Herlihy v. Ply-Gem Industries, Inc.

752 F. Supp. 1282, 1990 U.S. Dist. LEXIS 16917, 1990 WL 205947
CourtDistrict Court, D. Maryland
DecidedDecember 13, 1990
DocketCiv. H-90-1208
StatusPublished
Cited by17 cases

This text of 752 F. Supp. 1282 (Herlihy v. Ply-Gem Industries, Inc.) is published on Counsel Stack Legal Research, covering District Court, D. Maryland primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Herlihy v. Ply-Gem Industries, Inc., 752 F. Supp. 1282, 1990 U.S. Dist. LEXIS 16917, 1990 WL 205947 (D. Md. 1990).

Opinion

ALEXANDER HARVEY, II, Chief Judge.

Presently pending before the Court in this civil action are motions to dismiss filed by all defendants. Plaintiffs are three citizens of the State of Maryland suing individually and allegedly on behalf of a class of individuals which has not as yet been certified. Plaintiffs have here sued six corporate defendants 1 claiming that a fire retardant plywood product, installed on the roofs of plaintiffs’ homes, has begun or will begin to deteriorate and cause damage to the roofs and roof support systems. Defendants allegedly manufacture and sell the product. Inter alia, claims of a breach of implied warranty, negligence and strict liability are asserted. Diversity jurisdiction is alleged pursuant to 28 U.S.C. § 1332(a).

All six named defendants have filed motions to dismiss the complaint. Defendants’ principal contention is that plaintiffs have failed to satisfy the jurisdictional requirement that the amount in controversy for each claim must exceed $50,000, exclusive of interest and costs. Defendants further argue, inter alia, that plaintiffs do not have standing to sue because they have not alleged an injury-in-fact caused by the conduct of each defendant.

Memoranda, affidavits and exhibits in support of and in opposition to the pending motions have been filed. Oral argument has been heard in open court. For the reasons to be stated herein, defendants’ motions to dismiss will be granted.

I

Facts

Fire retardant (FRT) plywood is a construction material which has been treated with chemicals and is designed to create a fire-stopping acidic reaction upon exposure to high temperatures such as those reached during a fire. Because this material fulfills building code requirements that attached buildings have a fire barrier, it has been commonly used for the construction of the roofs of various residential buildings throughout the eastern region of the United States. Plaintiffs allege that FRT plywood does not operate as designed because rooftops often reach high temperatures in warm weather, and because the chemical reaction takes place in the absence of a fire, leading to a deterioration of the plywood and roof supports upon which the plywood is placed.

Plaintiffs Laura Herlihy, F. Brett Platko, and Quinn Thomas Hurley are all residents of Gaithersburg, Maryland, and each plaintiff is the owner of a home, the roof of which has been constructed with FRT plywood. Defendants are corporations located in states other than Maryland and are each engaged in the manufacturing, testing, distributing and selling of FRT plywood products. Plaintiffs estimate that the total cost of replacing the roofs of members of the alleged class will be between $2 billion and $3 billion. If the amount in controversy for each plaintiff exceeds $50,000, diversity jurisdiction will exist since none of the defendants is incorporated in Maryland and none has a principal place of business in Maryland. See 28 U.S.C. § 1332(a).

II

The Claims

Plaintiffs have brought suit alleging that defendants have, in manufacturing and testing FRT plywood products, breached various duties owed to them. The complaint is in five counts. In Count I, plain *1285 tiffs assert a cause of action based upon a breach of implied warranties concerning the structural integrity and intended purpose of FRT plywood. Count II alleges a claim of negligence based on defendants’ alleged failure to exercise reasonable care in the manufacturing, testing, distribution and sale of FRT plywood. Count III asserts that defendants are liable to plaintiffs under a theory of strict liability for the alleged manufacture and sale of an unreasonably dangerous product.

Count IY alleges that defendants are liable for the actions of each defendant because they acted pursuant to a common plan or concert of action for the benefit of the plywood industry, each giving the others substantial assistance in subjecting plaintiffs to an unreasonable risk of harm. Count V seeks equitable relief in the form of a mandatory injunction whereby the Court would compel defendants to create a monetary fund to be used to pay for remedial action consisting of the monitoring, testing, and replacement of the roofs of plaintiffs and members of the alleged class.

Ill

Applicable Principles of Law

A motion to dismiss under Rule 12(b)(6), F.R.Civ.P., may be granted if it appears beyond doubt that the plaintiff can prove no set of facts in support of his claim which would entitle him to relief. Conley v. Gibson, 355 U.S. 41, 45-46, 78 S.Ct. 99, 101-102, 2 L.Ed.2d 80 (1957). In determining whether to dismiss a complaint, this Court must view the well-pleaded allegations in a light most favorable to the plaintiff, with the alleged facts accepted as true. 2A Moore’s Federal Practice Para. 12.07 [2.-5] (2d ed. 1987). A complaint may be dismissed for lack of subject matter jurisdiction if it appears to a legal certainty that the plaintiffs claim is for less than the jurisdictional amount. St. Paul Mercury Indemnity Co. v. Red Cab Co., 303 U.S. 283, 288, 289, 58 S.Ct. 586, 590, 82 L.Ed. 845 (1938).

The first inquiry which should be made by a federal court in a ease before it is a determination as to the existence of jurisdiction. A federal court is a court of limited jurisdiction, and it is necessary that the facts of a dispute be closely examined by the court to determine whether federal jurisdiction exists. Jurisdiction has been claimed to exist in this case under 28 U.S.C. § 1332(a), and the first essential inquiry here is whether the jurisdictional requirement of $50,000 has been met. In Healy v. Ratta, 292 U.S. 263, 269-70, 54 S.Ct. 700, 703, 78 L.Ed. 1248 (1933), the Supreme Court,, in discussing an earlier form of § 1332, said the following:

From the beginning suit between citizens of different states, or involving federal questions, could neither by brought in the federal courts nor removed to them, unless the value of the matter in controversy was more than a specified amount. Cases involving lesser amounts have been left to be dealt with exclusively by state courts, except that judgment of the highest court of a state adjudicating a federal right may be reviewed by this Court. Pursuant to this policy the jurisdiction of federal courts of first instance has been narrowed by successive acts of Congress, which have progressively increased the jurisdictional amount. The policy of the statute calls for its strict construction.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Petruzzo v. National Union Fire Insurance
124 F. Supp. 3d 642 (E.D. North Carolina, 2015)
Jones v. Pohanka Auto North, Inc.
43 F. Supp. 3d 554 (D. Maryland, 2014)
Chambers v. King Buick GMC, LLC
43 F. Supp. 3d 575 (D. Maryland, 2014)
Dobyns v. United States
91 Fed. Cl. 412 (Federal Claims, 2010)
Kuei-I Wu v. Mamsi Life & Health Insurance
256 F.R.D. 158 (D. Maryland, 2008)
Wright v. U.S. Postal Service
305 F. Supp. 2d 562 (D. Maryland, 2004)
Dash v. FIRSTPLUS HOME LOAN TRUST 1996-2
248 F. Supp. 2d 489 (M.D. North Carolina, 2003)
Mayo v. Hartford Life Insurance
214 F.R.D. 465 (S.D. Texas, 2002)
Miller v. Pacific Shore Funding
224 F. Supp. 2d 977 (D. Maryland, 2002)
Christian v. Minnesota Mining & Manufacturing Co.
126 F. Supp. 2d 951 (D. Maryland, 2001)
Rassa v. Rollins Protective Services Co.
30 F. Supp. 2d 538 (D. Maryland, 1998)
Line v. Astro Manufacturing Co.
993 F. Supp. 1033 (E.D. Kentucky, 1998)
Schramek v. Jones
877 F. Supp. 622 (M.D. Florida, 1995)
Pulte Home Corp., Inc. v. Ply Gem Industries, Inc.
804 F. Supp. 1471 (M.D. Florida, 1992)

Cite This Page — Counsel Stack

Bluebook (online)
752 F. Supp. 1282, 1990 U.S. Dist. LEXIS 16917, 1990 WL 205947, Counsel Stack Legal Research, https://law.counselstack.com/opinion/herlihy-v-ply-gem-industries-inc-mdd-1990.