State Farm Fire & Casualty Co. v. Chrysler Corp.

523 N.E.2d 489, 37 Ohio St. 3d 1, 1988 Ohio LEXIS 133
CourtOhio Supreme Court
DecidedMay 18, 1988
DocketNo. 87-202
StatusPublished
Cited by140 cases

This text of 523 N.E.2d 489 (State Farm Fire & Casualty Co. v. Chrysler Corp.) is published on Counsel Stack Legal Research, covering Ohio Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
State Farm Fire & Casualty Co. v. Chrysler Corp., 523 N.E.2d 489, 37 Ohio St. 3d 1, 1988 Ohio LEXIS 133 (Ohio 1988).

Opinion

Moyer, C.J.

I

We are presented at the outset with an issue of procedure concerning the scope of remand ordered by the court of appeals. This court has articulated the general rule that “App. R. 12(D) and Civ. R. 42(B) together authorize a court of appeals to order a retrial of only those issues which resulted in prejudicial error.”2 Charles R. Combs Trucking, Inc. v. International Harvester Co. (1984), 12 Ohio St. 3d 241, 12 OBR 322, 466 N.E. 2d 883, paragraph one of the syllabus; Mast v. Doctor’s Hospital North (1976), 46 Ohio St. 2d 539, 75 O.O. 2d 556, 350 N.E. 2d 429. See, also, Trauth v. Dunbar (1983), 5 Ohio St. 3d 68, 5 OBR 123, 448 N.E. 2d 1368. As explained in Mast, supra, at 541-542, 75 O.O. 2d at 557, 350 N.E. 2d at 430, “App. R. 12(D) vests the court with the necessary authority to order a trial court to exercise its powers under Civ. R. 42(B) to separately try any claim or issue, when such separation is ‘in furtherance of convenience or to avoid prejudice, or when separate trials will be conducive to expedition and economy.’ Civ. R. 42(B).”

In Mast and Combs, the issues of liability and damages were found sever-able for purposes of remand when prejudicial error existed only with respect to the determination of damages. The present case concerns severability of separate claims of liability where prejudicial error is found with respect to only one claim.

While worded in strong terms, the syllabus of Combs falls short of being mandatory, and the rationale authorizing reviewing courts to order a limited remand implicitly recognizes the need for appellate courts to carefully exercise their discretion to determine the appropriate scope of remand. Mast v. Doctor’s Hospital North, supra.

Here, the court of appeals ordered retrial of all issues raised by the pleadings. Although plaintiffs abandoned their various warranty claims on appeal, the court’s remand for retrial revived those claims, clearly prejudicing defendants and constituting error. Additionally, we note that the warranty claims are not necessary to the determination of the remaining claims on remand. Indeed, in oral argument before this court, plaintiffs’ counsel sought only a limited remand of the strict liability and negligent repair claims. It is to these claims we now turn.

II

A

First articulated in Lonzrick v. Republic Steel Corp. (1966), 6 Ohio St. 2d 227, 35 O.O. 2d 404, 218 N.E. 2d 185, it is now well-settled that “[i]n products liability cases involving defects in automobiles, the plaintiff’s burden of proof consists of alleging and proving, by a preponderance of the evidence, [6]*6that: (1) there was, in fact, a defect in the product manufactured and sold by the defendant; (2) such defect existed at the time the product left the hands of the defendants; and (3) the defect was the direct and proximate cause of the plaintiffs injuries or loss.” State Auto. Mut. Ins. Co. v. Chrysler Corp. (1973), 36 Ohio St. 2d 151, 65 O.O. 2d 374, 304 N.E. 2d 891, paragraph two of the syllabus; Temple v. Wean United, Inc. (1977), 50 Ohio St. 2d 317, 4 O.O. 3d 466, 364 N.E. 2d 267; Friedman v. General Motors Corp. (1975), 43 Ohio St. 2d 209, 72 O.O. 2d 119, 331 N.E. 2d 702; Bowling v. Heil Co. (1987), 31 Ohio St. 3d 277, 286, 31 OBR 559, 566, 511 N.E. 2d 373, 380.

Product defects may be proven by direct or circumstantial evidence. Where direct evidence is unavailable, a defect in a manufactured product existing at the time the product left the manufacturer may be proven by circumstantial evidence where a preponderance of that evidence establishes that the loss was caused by a defect and not other possibilities, although not all other possibilities need be eliminated. Friedman v. General Motors Corp., supra; State Auto. Mut. Ins. Co. v. Chrysler, supra.

B

The history of strict products liability in Ohio was recently reviewed in Bowling v. Heil Co., supra, at 279-282, 31 OBR at 561-563, 511 N.E. 2d at 375-377. Related to the adoption of Section 402A of the Restatement of the Law 2d, Torts (1965), was the recognition that product defects may be proven by applying a consumer-expectation standard. Temple v. Wean United, Inc., supra. Applicable to both manufacturing and design defects, this standard now states that a product may be proven to be in a defective condition if it is more dangerous than an ordinary consumer would expect when used in an intended or reasonably foreseeable manner. Leichtamer v. American Motors Corp. (1981), 67 Ohio St. 2d 456, 21 O.O. 3d 285, 424 N.E. 2d 568, paragraph two of the syllabus; Knitz v. Minster Machine Co. (1982), 69 Ohio St. 2d 460, 23 O.O. 3d 403, 432 N.E. 2d 814, syllabus; Cremeans v. International Harvester Co. (1983), 6 Ohio St. 3d 232, 6 OBR 302, 452 N.E. 2d 1281, syllabus.3 This standard “* * * recognizes the legitimacy of one of the fundamental values in the law of torts: ‘the protection of the individuality of persons, by according formal respect for their fairly developed expectations of product safely * * * ' [Citation omitted.]”4 Leichtamer, supra, at 467, 21 O.O. 3d at 292, 424 N.E. 2d at 577.

As applied to manufacturing defect cases, evidence of unsafe, unexpected performance of a product, while sufficient to infer the existence of a [7]*7defect, satisfies but one of the three elements necessary for recovery. Plaintiffs are still required to demonstrate by a preponderance of direct or circumstantial evidence that the claimed defect was present when the product left the hands of the manufacturer and proximately caused the claimed injuries.

In design defect cases, the consumer-expectation standard is one of two alternatives available to determine whether a product design is in a defective condition. Subsequent to development of the consumer-expectation standard a second, alternative, risk-benefit standard was adopted for proving design defects.5 However, since plaintiffs have not asserted the risk-benefit theory as a basis for recovery, we need not consider it further. Rather, we shall consider the consumer-expectation standard, under which we have held that “* * * a defendant will be subject to liability if the plaintiff proves that the product design is in a defective condition because the product fails to perform as safely as an ordinary consumer would expect when used in an intended or reasonably foreseeable manner.” Cremeans v. International Harvester Co., supra, syllabus; Knitz, supra; Leichtamer, supra.

As in manufacturing defect cases, proof of liability in design defect cases still requires that the three elements of Lonzrick be satisfied. Thus, first, under the consumer-expectation standard, evidence of unsafe, unexpected product performance is sufficient to infer the existence of a product defect. Next, absent substantial change in the condition in which the product was sold (e.g., Temple v. Wean United, Inc., supra, at paragraph one of the syllabus; King v. K. R. Wilson Co. [1983], 8 Ohio St. 3d 9, 8 OBR 79, 455 N.E. 2d 1282), it may also be inferred that the design defect was present when the product left the hands of the manufacturer.

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Bluebook (online)
523 N.E.2d 489, 37 Ohio St. 3d 1, 1988 Ohio LEXIS 133, Counsel Stack Legal Research, https://law.counselstack.com/opinion/state-farm-fire-casualty-co-v-chrysler-corp-ohio-1988.