Kansas City Southern Railway wins dismissal of breach of contract and FRSA action

Client(s) Kansas City Southern Railway Company, The

Jones Day successfully obtained a dismissal on behalf of Kansas City Southern Railway Company ("KCSR") in a breach of contract and Federal Railroad Safety Act ("FRSA") lawsuit brought by an employee in federal court in Texas.  The employee initially filed a complaint against KCSR with OSHA alleging retaliation pursuant to the FRSA. The initial complaint was settled, and the settlement agreement was approved by OSHA and, by its terms, was a final order of the Secretary of Labor. The employee later claimed the settlement terms were breached and filed the lawsuit to enforce his interpretation of the settlement agreement or, alternatively, to proceed with prosecution of his settled FRSA claim. Following briefing and oral argument, the Court agreed with KCSR and held that the FRSA does not permit a private individual to pursue enforcement of a final order of the Secretary of Labor. The Court dismissed all of the employee's claims with prejudice due to a lack of subject matter jurisdiction.

Mark Grigsby vs. The Kansas City Southern Railway Company, No. 3:13-cv-418 (S.D. Tex. March 2014)