County of Johnson v. United States Gypsum Co.

580 F. Supp. 284, 16 Educ. L. Rep. 798, 1984 U.S. Dist. LEXIS 20642
CourtDistrict Court, E.D. Tennessee
DecidedJanuary 9, 1984
DocketCIV-2-83-262
StatusPublished
Cited by30 cases

This text of 580 F. Supp. 284 (County of Johnson v. United States Gypsum Co.) is published on Counsel Stack Legal Research, covering District Court, E.D. Tennessee primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
County of Johnson v. United States Gypsum Co., 580 F. Supp. 284, 16 Educ. L. Rep. 798, 1984 U.S. Dist. LEXIS 20642 (E.D. Tenn. 1984).

Opinion

ORDER

HULL, District Judge.

The report and recommendation of the United States Magistrate is hereby adopted and approved.

Accordingly, it is ORDERED that the motions to dismiss of the defendants U.S. Gypsum, National Gypsum, Celotex, and Carey Canada are GRANTED IN PART *287 and DENIED IN PART. The plaintiffs claims based on the following theories are DISMISSED: (i) warranty; (ii) any action under the Tennessee Consumer’s Act; and (iii) nuisance. The plaintiff’s “Declaratory Relief Count” is DISMISSED. The defendants’ motions to dismiss (i) the negligence claim; (ii) the strict liability in tort claim; (iii) the fraud and misrepresentation claims; and (iv) the demand for punitive damages are DENIED.

REPORT AND RECOMMENDATION

ROBERT P. MURRIAN,

United States Magistrate.

This matter was referred to the undersigned United States Magistrate pursuant to 28 U.S.C. § 636(b) and the Rules of this Court for a report and recommendation regarding the disposition by the District Court of the defendants’ motions to dismiss for failure to state a claim upon which relief can be granted. Rule 12(b)(6), Federal Rules of Civil Procedure.

This is a civil action for damages and for declaratory relief based on the plaintiff’s allegations of negligence, strict liability, fraud and misrepresentation, breach of warranties, unfair and deceptive trade practices and nuisance concerning the sale of asbestos products used in the 1965-1966, construction of Johnson County High School. All of the defendants have moved to dismiss for failure to state a claim upon which relief can be granted on grounds that,

(1) all of the claims made by the plaintiff are barred by the applicable 10-year statute of limitations, T.C.A. § 29-28-103;
(2) the claims are barred by the four-year statute of limitations contained in T.C.A. § 28-3-202;
(3) the fraud and misrepresentation claim is barred by T.C.A. § 28-3-105;
(4) the claim based upon warranty is barred by T.C.A. § 47-2-725;
(5) the plaintiff has failed to state a claim upon which relief can be granted in connection with its warranty theory since privity of contract is not alleged between the plaintiff and any of the defendants, and such is required in order to recover for economic loss;
(6) the claim based upon § 402A of the Restatement 2d of Torts must be dismissed since this is not an action for personal injury or property damage;
(7) the claim based upon negligence does not and cannot allege either property damage or personal injury;
(8) The claim based upon the Tennessee Consumer Protection Act must be dismissed because (i) the facts upon which the plaintiff bases its claim do not state a claim under the Act, (ii) the Act took effect almost 20 years after the events in question here and it is not retroactive, and (iii) the claim is barred by T.C.A. § 47-18-110;
(9) the “Declaratory Relief Count” in the Complaint must be dismissed since the plaintiff seeks indemnity for hypothetical injuries in violation of Article III, § 2 of the United States Constitution;
(10) the claim based on fraud must be dismissed because it is not pleaded with sufficient particularity;
(11) the claim for punitive damages should be dismissed for failure to state a claim upon which relief can be granted;
(12) the nuisance claim should be dismissed for failure to state a claim upon which relief can be granted.

[Court File Nos. 16, 17, 18 and 19].

The plaintiff alleges these facts. In or about 1965-1966 the plaintiff constructed Johnson County High School. As a part of this construction acoustical plaster and ceiling plaster products containing high levels of asbestos were applied onto the ceilings of classrooms, halls, bandrooms, theatres, administrative- offices and other rooms throughout the school. Those products were allegedly mined, manufactured and sold by the defendants. Subsequently, the plaintiff learned that, as a result of normal wear, aging, abrasion, vibration, and impacts involving the ceilings occasioned by the normal and expected use of the building, asbestos particles, dust and fibers were being released into the air inside the *288 school building, making it imminently dangerous to human health. Asbestos fiber, it is alleged, is a cause of numerous lung diseases, including mesothelioma, lung cancer, asbestosis, and other diseases harmful to various bodily functions. The plaintiff claims that at the time of the sale of the products in 1966 or before, the defendants knew or should have known of the harmful characteristics of their products. Upon discovering the dangerous conditions created by the asbestos at Johnson County High School, the plaintiff instituted a program to alleviate the problem through removal of the asbestos products. During that removal process the plaintiff transported students to other facilities. The complaint in this action was filed in state court on August 16, 1983. On August 31, 1983, it was properly removed to this Court. On October 12, 1983, before a responsive pleading was served, the plaintiff amended its complaint, as of right, to allege misrepresentation pursuant to 402B, Restatement of Torts, Second, and to allege property damage caused to its ceiling, to its carpeting and to other parts of its property.

(1) The defendants argue that all of the plaintiffs claims are barred by the applicable ten-year statute of limitations, T.C.A. § 28-1-103. Initially, the plaintiffs argument must be considered that it is protected from the running of any statute of limitations by T.C.A. § 28-1-113, which provides as follows:

The provisions of this title [with regard to statutes of limitation] do not apply to actions brought by the state of Tennessee, unless otherwise provided.

The plaintiff argues that in operating the school system it is exercising a governmental function as an arm of the state government. As such, the plaintiff argues that it is entitled to the same protection from statutes of limitation as is the state itself.

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Bluebook (online)
580 F. Supp. 284, 16 Educ. L. Rep. 798, 1984 U.S. Dist. LEXIS 20642, Counsel Stack Legal Research, https://law.counselstack.com/opinion/county-of-johnson-v-united-states-gypsum-co-tned-1984.