National Railroad Passenger Corp. v. Rountree Transport & Rigging, Inc. , 422 F.3d 1275 ( 2005 )


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  •                                                                     [PUBLISH]
    IN THE UNITED STATES COURT OF APPEALS
    FILED
    FOR THE ELEVENTH CIRCUIT U.S. COURT OF APPEALS
    ________________________ ELEVENTH CIRCUIT
    SEPTEMBER 1, 2005
    No. 00-13811                THOMAS K. KAHN
    ________________________               CLERK
    D.C. Docket No. 93-01090-CV-ORL-19C
    NATIONAL RAILROAD PASSENGER CORPORATION (AMTRAK),
    CSX TRANSPORTATION, INC.,
    Plaintiffs-Cross-Defendants-Counter- Defendants-
    Cross-Appellants-Cross-Appellee,
    AMERICAN HOME ASSURANCE COMPANY,
    f.u.b.o. Stewart and Stevenson Services, Inc.,
    Plaintiff-Appellant-Cross-Appellee,
    versus
    ROUNTREE TRANSPORT AND RIGGING, INC.,
    Defendant-Cross-Defendant-Appellee,
    KISSIMMEE UTILITY AUTHORITY,
    Defendant-Cross-Claimant-Cross-Defendant-
    Counter-Claimant-Counter-Defendant-Third-
    Party-Plaintiff-Third-Party-Defendant-Appellee-
    Cross-Appellant,
    WOKO TRANSPORTATION,
    BLACK AND VEATCH, ET AL,
    Defendants-Cross-Claimants-Cross-Defendants-
    Counter-Claimants-Counter-Defendants-Third-
    Party-Plaintiffs-Third-Party-Defendants-
    Appellees,
    FLORIDA MUNICIPAL POWER AGENCY,
    Defendant-Cross-Claimants-Cross-Defendants-
    Counter-Claimant-Counter-Defendant-Third-
    Party-Plaintiff-Third-Party-Defendant-Appellee-
    Cross-Appellant,
    GENERAL ELECTRIC COMPANY, INC.,
    Consolidated Defendant-Third-Party Defendant-
    Appellee-Cross-Appellant,
    STEWART AND STEVENSON SERVICES, INC.,
    Movant-Cross-Appellant.
    ____________________________________________________
    94-Cv-976-Orl-19C:
    AMERICAN HOME ASSURANCE COMPANY,
    f.u.b.o. Stewart and Stevenson Services, Inc.,
    Plaintiff-Counter-Defendant-Appellant-
    Cross-Appellee,
    versus
    NATIONAL RAILROAD PASSENGER CORPORATION (AMTRAK),
    CSX TRANSPORTATION, INC., ET AL,
    Defendants-Appellees-Cross-Appellants,
    2
    ROUNTREE TRANSPORT AND RIGGING, INC.,
    Defendant-Cross-Defendant-Appellee,
    KISSIMMEE UTILITY AUTHORITY,
    Defendant-Appellee-Cross-Appellant,
    FLORIDA MUNICIPAL POWER AGENCY,
    Movant-Appellee-Cross-Appellant,
    GENERAL ELECTRIC CO.,
    Movant-Appellee-Cross-Appellant,
    STEWART AND STEVENSON SERVICES, INC.,
    Movant-Cross-Appellant.
    ________________________
    No. 00-13986
    ________________________
    D.C. Docket No. 93-01090-CV-ORL-19C
    NATIONAL RAILROAD PASSENGER CORPORATION (AMTRAK),
    CSX TRANSPORTATION, INC.,
    Plaintiffs-Cross-Defendants-Counter-Defendants,
    versus
    ROUNTREE TRANSPORT AND RIGGING, INC.,
    Defendant-Cross-Defendant-Appellee,
    3
    KISSIMMEE UTILITY AUTHORITY,
    Defendant-Cross-Claimant-Cross-Defendant-
    Counter-Claimant-Counter-Defendant-Third-Party
    -Plaintiff-Third-Party-Defendant,
    WOKO TRANSPORTATION,
    Defendant-Cross-Claimant-Cross-Defendant-Coun
    ter-Claimant-Counter- Defendant- Third-Party-
    Plaintiff-Third-Party-Defendant,
    BLACK AND VEATCH, ET AL,
    Defendant-Cross-Claimant-Cross-Defendant-Coun
    ter-Claimant-Counter- Defendant-Third- Party-
    Plaintiff-Third-Party-Defendant-Appellant,
    FLORIDA MUNICIPAL POWER AGENCY,
    Defendant-Cross-Claimants-Cross-Defendants-
    Counter-Claimant-Counter-Defendant-
    Third-Party-Plaintiff-Third-Party-Defendant,
    GENERAL ELECTRIC CO.,
    Third-Party-Defendant-Appellee.
    ________________________
    Appeals from the United States District Court
    for the Middle District of Florida
    _________________________
    (September 1, 2005)
    Before TJOFLAT and BIRCH, Circuit Judges, and GOLDBERG *, Judge.
    *
    Honorable Richard W. Goldberg, Judge, U.S. Court of International Trade, sitting by
    designation.
    4
    BIRCH, Circuit Judge:
    This case returns to us for disposition from the Supreme Court of Florida, to
    which we certified four questions of Florida state law. See Nat’l R.R. Passenger
    Corp. v. Rountree Transp. & Rigging, Inc., 
    286 F.3d 1233
    , 1258, 1269 (11th Cir.
    2002). Based on the Florida Supreme Court’s responses to the certified questions,
    see Am. Home Assurance Co. v. Nat’l R.R. Passenger Corp., __ So. 2d __ (Fla.
    2005) (per curiam), the district court’s disposition of the certified issues is
    AFFIRMED.
    I. BACKGROUND
    This appeal arises from a series of lawsuits that were filed after a passenger
    train of the National Railroad Passenger Corporation (“Amtrak”) collided with a
    hauler rig owned and operated by Rountree Transport and Rigging, Inc.
    (“Rountree”) on railroad tracks owned by CSX Transportation, Inc. (“CSX”) and
    licensed to Kissimmee Utility Authority (“KUA”). While the facts of the case are
    fully described in our previous opinion, see Nat’l R.R. Passenger Corp., 286 F.3d
    at 1237-42, we will recount here relevant facts to provide context for our
    disposition of the case.
    KUA, a municipal agency charged with constructing and operating the
    electrical utilities of the City of Kissimmee, Florida, was responsible for the
    5
    construction of the Cane Island Power Plant (“Plant”). To finance the Plant’s
    construction, KUA partnered with the Florida Municipal Power Agency
    (“FMPA”), which acquired a 50% ownership interest in the Plant as a result of its
    participation. Because pedestrian and vehicular access to the Plant would require
    crossing railroad tracks owned by CSX, KUA entered into a Private Road Grade
    Crossing Agreement (“Crossing Agreement”) with CSX in which CSX gave KUA
    a license to construct, use, and maintain a private road grade crossing over CSX’s
    railroad tracks. In exchange for the license, KUA agreed in the Crossing
    Agreement to “defend, indemnify, protect and save [CSX] harmless from and
    against [designated losses and casualties].” Id. at 1238. In addition, KUA agreed
    in the Crossing Agreement to “defend and indemnify any company whose property
    was ‘operated’ by CSX at the railroad crossing.” Id.
    In order to outfit the Plant, KUA contracted with General Electric Company
    (“GE”) for the purchase and delivery of a combustion turbine and its related
    implements. In their agreement, GE promised to defend and indemnify KUA “to
    the extent of and on account of any negligent act or omission of [GE] in”
    purchasing and delivering the turbine. Id. (internal quotations omitted). GE then
    contracted with Stewart and Stevenson Services, Inc. (“S&S”) for the purchase and
    customization of the turbine and related parts. S&S in turn contracted with WOKO
    6
    Transportation (“WOKO”), a transportation broker, to deliver the customized
    turbine equipment. WOKO ultimately contracted with Rountree to have the
    turbine and its housing enclosure delivered to the Plant.
    On 30 November 1993, en route to the Plant with the turbine and its
    enclosure, Rountree came to the railroad crossing licensed to KUA by CSX.
    Realizing that the height of the rig would have to be adjusted prior to traversing the
    crossing, the Rountree workers stopped the rig on the tracks to make the necessary
    adjustments. Before the rig was removed from the tracks, however, an Amtrak
    passenger train collided with the rig, destroying the rig, the turbine, and its
    enclosure, as well as causing damage to the train and some of its passengers.
    Litigation ensued. After a three-week jury trial on the issue of liability for
    all claimants and all defendants in the consolidated cases, the jury found Rountree
    was 59% at fault for the collision, CSX was 33% at fault, and Amtrak was 8% at
    fault. In addition, the district court found that the transportation of the turbine was
    an inherently dangerous activity, and therefore WOKO, S&S, and GE were
    vicariously liable for Rountree’s negligence. The district court had also granted
    summary judgment in favor of CSX and Amtrak on their arguments that KUA was
    contractually obligated under the Crossing Agreement to defend and indemnify
    them in this litigation. Further, the district court granted summary judgment in
    7
    favor of GE on the claims of KUA and FMPA that GE was obligated to indemnify
    them for their expenses in defending themselves in the turbine litigation. A jury
    trial on the issue of damages followed, after which many of the parties settled their
    claims. The American Home Assurance Corporation (“AHA”), however, which
    was the subrogee of S&S, had not settled its claims. After AHA rested its case-in-
    chief as to its damages, several parties moved for the district court to direct a
    verdict in favor of AHA against Rountree, CSX, and Amtrak in the amount of
    $1,851,822.40, which represented 41% of the damages they argued AHA had
    proven at trial.1 The district court granted the motion and directed judgment in
    favor of AHA in the amount of $1,851,822.40.
    The instant appeal followed. AHA appealed, inter alia, the district court’s
    determination that F LA. S TAT. ch. 768.81 applied and limited its recovery to 41%
    of its proven damages. In addition, KUA and FMPA appealed the district court’s
    determination that the Crossing Agreement contractually obligated them to defend
    and indemnify CSX and Amtrak. They argued, inter alia, that sovereign immunity
    precluded the enforcement of the terms of the Crossing Agreement. Because these
    1
    Their argument was based on FLA . STAT . ch. 768.81, the Florida comparative fault
    statute. Under the statute, in cases where multiple parties are at fault, damages awarded to
    prevailing parties are reduced by their percentage of fault. Id. Because Rountree was found to
    be 59% at fault, and because Rountree’s fault could be apportioned to S&S, and hence AHA,
    through vicarious liability, the parties argued that AHA’s recovery was limited to 41% of its
    proven damages.
    8
    issues presented unanswered questions of Florida law that were not specifically
    addressed by Florida precedent, we certified four questions to the Supreme Court
    of Florida. We now proceed to address the certified questions and the Florida
    Supreme Court’s responses in turn.
    II. DISCUSSION
    A. Florida’s Comparative Fault Statute
    On appeal, AHA argued that the district court improperly applied Florida’s
    comparative fault statute, F LA. S TAT. ch. 768.81, in determining that its recovery
    was limited to 41% of its proven damages. Particularly, AHA argued that the fault
    of Rountree, an active tortfeasor, could not be apportioned to AHA, which was
    vicariously liable, under the comparative fault statute because Ҥ 768.81 applies
    solely to parties who are directly negligent, and that a party who is only vicariously
    liable cannot have fault apportioned to him under § 768.81.” Nat’l R.R. Passenger
    Corp., 286 F.3d at 1254. Because the resolution of the parties’ contentions on this
    issue was not clear from Florida precedent, we certified the following question to
    the Supreme Court of Florida:
    SHOULD A VICARIOUSLY LIABLE PARTY HAVE THE
    NEGLIGENCE OF THE ACTIVE TORTFEASOR APPORTIONED
    TO IT UNDER FLORIDA STATUTE § 768.81 SUCH THAT
    RECOVERY OF ITS OWN DAMAGES IS REDUCED
    CONCOMITANTLY?
    9
    Id. at 1258. After considering the issue, the Florida Supreme Court responded to
    the question in the affirmative. See Am. Home Assurance Co., __ So. 2d at __
    (slip op. at 22). Noting that the statute provides that “any contributory fault
    chargeable to the claimant diminishes proportionately” the amount the claimant
    may recover, F LA. S TAT. ch. 768.81(2) (emphasis added), the court determined that
    the statute “must be read to include parties other than those that are directly liable,
    and thus [the statute] applies to vicariously liable parties such as AHA.” Am.
    Home Assurance Co., __ So. 2d at __ (slip op. at 22). Because the Florida
    Supreme Court concluded that F LA. S TAT. ch. 768.81 was properly applied to limit
    AHA’s recovery to 41% of its proven damages, the district court’s application of
    the statute and its award of damages to AHA are affirmed.
    B. Indemnification Under the Crossing Agreement
    1. Sovereign Immunity
    KUA and FMPA also appealed the district court’s determination that, under
    the Crossing Agreement, they were obligated to defend and indemnify CSX and
    Amtrak. KUA and FMPA argued, inter alia, that state sovereign immunity
    principles precluded the district court’s determination as to their indemnity
    obligation. Specifically, they argued that sovereign immunity could only be
    waived by an act of the Florida legislature, and that the legislature had waived
    10
    sovereign immunity in the area of torts in F LA. S TAT. ch. 768.28, but only under
    specified circumstances and only up to $100,000 per claimant or $200,000 per
    accident. See Nat’l R.R. Passenger Corp., 286 F.3d at 1265. Because the Crossing
    Agreement purportedly required KUA and FMPA to defend and indemnify CSX
    above these statutorily-permitted limits, KUA and FMPA argued that the
    indemnification portion of the Crossing Agreement should not be given effect. Id.
    Because the applicability of F LA. S TAT. ch. 768.28 was unclear under Florida law,
    we certified three related questions to the Supreme Court of Florida:
    GIVEN THAT KISSIMMEE UTILITY AUTHORITY, A
    MUNICIPAL AGENCY UNDER FLORIDA LAW, AGREED BY
    CONTRACT TO INDEMNIFY A PRIVATE PARTY, IS THE
    AGREEMENT CONTROLLED BY THE RESTRICTIONS ON
    WAIVER OF SOVEREIGN IMMUNITY FOUND IN FLORIDA
    STATUTE § 768.28?
    IS THE INDEMNIFICATION AGREEMENT INSTEAD
    CONTROLLED BY THE RULE FOR BREACH-OF-CONTRACT
    ACTIONS ENUNCIATED IN PAN-AM TOBACCO CORP. V.
    DEPARTMENT OF CORRECTIONS, 
    471 So. 2d 4
     (Fla. 198[4])?
    IF PAN-AM APPLIES, DOES A MUNICIPAL AGENCY LIKE
    KISSIMMEE UTILITY AUTHORITY LOSE THE PROTECTION
    OF SOVEREIGN IMMUNITY ONLY IF IT HAS SPECIFIC
    STATUTORY AUTHORIZATION TO ENTER INTO
    INDEMNIFICATION AGREEMENTS, OR IS IT SUFFICIENT
    THAT THE AGENCY MORE GENERALLY HAS STATUTORY
    AUTHORIZATION TO CONTRACT WITH PRIVATE PARTIES?
    
    Id. at 1269
    .
    11
    The Supreme Court of Florida answered the first of these questions in
    the negative. See Am. Home Assurance Co., __ So. 2d at __ (slip op. at 30). The
    court reasoned that, under the plain language of the statute, F LA. S TAT. ch. 768.28
    applies when a plaintiff is seeking to recover damages in tort. 
    Id.
     at __ (slip op. at
    29). In contrast, the court found that the indemnification provision at issue in this
    case was “based on a contract between KUA and CSX,” namely, the Crossing
    Agreement. 
    Id.
     (emphasis in original). Accordingly, the court found that F LA.
    S TAT. ch. 768.28 was inapplicable.
    The court answered the second of these certified questions in the negative as
    well. 
    Id.
     at __ (slip op. at 30). Noting that Pan-Am involved the contractual
    liabilities of the State of Florida, the court found the case inapplicable in the instant
    case which involved municipal entities. See 
    id.
     The court noted that
    “municipalities have long possessed both the power to execute contracts and the
    concomitant liability for their breach.” 
    Id.
     The court proceeded to note that “the
    parties have failed to identify any law prohibiting KUA from executing the
    [C]rossing [A]greement and the indemnification provision it contains.” 
    Id.
     at __
    (slip op. at 33). As a result of the court’s conclusion that Pan-Am did not apply in
    the instant litigation, the court declined to answer the last certified question. 
    Id.
     at
    __ n.6 (slip op. at 35).
    12
    2. Additional Arguments Against Indemnification
    The court’s finding that sovereign immunity does not insulate KUA and
    FMPA from its indemnification obligations under the Crossing Agreement,
    however, does not end our inquiry. In our previous opinion, we noted that KUA
    and FMPA made additional arguments against the district court’s grant of partial
    summary judgment in favor of CSX and Amtrak on the issue of the validity of the
    Crossing Agreement. But, because an affirmative finding of sovereign immunity
    from the Florida Supreme Court would have been dispositive, we reserved our
    determination on these arguments. See Nat’l R.R. Passenger Corp., 286 F.3d at
    1264. Accordingly, we now address those additional arguments. In making our
    determination, we note that the district court’s grant of partial summary judgment
    is reviewed de novo, and its findings of fact are reviewed for clear error. Burnes v.
    Pemco Aeroplex, Inc., 
    291 F.3d 1282
    , 1284 (11th Cir. 2002).
    First, KUA and FMPA argued that the indemnification provision in the
    Crossing Agreement is invalid because its terms do not satisfy the requirements in
    F LA. S TAT. ch. 725.06. Under the statute in place at the time the Crossing
    Agreement was executed, a contract for construction of an appurtenance in which
    one party agrees to indemnify and hold harmless an owner of the real property on
    which the appurtenance is constructed must contain: (1) a monetary limitation on
    13
    the extent of the indemnification; or (2) specific consideration given by the
    indemnified party to the indemnitor. See F LA. S TAT. ch. 725.06 (1993). Assuming
    without deciding that the statute applied to the Crossing Agreement, we note the
    Supreme Court of Florida stated in its opinion that KUA’s agreement to indemnify
    was given “[i]n recognition of the increased risks associated with the use of CSX’s
    property, tracks, and right-of-way and as part of the ‘consideration’ for receiving
    this license.” Am. Home Assurance Co., __ So. 2d at __ (slip op. at 34). In
    addition, the court stated, “the indemnification agreement is binding and
    enforceable.” 
    Id.
     In this circuit, a state supreme court’s answer to certified
    questions is “conclusive” on the issue certified. Nat’l Educ. Ass’n v. Lee County
    Bd. of Pub. Instruction, 
    467 F.2d 447
    , 450 (5th Cir. 1972). Moreover, upon
    receiving an answer to a certified question, our “court does not second-guess a
    State’s application of its own law.” 
    Id.
     at 450 n.6. Thus, although we did not
    certify to the Florida Supreme Court a question about the validity of the Crossing
    Agreement’s indemnity provision vis-a-vis F LA. S TAT. ch. 725.06, we decline to
    second-guess the court’s determination that KUA received consideration for its
    agreement to indemnify CSX and that the Crossing Agreement is enforceable. See
    id.; see also Redgrave v. Boston Symphony Orchestra, Inc., 
    855 F.2d 888
    , 903 (1st
    Cir. 1988) (en banc) (noting that determinations made by a state court other than
    14
    those in direct response to certified questions should be carefully considered by
    certifying court). Moreover, this conclusion coincides with our own review of
    Florida state law. As one Florida court noted, “[t]he ‘specific consideration’
    required by section 725.06(2) need not be a dollar amount.” Peoples Gas System,
    Inc. v. RSH Constructors, Inc., 
    563 So. 2d 107
    , 109 (Fla. Dist. Ct. App. 1990); see
    Westinghouse Elec. Corp. v. Turnberry Corp., 
    423 So. 2d 407
    , 409 (Fla. Dist. Ct.
    App. 1982) (finding agreement to deliver elevators ahead of schedule constituted
    “specific consideration” within the meaning of the statute). Accordingly, although
    the Crossing Agreement did not specify a dollar amount as consideration, CSX’s
    grant of a license to use the crossing to access the Plant and the allowance of
    increased risk attendant to such use constituted consideration necessary to satisfy
    F LA. S TAT. ch. 725.06. Accordingly, we reject the argument of KUA and FMPA
    that the statute rendered the indemnity provision in the Crossing Agreement void.
    Second, KUA and FMPA argued that the district court erred in granting
    summary judgment on the indemnification issue because a genuine issue of
    material fact existed as to whether the indemnity provision constituted an
    exculpatory clause unenforceable under Florida law. Particularly, they argued that
    a fact question existed as to whether CSX held a superior bargaining position in
    negotiating the Crossing Agreement. As we noted previously, the Florida Supreme
    15
    Court in its answer to our certification stated that “the indemnification agreement is
    binding and enforceable.” Am. Home Assurance Co., __ So. 2d at __ (slip op. at
    34). Also as we noted previously, we are disinclined to second-guess the
    determination of the Florida Supreme Court in light of this clear language in its
    opinion. See Nat’l Educ. Ass’n, 
    467 F.2d at
    450 n.6. Moreover, the Florida
    Supreme Court has previously determined that a railroad’s receipt of an
    indemnification agreement as consideration for granting a license to use a crossing
    over its tracks did not demonstrate the use of superior bargaining power such that
    the indemnification agreement was rendered unenforceable. See Russell v. Martin,
    
    88 So. 2d 315
    , 317-18 (Fla. 1956); see also Jacksonville Terminal Co. v. Ry.
    Express Agency, Inc., 
    296 F.2d 256
    , 262-63 (5th Cir. 1961) (citing Russell and
    concluding that an indemnification agreement offered by a Florida terminal
    company which owned railroad tracks to a shipping company as part of a lease to
    use the tracks did “not violate public policy”). Accordingly, we reject the
    argument of KUA and FMPA that a fact question existed as to whether CSX
    exercised a superior bargaining position in negotiating for the indemnity provision
    which therefore rendered the Crossing Agreement invalid.
    Third, KUA and FMPA argued that the indemnity provision in the Crossing
    Agreement was inapplicable to the facts of this case because the negligent actions
    16
    of CSX occurred in a location separate and removed from the railroad crossing
    where the accident occurred. Particularly, they argued that because the negligence
    apportioned to CSX stemmed from the omissions of its personnel in Jacksonville,
    Florida, the liability of CSX was not sufficiently connected to the crossing to
    trigger the indemnity provision. The Crossing Agreement provided that KUA
    agreed to indemnify CSX for “all claims and liability . . . arising out of, resulting
    from, or connected in any manner with the . . . use . . . of said [c]rossing . . .
    regardless of cause.” See R1-187, Ex. A at ¶ 14.2. Here, CSX’s liability stemmed
    from claims which arose from the 1993 collision at the crossing. Thus, because we
    conclude such claims were covered by the all-encompassing language in the
    indemnity provision, we reject as meritless the argument of KUA and FMPA that
    the indemnity provision was inapplicable.
    Fourth, KUA and FMPA argued that the district court improperly granted
    partial summary judgment in favor of Amtrak by finding that Amtrak was a
    beneficiary of the indemnity agreement between KUA and CSX. Under the terms
    of the indemnity provision, KUA agreed not only to indemnify CSX, but also
    “‘any other company . . . whose property at [the crossing] may be leased or
    operated by the undersigned [CSX],’ as well as ‘any parent, subsidiary or affiliated
    system companies of [CSX].’” Nat’l R.R. Passenger Corp., 286 F.3d at 1263
    17
    (quoting the Crossing Agreement). Citing the undisputed fact that “[w]hen an
    Amtrak train was moving on CSX track it was subject to CSX rules and regulations
    and its movement was controlled by CSX dispatchers,” R109-2183 at 7, the district
    court concluded as a matter of law that the Amtrak train was “operated” by CSX at
    the time of the collision as defined in the Crossing Agreement. KUA and FMPA
    have not disputed the district court’s factual finding as to CSX’s control over
    Amtrak trains. See Burnes, 
    291 F.3d at 1284
    ; see also United Transp. Union v.
    CSX Transp., Inc., 
    902 F.2d 36
     (6th Cir. 1990) (unpublished table decision)
    (describing how CSX was able to “control rail traffic” using its tracks through
    “train orders” and “proceed signals”). Moreover, we agree with the district court
    that this finding was sufficient to support the conclusion that, as a matter of law,
    CSX was “operating” the Amtrak train as defined in the Crossing Agreement at the
    time of the collision. Under Florida contract law, where the contract terms are
    clear and unambiguous, a court must give effect to the plain meaning of the terms.
    See Burns v. Barfield, 
    732 So. 2d 1202
    , 1205 (Fla. Dist. Ct. App. 1999). Courts
    may resort to reference materials to determine the accepted plain meaning of a
    particular term. See 
    id.
     (relying on dictionary definition of “third party”). Such
    inquiry reveals that “operate” is defined as “to cause to occur”; “to cause to
    function”; “to manage and put or keep in operation.” W EBSTER’S T HIRD N EW
    18
    INTERNATIONAL D ICTIONARY 1580-81 (1993). Based on this definition, coupled
    with the district court’s undisputed factual finding that CSX dictated how Amtrak
    trains functioned and managed the trains’ operations, we conclude as a matter of
    law that CSX “operated” the Amtrak trains as defined in the Crossing Agreement.
    Moreover, we note that the Crossing Agreement provided indemnity for claims
    arising from the “use” of the crossing by “any other company” whose property was
    operated by CSX. See R1-187, Ex. A at ¶¶ 1.2, 14.2. Because it is undisputed that
    Amtrak trains were at all times before and after the execution of the Crossing
    Agreement regularly using the CSX tracks, we find that the construction of the
    indemnity agreement offered by KUA and FMPA would effectively render these
    provisions mere surplusage. See Hargrave v. Hargrave, 
    728 So. 2d 366
    , 367 (Fla.
    Dist. Ct. App. 1999) (noting that “[e]very provision in a contract should be given
    meaning and effect” to avoid rendering any provision “mere surplusage”).
    Accordingly, we conclude the district court properly concluded that CSX
    “operated” the Amtrak train involved in the collision as defined in the Crossing
    Agreement, thereby triggering the duty of KUA and FMPA to indemnify Amtrak.
    In sum, then, based on the Supreme Court of Florida’s opinion and our
    determinations in this opinion, we conclude that the district court did not err in
    finding that the indemnity provision in the Crossing Agreement obligated KUA
    19
    and FMPA to indemnify both CSX and Amtrak. Accordingly, the district court’s
    grant of partial summary judgment on this issue in favor of CSX and Amtrak is
    affirmed.
    III. CONCLUSION
    In this appeal, we were called upon to review the district court’s orders in
    light of the responses to four questions we certified previously in this case to the
    Supreme Court of Florida. Based on the Florida Supreme Court’s determinations
    and our analysis of the parties’ remaining arguments, we have concluded that the
    district court properly applied the Florida comparative fault statute, F LA. S TAT. ch.
    768.81, to limit AHA’s recovery to 41% of its proven damages, and properly
    concluded that the indemnity provision in the Crossing Agreement obligated KUA
    and FMPA to indemnify CSX and Amtrak. Accordingly, the district court’s
    disposition of the certified issues is AFFIRMED.
    20