Home Depot U. S. A., Inc. v. Wabash National Corp.

724 S.E.2d 53, 314 Ga. App. 360, 2012 Fulton County D. Rep. 778, 2012 WL 604035, 2012 Ga. App. LEXIS 197
CourtCourt of Appeals of Georgia
DecidedFebruary 27, 2012
DocketA11A1806
StatusPublished
Cited by37 cases

This text of 724 S.E.2d 53 (Home Depot U. S. A., Inc. v. Wabash National Corp.) is published on Counsel Stack Legal Research, covering Court of Appeals of Georgia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Home Depot U. S. A., Inc. v. Wabash National Corp., 724 S.E.2d 53, 314 Ga. App. 360, 2012 Fulton County D. Rep. 778, 2012 WL 604035, 2012 Ga. App. LEXIS 197 (Ga. Ct. App. 2012).

Opinions

BARNES, Presiding Judge.

This case centers on 33 flatbed trailers manufactured by Wabash National Corporation and leased to Home Depot U. S. A., Inc. After using the trailers for several years, Home Depot brought this action against Wabash in which it alleged multiple tort claims predicated on its assertion that the coupling assemblies of the 33 trailers had been defectively manufactured. Home Depot also asserted multiple claims pertaining to a repair procedure developed by Wabash for correcting cracks and corrosion in the coupling assemblies of the trailers. Following discovery, the trial court entered an order granting summary judgment in favor of Wabash on all of Home Depot’s claims. For the reasons discussed below, we affirm.

To prevail at summary judgment under OCGA § 9-11-56, the moving party must demonstrate that there is no genuine issue of material fact and that the undisputed facts, viewed in [361]*361the light most favorable to the nonmoving party, warrant judgment as a matter of law. OCGA § 9-11-56 (c). A defendant may do this by showing the court that the documents, affidavits, depositions and other evidence in the record reveal that there is no evidence sufficient to create a jury issue on at least one essential element of plaintiffs case. If there is no evidence sufficient to create a genuine issue as to any essential element of plaintiffs claim, that claim tumbles like a house of cards. All of the other disputes of fact are rendered immaterial.

(Emphasis omitted.) Lau’s Corp. v. Haskins, 261 Ga. 491 (405 SE2d 474) (1991).

Viewed in the light most favorable to Home Depot as the nonmovant, the record shows that at all times relevant to this litigation, Wabash designed, manufactured, and marketed standardized and customized truck trailers and related transportation equipment. Over the course of many years, Home Depot relied upon several hundred Wabash-manufactured flatbed trailers to deliver its products to homes and construction sites throughout North America. At Home Depot’s direction, the trailers had been purchased from Wabash by Ryder Truck Rental, Inc. or Lease Plan U. S. A., leased to Home Depot, and then operated by third-party carriers under contract with Home Depot.

To meet Home Depot’s operational requirements, Wabash specially designed the flatbed trailers to allow a heavy forklift to be mounted on the rear of the trailer. Part of the design pertained to the trailer’s kingpin and coupler assembly. The kingpin assembly is the primary mechanism for attaching the load bearing trailer to the motorized truck tractor. If the kingpin assembly fails, the trailer can disconnect from the tractor without having any steerability.

Wabash represented to Home Depot that it would fasten a block or two of solid metal ingot inside the kingpin assembly of the trailers to serve as a counterweight; otherwise, the weight of the mounted forklift on the back of a trailer would make it tilt when it was unhooked from the trailer. The counter-weight would be placed inside the upper coupling beneath the trailer bed. Wabash further represented to Home Depot that the kingpin assembly interiors would be coated with a unique anti-corrosive material and would be designed and manufactured with sufficient holes to drain water and moisture. According to Wabash, these special design features meant that a Wabash flatbed trailer would “never rust in its lifetime” and should have “no problem” remaining operable for “10 to 14 or 15 years,” longer than the duration of Home Depot’s leases with Ryder and Lease Plan.

[362]*362The trailers leased to Home Depot were manufactured either at Wabash’s Scott County, Tennessee facility (the “S” trailers) or its Lafayette, Indiana facility (the “L” trailers). The “S” trailers and “L” trailers did not have the same design.

On July 13, 2007, one of Home Depot’s third-party carriers reported that the kingpin had rusted out of an “L” trailer that had been leased to Home Depot from Ryder. On July 19, 2007, after being informed of the kingpin incident, Wabash issued a technical bulletin to Home Depot that provided a methodology for an inspection of the kingpin assemblies of all “S” and “L” trailers for cracks and corrosion. On July 24, 2007, Wabash released a second technical bulletin to Home Depot advising how to repair the kingpin assembly on trailers that failed the inspection.

According to Home Depot, 183 trailers failed the inspection for cracks and corrosion outlined in Wabash’s first technical bulletin. On July 27, 2007, and again on July 31, 2007, Home Depot asked Wabash whether the repair specified in the second technical bulletin had been used before and whether there had been any tests conducted to determine its safety and effectiveness. Before Wabash had provided an answer to these questions, Home Depot began having the trailers repaired by Wabash’s service providers in accordance with the second technical bulletin. Home Depot paid for the repairs of the trailers and hired a third-party engineering firm to advise it regarding the inspection and repair protocols developed by Wabash.

On October 1, 2007, Wabash communicated that the “[r]epair as noted in [the second technical bulletin] is designed to meet SAE J133.” SAE J133, a standard promulgated by the Society of Automotive Engineers, established testing procedures and minimum performance standards for kingpins and their supporting structures. However, Wabash had not conducted any actual lab testing of the repair outlined in the second technical bulletin and thus was unable to provide any testing data to Home Depot to verify its safety and effectiveness.

Without receiving any test data from Wabash, the engineering firm hired by Home Depot was unwilling to provide any assurances about the safety and effectiveness of the repair outlined in the second technical bulletin. However, there is no evidence in the record that either the engineering firm or Home Depot itself ever tested Wabash’s repair protocol outlined in the first technical bulletin to determine whether it complied with SAE J133. Nor did Home Depot present, during the course of this litigation, any analysis of the repair’s safety and effectiveness from the engineering firm it hired or from any other expert.

In or around August 2008, Home Depot directed its carriers to stop having the Wabash-manufactured trailers repaired in the man[363]*363ner outlined in the second technical bulletin. Home Depot further ordered its carriers to stop using any of the trailers that had received the repair.

Ryder agreed to take back the 150 Wabash-manufactured trailers that Ryder had purchased and leased to Home Depot which had failed the inspection outlined in the first technical bulletin. Home Depot thus was able to mitigate its damages with respect to these trailers, and it transferred and assigned to Ryder “any and all claims[,] demands and cause or causes of action of any kind whatsoever arising out of or relating to” those specific trailers that Home Depot might have against Wabash. Ryder commenced but ultimately dismissed with prejudice an action against Wabash asserting claims relating to the 150 trailers in federal court.

Thirty-three of the Wabash-manufactured trailers that failed the inspection outlined in the first technical bulletin had been purchased by Lease Plan and leased to Home Depot.

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Bluebook (online)
724 S.E.2d 53, 314 Ga. App. 360, 2012 Fulton County D. Rep. 778, 2012 WL 604035, 2012 Ga. App. LEXIS 197, Counsel Stack Legal Research, https://law.counselstack.com/opinion/home-depot-u-s-a-inc-v-wabash-national-corp-gactapp-2012.