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Eagle-Picher Industries Inc. v. Balbos

8/29/1990

ffering from asbestosis, so they "can live and work in peace and the company can benefit by [their] many years of experience." Id. at 250.


Evidence of Wanton or Reckless Disregard


A. Owens-Illinois


Appellee maintains that the evidence showed the necessary wanton and reckless conduct by appellant Owens-Illinois. In support of this contention, appellee cites


deposition testimony of Willis Hazard which was read into evidence. Hazard worked for Owens-Illinois from 1934 to 1942 and from 1946 to 1974 as an industrial hygienist. He testified that he knew of health problems associated with asbestos as early as 1946. He was aware in 1946 that Owens-Illinois had entered into an agreement with Saranac Laboratory to examine the health risks associated with their asbestos containing product, Kaylo.


Hazard testified that some time "in or around 1948," he learned of the conclusion by Dr. Vorwald, who was associated with the Saranac study, that inhaling Kaylo dust could produce asbestosis in animals, and must be regarded as a potentially hazardous material. After this letter was received, Hazard admitted that Owens-Illinois did not issue any warnings to customers or users of Kaylo, and he did not know whether the company did anything to eliminate asbestos from Kaylo. Appellee also introduced a letter dated March 12, 1943, from Dr. Leroy Gardner of the Saranac Laboratory to Dr. Bowes, Director of Research at Owens-Illinois. The letter, commenting on a synthetic insulating material Owens-Illinois was developing, stated "the fact that you are starting with a mixture of quartz and asbestos would certainly suggest that you have all of the ingredients of a first class hazard." Appellee suggests that this is ample evidence from which a jury could infer that appellant engaged in wanton and reckless conduct.


B. Eagle-Picher


In support of their contention that there was also sufficient evidence to sustain the punitive damages award against appellant Eagle-Picher, appellee cites the following evidence which indicates knowledge by Eagle-Picher of the dangers of its product. This evidence included the Aber document, the article "Industrial Dust" by Drinker and Hatch, the pathology of asbestos exposure discussed in Rutherford and Johnstone's "Occupational Medicine and Industrial Hygiene," the testimony of defense witness Kenneth Nelson on minimum standards for U.S. shipyards in


1943 which noted the dangers of asbestos exposure, and the receipt into evidence of the Faciane asbestos suit. In addition, Dr. Barry Castleman, appellees' state-of-the-art witness, testified that there were numerous articles in the medical literature documenting the hazards of asbestos with which appellant was charged with knowledge. Appellee also recapitulates the admission by Eagle-Picher that it did not issue a warning until 1964.


Appellee argues that the jury could infer from the testimony and exhibits noted above that the management at Owens-Illinois and Eagle-Picher knew about the hazards of its asbestos products in the 1940's, yet did not take reasonable precautions to protect the users of these products. This, they assert, was sufficient evidence from which a jury could infer that appellant engaged in wanton and reckless conduct.


Numerous articles in the medical literature were cited by the appellee documenting the hazards of asbestos with which both Eagle-Picher and Owens-Illinois are charged with knowledge. These articles, however, deal with the hazards of prolonged exposure to asbestos in the manufacturing or application process. Appellee does not maintain that any of the literature suggests any danger from exposure to ei

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