Lui Su Nai-Chao v. Boeing Co.

555 F. Supp. 9, 1982 U.S. Dist. LEXIS 16894
CourtDistrict Court, N.D. California
DecidedApril 12, 1982
DocketC-81-4235 WHO
StatusPublished
Cited by22 cases

This text of 555 F. Supp. 9 (Lui Su Nai-Chao v. Boeing Co.) is published on Counsel Stack Legal Research, covering District Court, N.D. California primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Lui Su Nai-Chao v. Boeing Co., 555 F. Supp. 9, 1982 U.S. Dist. LEXIS 16894 (N.D. Cal. 1982).

Opinion

OPINION AND ORDER

ORRICK, District Judge.

The complaints that comprise these consolidated or related actions arise from the crash of a Far Eastern Air Transport (“FEAT”) Boeing 737 aircraft in Taiwan, Republic of China, on August 22, 1981. Of the one hundred ten passengers and crew killed in the crash, eighty-seven were citizens and residents of Taiwan, eighteen were citizens of Japan, four were citizens of Canada, and one was a citizen of the United States. To date, five hundred sixty-four plaintiffs, seven of whom are United States citizens and four of whom are Taiwanese citizens presently residing in the United States, have filed suit in this Court 1 asserting wrongful death claims based on theories *11 of strict liability and negligence against The Boeing Company (“Boeing”), the manufacturer of the aircraft, and United Airlines, Inc. (“United”), which sold the aircraft to FEAT in 1976.

Defendant Boeing, acting also for defendant United, 2 has moved to dismiss these actions on the ground of forum non conveniens or, alternatively, to transfer the actions pursuant to 28 U.S.C. § 1404(a) to the United States District Court for the Western District of Washington. 3 For the reasons set forth below, this Court finds that Taiwan is the appropriate forum for this litigation and that the recent Supreme Court decision in Piper Aircraft Co. v. Reyno, 454 U.S. 235, 102 S.Ct. 252, 70 L.Ed.2d 419 (1981), mandates the dismissal of these actions. Accordingly, defendants’ motion to dismiss is granted, and will become effective when the Court receives undertakings satisfactory to the Court from defendants Boeing and United that the following conditions have been or will be met, namely, that (1) the courts of Taiwan have, and will assert, jurisdiction to adjudicate the claims alleged in these actions; (2) defendants consent to submit themselves to personal jurisdiction in the appropriate Taiwanese court and to make their employees available to testify in Taiwan; (3) defendants agree to waive any statute of limitations defenses arising during the pendency of these actions; and (4) defendants consent to satisfy any judgment rendered against them in Taiwan.

*12 I

On August 22, 1981, a Boeing 737 owned and operated by FEAT crashed on a flight between the Taiwanese cities of Taipei and Kaohsiung. Radar contact with the aircraft was lost about twelve minutes after takeoff from Taipei, after the aircraft reached its assigned cruise altitude of 22,-000 feet. A number of Taiwanese reportedly observed the aircraft break up in the air. The wreckage was scattered over a seven-mile area in rugged terrain approximately sixty miles southwest of Taipei. All one hundred four passengers and six crew members aboard the aircraft were killed.

The Chinese Civil Aeronautics Administration (“CCAA”) initiated an accident investigation, in which Boeing, United, and other American officials participated. The CCAA issued a preliminary report, but has made no final report and no finding of the probable cause of the accident. The United States National Transportation and Safety Board (“NTSB”) performed an analysis of critical parts of the wreckage, and the CCAA is currently in the process of building a mock-up of the aircraft with the wreckage pieces to aid in its investigation.

FEAT purchased the aircraft from United in 1976, and owned, operated, and maintained the aircraft in the five-and-a-half years prior to the accident. All major maintenance of the aircraft was performed by FEAT personnel at Shungshan Airport in Taipei, pursuant to a maintenance program developed by Boeing in the United States, and licensed and approved by the CCAA.

The complaints charge defendants with negligence and strict liability based on the allegedly defective design, manufacture, and/or assembly of the aircraft, and on the allegedly improper inspection and maintenance of the aircraft prior to the sale to FEAT in 1976. Plaintiffs assert that of the possible causes of the crash — defective design or manufacture, pilot error, bad weather, or sabotage — the most likely cause was a crack in the forward cargo compartment frame and skin which led to a loss of pressurization. Plaintiffs have submitted documentary evidence indicating that such cracks were discovered in several 737’s operated in the United States, and that an investigation conducted by the NTSB revealed massive corrosion and metal fatigue of the lower forward cargo hold frame which appears consistent with plaintiffs’ theory of the accident. 4

II

A

Under the principle of forum non conveniens, a court may resist the imposition of jurisdiction, even if jurisdiction is authorized by a general venue statute. Gulf Oil Corp. v. Gilbert, 330 U.S. 501, 67 S.Ct. 839, 91 L.Ed. 1055 (1947). The common law doctrine of forum non conveniens was partly displaced by the provisions of 28 U.S.C. § 1404(a), which require transfer rather than dismissal if the case can be heard in a more convenient district or division within the United States; 5 the common law doctrine remains applicable, however, when the action should have been brought abroad. Yerostathis v. A. Luisi, *13 Ltd., 380 F.2d 377, 379 (9th Cir.1967); Paper Operations Consultants International, Ltd. v. SS Hong Kong Amber, 513 F.2d 667, 670 (9th Cir.1975).

The factors which the Court must consider in determining whether to grant a motion to dismiss on grounds of forum non conveniens were set forth by the Supreme Court in Gilbert, supra, 330 U.S. at 508-09, 67 S.Ct. at 843. The Court enumerated both the “private interest factors” affecting the convenience of the litigants and the “public interest factors” affecting the convenience of the forum. The private interest factors include “the relative ease of access to sources of proof; availability of compulsory process for attendance of unwilling, and the cost of obtaining attendance of willing, witnesses; possibility of view of premises, if view would be appropriate to the action; and all other practical problems that make trial of a case easy, expeditious and inexpensive.” Id. at 508, 67 S.Ct. at 843.

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555 F. Supp. 9, 1982 U.S. Dist. LEXIS 16894, Counsel Stack Legal Research, https://law.counselstack.com/opinion/lui-su-nai-chao-v-boeing-co-cand-1982.