Austin Failure to Yield Crash Settles for $1.5 Million

On February 1, 2012, a motor vehicle collision occurred at the intersection of East 7th Street and Levander Loop in Austin, Texas. The plaintiff, driving a Honda Civic, was westbound on East 7th Street, which had no stop or yield signs. The defendant driver, operating a Ford F-150 pickup truck owned by his employer, Berry Contracting L.P., was northbound on Levander Loop and proceeded into the intersection after stopping at a yield sign, leading to the collision. The plaintiff subsequently filed a lawsuit, alleging the defendant driver was negligent in failing to yield the right of way. The complaint also named the employer entities, including Berry Contracting L.P. and Berry G.P. Inc., claiming vicarious liability under respondeat superior and direct liability for negligent entrustment, hiring, supervision, and training due to the driver's prior moving violation convictions.

The plaintiff argued that the employer entities had a "safety system failure" that allowed the defendant driver, despite a history of traffic convictions, to be entrusted with a company vehicle. A trucking safety expert for the plaintiff supported this claim. The defense did not significantly dispute the defendant driver's negligence but strongly contested any direct liability on the part of the employer entities, characterizing the incident as a "simple car-accident case." The employer entities testified that they used a contractor to check employee driving records every three years. The plaintiff claimed injuries including a herniated disc, aggravation of pre-existing lumbar issues, and post-traumatic stress disorder, requiring a cervical fusion and other treatments, with medical charges totaling $290,000. Defense experts, however, opined that only some physical therapy was related to the accident and that the plaintiff's psychological issues were pre-existing.

Before the scheduled trial, the parties engaged in mediation and reached a settlement. The case concluded with a $1.5 million settlement paid to the plaintiff. The defendants' insurance coverage included a $1 million primary policy and a $25 million excess policy.