739 F.3d 1068
7th Cir.2014Background
- Contractors Cargo Co. engaged Empire Bucket to fabricate a steel railcar deck for use with a Schnabel car.
- The deck was designed to carry up to 800,000 pounds and passed inspections and non-destructive tests before delivery.
- After loading about 820,000 pounds, the deck dropped and fractured; a metallurgical engineer identified a weld inclusion as the origin of failure.
- Schwantes and Gilbert testified that the inclusion caused a brittle fracture due to low fracture toughness near the inclusion.
- Contractors Cargo sought to introduce Charpy impact test results as evidence of brittleness supporting warranty claims; the district court limited references to the Charpy label.
- Empire Bucket moved in limine to exclude Charpy-based testimony; the jury ultimately returned a verdict for Empire Bucket, and Contractors Cargo appealed.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether exclusion of Charpy references was proper | Cargo contends Charpy relevance to warranties. | Empire Bucket argues Charpy test irrelevant absent contract criteria. | Exclusion deemed harmless error; no impact on substantial rights. |
| Whether the Charpy evidence could support implied warranties | Brittleness evidenced by Charpy supports breach of implied warranties. | Charpy specifics unnecessary; evidence about brittleness already admitted. | Harmless error; surprises no central effect on warranty claims. |
| What is the net effect on the trial outcome | Charpy results would bolster causation for warranty theories. | Trial already focused on contract terms; limited impact of Charpy labeling. | Evidence exclusion did not affect outcome; verdict affirmed. |
Key Cases Cited
- Felana v. Kent State Univ., 669 F.3d 1349 (Fed. Cir. 2012) (harmless error when substance was admitted)
- Cook v. Navistar Int'l Transp. Corp., 940 F.2d 207 (7th Cir. 1991) (harmless error where substance admitted)
- Whitehead v. Bond, 680 F.3d 919 (7th Cir. 2012) (harmless error analysis; substantial rights)
- Thompson v. City of Chicago, 472 F.3d 444 (7th Cir. 2006) (abuse of discretion review for in limine rulings)