Justia Products Liability Opinion Summaries

Articles Posted in Consumer Law
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Plaintiff was diagnosed with drug-induced lupus, allegedly a side effect from using Solodyn, a treatment for acne. Plaintiff sued Medicis Pharmaceutical Corporation, which manufactures and distributes Solodyn, alleging that Medicis knowingly represented and omitted material facts in connection with the sale or advertisement of Solodyn in violation of the Consumer Fraud Act (CFA). Plaintiff also alleged that Medicis failed to adequately warn her of the consequences of the long-term use of Solodyn. The superior court granted Medicis’s motion to dismiss. At issue on appeal was the learned intermediary doctrine (LID), under which a manufacturer satisfies its duty to warn end users by giving appropriate warnings to the class of persons who may prescribe or administer the product. The Supreme Court reversed the superior court’s order dismissing Plaintiff’s complaint, holding (1) the LID does not prevent Plaintiff from suing Medicis; (2) Plaintiff alleged sufficient facts to survive Medicis’s motion to dismiss with regard to her products liability claim; and (3) the CFA applies to prescription pharmaceuticals, and therefore, Plaintiff alleged an actionable claim under the CFA. View "Watts v. Medicis Pharmaceutical Corp." on Justia Law

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Defendants challenged a district court order requiring that they add two statements to their cigarette packages and advertisements: an announcement that a federal court has ruled that they “deliberately deceived the American public” about the dangers of cigarettes; and a declaration that they “intentionally designed cigarettes” to maximize addiction. The court concluded that given its earlier decisions in this case, the manufacturers’ objection to disclosing that they intentionally designed cigarettes to ensure addiction is both waived and foreclosed by the law of the case. Those decisions make equally clear that the district court, in ordering defendants to announce that they deliberately deceived the public, exceeded its authority under the Racketeer Influenced and Corrupt Organizations Act (RICO), 18 U.S.C. 1961-1968, to craft remedies that “prevent and restrain” future violations. 18 U.S.C. 1964(a). The court affirmed in part, reversed in part, and remanded for further proceedings. View "United States v. Philip Morris USA Inc." on Justia Law

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A 2006 class action against Pella, a window manufacturer, alleged that certain windows had a design defect that allowed water to enter behind exterior aluminum cladding and damage the wooden frame and the house itself. The district judge certified a class for customers who had already replaced or repaired their windows, seeking damages and limited to six states, and another for those who had not, seeking only declaratory relief nationwide. Initially, there was one named plaintiff, Saltzman. His son-in-law, Weiss, was lead class counsel. Weiss is under investigation for multiple improprieties. The Seventh Circuit upheld the certifications. Class counsel negotiated a settlement in 2011 that directed Pella to pay $11 million in attorneys’ fees based on an assertion that the settlement was worth $90 million to the class. In 2013, before the deadline for filing claims, the district judge approved the settlement, which purports to bind a single nation-wide class of all owners of defective windows, whether or not they have replaced or repaired the windows. The agreement gave lead class counsel “sole discretion” to allocate attorneys’ fees; Weiss proposed to allocate 73 percent to his own firm. Weiss removed four original class representatives who opposed the settlement; their replacements joined Saltzman in supporting it. Named plaintiffs were each compensated $5,000 or $10,000 for their services, if they supported the settlement. Saltzman, as lead class representative, was to receive $10,000. The Seventh Circuit reversed, reversed, referring to “eight largely wasted years,” the need to remove Saltzman, Weiss, and Weiss’s firm as class representative and as class counsel, and to reinstate the four named plaintiffs. View "Riva v. Pella Corp." on Justia Law

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Seven years after Plyler installed a Whirlpool microwave oven and eight hours after using that oven, a houseguest woke him because of a fire in the microwave. Firefighters extinguished the fire. Plyler claims that he injured his elbow and knee while he ran into and out of his house and that he experienced post-traumatic stress disorder. At trial on negligent recall and strict liability claims, a fire department investigator could not identify a specific cause of the fire. Plyler blamed the fire on a product defect that had led Whirlpool to recall microwaves in 2001. Whirlpool’s Director of Global Product Safety testified that the ovens posed a fire hazard only if they contained splattered food. uncleaned for an extended time, and were running at the time of the fire. After Whirlpool discovered that 1.8 million microwaves contained the defect, it issued a recall through the Consumer Product Safety Commission, mailed notices to owners who had submitted a product registration card, and released news announcements. Although the average recall leads to repair or replacement of 10 to 15 percent of affected units, Whirlpool repaired 75 percent of the recalled microwave. Plyler stated that he kept his microwave clean; that he never received notice; that he paid for it with a credit card; and that Whirlpool should have been able to contact him. The jury found in favor of Whirlpool. The Seventh Circuit affirmed, rejecting challenges to rulings that limited Plyler’s testimony to his observations and that allowed questions about the relationship between the fire and his divorce.View "Plyler v. Whirlpool Corp." on Justia Law

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Company Doe filed suit to enjoin the Commission from publishing in its online, publicly accessible database a "report of harm" that attributed the death of an infant to a product manufactured and sold by Company Doe. Consumer Groups filed a post-judgment motion to intervene for the purpose of appealing the district court's sealing order as well as its decision to allow Company Doe to proceed under a pseudonym. The court held that Consumer Groups' notice of appeal deprived the district court of jurisdiction to entertain Consumer Groups' motion to intervene, and, therefore, the court vacated the district court's order denying intervention; Consumer Groups were able to seek appellate review of the district court's orders because they met the requirements for nonparty appellate standing and have independent Article III standing to challenge the orders; and, on the merits, the district court's sealing order violated the public's right of access under the First Amendment and the district court abused its discretion in allowing Company Doe to litigate pseudonymously. Accordingly, the court vacated in part, reversed in part, and remanded with instructions. View "Company Doe v. Public Citizen" on Justia Law

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Mead Johnson, purchased a primary Commercial General Liability policy from National Union, with a limit of $2 million for liability for “personal and advertising injury” and an excess liability policy from Lexington, with a limit of $25 million. Mead’s main product, Enfamil infant formula, is sold worldwide. Mead’s competitor, PBM, sued Mead for false advertising and consumer fraud and Mead sued PBM for trade dress infringement. PBM claimed that Mead had falsely asserted that PBM’s generic formula lacked key fats that promote brain and eye development. The suit sought $500 million in damages for product disparagement, a tort that the policies cover as a form of “advertising injury.” Mead did not notify the insurers of the suit until December 2009, after the suit ended in the $13.5 million verdict against Mead. Mead wanted its insurers to pay that judgment, plus a $15 million settlement that it made to resolve the class action suit. The insurers obtained declaratory judgments that they were not required to pay. The Seventh Circuit reversed the summary judgment in favor of the insurers in the suit relating to the PBM litigation, but affirmed the judgment in favor of National Union in the suit arising from the class action against Mead. View "Nat'l Union Fire Ins. Co. v. Mead Johnson & Co., LLC" on Justia Law

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Plaintiff, who had purchased a truck from an automobile dealership, filed a products liability suit in 2007 against the manufacturer and the dealership, as Seller. Later, Plaintiff entered a voluntary nonsuit as to Seller and proceeded only against the manufacturer. Over one year later, the manufacturer declared bankruptcy. In 2009, Plaintiff again sued Seller, alleging negligence and strict liability in tort. Seller filed a motion to dismiss, contending that the suit was barred by the statute of limitations. The trial court denied the motion, and the court of appeals denied the appeal. The Supreme Court granted Seller's application for permission to consider the application of the saving statute to the circumstances. The Supreme Court affirmed in part and reversed in part, holding (1) Plaintiff could proceed under the strict liability claim because that cause of action did not accrue until the manufacturer was judicially declared insolvent; and (2) because the second suit alleged acts of negligence on the part of Seller, an exception to the statutory rule prohibiting products liability suits against sellers, and could have been brought in 2007, the statute of limitations was a bar to recovery under that theory. Remanded for trial.View "Lind v. Beaman Dodge, Inc." on Justia Law

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Appellant Kia Motors America, Inc. unsuccessfully defended a class action lawsuit for breach of express warranty. It appealed a superior court's decision to affirm certification of the class by the trial court, and the amount of damages and litigation costs awarded to the class. Costs included a significant legal fee, entered pursuant to the Magnuson-Moss Warranty Improvement Act (MMWA). Appellee Shamell Samuel-Bassett, on behalf of herself and others similarly situated filed this class action lawsuit in January 2001, alleging that her Kia had an unsafe manufacturing defect in the braking system. In 2005, a jury rendered a verdict in favor of the class for breach of express warranty, and awarded damages in the amount of $600 per class member. The court molded the verdict to account for the 9,402 class members to which the parties had stipulated and recorded a $5.6 million verdict. Represented by new counsel, Kia filed an unsuccessful post-trial motion for judgment notwithstanding the verdict, or for a new trial. The issues on appeal to the Supreme Court were: (1) whether the class was properly certified; (2) whether evidence was sufficient to support the jury’s verdict and whether the verdict was against the weight of the evidence; (3) whether the jury’s verdict was properly molded to account for the 9,402 members of the class; (4) whether the trial court had authority to award attorneys’ fees after Bassett entered judgment on the class verdict; and (5) whether the risk multiplier was properly applied to an award of counsel fees under the MMWA. The Supreme Court affirmed in part, and reversed in part, the trial court's decision. The Court reversed the trial court to the extent that its order provided for enhancement of the attorneys' fees award beyond the amount permitted in the MMWA.View "Samuel-Bassett v. Kia Motors America, Inc." on Justia Law

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The trial court in this case ruled that under the Washington courts' application of "Frye v. United States," there must be general acceptance in the relevant scientific community that a particular type of in utero toxic exposure can cause a particular type of birth defect before expert testimony on causation is admissible. Plaintiff Julie Anderson worked for Akzo Nobel Coatings, Inc., from 1998 until she filed a safety complaint with the Washington State Department of Labor and Industries (L&I) and was fired. While it was not officially part of her job, Plaintiff regularly mixed paint. Employees were required by official company policy to wear respirators when mixing paint, but there was reason to believe that the policy was not rigorously enforced and may have been actively undermined by management. Plaintiff gave birth to a son in January 2000. By 2003, it was clear the child suffered from "medical abnormalities." He was diagnosed with a neuronal migration defect, congenital hemiplegia, microcephalus, and a multicystic dysplastic kidney, among other things, along with "delays in motor, communication, cognitive, and adaptive behavior." Upon review of the trial record, the Supreme Court disagreed with the trial court's interpretation and subsequent ruling on the issue. The Court held that the Frye test is not implicated if the theory and the methodology relied upon and used by the expert to reach an opinion on causation is generally accepted by the relevant scientific community. The Court affirmed the trial court's rulings on comparative fault and wrongful discharge. The case was remanded back to the trial court for further proceedings.View "Anderson v. Akzo Nobel Coatings, Inc." on Justia Law

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Plaintiff Gabriel Gaumer filed suit against Rossville Truck and Tractor Company, alleging negligence and strict liability for injuries caused by a used hay baler purchased from Rossville. The district court granted Rossville's motion for summary judgment on both the negligence and strict liability claims. The court of appeals affirmed the district court's decision regarding Gaumer's negligence claim but reversed on his strict liability claim. Rossville petitioned for review, and the Supreme Court granted the petition on the single issue of whether strict liability can be applied to a seller of used goods. After analyzing both the state's common law and the Kansas Product Liability Act, the Court held that sellers of used product are subject to strict liability in Kansas. The decision of the district court was therefore reversed, and the decision of the court of appeals was affirmed. Remanded.View "Gaumer v. Rossville Truck & Tractor Co." on Justia Law