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Craftsman Builder's Supply Inc. v. Butler Manufacturing Co.3/5/1999
n action for negligence must be brought within four years from the date on which the negligent act giving rise to the claim occurred and that any negligent act by U.S. Construction occurred in 1978; thus, the negligence claim was barred.
Fourth, the court held that in any event, all the claims, including the products liability claim, were subsumed and barred by the builders statute of repose. See ยง 78-12-25.5 (1996).
On October 23, 1996, Butler moved for summary judgment, arguing, as U.S. Construction did, that Craftsman's claims were barred by the applicable statutes of limitation and by the builders statute of repose. Craftsman opposed the motion, arguing that the builders statute of repose was unconstitutional under article I, section 11 of the Utah Constitution (the "open courts" clause). In granting Butler's motion, the court ruled that the applicable statutes of limitation and the builders statute of repose barred Craftsman's claims as set forth in its ruling on U.S. Construction's motion. The court also held that the builders statute of repose was constitutional.
Craftsman now appeals. First, Craftsman argues that the builders statute of repose violates the open courts clause and thus cannot operate to bar any of its claims. Craftsman further argues that the applicable statutes of limitation cannot bar its claims for the following reasons: (1) The warranty claims are not barred because the contract was for services, not goods, and, thus, the UCC statute of limitations does not apply. Alternatively, if the UCC statute applies, then the specification that the building's roof withstand forty pounds per square foot constituted an express warranty which extended to future performance; thus, the express warranty claim falls within the discovery rule provision of the UCC statute of limitations and is not barred. (2) The negligence cause of action is not barred because it did not accrue, and its four-year statute of limitations did not start to run, until the building collapsed in 1993 and Craftsman suffered damage. (3) The products liability claim is not barred because, as the court had previously held, it was filed within the two-year statute of limitations for products liability claims.
Second, Craftsman argues that even if the builders statute of repose is constitutional, then (1) it does not bar Craftsman's claims because the plain language of the statute provides that the periods of repose are "subject to" a discovery rule, and Craftsman brought its claims within two years after discovery; (2) it does not bar Craftsman's breach of express warranty claim because the alleged warranty that the roof withstand forty pounds per square foot extended beyond six years and was thus preserved under the terms of the statute; and (3) it does not bar Craftsman's products liability claim because the products liability statute of limitations is more specific and should apply instead of the broader builders statute of repose.
Therefore, the threshold issue before us is whether the builders statute of repose is constitutional under the open courts clause. Because we hold that the statute is constitutional, the remaining issues we must address are (1) whether the repose periods are "subject to" a discovery rule; (2) whether there was a warranty extending beyond six years, thus rendering the statute of repose inapplicable to the express warranty claim; and (3) whether the products liability statute of limitations should apply instead of the builders statute of repose, because the products liability statute is the more specific statute.
STANDARD OF REVIEW
Summary judgment is appropriate only when "there is no genuine issue as to an
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