Linden v. CNH AMERICA LLC

753 F. Supp. 2d 870, 2010 U.S. Dist. LEXIS 124370, 2010 WL 4840435
District Court, S.D. Iowa·Decided January 26, 2010·No. 4:09-cv-00019·Published·Cited by 1 cases

Opinion

ORDER

JAMES E. GRITZNER, District Judge.

This matter comes before the Court on a motion for summary judgment, filed August 18, 2009, by Defendant Indiana Mills *872 & Manufacturing, Inc. (IMMI). 1 Plaintiff Thomas Lowell Linden, Jr. (Linden) resists the motion. A hearing was held on December 11, 2009. The matter is fully submitted and ready for disposition.

I. SUMMARY OF MATERIAL FACTS 2

IMMI is an Indiana corporation with its principal place of business in Westfield, Indiana. IMMI designed and manufactured the seat belt that was installed on the dozer Linden drove that gave rise to the present lawsuit. CNH America LLC, (Case) installed the seat belt on the dozer at its Burlington, Iowa, plant. Case sold and delivered the dozer to an Atlanta, Georgia, company in January 1997; and Baker Woods Construction, a Georgia company, bought the dozer in 1998. Linden, then a resident of Georgia, was driving the dozer near Douglasville, Georgia, on March 12, 2007, when it overturned and Linden was injured. Linden sued IMMI and Case in the Northern District of Georgia on May 29, 2007, but voluntarily dismissed that complaint in March 2008. Linden then moved to Iowa.

On January 30, 2009, Linden commenced this diversity jurisdiction lawsuit alleging strict products liability claiming IMMI’s seat belt was defective in its design, manufacture, warnings, and instructions as well as alleging that IMMI was negligent. In the present motion, IMMI argues that under Iowa choice-of-law analysis, the statute of repose in either Indiana, Ind.Code Ann. § 34-20-3-1(a)—(b) (West 2009), or Georgia, Ga.Code Ann. § 51-1-1 l(b)-(c) (West 2009), should apply; Linden resists, arguing that the Iowa statute of repose, Iowa Code § 614.1(2A) (2009), should apply.

II. DISCUSSION

A. Standard for Summary Judgment

“Summary judgment is appropriate when the record, viewed in the light most favorable to the non-moving party, demonstrates that there is no genuine issue of material fact and the moving party is entitled to judgment as a matter of law." Myers v. Lutsen Mtns. Corp., 587 F.3d 891, 893 (8th Cir.2009); Fed.R.Civ.P. 56(c). "A dispute is genuine if the evidence is such that it could cause a reasonable jury to return a verdict for either party." Miner v. Local 373, 513 F.3d 854, 860 (8th Cir.2008) (citing Anderson v. Liberty Lobby, Inc., 477 U.S. 242, 252, 106 S.Ct. 2505, 91 L.Ed.2d 202 (1986)). On a motion for summary judgment, the Court views the evidence and inferences in the light most favorable to the nonmovant. Id. The nonmovant "must set forth specific facts sufficient to raise a genuine issue for trial" and "may not rest upon mere denials or allegations in the pleadings." Id. (citing Celotex Corp. v. Catrett, 477 U.S. 317, 324, 106 S.Ct. 2548, 91 L.Ed.2d 265 (1986)). "Only disputes over facts that might affect the outcome of the suit under the governing law will properly preclude the entry of summary judgment." Anderson, 477 U.S. at 248, 106 S.Ct. 2505; Wells Fargo Fin. Leasing, Inc. v. LMT Fette, Inc., 382 F.3d 852, 856 (8th Cir.2004).

B. Choice of Law

“[T]he issue of the appropriate choice of law is a question of law for the *873 court." Jones v. Winnebago Indus., Inc., 460 F.Supp.2d 953, 959 (N.D.Iowa 2006) (citing cases). "Federal courts sitting in diversity apply the choice-of-law rules of the forum state" to determine the pertinent substantive law. Cicle v. Chase Bank USA, 583 F.3d 549, 553 (8th Cir.2009). Under Iowa law, a statute of repose is "properly characterized as substantive, rather than procedural." Cameron v. Hardisty, 407 N.W.2d 595, 596 (Iowa 1987). However, choice-of-law analysis is only undertaken when a true conflict exists between the possible governing laws. Modern Equip. Co. v. Cont’l W. Ins. Co., 355 F.3d 1125, 1128 n. 7 (8th Cir.2004).

A true conflict exists when there is an actual difference in the relevant laws of the different states. Consul Gen. of Rep. of Indonesia v. Bill’s Rentals, Inc., 330 F.3d 1041, 1045 (8th Cir.2003). Applying the facts in this case reveals a true conflict. Case sold and delivered the dozer more than ten years but less than fifteen years before the accident that injured Linden occurred. Neither the Indiana nor the Georgia statute of repose allows Linden to commence an action more than ten years after the sale or delivery of the dozer. 3 The Iowa statute of repose, on the other hand, allows Linden to commence an action up to fifteen years after the first purchase of the dozer. 4 Thus, here a true *874 conflict arises because Linden’s action would be barred under Indiana or Georgia law but not under Iowa law. Therefore, the Court will undertake the choice-of-law analysis. See Jones, 460 F.Supp.2d at 959.

Iowa has adopted the Restatement (Second) of Conflict of Laws “most significant relationship” methodology for choice-of-law issues. Veasley v. CRST Int’l, Inc., 553 N.W.2d 896, 897 (Iowa 1996). The most significant relationship test is outlined in the Restatement as follows:

(1) The rights and liabilities of the parties with respect to an issue in tort are determined by the local law of the state which, with respect to that issue, has the most significant relationship to the occurrence and the parties under the principles stated in § 6.
(2) Contacts to be taken into account in applying the principles of § 6 to determine the law applicable to an issue include:
(a) the place where the injury occurred,
(b) the place where the conduct causing the injury occurred,

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Linden v. CNH AMERICA LLC, 753 F. Supp. 2d 870, 2010 U.S. Dist. LEXIS 124370, 2010 WL 4840435 (S.D. Iowa 2010).

753 F. Supp. 2d 870 (Linden v. CNH AMERICA LLC) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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