Opinion
These consolidated appeals seek reversal of judgments entered in favor of respondent Hennessy Industries, Inc. (Hennessy).
Hennessy moved for judgment on the pleadings in all of plaintiffs’ cases, arguing it could not be held liable as a matter of law because it did not manufacture or distribute the asbestos-containing brake linings, which Hennessy claimed were the cause of plaintiffs’ injuries. The trial court agreed, finding that plaintiffs’ injuries were the result of defects in the products of other manufacturers for which Hennessy was not responsible. It granted Hennessy’s motions and denied plaintiffs leave to amend their complaints. The court entered judgment in Hennessy’s favor on all of plaintiffs’ causes of action, and plaintiffs appealed.
We conclude plaintiffs could have cured the defect in their complaints by amendment. We therefore hold it was error to grant judgment on the pleadings to Hennessy and an abuse of discretion to deny plaintiffs leave to amend their complaints with respect to their causes of action for strict products liability and negligence. We therefore reverse the judgments with regard to those causes of action.
These appeals challenge a grant of judgment on the pleadings, and we accept as true the factual allegations in plaintiffs’ complaints. (Gerawan Farming, Inc. v. Lyons (2000)
The Plaintiffs
Between 1958 and 1996, William Bettencourt worked in various occupations in which he was exposed to asbestos and asbestos-containing products. He also suffered nonoccupational exposure to asbestos from performing maintenance and repairs on cars, trucks, and motorcycles. Bettencourt was diagnosed with asbestosis, asbestos-related pleural disease, and right lung cancer in about 1984. He was diagnosed with bladder and kidney cancer in about 2004, left lung cancer in about 2005, and received another diagnosis of right lung cancer in about 2006. He died October 10, 2007.
Donald Pearson served in the United States Army and worked as a machinist, mixer, gas station attendant, and mechanic. Between 1958 and 1993, he was exposed to asbestos and asbestos-containing products at various places of employment. He also suffered nonoccupational exposure when he changed and removed the brakes on different vehicles. In the process, he used grinding and arcing machines to shape the new brakeshoes. Pearson was diagnosed with asbestosis and asbestos-related pleural disease in about May 2008.
Shusted’s decedent, Margaret Hauck, experienced para-occupational exposure to asbestos from her father’s and husband’s dirty work clothing. Hauck lived with her father between 1942 and 1960, during which time he worked
John Siegel was exposed to asbestos-containing products at numerous workplaces between 1964 and 2000. He was diagnosed with lung cancer in about April 2006, and died on April 24, 2008.
Hennessy and its Product
Hennessy engaged in the design, manufacture, and distribution of brake-shoe grinding machines.
During the periods relevant to this litigation, all brakeshoe linings used on automobiles, light trucks, and commercial trucks in the United States contained asbestos. Hennessy knew or should have known its brakeshoe grinding machines would be used by consumers and workers in conjunction with asbestos-containing brake linings. Its machines were specifically designed for grinding such brakeshoe linings and had no other function. Plaintiffs allege this was the inevitable use of Hennessy’s machines.
Until subjected to Hennessy’s product, asbestos fiber bundles were physically bound or otherwise attached in a “matrix” in the nonfriable asbestos brake lining. As they were designed to do, Hennessy’s machines ground and abraded the hard linings and subjected them to pressures, temperatures, and force, making portions of the lining into a fine powder and releasing the formerly bound-up asbestos as airborne fibers. The airborne fibers presented a significant danger to human health, as they would be inhaled by anyone in the area around the brakeshoe grinding machine during or after its use. The use of Hennessy’s products led to inhalation and ingestion of those asbestos fibers, which cause serious disease, including asbestosis, other lung damage, cancer, and even death.
Hennessy’s machines were unsafe and dangerous for use, both because they were negligently manufactured and designed, and because Hennessy
The Actions Below
Plaintiffs filed complaints for wrongful death or personal injury in San Francisco Superior Court. They alleged a number of causes of action against Hennessy, but only two—those for negligence and strict products liability— are at issue in these appeals.
Hennessy moved for judgment on the pleadings in all of the cases. Relying principally on our opinion in Taylor v. Elliott Turbomachinery Co. Inc. (2009)
Plaintiffs opposed Hennessy’s motions, arguing Taylor was both wrongly decided and factually distinguishable. Plaintiffs contended their cases were controlled by the Second District’s opinion in Tellez-Cordova v.
After hearings on Hennessy’s motions in all of these cases, the trial court granted judgment on the pleadings to Hennessy with respect to all of plaintiffs’ causes of action. The trial court explained its reasoning in its tentative ruling. Citing Taylor and the line of California authority upon which Taylor relied, the trial court reasoned that “[a] product manufacturer has no duty to persons whose injury results from defects in the products of others.” It noted plaintiffs did not allege that Hennessy sold an asbestos-containing product or that it had any control over the design and manufacture of the asbestos-containing brake linings used in conjunction with its machines. The trial court found Tellez-Cordova distinguishable on its facts and explained that unlike in Tellez-Cordova, plaintiffs made no allegation that Hennessy’s machines could only function in conjunction with asbestos-containing brake linings, or that the brake arcing machines and brake linings formed a single defective system over which defendant exercised significant control. The trial court recognized that “the plaintiff’s injury would not have occurred but for [Hennessy’s] product, but it was a defect in the product of another which proximately caused the injury. The only alleged defect in [Hennessy’s] machines is that they . . . caused another defective product to injure the decedent . . . .” Under those facts, the court ruled Hennessy had no duty to plaintiffs. It also denied plaintiffs’ request for leave to amend their complaint.
The trial court entered judgment in Hennessy’s favor on all of plaintiffs’ causes of action. Plaintiffs filed timely appeals.
Discussion
Plaintiffs contend their proposed amended complaints sufficiently allege causes of action for strict liability and negligence, and therefore the trial court
Hennessy’s response is twofold. First, reprising the argument it made below, it claims it is not liable in either strict liability or negligence for injuries caused by other manufacturers’ products. Second, it contends that as a matter of law, its products did not cause plaintiffs’ injuries.
I. Standard of Review
A motion for judgment on the pleadings is analogous to a general demurrer. (Ludgate, supra,
If the facts alleged in the complaint do not support any valid cause of action against a defendant, we then ask whether the complaint could reasonably be amended to do so. (Kempton v. City of Los Angeles, supra,
Resolution of these appeals turns largely on the application of existing case law to the allegations of plaintiffs’ complaints. The issue is whether the cases before us are more closely analogous to Tellez-Cordova, as plaintiffs argue, or to Taylor, as Hennessy argues. We conclude the Supreme Court’s opinion in O’Neil is dispositive of this issue. Like our colleagues in Division One, we hold that plaintiffs’ “allegations satisfy the circumscribed parameters of liability articulated by the Court of Appeal in Tellez-Cordova and approved by the Supreme Court in O’Neil.” {Shields, supra,
A. Tellez-Cordova
O’Neil provides a succinct summary of the facts of Tellez-Cordova: “Tellez-Cordova developed lung disease from breathing toxic substances released from metals he cut and sanded and from abrasive discs on the power tools he used. {Tellez-Cordova, supra,
In Tellez-Cordova, the trial court sustained the defendant manufacturers’ demurrer to the plaintiffs’ complaint for failure to state a cause of action, but the Court of Appeal reversed, holding that none of the defendant manufacturers’ theories supported judgment on a demurrer. {Tellez-Cordova, supra, 129 Cal.App.4th at pp. 579, 581.) It rejected the defendant manufacturers’ argument that they need not warn of defects in the products of another. {Id. at p. 585.) It explained, “ ‘[A] manufacturer owes a foreseeable user of its
The defendant manufacturers also contended the complaint failed to meet the requirements of Bockrath v. Aldrich Chemical Co. (1999)
B. Taylor
Reginald Taylor served aboard a Navy aircraft carrier for over three years in the mid-1960’s, and during his service he removed and replaced asbestos-containing internal gaskets, packing, and insulation from equipment the defendant manufacturers had supplied to the Navy when the carrier was built in the early 1940’s. (Taylor, supra, 171 Cal.App.4th at pp. 571-572.) Removal of these materials released into the air asbestos dust and particles, which Taylor inhaled. (Id. at p. 572.) Although some of the defendants’ equipment included asbestos-containing parts when delivered to the Navy in the 1940’s, it was undisputed that all of those original parts had been removed by the time of Taylor’s service. (Id. at pp. 570-571 & fn. 2, 572.)
Taylor developed mesothelioma from his exposure to asbestos, and after his death, his wife sued the equipment manufacturers. (Taylor, supra,
We held the equipment manufacturers could not be held strictly liable for failing to warn about the dangers of asbestos exposure arising from products manufactured and supplied by others.
In the course of our discussion, we distinguished the case before us from Tellez-Cordova. (Taylor, supra, 171 Cal.App.4th at pp. 586-588.) We explained that, unlike the facts of Taylor, “in Tellez-Cordova, the plaintiff alleged that it was the action of respondents’ tools themselves that created the injury-causing dust.” (Id. at p. 587.) Thus, properly understood, “Tellez-Cordova is . . . not a case in which the defendants had a duty to warn solely of the hazards of other manufacturers’ products.” (Id. at p. 588.) Instead, in that case “a defect in the defendant manufacturer’s product itself caused or created the risk of harm . . . .” (Id. at p. 586.) Tellez-Cordova therefore fell within the rule, articulated earlier in our opinion, that “a manufacturer may owe a duty to warn when the use of its product in combination with the product of another creates a potential hazard, [but] that duty arises only when the manufacturer’s own product causes or creates the risk of harm.” (Id. at p. 580.)
In O’Neil, the California Supreme Court held the defendant product manufacturers could not be held liable, in either strict products liability or negligence, for injuries caused by adjacent products or replacement parts made by others and used in conjunction with the defendants’ products. (O’Neil, supra,
On these facts, the Supreme Court held the defendants were not strictly liable for O’Neil’s injuries “because (a) any design defect in defendants’ products was not a legal cause of injury to O’Neil, and (b) defendants had no duty to warn of risks arising from other manufacturers’ products.” (O’Neil, supra,
The court went on to hold that the defendants had no duty to warn of hazards arising exclusively from other manufacturers’ products. (O’Neil, supra, 53 Cal.4th at pp. 351-352.) After reviewing both our opinion in Taylor and out-of-state authorities addressing the question of the duty to warn in the asbestos context, the Supreme Court held that “where the hazard arises entirely from another product, and the defendant’s product does not create or contribute to that hazard, liability is not appropriate.” (Id. at pp. 361-362.) Summarizing its conclusions on the duty to warn, the O’Neil court stated: “We reaffirm that a product manufacturer generally may not be held strictly
In the course of its discussion of the duty to warn, the Supreme Court examined Tellez-Cordova, supra,
Thus, although the Supreme Court refused to extend the holding of Tellez-Cordova “beyond its unique factual context,” it used that case as an example of the exception to the rule “that a product manufacturer generally may not be held strictly liable for harm caused by another manufacturer’s product.” (O’Neil, supra, 53 Cal.4th at pp. 361, 362.) Under the holding of O’Neil, a manufacturer may be held strictly liable for harm caused by the product of another “when the defendant bears some direct responsibility for the harm, . . . because the defendant’s own product contributed substantially to the harm.” (Id. at p. 362.)
HI. Plaintiffs’ Proposed Amended Complaints State Causes of Action for Strict Liability and Negligence.
Reviewing the allegations of plaintiffs’ complaints in the context of the legal rules enunciated in O’Neil, Taylor, and Tellez-Cordova, we conclude that if plaintiffs were permitted to amend their complaints in the manner proposed, their amended complaints would allege facts sufficient to state causes of action for strict liability and negligence. Since the claimed defect in the pleadings can be cured by amendment, the trial court abused its discretion' in denying plaintiffs leave to amend. (Mendoza v. Continental Sales Co., supra,
To summarize, plaintiffs allege Hennessy manufactured and distributed brakeshoe grinding machines, the sole and intended purpose of which was to grind asbestos-containing brake linings. At the time in question, all brakeshoe linings used on automobiles and trucks in the United States contained asbestos, and it was not only foreseeable that Hennessy’s machines would be used to grind such linings, this was their inevitable use. The asbestos fiber bundles were physically bound in a matrix in the nonfriable linings, and only when subjected to the action of Hennessy’s machines were the fibers released into the air where they posed a danger to those exposed. Thus, when used as designed and intended, Hennessy’s machines caused the release of the toxic agent that injured plaintiffs, although that agent did not emanate from Hennessy’s machines.
We find these allegations indistinguishable from those Tellez-Cordova held sufficient to survive demurrer. As in that case, plaintiffs allege Hennessy’s machines created harmful dust, even if the dust did not come from the machines themselves. (Tellez-Cordova, supra,
B. Negligence
We reach the same conclusion with regard to plaintiffs’ cause of action for negligence. Reviewing allegations very similar to those made in
Hennessy claims plaintiffs have no cause of action in negligence because no duty of care exists. In Hennessy’s view, the foreseeability of the harm is insufficient to give rise to a duty of care, and policy reasons preclude imposition of such a duty. Initially, we question Hennessy’s framing of this issue. Under established California law, a manufacturer already owes a duty of care to foreseeable users of its product. (See, e.g., Pike v. Frank G. Hough Co. (1970)
The policy considerations and foreseeability issues Hennessy cites are inapposite if we accept, as we must, the truth of the allegations in plaintiffs’ proposed amended complaints. Contrary to Hennessy’s claims, holding that plaintiffs’ complaints state a cause of action for negligence will not render Hennessy potentially liable for defective products made or supplied by others. Hennessy is not being asked to “insure against products over which [it has] no control.” As explained above, plaintiffs seek to hold Hennessy liable for design and warning defects in Hennessy’s own product, not the products of others. Furthermore, the alleged injuries were not unforeseeable merely because Hennessy’s brakeshoe grinding machines did not themselves contain asbestos. Plaintiffs allege that Hennessy knew or should have known its machines would be used to grind asbestos-containing brake linings and that
IV. Hennessy Fails to Distinguish Tellez-Cordova.
Hennessy’s attempt to distinguish Tellez-Cordova is unpersuasive.
At the outset, we note that the portion of the Tellez-Cordova opinion upon which Hennessy relies is the court’s discussion of the component parts doctrine.
Hennessy’s supplemental brief further illustrates its misunderstanding of Tellez-Cordova’s holding. Hennessy correctly states that O’Neil recognized two exceptions to the general rule that a manufacturer is not strictly liable for harm caused by the products of others. (See O’Neil, supra,
Despite O’Neil’s recognition that a product manufacturer may be liable for harm caused by the product of another where the defendant’s product contributes substantially to the harm (O’Neil, supra,
A. The “Stream of Commerce” Defense Is Inapplicable.
Hennessy argues it is not liable as a matter of law for damage caused by the asbestos-containing brake linings because it did not place the brake linings into the stream of commerce. (See Taylor, supra, 171 Cal.App.4th at pp. 575-576 [explaining stream of commerce theory of products liability].) Hennessy claims plaintiffs have not alleged it was part of the “chain of distribution of the injury-causing manufactured product” {id. at p. 575) or “a part of the manufacturing or marketing enterprise of the allegedly defective product that caused the injury in question” {Peterson v. Superior Court (1995)
First, the unspoken premise of Hennessy’s argument is that the asbestos-containing brake linings were the sole cause of plaintiffs’ injuries. This argument is therefore based on a factual assumption inconsistent with the allegations of the complaints. Plaintiffs do not allege that the asbestos-containing brake linings were the sole cause of their injuries. Instead, they allege that the action of Hennessy’s machines caused asbestos fibers that had been safely bound in the matrix of the brake linings to be released into the air, and this release resulted in the harmful asbestos exposure. Plaintiffs further claim the machines were specifically designed to grind such brake linings and that this was the “intended and only use” or the “ ‘inevitable use’ ” of Hennessy’s machines. Thus, Hennessy’s argument “misses the point of appellants’ complaint,” which is that Hennessy’s tools created the airborne asbestos fibers, “even if the [fibers] did not come directly from the tools.” {Tellez-Cordova, supra,
That Hennessy did not manufacture or distribute the asbestos-containing brake linings does not absolve it of liability as a matter of law. As our Supreme Court explained, “a product manufacturer generally may not be held strictly liable for harm caused by another manufacturer’s product” {O’Neil, supra,
For similar reasons, we reject Hennessy’s argument that it had no duty to warn of dangers associated with the asbestos-containing brake linings. Citing Taylor, Hennessy contends its duty is restricted to warnings based on the characteristics of its brake grinding machine. Once again, we disagree.
In Taylor we recognized the general rule that California law does not require manufacturers to warn of defects in other manufacturers’ products. (Taylor, supra, 171 Cal.App.4th at pp. 579-583.) While we concluded the respondent manufacturers owed no duty to warn in that case, we acknowledged “a manufacturer may owe a duty to warn when the use of its product in combination with the product of another creates a potential hazard, [but] that duty arises only when the manufacturer’s own product causes or creates the risk of harm.” (Id. at p. 580.) The Supreme Court reached a similar conclusion in O’Neil. After reviewing the facts and holding of Tellez-Cordova, the high court agreed that recognizing a duty to warn was appropriate in that case “because there the defendant’s product was intended to be used with another product for the very activity that created a hazardous situation. Where the intended use of a product inevitably creates a hazardous situation, it is reasonable to expect the manufacturer to give warnings.” (O’Neil, supra,
In this case, plaintiffs allege Hennessy’s product (the brakeshoe grinding machine) was intended to be used with another product (the asbestos-containing brake linings) for an activity that created a hazardous situation (the release of asbestos fibers). This is the exact circumstance in which the Supreme Court found it reasonable to expect a manufacturer to give warnings. (O’Neil, supra,
B. Plaintiffs Sufficiently Allege Causation.
Hennessy makes two arguments on the issue of causation. Both depend on factual assertions inconsistent with the allegations of the plaintiffs’ proposed
Hennessy summarizes its first causation argument as follows: “Appellants have not alleged and cannot allege Hennessy’s brake arcing machine was a substantial factor in causing their harm because they alleged the same harm—exposure to inherently dangerous asbestos containing brake linings— occurred without the use of Hennessy’s brake arcing machine.”
Whether a defendant’s product was the legal cause of a plaintiff’s injury is generally a question of fact for the jury, unless, as a matter of law, the facts admit of only one conclusion. (See Whiteley v. Philip Morris, Inc. (2004)
That the conduct of other entities may also have contributed to plaintiffs’ injuries would not preclude a finding that Hennessy’s product was a substantial factor in causing those injuries. (See, e.g., Taylor v. John Crane, Inc. (2003)
Hennessy also contends that “[a]s a matter of law, in asbestos litigation, asbestos is the defective product that creates the risk of harm because asbestos is inherently dangerous.” The principal flaw in this argument is that it is inconsistent with the allegations of plaintiffs’ proposed amendments to their complaint.
Hennessy’s contention that the same injury would have occurred regardless of whether its product was used is likewise inconsistent with the allegations before us. Hennessy contends “[a] product does not create the risk of harm if the same harm would have occurred without the use of the defendant’s product.” As explained above, however, plaintiffs allege that at least some of the asbestos exposure they suffered occurred only because the action of Hennessy’s machines caused asbestos fibers that were “physically bound or
VI. Conclusion
We hold that the defect in plaintiffs’ complaints could have been cured by amendment. Plaintiffs’ complaints, if amended in the manner proposed, would sufficiently allege causes of action for strict products liability and negligence. The trial court therefore erred in denying leave to amend and in granting judgment on the pleadings on those causes of action.
Disposition
The judgment is reversed with respect to plaintiffs’ causes of action for strict products liability and negligence. The judgment is affirmed as to all other causes of action. Costs to plaintiffs. (Cal. Rules of Court, rule 8.278(a)(3).)
Simons, J., and Bruiniers, J., concurred.
Notes
The appellants in the Bettencourt, Shusted, and Siegel cases are the decedents’ successors in interest and heirs at law. Appellant Donald Pearson sued in his own right in the court below. For the sake of convenience, we will refer to the appealing parties collectively as “plaintiffs” save when the context requires that they be identified individually.
These cases are among the “21 separate appeals pending before this court, all involving plaintiffs who pleaded similar causes of action based on [their] law firm’s Master Complaint.” {Shields v. Hennessy Industries, Inc. (2012)
In the Bettencourt appeal, Hennessy contends we may not consider the proposed amendment because it was not timely presented below. But a plaintiff’s showing that a complaint can be amended to state a cause of action may be made for the first time in the reviewing court. (Dudley v. Department of Transportation (2001)
In their briefs, the parties also refer to Hennessy’s products as “brake arcing machines.”
In this court, plaintiffs challenge only the grant of judgment on the pleadings with respect to their causes of action for negligence and strict liability. Plaintiffs alleged other causes of action against Hennessy, including false representation and civil battery. Because plaintiffs do not claim the trial court erred in granting judgment on the pleadings on those causes of action, we assume plaintiffs have abandoned them. (Hood v. Compton Community College Dist. (2005)
After briefing in these appeals was completed, the California Supreme Court issued its opinion in O’Neil v. Crane Co. (2012)
“While we accept appellants’ allegations as true for purposes of this appeal, nothing in this opinion should be construed as proven fact for purposes of later proceedings.” (Kempton v. City of Los Angeles (2008)
The only theory of liability before us in Taylor was failure to warn, under both strict products liability and negligence. (Taylor, supra, 171 Cal.App.4th at pp. 572, fn. 4, 577.)
These allegations distinguish this case from Taylor. In that case, we expressed doubt that a manufacturer could “reasonably be expected to foresee the risk of latent disease arising from products supplied by others that may be used with the manufacturer’s product years or decades after the product leaves the manufacturer’s control.” (Taylor, supra,
Under the component parts doctrine, “ ‘the manufacturer of a product component or ingredient is not liable for injuries caused by the finished product unless it appears that the component itself was “defective” when it left the manufacturer. [Citation.]’ ” (Tellez-Cordova, supra,
Hennessy seeks only to distinguish Tellez-Cordova; it does not contend that case was incorrectly decided.
At oral argument, Hennessy’s counsel elaborated on his interpretation of Tellez-Cordova, asserting that it was a case in which the harm arose from the uniting of two products. He went on to argue that O’Neil limits Tellez-Cordova to its facts and holds that where separate and distinct products are expected to be used together, there can be no liability as a matter of law. This misreads O’Neil. While “California law does not impose a duty to warn about dangers arising entirely from another manufacturer’s product, even if it is foreseeable that the products will be used together,” O’Neil approved Tellez-Cordova’s imposition of a duty to warn “because there the defendant’s product was intended to be used with another product for the very activity that created a hazardous situation.” (O’Neil, supra,
For example, at oral argument, Hennessy’s counsel pointed to plaintiffs’ allegations that the brake linings were also abraded with sandpaper, and he contended the same exposure to asbestos fibers would have occurred from the use of sandpaper. The obvious distinction between sandpaper and Hennessy’s brake arcing machine is that sandpaper has a wide variety of uses. In contrast, plaintiffs’ complaints allege that the sole, intended, and inevitable use of Hennessy’s machines is to grind asbestos-containing brake linings in a manner that releases airborne asbestos particles. (See Shields, supra,
In addition, Hennessy’s argument conflicts with applicable case law. “Asbestos-containing products are not dangerous when intact. The health hazard arises when the products are cut or damaged, releasing asbestos fibers that can be inhaled.” (O’Neil, supra,
