Fifth Circuit Reverses Twice in Penske Case, Citing Montgomery Ruling

Published Aug 7, 01:43 PM UTC

The Fifth Circuit Court of Appeals has reversed two lower court decisions that initially favored Penske companies in a lawsuit stemming from a fatal 2018 truck accident. The first reversal reinstates broker Penske Transportation Management (PTM) as a defendant, citing the Supreme Court's Montgomery vs. Caribe Transport II ruling that the F4A safety exception applies to brokers. The second reversal reinstates Penske Logistics as a defendant, finding it could be considered a statutory employer of the driver involved. The accident occurred after a series of subcontracts from Penske Logistics to PTM, then to Liberty Lane, then to OK Trans, whose driver killed Lydon Dean Meyer. The case is now part of Crane vs. Liberty Lane.