Product Liability -- 1999



Steamfitters Local No. 420 v. Philip Morris Inc.   (3rd Circuit)

Medical benefit plan suit for damages

The NAM and the Product Liability Advisory Council filed a joint amicus brief on 11/16/98 urging dismissal of a medical benefit plan's suit against tobacco companies for injuries to beneficiaries of the plan.

On March 29, 1999, the Third Circuit affirmed the lower court's dismissal of the case in favor of the tobacco companies. "[W]e conclude that the District Court correctly dismissed all of plaintiffs' primary claims as being too remote from any alleged wrongdoing of defendants, and the other claims as concomitantly lacking in merit; hence, we affirm the dismissal of the complaint in its entirety."

This case affects all manufacturers whose products may injure employees covered by health or disability insurance (such as food, recreational products, medical devices, pharmaceuticals, automobiles and home appliances). The NAM supports fundamental subrogation remedies and limitations under the doctrine of remoteness.