Cahoon v. L.B. White Company, LLC

Background

Christopher John Cahoon was fatally injured by a propane-gas flash fire on January 21, 2016, at a residential construction site during his employment. Donna Cahoon, acting as trustee for his next of kin, filed a wrongful-death action under Minnesota law against L.B. White Company, Inc., Hurricane Products, Inc., Quality Propane of MN, and Carpentry Contractors Company.

The complaint originally identified L.B. White Company as “L.B. White Company, LLC,” but an amended complaint changed that name to “L.B. White Company, Inc.” Cahoon later filed another amended complaint identifying EDPO, LLC as doing business as Quality Propane of MN. The court previously struck that later complaint because Cahoon had not obtained consent or leave to amend. The first amended complaint therefore remained the operative complaint.

The court’s earlier order also denied motions to dismiss filed by Quality Propane and Carpentry. Those defendants argued that Quality Propane and Carpentry were assumed names, rather than legal entities subject to suit, and that EDPO and BEP/Lyman LLC were the proper defendants. The earlier order concluded that dismissal was not warranted and found that the requirements for relation back under Federal Rule of Civil Procedure 15(c)(1) were met.

Motions and ruling

Cahoon moved for leave to amend the complaint to correct the defendants’ names. Quality Propane and Carpentry opposed the motion, arguing that the proposed amendment added EDPO and BEP/Lyman as new parties after the statute of limitations had expired. They argued that Cahoon had not made a mistake about the parties’ identities and that the amendment would therefore be futile, meaning unable to succeed because of a legal bar.

The court applied Federal Rule of Civil Procedure 15(a)(2), which generally directs courts to allow amendments when justice requires, and Rule 15(c)(1), which permits an amendment changing a party’s name to relate back to the original complaint when the claims arise from the same conduct, the proper party received timely notice without prejudice, and the proper party knew or should have known it would have been sued but for a mistake about its identity.

The court declined to disturb the earlier finding that Cahoon’s use of the assumed names was a mistake and that the relation-back requirements were satisfied. It found no evidence that Cahoon knew EDPO and BEP/Lyman were the proper parties before the limitations period expired. The court also noted that Quality Propane and Carpentry did not identify evidence showing that the proper entities lacked notice or would be prejudiced.

The court distinguished a case in which plaintiffs had been told the correct defendant before the limitations period expired and nevertheless made a conscious choice to sue a different entity. Here, the court found no evidence that Cahoon made such a conscious choice. It also rejected arguments based on assumed-name documents filed with the Minnesota Secretary of State, concluding that the existence of those documents did not establish that Cahoon knowingly chose the wrong parties.

The court further found that filing the original complaint shortly before the limitations period expired did not show undue delay or a dilatory motive. It also concluded that Cahoon’s earlier filing of a second amended complaint without leave did not justify denying the requested amendment under the circumstances.

Disposition

The court GRANTED Donna Cahoon’s Motion for Leave to File Amended Complaint to Correct Misnomers. The court had previously DENIED Carpentry Contractors Company’s Motion to Stay Proceedings Pending Appeal from the bench. The Eighth Circuit later dismissed Carpentry’s appeal for lack of jurisdiction. The order addressed only Cahoon’s motion to amend after the appeal was dismissed.