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758 F.3d 810
7th Cir.
2014
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Background

  • In 1994 Hartman received a Knight (LK-93 Wolverine) muzzleloader manufactured by Modern Muzzleloading (later under KR Warranty/EBSCO). He fired it ~500–600 times over the years.
  • The original rifle used a #11 percussion cap; newer Pyrodex pellets require a hotter #209 primer.
  • In November 2008 Hartman purchased and self-installed KR Warranty’s Knight 209 Primer Conversion Kit (converted the rifle to a #209 primer system).
  • While sighting in the day after installation, Hartman loaded Pyrodex pellets and a patched round ball, failed to swab the barrel between shots, and the rifle unexpectedly discharged, injuring his hands and forearm.
  • Hartman sued KR Warranty (and EBSCO as corporate parent) for negligence and strict liability; district court granted summary judgment for defendants based on Indiana’s 10-year statute of repose (injury occurred 14 years after original sale).
  • Court considered two repose exceptions: (1) manufacturer refurbishment that extends useful life, and (2) incorporation of a defective new component; it affirmed summary judgment, excluding key portions of plaintiff’s expert testimony under Daubert/Kumho principles.

Issues

Issue Hartman’s Argument KR Warranty’s Argument Held
Whether conversion kit reset Indiana’s statute of repose as a "reconstruction/reconditioning" that extended the rifle’s useful life Kit upgraded rifle (accuracy, reliability, velocity) and thereby effectively created a new/longer-lived rifle Kit did not affect barrel/bore (the true determinant of muzzleloader useful life); mere performance upgrade does not extend useful life Held for KR Warranty — kit did not extend useful life; repose not reset
Whether a defective new component exception applies because the conversion kit (or its warnings) introduced a new risk Kit design (recessed breech face) and lack of warning increased latent ember risk; failure to include a specialized cleaning jag made kit defective Recessed face was necessary for #209 primers and not shown to increase latent-ember risk; any warning duty would have arisen in 1994 if risk preexisted Held for KR Warranty — plaintiff failed to show kit increased existing risk; repose not reset
Admissibility of plaintiff’s expert (Steven Howard) to prove increased ember risk and to propose an alternate jag Howard opined the recessed breech plug retained embers and designed an alternate jag to clean it Howard’s opinions lacked testing, peer review, error-rate analysis, or industry acceptance; his jag was untested and inoperable District court’s exclusion affirmed under Daubert/Kumho for lack of reliability and relevance
Liability of corporate parent EBSCO for KR Warranty’s product Implied liability by ownership/acquisition of KR’s corporate predecessor EBSCO acquired KR stock in 1998 but did not operate KR; KR continued separate operations; no basis to impute liability Held for EBSCO — no grounds to pierce corporate separateness; plaintiff waived further challenge

Key Cases Cited

  • Olson v. Morgan, 750 F.3d 708 (7th Cir. 2014) (standard of review for summary judgment)
  • Dague v. Piper Aircraft Corp., 418 N.E.2d 207 (Ind. 1981) (Indiana statute of repose bars suits if damages occur more than ten years after product placed in commerce)
  • Richardson v. Gallo Equip. Co., 990 F.2d 330 (7th Cir. 1993) (exceptions to statute of repose: refurbishment extending useful life and incorporation of defective component)
  • Bielskis v. Louisville Ladder, Inc., 663 F.3d 887 (7th Cir. 2011) (Daubert framework for expert admissibility)
  • Daubert v. Merrell Dow Pharms., 509 U.S. 579 (1993) (trial court gatekeeping role for expert testimony)
  • Kumho Tire Co. v. Carmichael, 526 U.S. 137 (1999) (Daubert principles apply to technical and non-scientific expert testimony)
  • Black v. Henry Pratt Co., 778 F.2d 1278 (7th Cir. 1985) (no repose reset where new component did not cause injury)
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Case Details

Case Name: Adam Hartman v. Ebsco Industries, Incorporated
Court Name: Court of Appeals for the Seventh Circuit
Date Published: Jul 10, 2014
Citations: 758 F.3d 810; 2014 WL 3360799; 2014 U.S. App. LEXIS 13028; 13-3398
Docket Number: 13-3398
Court Abbreviation: 7th Cir.
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    Adam Hartman v. Ebsco Industries, Incorporated, 758 F.3d 810