Widmark v. Dalkon Shield Trust (In Re A.H. Robins Co.)

236 B.R. 337, 1999 U.S. Dist. LEXIS 11582, 1999 WL 557538
District Court, E.D. Virginia·Decided July 13, 1999·No. 85-01307-R·Published·Cited by 1 cases

Opinion

MEMORANDUM OPINION

SPENCER, District Judge.

This matter comes before the Court on the Motion filed by Lenore Widmark (the “Claimant”) to Vacate the Arbitrator’s Decision (the “Motion”). The Daikon Shield Claimants Trust (the “Trust”) opposes the Motion. Upon consideration of the parties’ pleadings, and after argument held on this matter on June 28, 1999, the Court makes the following Findings of Fact and Conclusions of Law.

FINDINGS OF FACT

I. Procedural History

A. Claimant’s Previous Motion to Vacate

This is the second time that the Claimant has argued before the Court for vacation of an arbitration decision. The first time, in Widmark v. Dalkon Shield Claimants Trust, 219 B.R. 105 (E.D.Va.1998), the Claimant argued that Carol Liebman (the “Arbitrator”) erred, in her decision rendered on June 9, 1997, by allowing the Trust to introduce evidence on whether the Daikon Shield increased the risk of contracting Pelvic Inflammatory Disease (“PID”) in response to the Claimant’s proffer of evidence on the issue, and by finding evidence of other causes of PID in the Claimant’s medical records and testimony. The Court ruled against the Claimant on both points and the Claimant appealed to the Fourth Circuit Court of Appeals.

B. Fourth Circuit Reversal

The Fourth Circuit reversed the Court solely because the Arbitrator failed to apply the presumption of causation analysis prescribed by the Fourth Circuit in Reichel v. Dalkon Shield Claimants Trust, 109 F.3d 965 (4th Cir.1997) (the “Presumption”). See Widmark v. Dalkon Shield Claimants Trust, 165 F.3d 17 (4th Cir.1998) (unpublished) (per curiam). The sole basis for the reversal was the failure of the Arbitrator to apply the Presump *341 tion; the Fourth Circuit did not rule on any other issues and noted no other errors in the Court’s decision.

C.Court’s Remand Order and Reconsideration of That Order

In compliance with the Fourth Circuit’s ruling, on November 18, 1998, the Court entered an Order remanding the matter to the Arbitrator for application of the Presumption to the evidence she had heard during the May 1997 arbitration hearing on the Claimant’s claim. On December 4, 1998, the Claimant filed a Motion to Reconsider and Reargue the November 18 Order, contending that she was entitled to a new arbitration hearing before a new arbitrator. The Court heard oral argument on the Claimant’s Motion and denied the Motion in a Memorandum Opinion and Order dated February 12, 1999, finding that there had been no fraud, corruption, or misconduct on the part of the Arbitrator which necessitated a new arbitrator and hearing. See Widmark v. Dalkon Shield Claimants Trust, 230 B.R. 82 (E.D.Va.1999). The Court held that the Arbitrator failed to apply the Presumption which she was not asked to apply, which she did not know was supposed to apply, and which was only made applicable to arbitration proceedings in a Fourth Circuit decision rendered on August 17, 1998, well after the Claimant’s arbitration decision rendered on June 9, 1997. See King, et al. v. Dalkon Shield Claimants Trust, 162 F.3d 1154 (4th Cir.1998).

Pursuant to the Court’s November 18 Order, the Claimant’s case was remanded and on remand, the Arbitrator invited the parties to submit additional evidence; both parties declined this invitation and agreed to resubmit the case to the Arbitrator on the basis of the record created during the May 1997 hearing. The Trust filed its written submission with the Arbitrator on December 2, 1998, and the Claimant filed her submission on March 12,1999.

D. Arbitrator’s Decision on Remand

In her decision of April 29, 1999, after carefully applying the Presumption and reviewing in detail the medical evidence before her, the Arbitrator concluded that the evidence introduced by the Trust was sufficient to rebut the Presumption. This rebuttal left the Claimant with her original burden of proving, by a preponderance of the evidence and without the benefit of any presumption, that the Daikon Shield she had inserted in 1974 and used without interruption for nine years with no problems had caused her PID in 1983. The Claimant was unable to meet that burden as the Arbitrator found that the evidence presented, especially in light of the nine years of problem free use of the Daikon Shield and other possible explanations for her injuries, was not sufficient to show by a preponderance of the evidence that her injuries were caused by Daikon Shield use. Failing to carry her burden, the Claimant received no compensation.

E. Claimant’s Present Motion to Vacate

Unhappy with the Arbitrator’s most recent decision, the Claimant filed the Motion to Vacate the Arbitrator’s Decision with the' Court on May 20, 1999. The Trust filed its Response to the Motion on June 7, 1999, and the Claimant filed her Reply to the Trust’s Response on June 22, 1999. The Court heard oral argument on the Motion on June 28,1999.

II. Claimant’s Arguments in the Motion to Vacate

A. Brief Factual Background

The Claimant was married to William Widmark in 1969 and had a son with him. The Claimant separated from her husband in 1974 and began a life relationship with August Sasz. In approximately May of 1974, the Claimant was inserted with a Daikon Shield. The Claimant wore the Daikon Shield without interruption from 1974 through June of 1983 when it was removed after the development of a severe *342 episode of PID. The Claimant claims that she has never been diagnosed with or had any history or symptoms of any sexually transmitted disease. (“STD”). In 1986, it was determined that the Claimant had a total tubal obstruction which rendered her infertile as a result of the 1983 PID episode. The Claimant claims that she has suffered both physical and emotional trauma as a result of the PID and being rendered infertile, and that these injuries were caused by use of the Daikon Shield.

B. The Arbitrator Abused Her Discretion and Exceeded Her Authority By Improperly Considering Speculative Evidence of Product Defect

No evidence regarding product defect is permitted in arbitration proceedings; Arbitration Rule 32(f)(8) prohibits such evidence. The Claimant argues that the Arbitrator’s allowing the Trust to submit evidence showing that the Daikon Shield did not increase the risk of developing PID violated the rule against product defect evidence. The Trust presented such risk evidence through the testimony of one of its experts, Dr. Jones. The Claimant states that such evidence was improper because it suggested that the Daikon Shield was a good and safe device with no problems. This evidence allowed the Trust to, in essence, offer evidence on the defectiveness of the product through the “back door” by claiming that this evidence rebutted the Presumption. The Claimant concludes that evidence of increased risk goes to the defectiveness of the product, and such evidence is inadmissible.

C.

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Widmark v. Dalkon Shield Trust (In Re A.H. Robins Co.), 236 B.R. 337, 1999 U.S. Dist. LEXIS 11582, 1999 WL 557538 (E.D. Va. 1999).

236 B.R. 337 (Widmark v. Dalkon Shield Trust (In Re A.H. Robins Co.)) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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