CONTACTS: Linda Rozett/Eric Wohlschlegel
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WASHINGTON, D.C.—Manufacturers in California could face virtually limitless product liability if an appellate court decision stands in County of Santa Clara v. Atlantic Richfield Company, according to an amicus brief filed recently by the National Chamber Litigation Center. 

 

“The California Supreme Court should put a stop to plaintiffs’ lawyers skirting the statute of limitations for product liability lawsuits,” said Robin Conrad, NCLC senior vice president. “Manufacturers could be exposed to virtually limitless liability if the courts decide that public nuisance laws are applicable in these cases.”

 

In the case, Santa Clara, along with other California government entities, filed a class action lawsuit against a group of lead paint manufacturers, including Atlantic Richfield Company, alleging fraud and product negligence. The lead products identified in the case were last used 20 years before the lawsuit was filed. In reversing the lower court, the appellate court permitted the plaintiffs to submit to a jury their product liability, public nuisance, negligence, and fraud claims. 

 

“Upholding the appellate court’s decision can have only one result—higher prices for consumers and fewer California jobs,” said Conrad. “If the plaintiffs’ lawyers succeed in gaming the product liability system, it will drive businesses and jobs out of California.”

 

The U.S. Chamber of Commerce is the world’s largest business federation representing more than 3 million businesses and organizations of every size, sector, and region. The National Chamber Litigation Center is a membership organization that advocates fair treatment of business in the courts and before regulatory agencies.

 

www.uschamber.com     

 

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