Texas Supreme Court to tackle negligent retention

Likely you are familiar with the idea of negligent retention—namely, a company hires an employee who is unfit for the job, and the employee then goes out and harms a member of the public. But what about an independent contracting company that is negligently retained? Are you on the hook for any resulting injury? On February 16, the Texas Supreme Court agreed to answer this question.

Facts

Home Depot hired Werner Enterprises as the exclusive trucker to transport goods and other equipment in the Houston area. One of its tractor-trailer drivers ran a red light, fatally striking another vehicle. The estate of the deceased driver sued Home Depot for negligent retention resulting in death. Its evidence? According to the estate:

Home Depot selected Werner as its exclusive Houston-area carrier despite Werner’s egregiously unsafe driving history: in the 24 months preceding [the death], Werner was involved in more than 800 reportable vehicle collisions, resulting in approximately 250 injuries and more than 25 deaths.

Home Dept fought, asking the trial court to dismiss the lawsuit. It argued that Werner, as the motor carrier, was the employer of the negligent driver, and thus the estate must seek relief from Werner. Put differently, Home Depot owed no legal duty to the deceased motorist. No legal duty means no legal liability. Period. The trial court and the appeals court agreed, and now the Texas Supreme Court will decide. In re Home Depot, (Tex. Supreme Court, Case No. 25-0317).