 |
 |
to fill out a simple form to connect to Personal Injury Lawyers in your area.
|
|
|
|
|
Pearson v. National Feeding Systems11/21/2002
, cannot be said to have created the risk of a product manufactured by its predecessor, and, except in a very remote way, does not realize the profit for the sale of a predecessor's product. Generally speaking, the successor corporation has neither invited use of its predecessor's product nor represented to the public that that product is safe and suitable for use.
As stated in Guerrero v. Allison Engine Co., 725 N.E.2d 479 (Ind. Ct. App. 2000), the rationale behind the product-line exception remaining the minority position in the courts in the United States is as follows:
Strict liability should not be imposed because: the successor corporation did not create the risk nor did it directly profit from the predecessor's sale of the defective product; it did not solicit the use of the defective product nor make any representations as to its safety; and it is not able to enhance the safety of a product that is already on the market. Id. at 483 citing Johnston v. Amsted Industries. Inc., 830 P.2d 1141, 1144 (Colo.Ct.App. 1992). The product-line exception is "inconsistent with the principles of strict liability and result in the imposition of liability without a corresponding duty." Guerro, supra, at 483.
Finally, Pearson claims that it was error for the Court of Appeals to defer to the legislature on this question. Any reliance by Pearson on Giuliani v. Guiler, Ky., 951 S.W.2d 318 (1997), is misplaced. The legal and factual circumstances before the Court in Giuliani, supra, are very different from those here. In that case, we recognized a cause of action for a loss of parental consortium by a child. The legislature on its own had previously recognized the loss of consortium for a parent on the death of a child in KRS 411.135. Clearly, there was a progressive development in the law of consortium which is not found in the law of products liability. Moreover, Giuliani does not place an affirmative duty on the courts to act in the absence of the failure of the legislature to do so, but instead, stands for the proposition that it is not the sole province of the legislature to develop the common law. "In the absence of a legislative decree, courts may adopt and apply public policy principles." Giuliani at 321.
It is the decision of this Court that the circuit judge properly determined that there were no genuine issues of material fact and that National was entitled to a judgment as a matter of law pursuant to CR 56.03. National Feeding, the purchasing corporation, had no liability because none of the four exceptions to the general rule for the application of successor liability, as stated in American Railway, were applicable.
Pearson has failed to present any evidence or legal authority to establish that any of the exceptions apply. There is no evidence that National Feeding assumed liability for the product in the event it was proved defective. National Feeding did not merge nor continue the predecessor's business and it did not create the risk that Pearson was allegedly exposed to. It was not in a position to influence the manufacturing company at the time of the manufacture of the product, to enhance the safety of the machine.
American Railway remains the law of Kentucky without question. We respectfully decline to extend Kentucky law to adopt the product-line exception.
The decisions of the Court of Appeals and the circuit court are affirmed.
All concur.
|