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983 F. Supp. 2d 937
M.D. Tenn.
2013
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Background

  • Plaintiff Marye Wahl, a Tennessee resident, received Omniscan (a gadolinium-based contrast agent) during MRIs in May and November 2006 and later developed nephrogenic systemic fibrosis (NSF).
  • Omniscan packages bore a two-year expiration date required by law; defendants presented unrebutted evidence the product labels had such dates from 1993 onward.
  • GE made labeling, warning, and reporting decisions from New Jersey; Omniscan was manufactured abroad and distributed via third parties to Tennessee providers.
  • Wahl filed suit directly in the MDL court in Ohio in 2011 under a CMO permitting direct filings; the MDL later transferred the case to the Middle District of Tennessee.
  • GE moved for summary judgment arguing Wahl’s claims are time-barred by Tennessee’s Products Liability Act (TPLA) ten-year/one-year-after-expiration statute of repose; Wahl argued New Jersey law should apply (which lacks a comparable repose).

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Which forum’s choice-of-law rules apply to a direct-filed MDL case? Apply MDL/Ohio rules or New Jersey law because labeling decisions occurred in NJ. Apply originating state's (Tennessee) choice-of-law rules because direct filing was procedural convenience. Tennessee choice-of-law rules apply.
Which state’s substantive law governs the tort claims? New Jersey law should govern because GE’s principal place of business and labeling decisions were in NJ. Tennessee law governs because place of injury, domicile, and the plaintiffs’ relationship to the product are centered in Tennessee. Tennessee substantive law governs.
Do the TPLA statutes of repose bar Wahl’s claims? (If New Jersey applied) repose does not bar claims. (If Tennessee applied) TPLA requires suit within 1 year after expiration date on product; Wahl sued after that period. TPLA statute of repose bars the claims; summary judgment for GE.
Relevance of In re Bendectin precedent Bendectin compels applying law of manufacturer/labeling state. Bendectin is distinguishable and not controlling; place of injury is readily ascertainable here. Bendectin not controlling; place-of-injury analysis predominates.

Key Cases Cited

  • Van Dusen v. Barrack, 376 U.S. 612 (U.S. 1964) (transferee court ordinarily applies transferor state’s choice-of-law rules)
  • In re Bendectin Litig., 857 F.2d 290 (6th Cir. 1988) (discusses applying manufacturer/labeling state law in MDL birth-defect context; treated as distinguishable/dicta here)
  • Montgomery v. Wyeth, 580 F.3d 455 (6th Cir. 2009) (applies Restatement most-significant-relationship test and gives weight to place of injury/domicile)
  • Hataway v. McKinley, 830 S.W.2d 53 (Tenn. 1992) (Tennessee adopts Restatement (Second) most-significant-relationship approach)
  • Penley v. Honda Motor Co., Ltd., 31 S.W.3d 181 (Tenn. 2000) (explains TPLA statute of repose and anticipated-life/expiration-date rule)

Decision: GE’s motion for summary judgment granted; Wahl’s claims dismissed with prejudice under Tennessee law and the TPLA statute of repose.

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Case Details

Case Name: Wahl v. General Electric Co.
Court Name: District Court, M.D. Tennessee
Date Published: Nov 14, 2013
Citations: 983 F. Supp. 2d 937; 2013 U.S. Dist. LEXIS 162320; 2013 WL 6048187; Case No. 3:13-cv-0329
Docket Number: Case No. 3:13-cv-0329
Court Abbreviation: M.D. Tenn.
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    Wahl v. General Electric Co., 983 F. Supp. 2d 937