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Eighteen bomb loaded boxcars exploded in Southern's (D) rail yard in California. The boxcars and bombs, both the property of the United States (D), were being hauled by the Southern (D), under a contract with the Department of the Navy. Ps sued Ds seeking to recover damages for personal injuries and property destruction caused by the explosions. Ps’ suit was based on strict liability. D moved to dismiss under Rule 12(b)(6), claiming that it was under a public duty and was exempt from strict liability.

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