Justia Products Liability Opinion Summaries

The City of Boston, along with its Public Health Commission and Housing Authority, brought suit against two pharmacy benefit managers (PBMs), OptumRx and Express Scripts, alleging that the PBMs had worked with opioid manufacturers to misrepresent the risks of opioid drugs. The City claimed that this conduct violated Massachusetts public nuisance law and resulted in harm to the City. The PBMs removed the case to federal court and argued that the suit was untimely because it was brought after the three-year statute of limitations had expired. The City responded by asserting that its complaint sufficiently alleged a continuing nuisance and that the statute of limitations should be tolled due to the PBMs’ fraudulent concealment of their wrongdoing.The United States District Court for the District of Massachusetts granted the PBMs’ motion to dismiss, finding that the City either knew or should have known of its injuries and of the PBMs’ alleged role before 2021, based on public records and prior litigation, and thus failed to file suit within the statutory period. The district court further ruled that the City had not adequately pled a continuing nuisance, as it did not allege any specific, recent unlawful acts within the limitations period, and rejected the City’s claim of fraudulent concealment, determining that the City had the means to discover the facts needed for its claim. The district court also denied a motion by the PBMs to disqualify the City's law firm, Motley Rice.On appeal, the United States Court of Appeals for the First Circuit affirmed both the dismissal of the City’s state law claim and the denial of the motion to disqualify Motley Rice. The court held that the action was time-barred and that the City had not met the requirements for tolling the statute of limitations or for pleading a continuing nuisance under Massachusetts law. View "The City of Boston v. OptumRx, Inc." on Justia Law

A laser-cutting system operator died after being trapped between components of an industrial laser-cutting system when a steel beam descended into a gap, resulting in fatal injuries. The system, designed, sold, installed, and maintained by one company, consisted of several components, including a material handler, load frame, and main frame. On the day of the incident, the operator entered a narrow gap between the material handler and the load frame; when the system was activated, a steel beam pinned him, leading to his death. There were multiple possible routes into the gap, and prior incidents indicated the operator had previously entered the area. The estate of the deceased operator sued the designer and installer for negligent design, negligent installation, breach of warranty of merchantability (based on design and manufacturing defects), and negligent failure to maintain and warn of dangerous conditions.The case was initially filed in state court, then removed to the United States District Court for the District of Massachusetts. After discovery, the district court granted summary judgment to the defendant on all claims. The district court found that the system included a barrier fence at installation, making the system adequately protected and negating breach of warranty or negligent design claims. For the claims related to maintenance and failure to warn, the court found no triable issue on causation, as there was insufficient evidence that the operator had entered the gap through the unguarded wall-side opening.On appeal, the United States Court of Appeals for the First Circuit vacated the district court’s summary judgment on the design-related claims, finding a genuine factual dispute as to whether a reasonable alternative design—such as additional safety devices—could have mitigated the system’s risks. However, the appellate court affirmed summary judgment on the installation, maintenance, and failure to warn claims, concluding there was insufficient evidence to establish causation for those theories. The case was remanded for further proceedings on the design claims. View "Alicea v. Cincinnati Incorporated" on Justia Law

Peterson’s Oil Service, Inc. supplied heating fuel to customers in Massachusetts between 2012 and 2019. The fuel contained higher-than-standard levels of biodiesel, averaging 35% between 2015 and 2018, exceeding the 5% industry standard for ordinary heating oil. Customers alleged that this biodiesel-blended fuel was incompatible with conventional heating systems, caused repeated heat loss, and resulted in permanent damage to their equipment. They brought a class action in Massachusetts state court against Peterson’s and its officers, asserting claims for breach of contract, fraud, and negligence, including allegations that Peterson’s continued supplying the fuel despite customer complaints and only later disclosed the high biodiesel content.United States Fire Insurance Company and The North River Insurance Company had issued Peterson’s a series of commercial general liability and umbrella policies. The insurers initially defended Peterson’s in the class action under a reservation of rights, then filed suit in the United States District Court for the District of Massachusetts seeking a declaration that they owed no duty to defend or indemnify Peterson’s. The insurers moved for summary judgment, arguing that the claims did not arise from a covered “occurrence” and that policy provisions limiting or excluding coverage for failure to supply applied. The district court denied summary judgment, finding a genuine dispute as to whether Peterson’s actions were accidental and holding that the failure-to-supply provisions were ambiguous and did not apply.On appeal, the United States Court of Appeals for the First Circuit affirmed. The court held that the underlying complaint alleged a potentially covered “occurrence” because it was possible Peterson’s did not intend or expect the property damage alleged. The court also held that the failure-to-supply provisions were ambiguous and, under Massachusetts law, must be construed in favor of coverage. The district court’s summary judgment rulings were affirmed. View "United States Fire Insurance Company v. Peterson's Oil Service, Inc." on Justia Law

Plaintiffs MSP Recovery Claims, Series LLC; MSPA Claims 1, LLC; and Series PMPI filed a lawsuit in September 2018 against Fresenius Medical Care Holdings and related entities, alleging negligence, product liability, and design defect claims related to the GranuFlo product used in hemodialysis treatments. The claims arose from a 2012 public memorandum by Fresenius that GranuFlo could lead to cardiopulmonary arrest. The plaintiffs argued that the statute of limitations was tolled by a putative class action filed in 2013 (the Berzas action) in the Eastern District of Louisiana, which was later transferred to the District of Massachusetts as part of multidistrict litigation (MDL).The District Court for the District of Massachusetts dismissed the plaintiffs' claims as time-barred, concluding that the Berzas action ceased to be a class action by June 2014 when the named plaintiffs filed Short Form Complaints or stipulations of dismissal, which did not include class allegations. The court also noted that the Berzas plaintiffs did not pursue class certification actively, and the case was administratively closed in April 2019.The United States Court of Appeals for the First Circuit affirmed the district court's decision. The First Circuit held that the Berzas action lost its class action status by June 2014, and any tolling under American Pipe & Construction Co. v. Utah ended at that time. The court reasoned that allowing indefinite tolling based on an inactive class certification request would contravene the principles of efficiency and economy in litigation. Therefore, the plaintiffs' 2018 complaint was untimely, and the district court's dismissal was upheld. View "MSP Recovery Claims, Series LLC v. Fresenius Medical Care Holdings, Inc." on Justia Law

Maribel Quilez-Bonelli died from injuries she received in an automobile accident with a truck used by employees of the Municipality of San Juan. The truck had fitted onto its trash body an underride guard designed by Ox Bodies, Inc. Maribel’s family members (collectively, Quilez) brought suit in federal district court against Ox Bodies, seeking damages for negligence and defective design of the under ride guard. A jury found Ox Bodies strictly liable for defective design and awarded Plaintiffs $6 million in damages. The jury assigned twenty percent of responsibility for the damages to Ox Bodies and eighty percent to the Municipality of San Juan, which was not a party in the suit. The magistrate judge ruled that Ox Bodies should be held responsible for only twenty percent of the damages award. Both parties appealed. The First Circuit (1) affirmed the magistrate judge’s decision to admit the testimony of Quilez’s expert regarding an alternative underride guard design; and (2) as to Quilez’s appeal, certified to the Supreme Court of Puerto Rico the question of the extent of Ox Bodies’ liability for the damages award. View "Quilez-Velar v. Ox Bodies, Inc." on Justia Law