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Union Electric Company, Doing Business as Amerenue v. Southwestern Bell Telephone L.P., Successor Southwestern Bell Telephone Company

8th CircuitAugust 6, 2004No. 03-3362Cited 21 times
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Case Details

Judge(s)
Riley, Melloy, Erickson
Status — whether other courts must follow this ruling
Published
Procedural Posture — the stage the case had reached
appeal

Related Laws

No specific laws identified for this ruling.

Claim Types

Breach of Contract

Outcome

Appellate court reversed summary judgment for defendant SBC and granted summary judgment on liability in favor of plaintiff Ameren, finding the Joint Use Agreement's indemnity clause applied. Case remanded for trial solely on the reasonableness of Ameren's $1,950,000 settlement.

What This Ruling Means

**What This Case Was About** This case involved a contract dispute between two large utility companies - Ameren (an electric company) and Southwestern Bell Telephone (SBC). The companies had an agreement that allowed them to share utility poles and equipment. When someone was injured and sued both companies, Ameren ended up paying $1,950,000 to settle the lawsuit. Ameren then tried to get SBC to reimburse them for this payment, claiming their contract required SBC to cover such costs. **What the Court Decided** The appellate court sided with Ameren, ruling that SBC was indeed required to pay Ameren back under their contract's indemnity clause (a provision that requires one party to cover the other's legal costs and damages). The court reversed an earlier decision that favored SBC and sent the case back to a lower court to determine whether Ameren's $1,950,000 settlement amount was reasonable. **Why This Matters for Workers** While this case was between two companies, it shows how indemnity clauses in contracts work. For workers, this demonstrates that when companies have agreements about who pays for injuries or damages, courts will enforce those agreements. This can affect workplace safety responsibilities and who ultimately bears the cost when workers are injured.

This summary was generated to explain the ruling in plain English and is not legal advice.

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This ruling information is sourced from public court records via CourtListener.com. Case outcomes, claim types, and summaries are extracted using AI analysis and may be incomplete or inaccurate. It is provided for informational and educational purposes only and does not constitute legal advice.

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