Tuesday, March 30, 2010

Immigration Status not a factor in Negligent Entrustment/Hiring

In a negligent entrustment/negligent hiring case against a company whose driver causes an auto accident, the driver’s immigration status is not admissible at trial to prove these causes of action against the company. TXI Transp. Co. v. Hughes, No. 07-0541 (Tex.2010). The Texas Supreme Court has held:

We have said a claim for negligent hiring or entrustment cannot lie if “[t]he risk that caused the entrustment to be negligent did not cause the collision,” and if a “defendant’s negligence did no more than furnish a condition which made the injury possible.” Here, Rodriguez’s immigration status did not cause the collision, and was not relevant to the negligent entrustment or hiring claims—even if TXI’s failure to screen, and thus its failure to discover his inability to work in the United States, “furnished [the] condition” that made the accident possible. We agree with the court of appeals “that neither Rodriguez’s status as an illegal alien or his use of a fake Social Security number to obtain a commercial driver’s license created a foreseeable risk that Rodriguez would negligently drive the gravel truck.”

(citations omitted).

Monday, March 15, 2010

New Rules for Insurers - Child Support Liens

Insurers now have a duty to cooperate with the Texas Attorney General to identify insurance claimants with past-due child support arrearages. In 2009, the Texas Legislature amended Section 231.015 of the Texas Family Code to make it mandatory for insurers doing business in Texas to participate in an insurance intercept program. The Office of the Attorney General has adopted new rules in the Texas Administrative Code implementing these changes, and the new rules take effect March 16, 2010. Insurance companies doing business in Texas should coordinate with the Insurance Service Office (ISO) or the Child Support Lien Network (CSLN) to participate in the program, which entails performing either automated data matches or interactive look-ups of almost all personal injury claimants prior to payment of their claims.