Product Liability -- 2009



Klein v. Nat'l R.R. Passenger Corp.   (3rd Circuit)

Expansion of premises liability law

A federal judge in Pennsylvania declined to set aside a $24 million jury verdict against two railroad companies for injuries suffered by two teenagers who climbed on a boxcar parked near Lancaster, Pennsylvania in 2002. The teens, who admitted that they were trespassers, were severely burned by electrified catenary wires, which power locomotives, after they climbed on top of the boxcar to allegedly get a better view of the city.

On Oct. 15, 2008, the NAM joined the Energy Association of Pennsylvania in an amicus brief urging reversal by the Third Circuit, arguing that the district court’s decision represents an unprecedented and inappropriate expansion of Pennsylvania premises liability law, as it imposes on landowners of multiple properties a new duty to anticipate trespassers and prepare for their presence.

First, we argued that the evidence offered by plaintiffs did not meet the standard under Pennsylvania law for premises liability, which requires that landowners know of both the dangerous condition of the property and the presence of trespassers near the dangerous condition on the property where the injury occurs.

Second, we pointed out the court’s mistake in admitting evidence of prior incidents which were remote in time and location from the accident in this case. In fact, the court did not even undertake an analysis to determine whether these prior incidents were substantially similar to the incident which occurred here.

Our brief concluded with a warning that the costs associated with the increased liability exposure will ultimately be passed along to consumers in the form of higher prices for manufactured goods and higher utility rates at a time when consumers are already burdened by inflation and rapidly rising energy costs.

On Sept. 4, 2009, the court dismissed the appeal pursuant to a settlement agreement. The lower court rulings were withdrawn.


Related Documents:
NAM Reply to Brief Opposing Amicus Participation  (October 31, 2008)
NAM Brief  (October 15, 2008)