Hardin v. Manitowoc-Forsythe Corporation

691 F.2d 449 (10th Cir. 1982)

Facts

Combustion Engineering leased a Manitowoc crane from a wholly-owned subsidiary corporation, Lummus Company. Manitowoc-Forsythe (D) ordered the crane from its parent corporation, Manitowoc Company, Inc., and allegedly sold it to Lummus. The crane was manufactured by Manitowoc -Engineering, a division of Manitowoc Company, Inc. Attached to the crane was a push-pull jack manufactured by Columbus-McKinnon (D). P was injured by the defective push-pull jack. P chose to sue only Manitowoc-Forsythe (D) and Columbus-McKinno (D) under products liability. P's employer, Combustion Engineering, was immune from suit under the Kansas workmen's compensation law. Kansas law used comparative negligence for apportioning liability between plaintiffs and joint tortfeasors. In this framework, it also, including “phantom parties” who were not party to the suit but who may also be at fault. Ds motioned to consider the fault of nonparties, and it was granted. At pretrial the court held that as to any 'phantom party' whose involvement is suggested, the court will evaluate the evidence by a directed verdict standard, and will in effect make a directed verdict on behalf of any claimed 'phantom party.' If the evidence would be insufficient to hold them in the case if they were actually sued, then the jury will not be allowed to consider their contribution to the injuries. P objected to comparing the fault of any party not specifically put into issue by the pretrial order. The court overruled the objection on the ground that the issue of the fault of Manitowoc Engineering and Lummus had been tried by consent and would thus be treated as if it had been raised by the pleadings under Rule 15(b). The jury assessed damages of $150,000 and the court awarded plaintiff judgment against Columbus-McKinnon for 13.5% of $150,000, or $20,250. The jury’s special verdict form held apportionment of fault as follows: Columbus-McKinnon (D): 13.5%, Manitowoc-Forsythe (D): 0, P: 20.0 %, Combustion Engineering: 45.0%, Manitowoc Engineering: 9.0% and Lummus Company: 12.5%. P appealed.