KAUFMAN v. AM. YOUTH HOSTELS
13 Misc.2d 8 (1957)
Jerome Kaufman, Individually and as Administrator of The Estate of Lynn Kaufman, Deceased, Plaintiff, v. American Youth Hostels, Inc., Defendant.
Supreme Court, Westchester County.
October 15, 1957.
William A. Hyman for plaintiff.
Garvey & Conway for defendant.
This motion, brought by plaintiff pursuant to subdivision 6 of rule 109 of the Rules of Civil Practice, to strike out two separate and distinct defenses because of legal insufficiency, presents many interesting questions concerning conflict of laws, charitable corporate immunity and construction of agreements of exemption from liability for negligence.
The action is one to recover damages for the death of plaintiff's 15-year-old daughter, which occurred on July 29, 1956, while said infant, together with a group of other children, was engaged in a venture of climbing Mt. Hood, in the State of Oregon.
Defendant is admittedly a New York corporation and is engaged in the business of conducting groups of youths on trips and tours to places of historical and cultural interest in America and abroad. It is further admitted that plaintiff's daughter was, at the time of her death, a member of said group, for a valuable consideration paid to defendant by her plaintiff father.
The complaint consists of two causes of action and is based on negligence. The first cause of action is brought pursuant to an Oregon statute (Ore. Rev. Stats., § 30.010) which specifically gives a right of action to plaintiff in his individual capacity for the death of his daughter, and the second cause of action is brought pursuant to another Oregon statute (Ore. Rev. Stats., § 30.020) which gives plaintiff, as administrator of his daughter's estate, a representative cause of action on behalf of her estate for damages not exceeding $20,000 including a recovery for funeral, burial, doctors, hospitals or nursing services for the decedent.
The first defense alleges (and the court on a motion such as this must assume the allegations to be true), "that defendant is an eleemosynary institution and immune from liability". The question to be decided at the outset, is whether the law of Oregon or this State governs the substantive rights and obligations of the parties to this lawsuit. The answer to this preliminary question is no longer debatable. Since the accident and death occurred in Oregon, the law of the lex loci (Oregon) and not the law of the forum (New York) governs unless our public policy forbids (which it does not) (Poplar v. Bourjois, Inc., 298 N.Y. 62: Benton v. Safe Deposit Bank, 255 N.Y. 260; Mencher v. Goldstein, 240 App. Div. 290; Coster v. Coster, 289 N.Y. 438; New Amsterdam Cas. Co. v. Stecker,
Turning to the law of Oregon, we find that in that State charitable or eleemosynary corporations do have immunity from tort liability (Landgraver v. Emanuel Lutheran Charitable Bd.,
Apparently, the said dissenting opinion, in referring to the prevailing modern authority regarding said immunity doctrine, had in mind the State of New York. It is now and has been the settled law of New York for more than 20 years that charitable corporations organized in New York are not immune for the torts of their servants because of the theory that the public and private donations that supported charitable institutions constituted a trust fund which could not be diverted. (Sheehan v. North Country Community Hosp., 273 N.Y. 163; ; Dillon v. Rockaway Beach Hosp., 284 N.Y. 176; Bing v. Thunig,
In the light of such ostensible conflict of laws between Oregon and New York, a careful reading and analysis of the cases leads inescapably to the conclusion that the decisional law of Oregon, wherein immunity is granted, must perforce be restricted to Oregon corporations and not to foreign corporations such as the defendant in this case. The leading cases in Oregon (Hill v. Tualatin Academy, 61 Or. 190 ; O'Neill v. Odd Fellows Home, 89 Or. 382 ; Hamilton v. Corvallis Gen. Hosp., 146 Or. 168 ; Gregory v. Salem Gen. Hosp., 175 Or. 464 ; Landgraver v. Emanuel Lutheran Charitable Bd.,
As far as New York is concerned, there seems to be a dearth of authority on the subject. However, the case of Heinemann v. Jewish Agric. Soc. (178 Misc. 897, affd. 266 App. Div. 907) appears to be highly pertinent. In that case, the defendant was a New York corporation which maintained a farm in New Jersey. The plaintiff was injured while riding in an automobile owned by the defendant and operated by one of its employees. The court held that the plaintiff was an invitee to whom the defendant owed the duty of reasonable care and that this duty was violated by the negligent operation of the
In the case at bar the situation is similar. Defendant is a New York corporation and is not granted immunity by the law of New York, and since the law of Oregon (where the within accident occurred) grants immunity only to Oregon charitable corporations for torts committed in Oregon and since there is no indication that the Oregon courts have held or would hold that a New York charitable corporation was immune from liability for a tort committed in Oregon, where by the law of New York such corporation is not immune from liability for a tort committed in New York, the court is constrained to follow the decision in the Heinemann case (supra), and to hold that the defendant in the case at bar is not immune from liability in this case. Accordingly, plaintiff's motion to strike out the defense set forth in paragraph "Seventh" of defendant's answer for legal insufficiency is granted.
Now, turning to the remaining question posed by the instant motion, the court is called upon to construe and give legal effect to an instrument allegedly executed by plaintiff's intestate infant daughter (and allegedly joined in by plaintiff) prior to the time she embarked upon the afore-mentioned trip to visit and climb Mt. Hood. The said written agreement provided: "I agree to abide by hostel customs while on my trip, and to follow all directions provided by American Youth Hostels, Inc. I hereby release American Youth Hostels, Inc., and its agents of any and all responsibility or liability of any nature whatsoever for any loss of property or personal injury occurring
It is defendant's contention that by reason of the aforesaid agreement, plaintiff released defendant from any and all liability to plaintiff for any and all claims of plaintiff against defendant.
The law is well settled and both parties are in accord that since the said agreement was executed in New York, its validity and construction is governed by the law of the lex loci contractus — New York State. (Straus & Co. v. Canadian Pacific Ry. Co., 254 N.Y. 407; New Amsterdam Cas. Co. v. Stecker,
Insofar as plaintiff's infant daughter was concerned, it is the court's opinion that the instant agreement to release or covenant not to sue was not binding upon her. It was void or voidable. The general rule of law is that an infant has not the capacity to bind himself absolutely by contracts, since any contract made by him during his infancy may be avoided (Matter of Taylor, 153 Misc. 673). Of course, this rule yields to the exception that, where an infant's contract is to his benefit, it is good and binding upon him; when it is to his prejudice, it is void; and when it is of an uncertain nature as to benefit or prejudice, it is voidable only at the election of the infant. The infant is regarded as not having sufficient capacity to understand and pass upon questions involving
In Corpus Juris Secundum (Vol. 43, Infants, § 75, subd. b) the text states (p. 171): "The general rule is that the right of an infant to avoid or disaffirm his contract is a personal privilege of which no one can take advantage but the infant himself, if living and under no mental or physical disability, or, in case of his death, his privies in blood or heirs or, as considered in Executors and Administrators § 189, his personal representative". (See, also, 1 Williston on Contracts [Rev. ed.], § 232.)
Corpus Juris Secundum (Vol. 43, Infants, § 76, subd. c, p. 183) states: "Bringing suit on the released claim is a disaffirmance of the release. On disaffirmance the release becomes null and void, and cannot be interposed or insisted on in bar of his rights".
In sum, therefore, the commencement of the present action by plaintiff as administrator of his deceased infant daughter constitutes a disaffirmance which renders the covenant not to sue, insofar as signed by said infant, null and void. The fact that plaintiff, as her parent or guardian, may have agreed to the terms or regulations governing the trips sponsored by defendant, adds nothing to the binding force of the agreement because the approval by a parent of his infant child's contract does not validate it (see 43 C. J. S., Infants, § 71, p. 164). Under such circumstances, it is the court's view, and it so holds, that the agreement to release or covenant not to sue executed by plaintiff's 15-year-old daughter is not binding and, having been disaffirmed by the administrator, is void from its inception. Therefore, the defense set forth in paragraph "Ninth" of defendant's answer, insofar as it is directed to the second cause of action which is the representative cause of action on behalf of the infant's estate, is insufficient as a matter of law.
What is the effect of the defense under discussion upon plaintiff's first cause of action? This cause of action is one given by statute to the deceased infant's father. The action is brought in his own right under section 30.010 of the Oregon Revised Statutes, which states that a father may maintain an action for the death of a child. It is entirely distinct from any that may have been sustained by the infant or her estate in the event of her death and was not derived from nor dependent on any right of action of the infant (see Schleiger v. Northern Term. Co., 43 Or. 4). Obviously, therefore, the within infant could not release this cause of action since it was never the infant's to release.
The law seems well settled that courts do not look with favor on attempts to avoid liability for one's own fault; that such a covenant not to sue is strictly construed against the party asserting it; and that clear and explicit language in the contract is required to absolve a person from such liability. (See 17 C. J. S., Contracts, § 262; cf. Jordan v. City of New York,
In Boll v. Sharp & Dohme (281 App. Div. 568, 570, affd.
Reading the instrument in question in the light of the aforementioned acknowledged principle, there is absent the express broad language purporting to exempt the defendant from the consequence of its own negligence as alleged in the complaint. The instrument states (1) that the infant agrees to abide by hostel customs while on her trip and to follow all directions
It is interesting to note that the instrument does not contain any statement that the infant releases the defendant from liability for injuries caused by the defendant's negligence. The word "negligence" does not appear in said covenant not to sue, except in connection with the negligence of any transportation company, agency or service. There are no precise words in the covenant making it clear that the deceased infant or her parent (plaintiff) exempted defendant from liability for personal injuries caused by defendant's negligence.
Accordingly, this court holds that the covenant here presented by way of defense and set forth in paragraph "Ninth" of the answer, properly construed, does not exculpate defendant from the alleged negligence set forth in both causes of action and must likewise be stricken out because of legal insufficiency.
The court has considered the cases cited by defendant in its brief and finds them inapplicable to this case. These cases were analyzed at length by the dissenting opinion in Boll v. Sharpe & Dohme (281 App. Div. 568, 572-578, supra) but the Court of Appeals (
The court by this decision does not pass upon the persuasive argument advanced by plaintiff and the cases cited by him in his brief that the attempted release or covenant not to sue is void as against public policy because of the public service or quasi-public service being performed by defendant.
Plaintiff's motion is in all respects granted. Settle order on notice.
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