Kyle Hackney v. Pendu Manufacturing, Inc.

Indiana Court of Appeals·Decided April 13, 2020·No. 19A-CT-1080·Published

Opinion

FILED

Apr 13 2020, 8:51 am

CLERK

Indiana Supreme Court

Court of Appeals

and Tax Court

ATTORNEYS FOR APPELLANT ATTORNEY FOR APPELLEE Bryan H. Babb Christopher A. Pearcy Bradley M. Dick Hume Smith Geddes Green & Bose McKinney & Evans LLP Simmons, LLP Indianapolis, Indiana Indianapolis, Indiana

IN THE

COURT OF APPEALS OF INDIANA

Kyle Hackney, April 13, 2020 Appellant-Plaintiff, Court of Appeals Case No.

19A-CT-1080

v. Appeal from the Lawrence Circuit Court

Pendu Manufacturing, Inc., The Honorable Appellee-Defendant. Andrea K. McCord, Judge Trial Court Cause No.

47C01-1606-CT-595

Kirsch, Judge.

[1] This case involves an action by Kyle Hackney (“Hackney”) against Pendu Manufacturing, Inc. (“Pendu”), alleging that a piece of machinery manufactured by Pendu contained a design defect that made it unreasonably dangerous under the Indiana Product Liability Statute. Hackney appeals the trial court’s entry of summary judgment in favor of Pendu and raises several

Court of Appeals of Indiana | Opinion 19A-CT-1080 | April 13, 2020 Page 1 of 20 issues, of which we find the following issue dispositive: whether the trial court erred in granting summary judgment in favor of Pendu because the defense of misuse barred any liability by Pendu.

[2] We affirm.

Facts and Procedural History [3] On November 17, 2015, Hackney was an employee of American Fibertech

(“Fibertech”), working at the Mitchell, Indiana facility that produces boards for wooden pallets. Appellant’s App. Vol. II at 12; Appellant’s App. Vol. III at 46. On that date, Hackney was working at a machine called the Pendu Edger 3000 (“the Machine”), which was manufactured by Pendu and had been delivered to Fibertech in July or August 2015. Appellant’s App. Vol. II at 12; Appellant’s App. Vol. IV at 129. The Machine trimmed edges off the boards that were cut to make four-inch and six-inch boards used to build the wooden pallets, and the Machine was comprised of three separate components: (1) the infeed; (2) the edger itself, and (3) the custom built outfeed (“the Outfeed”). Appellant’s App. Vol. III at 13, 49. The Outfeed is the only component at issue in this case. Appellant’s App. Vol. IV at 162. The Machine was a part of Fibertech’s much larger production line and fed into Fibertech’s main conveyor belt. Id. at 129.

[4] The Machine was shipped by freight from Pendu to Fibertech. Id. at 98-100. Pendu did not accompany the Machine to Fibertech and did not have any involvement in the installation and incorporation of the Machine and Outfeed into Fibertech’s main production line. Id. at 92-93. After the Machine was delivered, Fibertech did not contact Pendu for any reason regarding the Machine. Id. at 129. Included with the Machine was the Pendu Safety Manual (“the Safety Manual”), which expressly advised all operators on the safe use and operation of the Machine. Id. at 56; Appellant’s App. Vol. II at 53-63. The Safety Manual was in Fibertech’s possession at all relevant times, and Fibertech testified the Safety Manual was available to any and all operators of the Machine, including Hackney. Appellant’s App. Vol. IV at 56-57.

[5] The Outfeed of the Machine was custom built and its design was based on photos provided by Fibertech of an older edger it was using and other custom requirements of Fibertech. Appellant’s App. Vol. V at 105-06. Pendu was not told how Fibertech intended to incorporate the Outfeed into its main production line/conveyor belt. Appellant’s App. Vol. IV at 129; Appellant’s App. Vol. V at 125-26. Pendu was not told what the conveyor would look like or how the custom Outfeed would be incorporated. Appellant’s App. Vol. IV at 129. It was Pendu’s understanding with Fibertech that Fibertech was going to install any guarding as part of its incorporation of the Outfeed into its main production line. Id. at 95, 129. That understanding/agreement was established by the parties’ course of dealing and memorialized by the language on their contract/change order. Id. at 95, 100, 129; Appellant’s App. Vol. V at 105-06. Fibertech did all installation and configuration of the Outfeed into its production line, made several changes, and added guarding to the top of the Machine as part of its configuration. Appellant’s App. Vol. IV at 35-42,132-33.

[6] Pendu testified that installing a guard on the Outfeed when it manufactured the Machine for Fibertech was not feasible “[b]ecause [Pendu] didn’t know exactly what [Fibertech’s] belt conveyor’s going to look like.” Appellant’s App. Vol. V at 101. Pendu “had no idea what [Fibertech was] putting up for guarding or how they’re manufacturing” from where the Outfeed ended. Id. at 130. For those reasons, Pendu “built exactly what [Fibertech] wanted[,]” and Fibertech never said it wanted any guarding on the Outfeed of the Machine. Id. at 105-06. That was done per industry standards for custom machinery, like the Outfeed. 1

[7] Fibertech was “very capable of doing their own installation” of equipment and employed their own riggers and installation personnel or would retain contractors to assist them with the install or modifications. Appellant’s App. Vol. IV at 66-67, 95. It was common for Fibertech to make modifications to the Machine after delivery. Id. at 96-97. Fibertech made at least the following known modifications to the Machine since delivery:

1. Performed or oversaw the entire installation of the Machine and incorporation into its production line;

2. Added an extensive catwalk in front of the Machine, and over its main conveyor system, stairs, and countless other modifications shown in photos, with some contractor assistance;

1 ANSI industry standards 4.3 for custom machinery states that “the user shall communicate its specific safety requirements as part of the machinery purchase . . . . The supplier and user shall develop a set of specifications suited to the user’s location and application specifics of the machine.” Appellant’s App. Vol. IV at 101-02.

Court of Appeals of Indiana | Opinion 19A-CT-1080 | April 13, 2020 Page 4 of 20 3. Added a guard on top of the Machine that was in place at the time of Hackney’s accident;

4. Added poles to the side of the Machine;

5. Removed the guards that surround the chain conveyors on the outfeed and replaced them with central chain support;

6. Altered the shaft involved in Hackney’s accident by damaging it with the improper use of a pipe wrench.

Id. at 132-33.

[8] Hackney’s normal position while working was at the rear of the Machine at the infeed area, where he would feed boards into the Machine, which would be edged or trimmed inside the Machine and then come out of the Machine via the Outfeed. Id. at 22. Occasionally, while performing this job, Hackney would notice scrap wood that would get caught in the Outfeed at the opposite end of the Machine, and the scrap wood would need to be removed so it would not cause a jam. Id. at 22-23. Both the Safety Manual and Fibertech required a person to turn off the Machine before reaching into it or servicing it in any way. Appellant’s App. Vol. II at 53-63. On November 17, 2015, the date of the incident, Hackney was operating the Machine when he noticed a piece of scrap wood standing vertically in the Machine. Appellant’s App. Vol. IV at 20. He then walked around to the end of the Machine to remove the piece of wood. Id. On his way to remove the scrap wood, Hackney walked past both the E-Stop and Main Control box, which both had buttons that would have stopped the

Machine; Hackney testified that turning off the Machine first would have “obviously” prevented his accident. Id. at 22-23, 28. When Hackney got to the end of the Machine, he reached his body over the still-operating Machine while balancing on one foot. Ex. H. Seconds later, the shirttail of Hackney’s sweatshirt got caught in the Machine and became entangled until the sweatshirt was removed from Hackney’s body, causing injury to Hackney’s arm and shoulder. Id.

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