Lau v. Allied Wholesale, Inc.

922 P.2d 1041, 82 Haw. 428, 1996 Haw. App. LEXIS 93
CourtHawaii Intermediate Court of Appeals
DecidedAugust 20, 1996
Docket16818
StatusPublished
Cited by15 cases

This text of 922 P.2d 1041 (Lau v. Allied Wholesale, Inc.) is published on Counsel Stack Legal Research, covering Hawaii Intermediate Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Lau v. Allied Wholesale, Inc., 922 P.2d 1041, 82 Haw. 428, 1996 Haw. App. LEXIS 93 (hawapp 1996).

Opinion

KIRIMITSU, Judge.

This appeal involves a products liability case brought by plaintiffs-appellants Anh Hue To Lau, personal representative of the estate of Tommy Ho Lau (Lau), and Lau’s survivors (Plaintiffs). Lau died from severe burns sustained in an accident involving a parts washer machine distributed by Defendants-Appellees Allied Wholesale, Inc., dba Allied International (Allied), and sold by Costco Wholesale Corporation (Costco) (collectively, Defendants).

I. BACKGROUND

Lau was employed at Apollo Systems, Inc. (Apollo), a painting and waterproofing company owned by Peter Chun (Chun). On September 17, 1989, Chun purchased a parts washer from Costco. The parts washer was manufactured in Taiwan, distributed by Allied, and designated as model 47-PWDT. The parts washer’s main components consisted of a tub and an electric pump attached to the tub. The tub is filled with solvent and one way it cleans' miscellaneous parts is to soak them in the tub while the electric pump agitates the solvent. The washer’s main safety feature is a safety lid which has a fusible link assembly. In the event of a fire, the solder holding the links together is supposed to melt, causing the links to separate. This triggers a chain of events that eventually causes the lid to close and extinguish the fire.

On September 18, 1989, the parts washer was assembled at the Apollo warehouse by Jim Strombach (Strombach), a painting supervisor. The parts washer was placed against the back wall of the left-hand-center of the warehouse, just underneath a mezzanine. The mezzanine was ten to twelve feet above the floor. Strombach poured some solvent in the tub and ran the pump for fifteen minutes to ensure that it was working. He then took four to five tips from paint spray guns that were soaking in lacquer thinner and cleaned them using the parts washer. After he finished cleaning the spray tips, Strombach left the solvent in the tub, turned off the machine and locked up for the night.

*432 The following morning, on September 19, 1989, another Apollo employee, Rick Felicilda (Felicilda), used the machine to clean several pairs of scissors. When Felicilda turned off the machine, a “flash” occurred near the pump housing igniting the solvent in the tub. A tower of flames shot up from the tub. Chun came down the stairs from his mezzanine office. He crawled on the floor towards the legs of the parts washer and began to move the washer away from the mezzanine area by pulling on the legs. Lau, who was also there, approached to help Chun move the machine. The parts washer tipped over and the flaming solvent splashed on Lau, who ignited like a “fireball.” Lau died fifty-two days later.

On May 9,1990, Plaintiffs filed a complaint against Defendants alleging strict products liability, negligence in design and manufacture, and breach of warranty of merchantability. Jury trial began on June 18, 1992. Plaintiffs presented evidence showing three areas of defect in the parts washer. First, vapors generated by the solvent in the tub can migrate into the switch housing assembly, presenting the risk that a spark from the switch will ignite the vapors. Second, the warnings on the parts washer were inadequate. Finally, the fusible link assembly designed to close the lid on the parts washer in the event of fire was untested.

Defendants countered by presenting evidence suggesting misuse of the parts washer as the cause of the fire. Defendants also presented evidence showing that the warning labels were adequate for a commercial user like Apollo, and that the fusible link assembly was not allowed enough time to activate during the fire.

Plaintiffs moved for directed verdicts at the end of its case and at the close of the evidence. The trial court denied both motions. On July 9, 1992, the jury returned its special verdict indicating that, (1) the parts washer was not defective; (2) Allied was not negligent; (3) Defendants did not breach any implied warranty of fitness for ordinary use; and (4) Lau was not contributorily negligent.

On July 21, 1992, Plaintiffs moved for a mistrial based on juror misconduct. On August 5,1992, Plaintiffs moved for a judgment notwithstanding the verdict (JNOV) because the verdict was not supported by any substantial evidence. Alternatively, Plaintiffs moved for a new trial because the jury considered evidence that was erroneously admitted. Both motions were denied. After Plaintiffs’ motion for reconsideration was also denied, the trial court entered its written orders denying Plaintiffs’ motions on January 15, 1998. On the same day, Judgment was entered in favor of Defendants. Plaintiffs filed a timely notice of appeal on February 3,1993.

II. DISCUSSION

Plaintiffs challenge the trial court’s denial of their (1) motions for directed verdict, (2) motion for a mistrial, and (3) motion for JNOV and/or a new trial.

A Directed Verdict and JNOV Motion

Plaintiffs argue that they are entitled to a directed verdict or a JNOV because the competent evidence established, under principles of negligence, strict liability, and breach of warranty of merchantability, that the parts washer was defective.

It is well settled that

“denials of directed verdict or JNOV motions [are reviewed] de novo. Verdicts based on conflicting evidence will not be set aside where there is substantial evidence to support the jury’s findings. We have defined ‘substantial evidence’ as credible evidence which is of sufficient quality and probative value to enable a [person] of reasonable caution to support a conclusion.
In deciding a motion for directed verdict or JNOV, the evidence and the inferences which may be fairly drawn therefrom must be considered in the light most favorable to the nonmoving party and either motion may be granted only where there can be but one reasonable conclusion as to the proper judgment.”

Carr v. Strode, 79 Hawai'i 475, 486, 904 P.2d 489, 500 (1995) (quoting Richardson v. Sport Shinko (Waikiki Corp.), 76 Hawai'i 494, 503, 880 P.2d 169, 178 (1994)). Thus, “[w]here there is conflicting evidence, or there is insufficient evidence to make a one-way verdict *433 proper, [JNOV] should not be awarded.” Id. at 487, 904 P.2d at 501 (internal quotations and citations omitted).

Based upon our review of the records, we find that there was substantial evidence to support the jury’s findings and conclude that Plaintiffs’ arguments have no merit. Accordingly, we hold that the trial court properly denied Plaintiffs’ JNOV and directed verdict motions.

B. Motion for a New Trial and Motion for Mistrial

As an alternative to their JNOV motion, Plaintiffs moved for a new trial alleging that the verdict was against the manifest weight of the evidence due to errors in the admission of evidence at trial and misconduct by the jury and defense counsel. The trial court denied Plaintiffs’ motion for a new trial. For the reasons set forth below, we reverse.

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Bluebook (online)
922 P.2d 1041, 82 Haw. 428, 1996 Haw. App. LEXIS 93, Counsel Stack Legal Research, https://law.counselstack.com/opinion/lau-v-allied-wholesale-inc-hawapp-1996.