Rivers v. AT&T Technologies, Inc.

147 Misc. 2d 366, 554 N.Y.S.2d 401, 1990 N.Y. Misc. LEXIS 178
CourtNew York Supreme Court
DecidedApril 6, 1990
StatusPublished
Cited by14 cases

This text of 147 Misc. 2d 366 (Rivers v. AT&T Technologies, Inc.) is published on Counsel Stack Legal Research, covering New York Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Rivers v. AT&T Technologies, Inc., 147 Misc. 2d 366, 554 N.Y.S.2d 401, 1990 N.Y. Misc. LEXIS 178 (N.Y. Super. Ct. 1990).

Opinion

OPINION OF THE COURT

Helen E. Freedman, J.

Nelly Doris Medina died on May 20, 1983 from complications of toxemia during her eighth month of pregnancy. The administrator of her estate contends that Nelly Medina’s death was caused or contributed to by her exposure to a chemical solvent, dimethylformamide (DMF), contained in one of the component parts of a dataphone located at her workplace, the New York Telephone Company, and by negligent medical treatment. The exposure occurred during the period April 25, 1983 to May 4, 1983, and the death occurred 11 days after her admission to Bellevue Hospital.

E.I. DuPont de Nemours and Company (DuPont) was the producer and bulk supplier of DMF, Sangamo Weston, Inc. (Sangamo) manufactured a capacitor, containing a chemical compound which included DMF; and AT&T Technologies, Inc./Western Electric, Inc. (AT&T) installed the capacitor into a dataphone at Medina’s workplace. The cápacitor failed and released DMF into the air.

[368]*368The claim against DuPont is based on failure to warn decedent of the toxicity of its product, DMF. The claims against Sangamo, AT&T and New York Telephone include failure to warn and defective product design. The claims against the treating physicians and hospital involve negligent treatment of the toxemic condition.

DuPont seeks summary judgment dismissing all claims against it on the grounds that: (1) as a bulk supplier of DMF, it had no duty to warn plaintiff’s decedent; and (2) any duty owed was satisfied by issuance of sufficient warnings to the immediate distributors of DMF, Ashland Chemical Co. and Axton-Cross, Inc. (not parties to this action), as well as to the other parties in the chain of distribution, Sangamo, AT&T and New York Telephone Company. Plaintiff and defendants AT&T, Sangamo, Isvan Tornai, M.D. and New York Telephone oppose DuPont’s motion contending that there are outstanding issues of fact as to the nature of the duty and the adequacy of DuPont’s warnings.

Defendant New York City Health & Hospitals Corporation (NYCHHC) moves to dismiss the cause of action for pain and suffering against it on the ground that more than 90 days elapsed between the date of Medina’s death and her administrator’s filing of a notice of claim. Plaintiff opposes this motion on the ground that a notice of claim including wrongful death and pain and suffering was filed within 90 days of his appointment as administrator.

FACTS

Prior to her death, Nelly Medina was employed as a file clerk in a control center which monitored electronic switching systems at New York Telephone Company in midtown Manhattan. During the week of April 20, 1983, control center employees noticed a "foul fishy” odor emanating from the outer hallway. The odor lingered for approximately one week before New York Telephone repairmen discovered that it came from a piece of equipment known as a Dataphone 9600, located in an enclosed cabinet in the hallway next to the control center. A subsequent examination disclosed that a pressure sensitive vent on top of 1 of the 4 capacitors in the dataphone had given way, venting DMF vapors, which in turn produced the odor.

The AT&T dataphone is a diagnostic device about the size of a stereo receiver designed to identify malfunctions in a data communications network. One of the components of the data-[369]*369phone installed by AT&T was an electronic device called a capacitor which contained a small quantity of DMF as part of its power supply. Located inside the capacitor is a covered section consisting of two lengths of foil separated by paper wound in a roll. During production, the paper is impregnated with a solution which consists of about 100 grams of DMF mixed with other chemicals.

DuPont has manufactured DMF since the 1930’s and currently supplies approximately one half of the United States market for the compound. DuPont’s normal practice was to deliver the chemical in railroad tank cars, tank trucks and 55-gallon steel drums to its distributors, Ashland Chemical Company and Axton-Cross, Inc. who transferred it to their own storage tanks. The distributors customarily sold DMF to Sangamo to be used as an electrolytic industrial solvent in its capacitors. One of these capacitors was sold to AT&T’s predecessor, Western Electric, and inserted into a Dataphone 9600. AT&T supplied the Dataphone 9600 to the New York Telephone office.

Based upon the discussion below, defendant DuPont’s motion for summary judgment is granted and NYCHHC’s motion is denied.

BULK SUPPLIER’S DUTY TO WARN

(1) The first issue to be addressed is the extent of the duty of the bulk supplier to warn a remote party injured as a result of contact with an altered product. While no New York appellate decisions are directly on point, cases from other jurisdictions concerning the role of the bulk supplier are instructive. Most courts have ruled that a bulk supplier who lacks control over ultimate product is not liable to a remote user. For example, the Supreme Court of Kansas granted summary judgment to the bulk supplier of propane gas, whose repackaged product injured a purchaser of a tank of gas for home use. It held that a bulk supplier is in an entirely different position from one who sells packaged commodities, or one who deals directly with the consumer. If a product is sold in bulk, adequate warning to the manufacturer’s immediate customer is all that can be reasonably required. (Jones v Hittle Serv., 219 Kan 627, 549 P2d 1383 [1976].)

Similarly, the California Court of Appeal affirmed dismissal motions made by the bulk manufacturer of sulfuric acid subsequently used in producing a drain cleaner which later exploded (Walker v Stauffer Chem. Corp., 19 Cal App 3d 669, [370]*37096 Cal Rptr 803 [1971]), and by the bulk supplier of fuel whose product was repackaged by an intermediary and later exploded. (Groll v Shell Oil Co., 148 Cal App 3d 444, 196 Cal Rptr 52 [1983].) In the latter case, the court found that assigning responsibility to a bulk manufacturer to issue warnings through the chain of distribution and processing to downstream consumers created an onerous burden and imposed severe enforcement problems on the manufacturer. (Groll v Shell Oil Co., supra, 148 Cal App 3d, at 449, 196 Cal Rptr, at 55.) In distinguishing bulk supplier cases, which had imposed a duty on a manufacturer to warn an ultimate consumer, the Groll court stated that those cases involved tangible items that could be labeled or sent in the chain of commerce with a manufacturer’s instructions.

Other jurisdictions including Federal courts applying State law, have also adopted the bulk supplier doctrine where the supplier has distributed a product to a series of intermediaries, with appropriate warnings and has had no contact with the individual ultimately injured by the product. (See, Tasca v GTE Prods. Corp., 175 Mich App 617, 438 NW2d 625 [1988]; Shell Oil Co. v Harrison, 425 So 2d 67 [Fla Dist Ct App 1982] [State cases]; Higgins v DuPont de Nemours & Co., 671 F Supp 1055 [D Md 1987]; Mason v Texaco Inc., 862 F2d 242 [10th Cir 1988]; Adams v Union Carbide Corp., 737 F2d 1453 [6th Cir 1984]; Manning v Ashland Oil Co., 721 F2d 192 [7th Cir 1983]; Goodbar v Whitehead Bros., 591 F Supp 552 [WD Va 1984], affd sub nom. Beale v Hardy, 769 F2d 213 [4th Cir 1985].) Summary judgment has been denied to bulk manufacturers only when there has been a complete failure to warn.

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Bluebook (online)
147 Misc. 2d 366, 554 N.Y.S.2d 401, 1990 N.Y. Misc. LEXIS 178, Counsel Stack Legal Research, https://law.counselstack.com/opinion/rivers-v-att-technologies-inc-nysupct-1990.