United States v. Joe Grasso & Son, Inc.
United States Court of Appeals for the Fifth Circuit
380 F.2d 749 (5th Cir. 1967)
Joe Grasso & Son, Inc. (Grasso) (defendant) brought suit against the government (plaintiff) for the return of federal employment taxes it paid on behalf of fishermen that worked on seven of its shrimp boats. In its answer to Grasso’s complaint, the government brought a third-party complaint against the captains of each of the boats, arguing that if Grasso could successfully disprove the government’s allegation that Grasso employed the fishermen, then that fact would prove that the captains of the boats were the true employers. The district court dismissed the third-party claim, noting that the government ignored a third option, that is, that the fishermen were employees of no one. It found that the third-party claim did not arise out of the main claim, and the government filed an interlocutory appeal.
Rule of Law
Holding and Reasoning (Hutcheson, J.)
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