Hauboldt v. Union Carbide Corp.

467 N.W.2d 508, 160 Wis. 2d 662, 1991 Wisc. LEXIS 30
CourtWisconsin Supreme Court
DecidedApril 2, 1991
Docket89-1525
StatusPublished
Cited by30 cases

This text of 467 N.W.2d 508 (Hauboldt v. Union Carbide Corp.) is published on Counsel Stack Legal Research, covering Wisconsin Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Hauboldt v. Union Carbide Corp., 467 N.W.2d 508, 160 Wis. 2d 662, 1991 Wisc. LEXIS 30 (Wis. 1991).

Opinion

CALLOW, WILLIAM G., J.

This case is before this court on certification from the court of appeals pursuant to sec. (Rule) 809.61, Stats. The defendants-appellants Union Carbide Corporation and Bentley Superior Bradshaw Welding Supply (Union Carbide) appeal from a judgment for the plaintiff-respondent-cross appellant (Hauboldt) entered by the circuit court for Milwaukee county, Judge Michael P. Sullivan.

Union Carbide raises two issues on appeal. First, Union Carbide contends that the circuit court erred when it did not apply the "firefighter's rule" 1 to immu *667 nize Union Carbide from liability to a firefighter injured by the explosion of a defective acetylene tank manufactured by Union Carbide. Second, Union Carbide contends that the circuit court improperly excluded evidence of the landowner's or occupier's negligence, thus hindering its defense against Hauboldt's claim of product defect, and obstructing its claim for contribution against the land occupier (Coleman).

The firefighter Hauboldt raises a third issue as cross-appellant. Hauboldt contends that the circuit court improperly awarded interest to the impleaded plaintiff, cross-respondent Employers Insurance of Wausau (Employers). Hauboldt alleges that sec. 102.29, Stats. 1987-88, 2 only allows employers a right to reimbursement for monies paid to Hauboldt as compensation benefits, and does not provide for interest on those benefits.

We first conclude that Union Carbide is not entitled to the protection of the firefighter's rule. Public policy considerations support the application of this rule to landowners or occupiers whose negligence starts or fails to curtail a fire. However, no policy reasons support its application to manufacturers whose defective product injures a firefighter during the course of a fire (as opposed to a defective product which starts or contributes to the spread of the fire) when the danger caused by the defective product is not reasonably apparent or one not anticipated by the firefighter. We next conclude that the circuit court did not err in refusing to admit evidence of Coleman's negligence in constructing, maintaining and using the garage where the fire started and the acetylene tank was located. Finally, we conclude that the circuit court did not err in awarding interest at the rate of 12 percent on the compensation reimbursement to *668 which Employers was entitled. Because Employers was a party to the judgment it is entitled to interest on its portion of the award.

The relevant facts follow. Thomas Coleman (Coleman) repaired and painted automobiles in the garage of the house in which he lived. He shared the house with the third-party defendant, his mother Ruth Coleman. Ruth Coleman owned the house. In the garage, Coleman kept flammable painting chemicals, oxygen and acetylene in industrial-sized tanks, and other materials he used to repair automobiles and snowplow blades.

On the morning of January 8, 1983, a woodburning furnace which Coleman used to heat his garage started a fire. The fire ignited spilled gasoline and spread, causing other containers of flammable substances to explode. Ultimately, the fire reached the tanks, causing the oxygen tank to release its contents, and causing the acetylene tank manufactured by Union Carbide to explode.

Ruth Coleman called the Brookfield Fire Department after the fire started, but before the acetylene tank exploded. Police officers responding to the call asked Coleman if there were sealed containers or other items in the garage that might explode. Coleman responded that, "there was some paint thinner and a gas tank." Shortly after this, the fire department arrived to fight the fire. Coleman did not tell the firefighters about the acetylene tank in the garage.

As the firefighters attempted to extinguish the fire with water, the acetylene tank exploded, hurling Hauboldt forty-two feet through the air and into a parked car. This collision injured Hauboldt's back, neck and shoulder.

The acetylene tank was equipped with safety devices (fusible plugs) designed to melt in the event of a fire, to allow the tank to release the acetylene gas before *669 it exploded. The tank's design had been tested, and was consistent with government standards.

Hauboldt sued Union Carbide and its agents on the grounds that the acetylene tank was negligently manufactured and was inherently dangerous, making Union Carbide strictly liable for Hauboldt's injuries. Employers was impleaded as a plaintiff because it had made medical and disability payments to Hauboldt pursuant to the worker's compensation laws of Wisconsin, and was entitled to reimbursement under sec. 102.29, Stats. 3 Union Carbide filed a third-party action against the Colemans, *670 claiming contribution or indemnification on the basis of their negligent use and storage of the acetylene tank.

The circuit court denied Union Carbide's motion for summary judgment, finding that the firefighter’s rule did not apply to the manufacturer of a product which "aggravated the hazard." The circuit court also granted Hauboldt's motion to prohibit Union Carbide from introducing testimony related to Coleman's negligence in causing the start of the fire and creating the conditions under which it spread (e.g., evidence of code violations).

During the trial, Union Carbide presented evidence to support its theory that a "hot spot" on the tank caused the explosion, rather than a defect. Union Carbide claimed that when the oxygen tank next to the acetylene tank released its contents the fire magnified in intensity, creating a "hot spot" on the acetylene tank and causing it to explode before the fusible plugs could melt as they were designed.

Consistent with its rulings during the trial, the circuit court rejected Union Carbide's requested verdict and jury instructions concerning Coleman's negligence (other than his failure to warn) and submitted to the jury the question of Coleman's failure to warn the police officers and firefighters. The jury found Union Carbide 88 percent causally negligent, finding that the tank was defective and unreasonably dangerous when it left Union Carbide, and that Union Carbide was causally negligent in designing or manufacturing the tank and in failing to warn of the explosive nature of the tank. The jury found Coleman 12 percent causally negligent for his failure to warn the firefighters of the presence of the tank. The jury assessed damages against Union Carbide for *671 $1,011,000 for injuries to Hauboldt and $25,000 for loss of consortium for his wife.

In its judgment, the circuit court affirmed the jury's holding, and divided the award according to the formula in sec. 102.29(1), Stats. In addition to the reimbursement due Employers ($104,017.66), the court awarded Employers post-judgment interest on this amount at the rate of 12 percent.

The parties appealed this holding. The court of appeals certified this case to us for review and determination pursuant to sec. (Rule) 809.61, Stats.

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Bluebook (online)
467 N.W.2d 508, 160 Wis. 2d 662, 1991 Wisc. LEXIS 30, Counsel Stack Legal Research, https://law.counselstack.com/opinion/hauboldt-v-union-carbide-corp-wis-1991.