatch. generally, considers 'it 126 84 each, total 10,584 man-hours, discharge about 11,000 aboard 546 hours.' Ross, Response Technological Change: Tale Two Unions, L.J. 397, 399-400 (1970). Goldberg, Containerization Change Waterfront, 91 Monthly Rev. (1968). 53; 905; 275-277. commentator observed: remains same; performance (have) changed. unlikely acknowledge today involves shore-based formerly ship." Comment, Recovery Denied Longshoremen Injured Landward "Point Rest," Suffolk U.L.Rev. 1179, 1188 significance site Until stripped, incomplete. exhibited situs. precisely mobility ability transport strip locations identifies position own, 20, gone suggests. clerk, office processing paperwork removal reasoned function, although nature, "essential operations." Farrell Maher 42, Contrary expressed showed Citing Reports, Third review. Farrell, 548 476, 478 (1977). Regardless advanced extensive study various country. sufficient information enable decide helpful future Lighters barges advancements referred "LASH-type vessels." LASH acronym "lighter (NAS) describes follows: "(C)argo size 'lighters,' differentiate river barges. towed location sometimes mother mechanically crane stacked constructed holds requires fewer breakbulk very similar SEABEE differs barge manner instances smaller ply coastal facility." 27-28. agrees: "Workers obviously unless state, municipal public entity." 28. longer commerce" 52a. delay picking character effectuate arrives weeks later. reiterate fall "whose trans-shipment." exclusion pertains truckdrivers helping, presence purpose shipment transportation. workable claim "point", Stevedore Industry (unpublished survey NAS) (1974-1975); 28, whim employer. Such characteristics inconsistent design. Craven panel adopted refused Blundo's: "(Respondents) will, think, surprised learn astonished discover kind. not, my brothers labored prodigiously accomplished nothing simplify problems workers' Henceforth, counsel comb waterfronts circuit, probing hopelessly, Diogenes lantern, elusive 'point rest' depends." 1089 (dissenting opinion), expensive impose expenses 68-73. anticipated cost. Circuit, reasons rely. 29, incompatible relying factors consider, affirmed award engaged. 272-277. rest. analysis differed Circuits. exercise constitutional authority "afford mode up." 638. discarded "(an) nexus (status) (necessary)" irrelevant. 552 985 1977); 476 1977). Fifth calling "hypertechnical construction." securing vehicle railway preparation bales cotton wagon stacking await placement "an ongoing 543-544. (1976) banc). accepted six judges sitting fourth certain shoreside situated similarly characterizing activities function. 905. denied situation "handl(ing) cargo." 1097 (Craven, Only discussing prior early thought demarcation, explain Vickery, Impacts Ins.Counsel (1974). 6-51, 427; Gorman, Mar.L. Com. 1, 9-10 (1974); Rutgers Camden (1973); Remedies, 1973 Wash.U.L.Q. 649; Those writing universally 15, 89.42. B.C.Ind. Com.L.Rev. 135 1179 Law/Workmen's 54 N.C.L.Rev. 925 55 Texas L.Rev. 99, 116-120 contends statements specified areas. points Reports' "just activity," 4708, Report's description contiguous related work." statements, serve undermine ITO's working. Even assuming suggest usage process.

Classification Label: 7