Bifolck v. Philip Morris, Inc.
Bifolck v. Philip Morris, Inc.
Opinion
This case is the second of two diversity actions in which the federal courts certified questions for this court's advice regarding the viability of an action under Connecticut's Product Liability Act (act)
1
alleging that a cigarette's design had increased consumers' risk of cancer. The courts sought advice whether specific theories advanced in those actions are precluded by this court's adoption of § 402A of the Restatement (Second) of Torts, which imposes liability for defective products that are "unreasonably dangerous," and more particularly, our adoption of comment (i) to § 402A, which defines that term in relation to
consumers' knowledge of the danger.
2
In the first of these actions, this court advised that the strict liability theory advanced was not precluded because it required application of our modified consumer expectation test, under which the obviousness of the danger is only one of many factors that the trier of fact may consider.
Izzarelli
v.
R.J. Reynolds Tobacco Co.
,
In the present action, this court considers three substantive questions: (1) whether, for claims alleging design defects, we should abandon our dual tests based on
§ 402A of the Restatement (Second) of Torts and adopt the standards under the Restatement (Third) of Torts, Products Liability; (2) if not, whether § 402A and comment (i) provide a single, unitary definition for all theories under which product liability claims may be brought, including negligence; and (3) whether the punitive damages available in the act are limited to litigation costs under our common-law punitive damages rule. This court raised the first question; we accepted certification with respect to the second and third questions, pursuant to General Statutes § 51-199b(d), from the United States District Court for the District of Connecticut. See
Bifolck
v.
Philip Morris, Inc.
, Docket No. 3:06cv1768 (SRU),
I
BACKGROUND OF THE PRESENT CASE
The following facts and procedural history gave rise to the issues presently before us. The plaintiff, Vincent Bifolck, individually and as executor of the estate of his wife, Jeanette D. Bifolck (decedent), commenced this action in the District Court against the defendant, Philip Morris, Inc., after the decedent succumbed to lung cancer at the age of forty-two. The principal thrust of the complaint is that the Marlboro and Marlboro Light cigarettes manufactured by the defendant and smoked by the decedent were defectively designed and that this defective design was responsible for her lung cancer and death from that disease. The plaintiff sought compensatory damages, as well as statutory punitive damages under General Statutes § 52-240b.
One count of the complaint asserted a product liability claim under the act, but set forth separate allegations in support of theories of strict liability and negligence. 3 With respect to strict liability, the plaintiff alleged that the defendant's cigarettes were defective and unreasonably dangerous in that their design rendered the cigarettes unnecessarily addictive and unnecessarily carcinogenic. Specifically, the plaintiff alleged that the defendant had (1) added ingredients, including carcinogenic ingredients, that altered the natural form of the tobacco in the cigarettes, and (2) utilized manufacturing processes that affected the composition and form of the tobacco and nicotine, as well as the manner in which the cigarette smoke was transmitted to the smoker. With respect to negligence, the plaintiff alleged that the defendant had failed to conform to the applicable standard of care by knowingly designing the cigarettes in a manner that enhanced their addictive and cancer causing nature and by failing to take available measures to reduce the cigarettes' addictive, toxic, and cancer causing ingredients/properties.
After the plaintiff commenced the present action, judgment was rendered in the District Court in another action against a different cigarette manufacturer on the basis of similar allegations of strict liability and negligence. See
Izzarelli
v.
R.J. Reynolds Tobacco Co.
,
The trial in the present case was postponed to await this court's response to that question. In the intervening period, the District Court certified two additional questions to this court for advice: (1) "Does [§] 402A of the Restatement (Second) of Torts (and comment [i] to that provision) apply to a product liability claim for negligence under [the act]?"; and (2) "Does Connecticut's [common-law] rule of punitive damages as articulated in
Waterbury Petroleum Products, Inc.
v.
Canaan Oil & Fuel Co.
,
After oral argument to this court on both cases, we issued our decision in
Izzarelli
, in which we advised that comment (i) to § 402A did not preclude the strict liability theory advanced.
Izzarelli
v.
R.J. Reynolds Tobacco Co.
, supra,
The jury in
Izzarelli
had been instructed on both strict liability tests and rendered a general verdict in favor of the plaintiff. Id., at 182,
Although that position did not garner majority support in that case, the posture of the present case is more conducive to consideration of this issue. Unlike Izzarelli , this case has not yet proceeded to trial. Accordingly, the issue raised by the Izzarelli concurrence can be considered with the benefit of supplemental briefing, but without the possibility of disturbing a presumptively valid verdict under the existing standards in the absence of a challenge to those standards.
In light of these considerations, we issued an order to the parties in the present case, concurrently with the issuance of our decision in Izzarelli , seeking supplemental briefs on the following questions: (1) whether, for product liability actions premised on design defects, this court should abandon the ordinary consumer expectation test/modified consumer expectation test and adopt §§ 1, 2 (b) and 4 of the Restatement (Third), with or without the associated commentary; 4 and (2) if so, whether there is any reason why this court should not apply the Restatement (Third) standard to cases pending before a trial court, like the present case. We also invited professional organizations to submit amicus briefs on the first question. Pursuant to the parties' joint request, the court heard oral argument on these questions.
II
WHETHER TO ABANDON THE RESTATEMENT (SECOND) IN FAVOR OF THE RESTATEMENT (THIRD) FOR DESIGN DEFECT CLAIMS 5
We begin with the question that this court raised because its answer could be dispositive of the first certified question regarding whether consumer expectations under comment (i) to § 402A govern recovery for a defective design under a theory of negligence. See Restatement (Third), supra, § 2, comment (g), pp. 27-28 (explaining that "consumer expectations do not constitute an independent standard for judging the defectiveness of product designs" and that such expectations are "relevant" but not controlling).
A
Parties' Positions
The parties and the amici supporting their respective positions take sharply divergent views on every consideration relevant to this issue. The plaintiff urges us not to abandon our dual Restatement (Second) tests, characterizing the Restatement (Third) as a significant departure from our long-standing strict liability standard and the public policies that this standard advances. Conversely, the defendant urges us to adopt the Restatement (Third), characterizing it as consistent with our case law, our act, and litigation practice. To the extent that both parties acknowledge that the Restatement (Third) will make some change to our product liability law, they point to different effects of those changes. The plaintiff contends that these changes will have a detrimental, unfair effect on injured consumers, whereas the defendant contends that these changes will provide greater clarity and objectivity without such effects. The plaintiff contends that the task of weighing the numerous policy considerations implicated is better left to the legislature, whereas the defendant contends that the issue should be resolved by this court.
B
Current Standard under Our Law 6
Prior to 1965, plaintiffs in Connecticut relied on theories of negligence and breach of warranty in actions to recovery for injuries caused by defective products.
7
In 1965, Connecticut adopted the strict liability standard
for product liability actions under § 402A of the Restatement (Second), under which a plaintiff need not establish the manufacturer's fault. See
Garthwait
v.
Burgio
,
Originally, this court defined unreasonably dangerous solely by reference to consumer expectations as set forth in comment (i)-the ordinary consumer expectation
test. See id., at 214-15,
In 1997, this court rejected the argument that, for design defects, we should adopt the standard in the draft Restatement (Third), requiring proof of a reasonable alternative design, instead of § 402A's unreasonably dangerous standard. See
Potter
v.
Chicago Pneumatic Tool Co.
, supra,
The court's review of the various tests adopted by other jurisdictions convinced it, however, that our singularly focused consumer expectation test might also preclude some valid claims.
Whereas
Potter
established dual tests to prove that a design defect is unreasonably dangerous, our recent decision in
Izzarelli
clarified the circumstances under which each test applies. See
Izzarelli
v.
R.J. Reynolds Tobacco Co.
, supra,
In sum, under either test, § 402A provides the elements of a strict product liability claim; see footnote 8 of this opinion; but the unreasonably dangerous element is determined by minimum safety expectations in one and by balancing risks and utility in the other.
Izzarelli v.
R.J. Reynolds Tobacco Co.
, supra,
C
Standard under the Restatement (Third)
Unlike § 402A's "unreasonably dangerous" standard, which applies to any type of product defect, § 2 of the Restatement (Third) prescribes different standards for each of the three categories of product defects-design defects, manufacturing defects and defects due to inadequate instructions/warnings. A product "is defective in design when the foreseeable risks of harm posed by the product could have been reduced or avoided by the adoption of a reasonable alternative design by the seller or other distributor, or a predecessor in the commercial chain of distribution, and the omission of the alternative design renders the product not reasonably safe ...." 9 Restatement (Third), supra, § 2(b), p. 14.
The comments elaborate on the practical application of this standard. They explain that this standard "adopts a reasonableness ('risk-utility balancing') test as the standard for judging ... defectiveness ...." Id., comment (d), p. 19. "A broad range of factors may be considered in determining whether an alternative design is reasonable and whether its omission renders a product not reasonably safe. The factors include, among others, the magnitude and probability of the foreseeable risks of harm, the instructions and warnings accompanying the product, and the nature and strength of consumer expectations regarding the product, including expectations arising from product portrayal and marketing....
The relative advantages and disadvantages of the product as designed and as it alternatively could have been designed may also be considered. Thus, the likely effects of the alternative design on production costs; the effects of the alternative design on product longevity, maintenance, repair, and esthetics; and the range of consumer choice among products are factors that may be taken into account." (Citation omitted.) Id., comment (f), p. 23.
The design defect standard under § 2 is not the exclusive means of establishing liability for a design defect. The Restatement (Third) acknowledges three other standards under which a design defect could be established.
A comment to § 2 recognizes the possibility that courts could determine that some products were "so manifestly unreasonable, in that they have low social utility and high degree of danger, that liability should attach even absent proof of a reasonable alternative design." Id., comment (e), pp. 21-22. The example provided of a product that would satisfy this standard is an exploding novelty cigar that causes burns to the user's face. Id., illustration (5), p. 22. This standard will not apply "in most instances even though the plaintiff alleges that the category of product sold by the defendant is so dangerous that it should not have been marketed at all." Id., comment (d), p. 20.
In addition, § 3 recognizes that circumstantial evidence alone may support the inference of a product defect.
10
Id., § 3, p. 111. Essentially, this section states
the contours of the "malfunction" theory that has long been recognized under Connecticut's § 402A case law.
11
See
Metropolitan Property & Casualty Ins. Co.
v.
Deere & Co.
,
Also, § 4 (a) of the Restatement (Third) provides that "a product's noncompliance with an applicable product safety statute or administrative regulation renders the product defective with respect to the risks sought to be reduced by the statute or regulation ...." Liability may not be assessed if the law is unclear as to its meaning or purpose, or conflicts with other safety laws with which the manufacturer must comply. Id., comment (d), p. 121.
It is evident that these three alternatives to the standard under § 2 (b) have a narrow field of operation. Few products will have such a marginal utility and such
a high degree of risk akin to the cartoonish example of the exploding cigar that will satisfy the manifestly unreasonable standard. See A. Twerski & J. Henderson, Jr., " Manufacturers' Liability for Defective Product Designs: The Triumph of Risk-Utility,"
As such, we focus our attention on the differences between this predominant standard and our tests under § 402A. Section 2 (b) imposes two requirements that are not mandated under our § 402A tests: (1) proof that the harm was foreseeable; and (2) proof that a reasonable alternative design existed that would have reduced or avoided the danger. Restatement (Third), supra, § 2(b), p. 14. The comments explain that the rule under § 2 (b) is stated in functional terms rather than traditional doctrinal categories (i.e., strict liability, negligence, implied warranty). Id., § 2, comment (n), p.
35. Nonetheless, the comments also acknowledge that § 2 (b)"achieve [s] the same general objectives as does liability predicated on negligence"; id., comment (a), p. 16; undertakes the same comparative approach that is used in negligence; id., comment (d), p. 19; and is supported by the same policy considerations that support use of a reasonable person perspective in negligence. Id. Accordingly, while there are nominal differences, many courts and commentators view § 2 (b) as effectively requiring proof of negligence. See, e.g.,
Aubin
v.
Union Carbide Corp.
,
Section 402A is a true strict liability standard. A product seller is "subject to liability to the user or consumer even though he has exercised all possible care in the preparation and sale of the product." 2 Restatement (Second), supra, § 402A, comment (a), p. 348. Foreseeability of harm is not an element of the plaintiff's prima facie case. See
Vendrella
v.
Astriab Family Ltd. Partnership
,
Although the availability of an alternative design could be relevant under either of our tests under § 402A, neither requires such proof. Indeed, under our primary modified consumer expectation test, a plaintiff may establish liability solely by reference to the product sold, upon proof that its risks outweigh its utility. It bears emphasizing that this risk-utility balancing does not limit liability to products that are of excessively low utility and exceedingly high risk, as does the "manifestly" unreasonable standard in the Restatement (Third).
On its face, therefore, the Restatement (Third) would appear to make consequential changes to our product liability law. According to the plaintiff, adopting the Restatement (Third) would make product liability cases significantly more expensive to litigate; in many cases requiring expert testimony/product prototypes to establish that the alternative design is reasonable. As such, he contends it will be more likely that cases will be decided on pretrial motions testing the adequacy of this proof and that injured consumers with smaller damages will be unable to bring product liability actions at all.
In response, the defendant and some of the amici contend that adoption of the Restatement (Third) would not significantly alter our law in practice , because plaintiffs typically elect to proffer proof of an alternative design. The defendant does not, and could not, claim, however, that plaintiffs have ever assumed the burden of proving that the harm was foreseeable. Moreover, the defendant's argument does not account for the fact that the adequacy of this proof has generally not been the subject of serious controversy and pretrial motions because plaintiffs have not been required to prove the reasonableness of the alternative design to prevail.
D
Whether the Restatement (Third) Should Be Adopted
In his concurring opinion in
Izzarelli
, Justice Zarella set forth several reasons why he believes that, regardless of the degree of difference, the greater clarity and objectivity that the Restatement (Third) provides over our current standards favors its adoption. See
Izzarelli
v.
R.J. Reynolds Tobacco Co.
, supra,
We have followed § 402A's strict liability standard for more than five decades. We have only modified that standard to the extent that it was necessary to fill a gap in our law;
Potter
v.
Chicago Pneumatic Tool Co.
, supra,
In the almost two decades since this court adopted our modified consumer expectation test in
Potter
, there has been no evidence that our § 402A strict liability tests have proved to be unworkable. Not a single case applying Connecticut law has been brought to our attention demonstrating either that a jury had difficulty applying our law or that a jury's verdict yielded
a bizarre or unconscionable result. Indeed, we noted in
Izzarelli
that we would trust our trial courts to safeguard against any such result. See id., at 205,
An argument that our standard is unworkable because it lacks an "objective" basis for decision-making was implicitly rejected in
Potter
, and is both circular and contradicted by experience. The presumption on which this argument rests is that failing to require proof of a reasonable alternative design in a risk-utility test deprives the fact finder of an objective basis for decision-making because it lacks an alternative against
which to compare the marketed product. The flaw in this argument is that it assumes that a product cannot be unsafe unless it can be made safer. If the fact finder's task is to determine whether the defendant could have made a safer product, it necessarily follows that the absence of an alternative design makes this task impossible. If, however, the fact finder's task is to assess whether the product is unreasonably dangerous because its risks exceed its utility, no comparison to an alternative is necessary. The fact that jurors commonly engage in such a balancing test whenever they are called upon to assess reasonableness, such as in a claim of negligence, evidences that such weighing is workable. See 2 Restatement (Second), supra, § 291, p. 54 ("[w]here an act is one which a reasonable man would recognize as involving a risk of harm to another, the risk is unreasonable and the act is negligent if the risk is of such magnitude as to outweigh what the law regards as the utility of the act or of the particular manner in which it is done"); see also
Rodriguez
v.
Suzuki Motor Corp.
,
We also note that Connecticut's standard is hardly an outlier. It is not a fruitful exercise to attempt to obtain a precise count of how many jurisdictions have
adopted or rejected the Restatement (Third) standard. Like every other aspect of this area of the law, parties on each side of this debate disagree about what legal standard has been adopted in the various jurisdictions and whether that determination should be made on the basis of how the court has articulated its standard or how the cases have been litigated.
14
It suffices for our purposes that several other jurisdictions apply similar standards to ours, some for many years. See, e.g.,
Barker
v.
Lull Engineering Co.,
In addition to the lack of evidence that our Restatement (Second) standard is unworkable, we are not persuaded that the Restatement (Third) fully addresses all of the concerns that previously led this court to reject the draft Restatement (Third). The court in
Potter
did not address whether it would be appropriate to require plaintiffs to prove that the risk of harm was foreseeable. Nonetheless, such a requirement would be manifestly inconsistent with the court's concern in
Potter
about the burdens of expert testimony;
Potter
v.
Chicago Pneumatic Tool Co.
, supra,
With respect to the reasonable alternative design requirement, the court in
Potter
expressed a concern that such a rule would preclude valid claims for products for which there is no alternative design.
Potter
v.
Chicago Pneumatic Tool Co.
, supra,
The court's concerns in
Potter
are not ameliorated by the argument of the defendant and some of the amici that evidence of a reasonable alternative design
is routinely presented. As the Pennsylvania Supreme Court recently explained: "[R]elying upon a confined universe of reported appellate cases to draw evidence-based (versus principle-based) rules is problematic as a general matter in our mature legal system. This is so because the small class of cases posing issues of sufficient consequence to result in reported, precedential decisions naturally tends to raise narrow unsettled issues and/or fact-sensitive applications, rather than to provide vehicles to illustrate those parts of the law that are so 'well accepted' as to reflect emergent general rules. Of course, these cases may, by analogy and distinction, illuminate general principles at issue; but, purporting to limit the general rule to the facts of those cases is anathema to the common law. Stated otherwise, simply because in cases of factually-marginal applications courts have found evidence relating to alternative designs to be particularly probative and persuasive, in our minds, does not necessarily support a thesis that adducing such evidence is dispositive of whether a plaintiff has carried his/her burden of proof.... And, if adopted as a broadly applicable legal regime, the Third Restatement would engender a self-fulfilling prophecy by providing for a future restatement, going forward, of only those cases that meet the evidentiary threshold the regime permits." (Citation omitted.)
Indeed, even the product liability defense bar has admitted that the controversy surrounding adoption of the Restatement (Third) has not abated. See M. McWilliams & M. Smith, " An Overview of the Legal Standard Regarding Product Liability Design Defect Claims and a Fifty State Survey on the Applicable Law in Each Jurisdiction,"
Alternative Approaches to Alternative Design: Understanding the Reasonable Alternative Design Requirement and Its Different Applications,"
We also observe that if we defer further consideration of the Restatement (Third) until such time as we have a case in which our current standards have demonstrated themselves to be unworkable or result in a manifest injustice, not only might we make a better informed decision, but the legislature might, in the interim, initiate its own reforms. The parties on each side of this issue have raised legitimate policy arguments in support of their respective positions. Public hearings on this issue and further study might yield the best result. We underscore that we do not conclude that this court
cannot
adopt the Restatement (Third), but simply that we
should not
do so at the present juncture. See
Tincher
v.
Omega Flex, Inc.
, supra,
Finally, although the defendant's arguments have not persuaded us that we should adopt the Restatement (Third) at this time, we have reexamined our standards in light of the concerns expressed by both parties to consider whether we could make refinements to our current strict liability standard to provide greater clarity. Having undertaken that inquiry, we make the following clarifications.
First, we agree that the labels of ordinary consumer expectation test and modified consumer expectation test are at best unhelpful and at worst misleading. To distinguish the tests in a manner more reflective of their application, we will call them the consumer expectation test and the risk-utility test. These labels also more closely conform to those used by many other jurisdictions.
Second, although our risk-utility test permits a plaintiff to elect whether to proffer evidence of a reasonable alternative design, it would be helpful to require the plaintiff to allege, and thereby put the defendant on notice, whether the product is claimed to be unreasonably dangerous because (a) a reasonable alternative design could have reduced or avoided the danger, or (b) the design of the product marketed is manifestly unreasonable in that the risk of harm from the product so clearly exceeds its utility that a reasonable, informed consumer would not purchase the product, or (c) both. Under either theory, the jury weighs the product's risks and utility. Only under (a), however, would the jury consider the availability of an alternative design and compare that design's risks and utility to that of the product sold. Under (b), the jury would focus exclusively on the risks and utility of the product sold. We underscore that (b) is not limited to products of marginal utility; it applies to any product in which its risks clearly exceed its utility. The greater the utility, the greater the risk must be to render the product unreasonably dangerous. By segregating these risk-utility theories, we may gain a clearer picture of what, if any, problems these theories present in practical application. Third, we recognize that, in most cases, plaintiffs will elect to proceed on the theory that the product is unreasonably dangerous because it lacked some feature that would have reduced or avoided the injury. This narrative is the one that is likely to be most persuasive to a jury, and not many products will be more dangerous than useful or fail to meet minimum safety expectations. Therefore, it would be helpful to clarify the plaintiff's burden of proof on this theory. In order to state a prima facie case that will permit the case to be submitted to the jury, the plaintiff must simply prove that the alternative design was feasible (technically and economically) and that the alternative would have reduced or avoided the harm. Although other factors may be relevant; see part II E of this opinion; a plaintiff's failure to present proof on other factors will not preclude the case from being submitted to the jury. We underscore that, as to economic feasibility, the plaintiff need not prove the precise cost of the alternative design. The plaintiff only need proffer sufficient evidence from which a jury could reasonably conclude that any increase in cost would not materially affect the desirability of the product in light of the benefit derived.
Fourth, we conclude that a defect may be established under our consumer expectation test by proof of the product's noncompliance with safety statutes or regulations or a product seller's express representations. Such noncompliance would establish the product's failure to meet consumers' legitimate, commonly accepted, minimum safety expectations. Moreover, the utility of the product would not excuse such noncompliance.
E
In light of the clarifications in Izzarelli and this opinion, we summarize the standards that govern a product liability claim, as that term is defined under our act. See General Statutes § 52-572m(b). 17
All such claims, whether alleging a design defect, manufacturing defect or failure to warn defect, are governed by the same elements that this court has applied since it adopted § 402A : "(1) the defendant was engaged in the business of selling the product; (2) the product was in a defective condition unreasonably dangerous to the consumer or user; (3) the defect caused the injury for which compensation was sought; (4) the defect existed at the time of the sale; and (5) the product was expected to and did reach the consumer without substantial change in condition." (Emphasis omitted; internal quotation marks omitted.)
Izzarelli
v.
R.J. Reynolds Tobacco Co.
, supra,
The plaintiff's theory of recovery dictates the scope of a further instruction on the second element. For a strict liability claim alleging design defect, the plaintiff may prove this element under the risk-utility test or under the consumer expectation test.
Under the risk-utility test, which will govern most cases, a product is in a defective condition unreasonably dangerous to the consumer or user if:
(1) A reasonable alternative design was available that would have avoided or reduced the risk of harm and the absence of that alternative design renders the product unreasonably dangerous. In considering whether there is a reasonable alternative design, the jury must consider the feasibility of the alternative. Other relevant factors that a jury may consider include, but are not limited to, the ability of the alternative design to reduce the product's danger without unreasonably impairing its usefulness, longevity, maintenance, and esthetics, without unreasonably increasing cost, and without creating other equal or greater risks of danger; or
(2) The product is a manifestly unreasonable design in that the risk of harm so clearly exceeds the product's utility that a reasonable consumer, informed of those risks and utility, would not purchase the product. 18 The factors that a jury may consider include, but are not limited to, the magnitude and probability of the risk of harm, the instructions and warnings accompanying the product, the utility of the product in relation to the range of consumer choices among products, and the nature and strength of consumer expectations regarding the product, including expectations arising from product portrayal and marketing.
Although the fact finder considers under either theory whether the risk of danger inherent in the challenged design outweighs the benefits of that design, these theories are not mutually exclusive. A plaintiff may consistently allege that a product had excessive preventable danger (reasonable alternative design) and that the product was too dangerous to market to the consumer irrespective of whether it could have been designed to be safer (manifestly unreasonable design).
Under the consumer expectation test, our secondary test, a product is in a defective condition unreasonably dangerous to the consumer or user only if it is "dangerous to an extent beyond that which would be contemplated by the ordinary consumer who purchases it, with the ordinary knowledge common to the community as to its characteristics." 2 Restatement (Second), supra, § 402A, comment (i), p. 352. The product must fail to meet legitimate, commonly held, minimum safety expectations of that product when used in an intended or reasonably foreseeable manner. Those expectations may be informed by consumers' experience with the product, the seller's express representations, and product safety laws. 19
III
FIRST CERTIFIED QUESTION
Having reaffirmed our allegiance to a strict liability standard under § 402A of the Restatement (Second), we turn to the first certified question, which asks: "Does [§] 402A of the Restatement (Second) of Torts (and [c]omment [i] to that provision) apply to a product liability claim for negligence under [the act]?"
Bifolck
v.
Philip Morris
,
Inc.
, supra,
Both parties agree that, under the Restatement (Second) and our act, a product liability claim may be brought under theories of strict liability and/or negligence. See footnote 17 of this opinion (setting forth statutory definition of product liability claim). The crux of the dispute is whether a single, unitary definition applies to all such claims, no matter the theory of recovery.
The defendant contends that the sole definition of unreasonably dangerous is a product that is "dangerous to an extent beyond that which would be contemplated by the ordinary consumer who purchases it ...." 2 Restatement (Second), supra, § 402A, comment (i), p. 352. It argues that our case law and the act support a unified definition of product liability, which is consistent with the practice of most jurisdictions. It suggests that negligence allows the plaintiff to elect to prove an additional element of manufacturer fault to provide a more appealing narrative to the jury.
The plaintiff clarified at oral argument before this court that, even under a theory of negligence, he effectively must prove that the product is in a defective condition unreasonably dangerous to the user. Nonetheless, he argues that the proof to establish this fact differs under negligence. He argues that common-law negligence requires proof that the manufacturer breached its duty by failing to exercise reasonable care under the circumstances, not by failing to meet consumers' expectations. He contends that to conclude otherwise would preclude valid claims for injuries sustained by unintended but foreseeable users, like children who should have been protected by safety features that the ordinary consumer would not expect or require.
We agree with the defendant that no product liability action can succeed without proof of a defective condition unreasonably dangerous to the consumer or user. See Connecticut Civil Jury Instructions (4th Ed. 2012) § 3.10-1, available at http://www.jud.ct.gov/JI/Civil/Civil.pdf; 1 American Law of Products Liability (3d Ed. 2009) § 10:17, p. 37 ("[w]hether a claim of liability against a product manufacturer is based on negligence or on some other theory of liability, the manufacturer is liable only when the product is so defective as to render it 'unreasonably dangerous' "). Indeed, even before this court's
adoption of § 402A, no action alleging injuries caused by the manufacture or design of a product based on negligence and/or warranty theories succeeded without evidence to this effect. See, e.g.,
Handler
v.
Remington Arms Co.
,
Nonetheless, we disagree with the defendant that there is a single definition for unreasonably dangerous, as provided in comment (i) to § 402A. The parties did not have the benefit of our decision in Izzarelli when they submitted their briefs and provided oral argument on this issue. Indeed, it is evident from the record that the parties assumed that the consumer expectation test would control the plaintiff's strict liability claim. Our decision in Izzarelli , however, not only clarified that a different strict liability test would control the present case, but also negated an argument that a product is unreasonably dangerous only when it is dangerous to an extent beyond that contemplated by the ordinary consumer.
The court concluded in Izzarelli that the plaintiff in that case could not proceed under the ordinary consumer expectation test because "[a] cigarette that exposes the user to carcinogens and the attendant risk of cancer cannot be said to fail to meet an ordinary consumer's legitimate, commonly accepted minimum safety expectations." 20
Izzarelli
v.
R.J. Reynolds
Tobacco Co.
, supra,
"
To allow the ordinary consumer's awareness of the product's potential danger to preclude recovery as a matter of law, however, would make Connecticut an outlier and defeat our intention in relegating the ordinary consumer expectation test to a more limited role.
" (Emphasis added; footnote omitted; internal quotation marks omitted.)
Izzarelli
v.
R.J. Reynolds Tobacco Co.
, supra,
In addition to various policy arguments, the court in
Izzarelli
pointed to other aspects of our law that would be in tension with a conclusion that an essential element of every product liability action is that the product's dangers exceed those known to the consumer. Most significantly, we reasoned that "[o]ur legislature's express rejection of comparative or contributory negligence as a bar to recovery in a strict liability action [under our act] would be in tension with a sweeping
immunity based solely on the consumer's knowledge."
21
Id., at 199,
Accordingly, our decision in
Izzarelli
makes clear that comment (i) to § 402A does not provide a unitary definition of unreasonably dangerous that governs all product liability claims. See
Barker
v.
Lull Engineering Co.
, supra,
When negligence is a viable theory of recovery, consumer expectations have never been an element of that theory. Under our common law, "[t]he essential elements
of a cause of action in negligence are well established: duty [of care]; breach of that duty; causation; and actual injury.... A duty to use care may arise from a contract, from a statute, or from circumstances under which a reasonable person, knowing what he knew or should have known, would anticipate that harm of the general nature of that suffered was likely to result from his act or failure to act." (Citations omitted; internal quotation marks omitted.)
Sturm
v.
Harb Development, LLC
,
Insofar as courts have concluded that the failure to prove that the product is in a defective condition unreasonably dangerous to the consumer would equally doom strict liability and negligence, we agree. We simply conclude that consumers' awareness of the danger will not preclude establishing such a condition unless it is an element of the applicable common-law theory. We therefore answer the first certified question "no." 23
IV
PUNITIVE DAMAGES
Lastly, we turn to the second certified question, which asks: "Does Connecticut's common-law rule of punitive
damages,
as articulated in
Waterbury Petroleum Products, Inc.
v.
Canaan Oil & Fuel Co.
, [supra,
In considering this issue, we apply general rules of statutory construction; see General Statutes § 1-2z ;
Martel
v.
Metropolitan District Commission
,
We begin therefore with the common-law rule and then turn to the statute. In
Waterbury Petroleum Products, Inc.
v.
Canaan Oil & Fuel Co.
, supra,
"The subject of punitive damages has been one of great debate throughout the course of American jurisprudence.... Typically, those who disfavor punitive damage awards in civil cases point to the prospect that such damages are frequently the result of the caprice and prejudice of jurors, that such damages may be assessed in amounts which are unpredictable and bear no relation to the harmful act, and that the prospect of such damages assessed in such a manner may have a chilling effect on desirable conduct....
"In permitting awards of punitive damages, but limiting such damages as we do, our rule strikes a balance-it provides for the payment of a victim's costs of litigation, which would be otherwise unavailable to him, while establishing a clear reference to guide the jury fairly in arriving at the amount of the award. Further, although our rule is a limited one, when viewed in light of the ever rising costs of litigation, our rule does in effect provide for some element of punishment
and deterrence
in addition to the compensation of the victim. Thus, in limiting punitive damage awards to the costs of litigation less taxable costs, our rule fulfills the salutary purpose of fully compensating a victim for the harm inflicted on him while avoiding the potential for injustice which may result from the exercise of unfettered discretion by a jury." (Citations omitted; footnotes omitted; internal quotation marks omitted.)
Waterbury Petroleum Products, Inc.
v.
Canaan Oil & Fuel Co.,
supra,
With the common law in mind, we turn to the punitive damages provision in the act. Section 52-240b provides: "Punitive damages may be awarded if the claimant proves that the harm suffered was the result of the product seller's reckless disregard for the safety of product users, consumers or others who were injured by the product. If the trier of fact determines that punitive damages should be awarded, the court shall determine the amount of such damages not to exceed an amount equal to twice the damages awarded to the plaintiff."
Although the statute is consistent with common-law punitive damages in one respect, it is inconsistent in many more. On the one hand, the statutory punitive damages are awarded on the basis of the same conduct that would justify an award of common-law punitive damages-reckless disregard of another's rights. See
Vandersluis
v.
Weil
,
There are other factors that inform our conclusion. If we were to construe the act to equate the statutory punitive damages to litigation expenses, in some cases the statute would have no effect or frustrate the purpose of the common-law rule. In any case in which litigation expenses are less than two times the damages, the statute would have no impact whatsoever, as the common-law recovery would already have been available. In any case in which the plaintiff's compensatory damages are relatively low in comparison to his or her litigation costs, the cap limiting punitive damages to twice compensatory damages would frustrate the purpose of common-law damages-"fully compensating a victim for the harm inflicted on him."
Waterbury
Petroleum Products,
Inc.
v.
Canaan Oil & Fuel Co.
, supra,
Another factor that has influenced this court to distinguish an award of statutory punitive damages from common-law punitive damages is when the statutory scheme also authorizes an award of attorney's fees. See
Ulbrich
v.
Groth
, supra,
To the extent that the defendant contends that construing the statute other than by the common-law rule would frustrate the overarching purpose of the act, which is to limit insurance costs for product liability actions, the legislative history of the act does not support the defendant's construction. The punitive damages provision was added to the proposed bill after consumer interests spoke in opposition to the original bill, which was far less favorable to the consumer than the final bill in various respects. See Committee Bill No. 5870, 1979 Sess.; Substitute House Bill No. 5870, 1979 Sess.; Conn. Joint Standing Committee Hearings, Judiciary, Pt. 2, 1979 Sess., pp. 591-92. The proposed punitive
damages provision manifestly intended the broader measure of such damages, not litigation expenses. The proposed provision was taken almost verbatim from the Draft Uniform Product Liability Law published by the United States Department of Commerce.
We answer the first certified question "No.
We answer the second certified question "No."
No costs shall be taxed in this court to either party.
In this opinion ROGERS, C.J., and EVELEIGH and ROBINSON, Js., concurred.
ZARELLA, J., with whom ESPINOSA, J., joins, concurring.
I agree with the majority's answers to the two
certified questions from the United States District Court for the District of Connecticut, but, in light of my conclusion in my concurring opinion in
Izzarelli
v.
R.J. Reynolds Tobacco Co.
,
I
The first certified question asks whether "[§] 402A of the Restatement (Second) of Torts (and [c]omment [i] to that provision) apply to a product liability claim for [negligent design] under [Connecticut's Product Liability Act (act), General Statutes § 52-572m et seq. ]?"
Bifolck
v.
Philip Morris, Inc.
, United States District Court, Docket No. 3:06CV1768 (SRU),
Like the majority, I also conclude that § 402A of the Restatement (Second) does not apply to the plaintiff's claim, but I disagree with the majority's basis for this
conclusion in light of my concurring opinion in
Izzarelli
. In that opinion, I explained that I would adopt the approach used for design defect cases in §§ 1, 2 and 4 of the Restatement (Third) of Torts, Products Liability.
Izzarelli
v.
R.J. Reynolds Tobacco Co.
, supra,
As I explained in
Izzarelli
, the Restatement (Third) does not recognize a distinction between claims based on negligence or strict liability; see id., p. 36; a position that is consistent with the purposes of the act, which was intended to help simplify product liability causes of action. See
Izzarelli
v.
R.J. Reynolds Tobacco Co.
, supra,
Applying the Restatement (Third) in the present case, I conclude that § 402A of the Restatement (Second) and its ordinary consumer expectations test should no longer apply to claims involving design defects existing at the time of sale, and, thus, § 402A does not control the plaintiff's claim in the present case. Because the Restatement (Third) no longer recognizes a stand-alone negligence theory of recovery for design defect claims, I would further conclude that the plaintiff must proceed under the risk-utility test. See Restatement (Third), supra, § 2, comment (n), pp. 35-36; see also
Izzarelli
v.
R.J. Reynolds Tobacco Co.
, supra,
II
With respect to the second certified question, regarding the measure of punitive damages under General Statutes § 52-240b, I agree with the majority's answer and generally agree with its analysis. I write separately to emphasize that I find the answer to this question to be an extremely close call. As the defendant argues, there is a strong presumption against construing a statute to override the common law. See, e.g.,
Ames
v.
Commissioner of Motor Vehicles
,
In the present case, I am persuaded that the legislature intended to adopt an approach that is different from the common law with respect to punitive damages calculations, principally in light of its decision to include a separate provision in the act providing for an award of attorney's fees.
See General Statutes § 52-240a. I share the majority's concerns that arise from construing §§ 52-240a and 52-240b as both allowing awards of attorney's fees but under different conditions. As the majority explains, under such a construction, if a prevailing plaintiff established both reckless disregard of the safety of product users, consumers, and others who are injured by a product, and that a defense raised was frivolous, limiting the plaintiff's award under both statutes to his attorney's fees effectively compensates the plaintiff for only one of the defendant's wrongful actions, which would appear to frustrate the purpose of these statutes. I therefore am persuaded that § 52-240b, considered together with other provisions of the act, fairly expresses an intention to depart from the common-law rule regarding the calculation of punitive damages.
III
In conclusion, I agree with the majority that § 402A of the Restatement (Second) does not apply to the plaintiff's claim, and, therefore, I would answer the first certified question in the negative. I would also make clear, however, that the proper standard governing the plaintiff's claim is the risk-utility standard set forth in §§ 1 and 2 of the Restatement (Third). With respect to the second certified question, I concur in the majority's reasoning and answer.
VERTEFEUILLE, J., concurring and dissenting.
I agree with the majority opinion insofar as it concludes that § 402A of the Restatement (Second) of Torts applies to a product liability claim for negligence under Connecticut's Product Liability Act (act), General Statutes § 52-572m et seq. I disagree, however, with the majority's conclusion in part IV of its opinion that our common-law rule of punitive damages does not apply to an award of statutory punitive damages pursuant to General Statutes § 52-240b. Accordingly, I respectfully dissent from that portion of the majority opinion.
This court has repeatedly held that "[i]nterpreting a statute to impair an existing interest or to change radically existing law is appropriate only if the language of
the legislature plainly and unambiguously reflect such an intent. [W]hen a statute is in derogation of common law or creates a liability where formerly none existed, it should receive a strict construction and is not to be extended, modified, repealed or enlarged in its scope by the mechanics of [statutory] construction.... In determining whether or not a statute abrogates or modifies a common law rule the construction must be strict, and the operation of a statute in derogation of the common law is to be limited to matters clearly brought within its scope." (Citation omitted; internal quotation marks omitted.)
Vitanza
v.
Upjohn Co.
,
"We recognize only those alterations of the common law that are clearly expressed in the language of the statute because the traditional principles of justice upon which the common law is founded should be perpetuated. The rule that statutes in derogation of the common law are strictly construed can be seen to serve the same policy of continuity and stability in the legal system as the doctrine of stare decisis in relation to case law." (Internal quotation marks omitted.) Id., at 381-82,
Lynn
v.
Haybuster Mfg., Inc.
,
Under the common law of this state, "[i]n order to award punitive or exemplary damages, [the] evidence must reveal a reckless indifference to the rights of others or an intentional and wanton violation of those rights." (Internal quotation marks omitted.)
Votto
v.
American Car Rental, Inc.
,
Section 52-240b provides: "Punitive damages may be awarded if the claimant proves that the harm suffered was the result of the product seller's reckless disregard for the safety of product users, consumers or others who were injured by the product. If the trier of fact determines that punitive damages should be awarded, the court shall determine the amount of such damages not to exceed an amount equal to twice the damages awarded to the plaintiff." Thus, the plain language of § 52-240b merely provides that punitive damages cannot exceed twice the compensatory damages award. The statute does not plainly and unambiguously abrogate
the common-law rule that punitive damages are limited to litigation expenses. Indeed, the statute is silent as to the meaning of "punitive damages." Accordingly, I believe that we must interpret § 52-240b as incorporating the common-law limitation on punitive damages.
Elliot
v.
Sears, Roebuck & Co.
, supra,
Moreover, in statutes where the legislature has wanted to make it clear that punitive damages may be awarded over and above litigation expenses, the legislature has expressly provided that punitive damages may be awarded "in addition to" attorney's fees, or has used language to that effect. See General Statutes § 42-110g (d) ("[i]n any action brought by a person under this section, the court may award, to the plaintiff,
in addition to
the relief provided in this section [including punitive damages], costs and reasonable attorneys' fees" [emphasis added] );
Ulbrich
v.
Groth
,
In addition, the legislature considered and rejected a provision that would have
required the court to consider multiple factors in determining the amount of punitive damages; compare Substitute House Bill No. 5870, § 8 (b)
3
and Public Acts 1979, No. 79-483, § 8; and, instead, adopted the provision capping punitive damages at twice the amount of the compensatory award. If the legislature had intended to authorize an award of punitive damages over and above litigation expenses, I can perceive no reason why it would have deliberately declined to provide the court with objective criteria by
which it could determine the amount of such an award.
4
See
Izzarelli
v.
R.J. Reynolds Tobacco Co.
, supra,
Finally, the legislative history of the act shows that, far from being concerned with punishing defendants in product liability actions by authorizing damage awards that exceed the plaintiffs' actual losses, the legislature was primarily concerned with "the rising price of product liability insurance" that had "hindered the ability of companies to acquire coverage and to assume the risk necessary for innovation without increasing the costs of their products."
5
Connecticut State Library,
Law and Legislative Reference Unit, Connecticut Legislative Histories Landmark Series: 1979 Public Act No. 483 (2007) preface. In light of this
concern, it would have been entirely reasonable for the legislature to adopt the common-law limitation on punitive damages and, in addition, to cap such damages at twice the compensatory award in order to limit liability in cases where the compensatory damages-and, presumably, the injuries-are small, but the litigation expenses are large.
6
Accordingly, I would conclude that "punitive damages" as used in § 52-240b has the same meaning as under
our common law, namely, litigation expenses, such as attorney's fees, less taxable costs.
Hylton
v.
Gunter
, supra,
Accordingly, I respectfully dissent from part IV of the majority opinion.
Although the act commonly refers to General Statutes §§ 52-572m through 52-572q, which sets forth certain procedural and substantive requirements of product liability actions, the public act enacting these provisions, Public Acts 1979, No. 79-483, also enacted provisions codified at General Statutes § 52-577a, prescribing the statute of limitations and period of repose for product liability actions, and General Statutes §§ 52-240a and 52-240b, respectively prescribing attorney's fees and punitive damages for such actions. We use the term act to refer to all of these provisions.
Comment (i) to § 402A of the Restatement (Second) of Torts provides in relevant part: "The rule stated in this [s]ection applies only where the defective condition of the product makes it unreasonably dangerous to the user or consumer. Many products cannot possibly be made entirely safe for all consumption, and any food or drug necessarily involves some risk of harm, if only from over-consumption.... That is not what is meant by 'unreasonably dangerous' in this [s]ection. The article sold must be dangerous to an extent beyond that which would be contemplated by the ordinary consumer who purchases it, with the ordinary knowledge common to the community as to its characteristics.... Good tobacco is not unreasonably dangerous merely because the effects of smoking may be harmful; but tobacco containing something like marijuana may be unreasonably dangerous...." (Emphasis added.)
That count also alleged theories of: (1) breach of implied warranty, predicated on alleged statements by the defendant and its agent that the defendant would notify the public and make changes to its product if it learned that its cigarettes contained harmful ingredients; and (2) breach of express warranty, predicated on the defendant's allegedly false statements that Marlboro Light provided lower tar and nicotine than regular cigarettes. A second count alleged loss of consortium.
Section 1 of the Restatement (Third) simply provides that a commercial seller or distributor is subject to liability for harm caused by defective products. In part II C of this opinion, we address in further detail § 2, which defines "Categories of Product Defect," and § 4, which dictates whether a product may be deemed defective due to "Noncompliance and Compliance with Product Safety Statutes or Regulations ...."
We note with regard to our resolution of the first two issues (parts II and III of this opinion), that, although the act consolidates the various theories that could support a product liability claim as a statutory cause of action; see footnote 17 of this opinion; it did not abrogate the common-law elements of product liability claims under the various theories, except insofar as it provided certain considerations relevant to failure to warn claims. See General Statutes § 52-572m. This court previously recognized that, "because [the] act does not delineate [the] elements of claims that it consolidates, [the] common law provides [the] basis for theories of recovery ...."
Potter
v.
Chicago Pneumatic Tool Co.
,
For a more comprehensive discussion of the considerations guiding development of this area of the law, see
Izzarelli
v.
R.J. Reynolds Tobacco Co.
, supra,
See, e.g.,
Corneliuson
v.
Arthur Drug Stores, Inc.
,
"The elements of a strict liability action that this court derived from § 402A [of the Restatement [Second] ) required the plaintiff to prove: (1) the defendant was engaged in the business of selling the product; (2) the product was in a defective condition unreasonably dangerous to the consumer or user; (3) the defect caused the injury for which compensation was sought; (4) the defect existed at the time of the sale; and (5) the product was expected to and did reach the consumer without substantial change in condition." (Emphasis omitted; internal quotation marks omitted.)
Izzarelli
v.
R.J. Reynolds Tobacco Co.
, supra,
Section 2 of the Restatement (Third) does not expressly exclude any types of products. The comments, however, explain that another section of the Restatement (Third), § 6, provides a different standard for two categories of products, prescription drugs and medical devices. Restatement (Third), supra, § 2, comment (k), p. 32. We have not asked the parties or amici to address whether we should adopt § 6.
Section 3 of the Restatement (Third) of Torts, Products Liability, provides: "It may be inferred that the harm sustained by the plaintiff was caused by a product defect existing at the time of sale or distribution, without proof of a specific defect, when the incident that harmed the plaintiff:
"(a) was of a kind that ordinarily occurs as a result of product defect; and
"(b) was not, in the particular case, solely the result of causes other than product defect existing at the time of sale or distribution."
See, e.g.,
Standard Structural Steel Co.
v.
Bethlehem Steel Corp.
,
The draft Restatement (Third) that was considered in
Potter
provided these same three alternatives to § 2 (b). See Restatement (Third) of Torts, Products Liability, § 2 and comments, §§ 3 and 7 (Tentative Draft No. 2, 1995). The court in
Potter
, however, treated the alternative design requirement under § 2 (b) as absolute. See
Potter
v.
Chicago Pneumatic Tool Co.
, supra,
The notion that our current approach yields an unjust result because it dooms an entire product line without objective evidence is similarly unpersuasive. In any event, a jury verdict in favor of a plaintiff on a design defect claim does not result in a ban on the sale of the product. The manufacturer is free to weigh the risks and costs of injuries against the product's profits to determine whether to issue a recall or to continue sales.
Although there is general consensus that most jurisdictions apply a risk-utility test, not every such test is the functional equivalent to the Restatement (Third). Our own law is a perfect example.
See, e.g.,
Mikolajczyk
v.
Ford Motor Co.
,
As such, although the court in Potter identified two specific concerns relating to the reasonable alternative design requirement, we do not read that decision to reflect every concern that the court may have had with the Restatement (Third) standard.
General Statutes § 52-572m(b) provides: " 'Product liability claim' includes all claims or actions brought for personal injury, death or property damage caused by the manufacture, construction, design, formula, preparation, assembly, installation, testing, warnings, instructions, marketing, packaging or labeling of any product. 'Product liability claim' shall include, but is not limited to, all actions based on the following theories: Strict liability in tort; negligence; breach of warranty, express or implied; breach of or failure to discharge a duty to warn or instruct, whether negligent or innocent; misrepresentation or nondisclosure, whether negligent or innocent."
The reasonable consumer standard in relation to a manifestly unreasonable design refers to the consumer to whom the product is marketed. Thus, when a product has been designed for and marketed to a limited group with specialized needs and/or knowledge, such as industrial equipment not suited for use by the general public, and the product is accompanied by adequate warnings, whether the product's design is manifestly unreasonable is determined by reference to the intended consumer.
Other than circumstances in which the product fails to comply with safety laws or express warranties, we presume that circumstantial evidence will be used to establish a defect based on consumers' minimum safety expectations, under what we have referred to as our "malfunction theory."
White
v.
Mazda Motor of America, Inc.
,
The court recognized, however, "that a different conclusion might be warranted in cases in which the plaintiff (or decedent) began smoking before warning labels were mandated by federal law. See
Guilbeault
v.
R.J. Reynolds Tobacco Co.,
We also explained that "precluding liability solely because the product's dangers were open and obvious would be in tension with" this court's determination in
Potter
regarding the scope of admissible state of the art evidence.
Izzarelli
v.
R.J. Reynolds Tobacco Co.
, supra,
Although some comments to the Restatement (Second) sections for negligence of product sellers acknowledge that contributory fault may arise when the danger is known to the consumer; see, e.g., 2 Restatement (Second), supra, § 398, comment (b), p. 336; such fault is not equivalent to the consumer expectation definition in comment (i) to § 402A. If legally available, such fault would be a defense, not an element of the plaintiff's prima facie case, and only if the plaintiff had acted unreasonably in the face of his knowledge. See
Stafford
v.
Roadway
,
We are mindful that numerous courts and commentators have concluded that a risk-utility balancing test for design defects like that under the Restatement (Third) is functionally equivalent to the reasonable person inquiry in negligence, which could give rise to the possibility of inconsistent verdicts if a jury were to find for the defendant on strict liability and for the plaintiff on negligence. See Restatement (Third), supra, § 2, comment (n), pp. 35-36 ("[T]wo or more factually identical design-defect claims ... should not be submitted to the trier of fact in the same case under different doctrinal labels. Regardless of the doctrinal label attached to a particular claim, design ... claims rest on a risk-utility assessment. To allow two or more factually identical risk-utility claims to go to a jury under different labels, whether 'strict liability,' 'negligence,' or 'implied warranty of merchantability,' would generate confusion and may well result in inconsistent verdicts."); see also id., § 2, reporters' note, comment (n), pp. 107-109 (citing cases). Conversely, several courts have concluded that a test that focuses on consumer expectations is sufficiently different from a negligence claim, at least when the plaintiff is a foreseeable but unintended user, that different outcomes would not be inconsistent. See, e.g.,
Talkington
v.
Atria Reclamelucifers Fabrieken BV
,
To the extent that there is a valid concern that a jury should not be permitted to find that the product is not defective but nonetheless find in favor of the plaintiff on negligence, we assume that we have foreclosed that possibility by making clear in this opinion that the elements of a product liability claim apply to all theories. Moreover, we are unaware of any case applying our law in which a jury has rendered an inconsistent verdict on such claims, as plaintiffs have either elected to pursue one theory; see
Coburn
v.
Lenox Homes, Inc.
,
We note that, despite repeated statements in the past that "the extent to which exemplary damages are to be awarded ordinarily rests in the discretion of the trier of the facts";
Gionfriddo
v.
Avis Rent A Car System, Inc.,
We recognize that a plaintiff could safeguard against such an outcome by setting attorney's fees under a contingency fee agreement.
Substitute Bill No. 5870, § 8, provides: "(a) Punitive damages, in addition to attorney's fees, may be awarded if the claimant shows by clear and convincing evidence that the harm suffered was the result of the product seller's reckless disregard for the safety of product users, consumers or others who were injured by the product.
"(b) If the trier of fact determines that punitive damages should be awarded, it shall determine the amount of such damages. In making such determination, the court shall consider: (1) The likelihood at the time of manufacture that a serious harm would arise from the product seller's misconduct, (2) the degree of the product seller's awareness of such likelihood of harm, (3) the profitability of the misconduct to the product seller, (4) the duration of the misconduct and any concealment of it by the product seller, (5) the attitude and conduct of the product seller upon discovery of the misconduct, (6) the financial condition of the product seller, and (7) the total effect of other punishment imposed or likely to be imposed upon the product seller as a result of the misconduct, including punitive damage awards to the persons similarly situated to the claimant and the severity of criminal penalties to which the product seller has been or may be subjected."
Despite our adoption of a risk-utility test, the majority has retained the use of the ordinary consumer expectations test but suggests that its application might be limited to cases involving product designs that violate safety laws and regulations or express warranties. See footnote 19 of the majority opinion. The Restatement (Third), however, does not rely on the consumer expectations test for these types of claims but, instead, recognizes separate theories of recovery for claims based on violations of safety laws and regulations; see Restatement (Third), supra, § 4, p. 120; and misrepresentations by the manufacturer. Id., § 9, p. 187; see also id., § 2, comment (r), p. 40. Retaining the consumer expectations test is, therefore, wholly unnecessary in my view, and only fosters further confusion.
The majority points out that another provision of the act, General Statutes § 52-240a, provides that, "[i]f the court determines that the claim or defense is frivolous, the court may award reasonable attorney's fees to the prevailing party in a products liability action." The majority contends that, combined, §§ 52-240a and 52-240b have the same effect as § 35-53(b), which authorizes awards of both punitive damages (not subject to the common-law limitation) and attorney's fees if the court finds "wilful and malicious misappropriation" of a trade secret. As the majority recognizes, however, § 52-240a applies to entirely different conduct than § 52-240b. Specifically, § 52-240a applies either when the plaintiff in a products liability action has raised a frivolous claim or when the defendant has raised a frivolous defense, while § 52-240b applies when the defendant has had "reckless disregard for the safety of product users, consumers or others who were injured by the product." Thus, §§ 52-240a and 52-240b merely provide that there are two distinct situations under the act that authorize the court to award attorney's fees, not, as provided by §§ 35-53(b) and 42-110g(d), that the court is authorized to award punitive damages in addition to attorney's fees for the same misconduct.
Substitute Bill No. 5870, § 8 (a), provides: "Punitive damages, in addition to attorney's fees, may be awarded if the claimant shows by clear and convincing evidence that the harm suffered was the result of the product seller's reckless disregard for the safety of product users, consumers or others who were injured by the product."
Substitute Bill No. 5870, § 8 (b), provides: "If the trier of fact determines that punitive damages should be awarded, it shall determine the amount of such damages. In making such determination, the court shall consider: (1) The likelihood at the time of manufacture that a serious harm would arise from the product seller's misconduct, (2) the degree of the product seller's awareness of such likelihood of harm, (3) the profitability of the misconduct to the product seller, (4) the duration of the misconduct and any concealment of it by the product seller, (5) the attitude and conduct of the product seller upon discovery of the misconduct, (6) the financial condition of the product seller, and (7) the total effect of other punishment imposed or likely to be imposed upon the product seller as a result of the misconduct, including punitive damage awards to persons similarly situated to the claimant and the severity of criminal penalties to which the product seller has been or may be subjected."
Accordingly, I disagree with the majority's statement that "[t]here is nothing to indicate that [in deleting the relevant language providing criteria for determining the amount of punitive damages], the legislature intended to change the meaning of 'punitive damages' as used in the proposed bill." If the legislature intended to reject the common-law limitation on punitive damages, there would have been no reason for it to delete the proposed language.
See Proposed House Bill No. 5870, 1979 Sess. ("STATEMENT OF PURPOSE: [t]o restore balance in the law of product liability"); Proposed Senate Bill No. 443, 1979 Sess. ("STATEMENT OF PURPOSE: [t]o restore balance in the law of product liability and relieve a serious economic problem"); Conn. Joint Standing Committee Hearings, Judiciary, Pt. 2, 1979 Sess., pp. 552-53, remarks of Philip H. Dreissigacker, vice president of technology for the Farrel Company (referring to "testimony in previous years, 1976, 1977 and 1978 outlining the increasing effect of uncontrollable product liability suits on the economics of our company both as to escalation and cost of insurance, which has been 1200 percent in six years escalation, and in the number of new cases per year"); Conn. Joint Standing Committee Hearings, supra, p. 568, remarks of John Anderson, assistant counsel for the Connecticut Business and Industry Association (referring to "the increased cost of product liability insurance" and "[i]ts impact on the prices of both consumer and industrial goods, the uncertainty nationwide with respect to product liability law"); Conn. Joint Standing Committee Hearings, supra, p. 570, remarks of Anderson ("[w]e believe that the legislature can positively address the product liability problem without unduly restricting any [plaintiff's] rights and that is the thrust of House Bill 5870"); Conn. Joint Standing Committee Hearings, supra, p. 578, remarks of Norman Parsells, director of Sturm, Ruger and Company (company's insurance premiums have increased from $90,000 to $3 million per year as result of product liability); Conn. Joint Standing Committee Hearings, supra, pp. 578-79, remarks of Parsells (proposed legislation "tries to restore fairness and equality to the field of product liability law" and would reduce insurance rates nationally); Conn. Joint Standing Committee Hearings, supra, pp. 582-83, remarks of Parsells ("my client has to add $8 to the cost of every product that ships out because of this product liability problem").
The majority contends that "[t]he punitive damages provision was added to the proposed bill after consumer interests spoke in opposition to the original bill, which was far less favorable to the consumer than the final bill in various respects." Although the punitive damages provision may have been adopted to make the proposed legislation appear more palatable to consumers, it does not necessarily follow that the provision was intended to abrogate the common-law limitation on punitive damages. In light of the overriding legislative intent to rebalance product liability law in favor of defendants, it is more reasonable to conclude that the legislature intended to adopt the common-law limitation.
The majority points out that the legislature imposed no such cap in General § 52-240a, which authorizes an award of attorney's fees to the prevailing party if the court determines that a claim or defense was frivolous; see footnote 1 of this concurring and dissenting opinion; and contends that it is unlikely that "the legislature would have deemed the defendant's assertion of a frivolous defense to merit a harsher penalty than the defendant's injury causing reckless disregard for others' safety." The majority fails to recognize, however, that § 52-240a provides a two-edged sword: although it allows for full recovery of attorney's fees from a defendant who raises a frivolous defense, it also allows for full recovery of such fees from a plaintiff who raises a frivolous claim. Thus, the provision maintains balance in product liability law. In contrast, authorizing for the first time an award of broad punitive damages would have altered the existing balance in favor of plaintiffs, thereby exacerbating the economic problem that the act was intended to alleviate. See footnote 5 of this concurring and dissenting opinion.
Reference
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