Kia Motors Corporation and Kia Motors America, Inc. v. Lawrence Ruiz (Individually and as Representative of the Estate of Andrea Ruiz), Shenequa Ruiz, Christopher Ruiz, and Suzanna Ruiz

CourtTexas Supreme Court
DecidedMarch 28, 2014
Docket11-0709
StatusPublished

This text of Kia Motors Corporation and Kia Motors America, Inc. v. Lawrence Ruiz (Individually and as Representative of the Estate of Andrea Ruiz), Shenequa Ruiz, Christopher Ruiz, and Suzanna Ruiz (Kia Motors Corporation and Kia Motors America, Inc. v. Lawrence Ruiz (Individually and as Representative of the Estate of Andrea Ruiz), Shenequa Ruiz, Christopher Ruiz, and Suzanna Ruiz) is published on Counsel Stack Legal Research, covering Texas Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

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Kia Motors Corporation and Kia Motors America, Inc. v. Lawrence Ruiz (Individually and as Representative of the Estate of Andrea Ruiz), Shenequa Ruiz, Christopher Ruiz, and Suzanna Ruiz, (Tex. 2014).

Opinion

IN THE SUPREME COURT OF TEXAS 444444444444 NO 11-0709 444444444444

KIA MOTORS CORPORATION AND KIA MOTORS AMERICA, INC., PETITIONERS, v.

LAWRENCE RUIZ (INDIVIDUALLY AND AS REPRESENTATIVE OF THE ESTATE OF ANDREA RUIZ), SHENEQUA RUIZ, CHRISTOPHER RUIZ, AND SUZANNA RUIZ, RESPONDENTS 4444444444444444444444444444444444444444444444444444 ON PETITION FOR REVIEW FROM THE COURT OF APPEALS FOR THE FIFTH DISTRICT OF TEXAS 4444444444444444444444444444444444444444444444444444

Argued September 9, 2013

JUSTICE LEHRMANN delivered the opinion of the Court.

JUSTICE BOYD did not participate in the decision.

This products-liability case against a vehicle manufacturer, involving the failure of a

driver’s-side frontal air bag to deploy during a collision, presents several issues for review. We first

consider the applicability of section 82.008 of the Texas Civil Practice and Remedies Code, which

establishes a rebuttable presumption that a manufacturer is not liable on a design-defect theory for

a claimant’s injuries if the product complies with certain applicable federal safety standards.

Second, we consider a legal-sufficiency challenge to the evidence supporting the jury’s design-

defect finding. Finally, we consider whether the trial court erred in admitting a spreadsheet summarizing authorized warranty claims involving air bags in similarly designed vehicles from the

same manufacturer. In affirming the trial court’s judgment against the manufacturer, the court of

appeals held that the nonliability presumption did not apply, that the evidence was legally sufficient

to support the design-defect finding, and that the trial court’s error in admitting the spreadsheet, if

any, was waived or harmless. We agree with the court of appeals on the first two issues, but diverge

on the evidentiary question. We hold that the trial court erred in admitting the spreadsheet, that the

manufacturer preserved the error, and that the error was harmful. Accordingly, we remand for a new

trial.

I. Background

Andrea and Lawrence Ruiz owned a 2002 Kia Spectra. On January 16, 2006, Andrea was

driving the Spectra, and her daughter Suzanna was in the front passenger seat. Both were wearing

seat belts. They were involved in a head-on collision with a pickup truck driven by Harvey Tomlin.

Suzanna’s air bag deployed, and she suffered minor injuries. Andrea’s did not, and she died at the

scene from two dislocated vertebrae in her neck caused by a severe front-to-back head movement.1

The Ruiz family2 sued Kia Motors Corporation and Kia Motors America, Inc. (collectively,

Kia), alleging in part that the defectively designed air-bag system in the 2002 Spectra resulted in the

driver’s-side air bag’s failure to deploy during the collision. The Ruizes also brought a negligence

claim against Tomlin, with whom they settled before trial. The Ruizes and Kia proceeded to a jury

1 The air bag warning light came on about a week before the accident and remained on continuously until the accident. Andrea’s daughter Shenequa testified that Andrea had planned to have the vehicle serviced the following week; however, the vehicle was not serviced before the accident. 2 The plaintiffs include Lawrence Ruiz (individually and as representative of the estate of Andrea Ruiz), and Lawrence and Andrea’s children, Shenequa Ruiz, Christopher Ruiz, and Suzanna Ruiz.

2 trial on the negligent-design claim,3 which was premised on the theory that defective wiring

connectors in the air-bag system created an open circuit that prevented the air bag from deploying.

The jury found that (1) Kia negligently designed the vehicle’s air-bag system, which was a

proximate cause of Andrea’s injury, (2) Tomlin’s negligence was a proximate cause of Andrea’s

injury, (3) the negligence, if any, of Lawrence Ruiz was not a proximate cause of Andrea’s injury,4

and (4) Kia was grossly negligent. The jury apportioned forty-five percent of the responsibility for

the injury to Kia and fifty-five percent of the responsibility to Tomlin. The jury awarded the Ruizes

$1,972,000 in compensatory damages and $2,500,000 in exemplary damages.

Kia filed a motion for judgment notwithstanding the verdict, which the trial court denied.

But the court disregarded the jury’s gross-negligence and punitive-damages findings because the

jury was not unanimous in finding Kia negligent. In its final judgment on the verdict, the trial court

reduced the amount of actual damages recoverable from Kia by its percentage of responsibility and

awarded the Ruizes $887,400 in damages, plus costs and pre- and post-judgment interest. The court

of appeals affirmed, 348 S.W.3d 465, and we granted Kia’s petition for review.

II. Statutory Presumption

Kia’s first issue requires us to interpret section 82.008 of the Texas Civil Practice and

Remedies Code. We review questions of statutory construction de novo. Molinet v. Kimbrell, 356

S.W.3d 407, 411 (Tex. 2011). Our fundamental objective in interpreting a statute is “to determine

3 In their petition, Plaintiffs asserted both strict-liability and negligence claims against Kia. The jury charge included only a negligence question. 4 Lawrence had installed a new radio on the Spectra the week before the accident, and Kia posited at trial that the installation may have caused the open circuit. Kia has not challenged the jury’s finding on this issue.

3 and give effect to the Legislature’s intent.” Am. Zurich Ins. Co. v. Samudio, 370 S.W.3d 363, 368

(Tex. 2012). “The plain language of a statute is the surest guide to the Legislature’s intent.” Prairie

View A&M Univ. v. Chatha, 381 S.W.3d 500, 507 (Tex. 2012).

Section 82.008 was enacted in 2003 as part of House Bill 4, a comprehensive tort-reform bill.

See Act of June 2, 2003, 78th Leg., R.S., ch. 204, § 5.02, 2003 Tex. Gen. Laws 847, 861–62. The

impetus for enacting section 82.008 was a finding that manufacturers and sellers were being held

liable in products liability cases even though the products at issue complied with all applicable

federal safety standards. See R. Brent Cooper and Diana L. Faust, Products Liability After House

Bill 4, 46 S. TEX. L. REV. 1159, 1162 (2005). The provision states in pertinent part:

(a) In a products liability action brought against a product manufacturer or seller, there is a rebuttable presumption that the product manufacturer or seller is not liable for any injury to a claimant caused by some aspect of the formulation, labeling, or design of a product if the product manufacturer or seller establishes that the product’s formula, labeling, or design complied with mandatory safety standards or regulations adopted and promulgated by the federal government, or an agency of the federal government, that were applicable to the product at the time of manufacture and that governed the product risk that allegedly caused harm.

TEX. CIV. PRAC. & REM. CODE § 82.008(a). Put more simply in the context of this case, a

manufacturer is entitled to a presumption of nonliability for its product’s design if the manufacturer

establishes that (1) the product complied with mandatory federal safety standards or regulations,

(2) the standards or regulations were applicable to the product at the time of manufacture, and (3) the

standards or regulations governed the product risk that allegedly caused the harm.5 Id. The claimant

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Kia Motors Corporation and Kia Motors America, Inc. v. Lawrence Ruiz (Individually and as Representative of the Estate of Andrea Ruiz), Shenequa Ruiz, Christopher Ruiz, and Suzanna Ruiz, Counsel Stack Legal Research, https://law.counselstack.com/opinion/kia-motors-corporation-and-kia-motors-america-inc-v-lawrence-ruiz-tex-2014.