Shipyard Worker May Sue as a Seaman, High Court Rules : Justice: U.S. Supreme Court upholds Spring Valley man’s right to file suit against Southwest Marine for disabling injuries.

In a unanimous ruling that could have a major financial impact on U.S. shipyards, the U.S. Supreme Court ruled Wednesday that an injured San Diego ship repair worker can claim seaman status and sue Southwest Marine for negligence.

The court’s ruling is significant because it opens the door for hundreds of shipyard employees nationwide who work on company-owned tugs, barges and other floating platforms to sue employers in federal court when they are injured on the job.

Industry officials had warned that a ruling in favor of Byron Gizoni, the former Southwest Marine worker who took the case to the Supreme Court, could spell financial doom for an already ailing industry.

They said insurance and litigation costs would double for U.S. shipyards, making it tougher to compete with foreign builders.

Previously, most shipyard employees were classified under the federal Longshore and Harbor Workers’ Compensation Act. The law provides no-fault compensation in the form of medical benefits and disability payments, and prohibits workers from suing for further damages.

However, Gizoni, 36, challenged the law on Sept. 30, 1987, and sued Southwest Marine. Gizoni, who supervised workers in the loading and unloading of equipment on a company barge, charged that Southwest was negligent in April, 1987, when he fell through a hole on the deck and suffered disabling back and leg injuries.

Gizoni’s attorney, Preston Easley of San Diego, argued that Gizoni was working as a seaman at the time, aboard a vessel in navigable waters, and was covered by a different federal law. Easley cited the Jones Act, which allows seamen to sue employers for negligence and attempt to recover bigger damage awards in jury trials.

At the time of the lawsuit, Southwest Marine had paid Gizoni more than $15,000 for medical treatment and disability payments under the law covering longshore and harbor workers.

San Diego U.S. District Court Judge Gordon Thompson Jr. dismissed Gizoni’s lawsuit in 1988, agreeing with the company that Gizoni was not a seaman and that his job was not necessary to the navigation of the barge. Easley appealed to the U.S. 9th Circuit Court of Appeals, which overturned Thompson’s ruling and said that it was up to a jury to decide whether Gizoni’s job gave him seaman status.

Southwest appealed the 9th Circuit’s ruling to the U.S. Supreme Court, which rejected every one of the shipyard’s arguments. The court’s vote was 8 to 0, with the newest justice, Clarence Thomas, not voting.

“The key to seaman status is employment-related connection to a vessel in navigation. . . . It is not necessary that a seaman aid in navigation or contribute to the transportation of the vessel, but a seaman must be doing the ship’s work,” the justices said in a 12-page written decision.

Easley, who had never argued a case before the Supreme Court, praised the ruling.

“It rewrites the book on maritime law nationwide. This has opened a big door for shipyard workers, no question about it,” Easley said.

James J. McMullen Jr., Southwest Marine’s attorney, declined to comment. Company officials were unavailable for comment.

The case now goes back to Judge Thompson, who is required to schedule a jury trial for Gizoni’s lawsuit.

“This is all so overwhelming. I haven’t come down yet since I heard the news,” said Gizoni, a Spring Valley resident who now works at a hardware store.