In this case, CSX Transportation (“CSX”) settled a negligence action brought by plaintiffs who were injured in an accident at a railroad crossing. Following settlement with the plaintiffs, the trial court entered a judgment requiring the Florida Department of Transportation (“FDOT”) to indemnify CSX pursuant to a crossing agreement which had allowed the state to construct and maintain a road over CSX’s tracks. FDOT defended on the basis of sovereign immunity, despite the clear language of the indemnity provision in the crossing agreement with CSX and despite accepting the benefits of that agreement for nearly 80 years.
The Second District Court of Appeal agreed with CSX, but certified the issue to the Florida Supreme Court as presenting a question of great public importance. The Florida Justice Reform Institute wrote an amicus curiae brief in support of CSX, contending that FDOT should be bound by the agreement and that, in any event, FDOT was estopped from now repudiating its express promise to indemnify CSX for FDOT’s own negligence. The Florida Supreme Court agreed that FDOT was bound to the indemnity agreement. The Court held that FDOT’s predecessor was authorized to enter into the crossing agreement including the indemnity provision, and consequently, FDOT could not invoke sovereign immunity to defeat its obligations under the crossing agreement. The Court also explicitly acknowledged the Institute’s participation as amicus curiae in support of CSX in the written opinion.
FJRI represented by Stephen H. Grimes and Matthew H. Mears of Holland & Knight LLP, and William W. Large.