In Re Air Crash Disaster at Washington, D.C. on January 13, 1982
MEMORANDUM OPINION AND ORDER
Before the Court is the motion of defendant Air Florida, Inc., seeking reconsideration of those portions of this Court’s Memorandum Opinion and Order of February 17, 1983 determining that, with respect to the majority of the actions in this consolidated proceeding, the law of the State of Washington shall govern the question of defendant The Boeing Company’s liability for an assessment of punitive damages. Air Florida argues that under the applicable analysis, the law of the District of Columbia shall govern that issue. In the alternative, Air Florida seeks severance of the punitive damages issue from the liability trial or certification of the decision for interlocutory appeal. Because of the proximity of the scheduled trial date, the parties were directed to respond to the motion by noon, March 2, 1983. Boeing opposes the motion; the Plaintiffs’ Steering Committee concurs with Air Florida, to the extent that Air Florida’s motion supports the Plaintiffs’ Steering Committee’s previous position that District of Columbia punitive damages law shall apply to all defendants in all actions. Defendant American Airlines, Inc. has not filed an opposition to the motion. The arguing parties have briefed the issue more than adequately.
Choice of law questions in air disaster eases often have proven difficult of resolution. In
In Re Paris Air Crash of March 3, 1974,
The law on “choice of law” in the various states and in the federal courts is a veritable jungle, which, if the law can be found out, leads not to a “rule of action” but a reign of chaos dominated in each case by the judge’s “informed guess” as to what some other state than the one in which he sits would hold its law to be.
Indeed, in
Chicago,
the Seventh Circuit found it impossible under the governing choice of law rules to discern the law that properly applied to the question of the defendant manufacturer’s liability for punitive damages. Employing the interest analysis approach of the Restatement, Second, of the Law of Conflict of Laws, that court found that the two states having the greatest interest in the matter were Missouri, the manufacturer’s principal place of business, and California, where the plane was built.
In the absence of Congressional'action or a decision of the Court of Appeals for this Circuit or the Supreme Court, this Court is constrained by the principles so aptly labeled by the Ninth Circuit a “judicial nightmare.” This is not to say that the principles to which this Court is bound are in all cases necessarily unworkable. No party to the instant action has argued that, nor is it the view of this Court that a correct and fair resolution of these issues cannot be reached in this proceeding under the present rules. On the contrary. Recognizing this, the Court welcomes the opportunity to reconsider its prior decision in light of the arguments now before it and appreciates the fact that the pending motion provides the vehicle for that review.
Although Air Florida does not suggest any defect in the approach used by the Seventh Circuit in Chicago, the essence of its argument is that in seeking to determine the law applicable to the instant litigation this Court did not simply consider the legal reasoning of Chicago but also transposed the factual application of that analysis to the different facts of the case at bar. Air Florida also challenges the Court’s selection of Washington State as the locus of Boeing’s allegedly wrongful conduct, to the extent that such conduct complained of includes Boeing’s alleged failure to warn Air Florida of dangers, which warnings need not have been made in that state. Air Florida does not disagree with this Court’s conclusion that the two jurisdictions most interested in this issue are the District of Columbia and Washington State. Nor does Air Florida argue that the Court did not apply the proper choice of law principles. Air Florida’s narrow challenge primarily focuses on the extent to which this Court found Chicago analogous to this case.
In response to Air Florida’s motion, Boeing challenges Air Florida’s standing to argue that punitive damages should be available against Boeing in that the airline is not a “party aggrieved” by an adverse ruling. However, the potential for jury confusion and prejudice are sufficient to establish on the part of Air Florida a stake in the resolution of the choice of law question as it affects the proceedings of the trial. Nevertheless, even if Air Florida did not have standing to raise the questions presented herein, the Court nonetheless could have entertained a reconsideration of its ruling
sua sponte.
Boeing also suggests that Air Florida in effect waived its right to argue the question of the law governing Boeing’s liability for punitive damages because it did
With respect to the choice of law question itself, Boeing argues that the holding in Chicago is precisely on point, interpreting that holding as meaning that in a case such as this the state of injury (evidently as a matter, of law) has a lesser interest in promoting its policies on punitive damages than either the state where the conduct allegedly occurred or the state in which the defendant had its principal place of business. Under Chicago, Boeing argues, the court should consider the interests of the state where injury occurred only where there is a conflict between the laws of the latter two jurisdictions.
There are a number of similarities between the facts of this case and those of
Chicago.
Both involved accidents which occurred upon takeoff. As such, in each case the state where the injury occurred had “very strong interests” in issues relating to the manufacturer’s liability for punitive damages.
There lies the rub. This is where the facts of the instant case depart from those' of Chicago. Illinois’ interest in the DC-10 manufacturer’s liability for punitive damages vis a vis the interest of the other two potentially interested states, Missouri and California, was not as great as is the District of Columbia’s interest in Boeing’s liability vis a vis the interest of Washington State. Since Illinois did not impose punitive damages, Illinois would not have been disturbed by the application of California’s equivalent law to the action. On the other hand, applying Missouri law would not have concerned it either, inasmuch as Illinois, as home of none of the defendants, had no interest in shielding any party from punitive damages. In the instant case, however, the policies of the District of Columbia of preventing air disasters and promoting safe air travel are advanced by the District’s decision to allow punitive damage assessments in actions such as this. Those policies would be offended by resort to Washington’s law, which denies such awards. As a result, unlike Illinois’ interest in Chicago, the District of Columbia’s interest in the question of Boeing’s liability for punitive damages is by no means subordinate to that of the State of Washington. As another result, because the dilemma which forced the Seventh Circuit to look outside interest analysis is not present here, that analysis remains workable and useful toward resolving the instant choice of law problem.
As noted above, Air Florida disputes the extent to which Boeing’s conduct can be said to have been located in Washington State. According to Air Florida, if the site of injury is “almost always fortuitous,”
Pittway Corp. v. Lockheed Aircraft Corp.,
Yet the inquiry as to the site of defendant’s conduct is not an end in itself, but a part of the process of determining the defendant’s nexus with the jurisdictions interested in the litigation. In the typical case where the site of an air crash is determined to be “fortuitous” that state is generally
Boeing has a much more substantial relationship to the District of Columbia than a manufacturer generally has to the site of injury in a typical “fortuitous crash” case. Boeing had to foresee that its small, short-haul 737 aircraft would be used for departures from Washington National Airport, one of the nation’s busiest airports and a station limited by federal regulation to domestic flights of 1,000 statute miles or less. See 14 C.F.R. § 159.60 (1982). Certainly, the allegations against that defendant concern the aircraft’s performance upon departure. Moreover, with respect to the allegations that Boeing failed to make proper warnings about the aircraft’s takeoff performance, as noted above, the locus of any such alleged omissions need not be confined to the State of Washington.
Between the District of Columbia and the State of Washington, the former has the greater interest in the question of Boeing’s liability for punitive damages in the instant litigation. While Washington State has made a considered choice not to allow the assessment of punitive damages, that choice necessarily includes a balancing of the interests of resident tortfeasors against the interests of that state in preventing harm caused by tortious conduct. Yet while Washington State, through its legislature, may weigh the rights of its own injured victims against its resident tortfeasors, the sovereignty of other states prevents it from placing on that scale the rights of those injured elsewhere. Accordingly, with respect to those actions in this litigation originally filed in jurisdictions following interest analysis choice of law principles, the law of the District of Columbia shall govern the question of Boeing’s liability for punitive damages.
In consideration of the foregoing, it is, by the Court, this 3rd day of March, 1983,
ORDERED, that the motion of defendant Air Florida, Inc., for reconsideration of the Memorandum Opinion and the Order of February 17,1983 be and hereby is granted, the relief sought in the alternative accordingly hereby being denied, and it is
FURTHER ORDERED, that the same Memorandum Opinion and Order are hereby vacated and withdrawn, and it is
FURTHER ORDERED, that a substitute Memorandum Opinion, and an Order appropriate thereto, shall issue this date, in accordance with the instant Memorandum Opinion and Order, and it is
FURTHER ORDERED, that the Memorandum Opinion to issue this date will differ from that vacated this date only as to (1) the matters discussed at pages 43-46 of that prior opinion requiring amendment in light of this Order, (2) modifications elsewhere in the opinion made necessary by such amendments, and (3) certain alterations sua sponte determined appropriate in the text of footnote 36 of that opinion.
MEMORANDUM OPINION
Before the Court are the several motions and “proposals” of the parties as to which state’s law should govern the following issues to be resolved at the consolidated trial in this case: the defendants’ liability for compensatory damages, apportionment of liability among defendants, and the defendants’ liability for punitive damages. These questions of choice of law have been more than amply briefed, by all defendants, the Plaintiffs’ Steering Committee (which is charged with responsibility for presenting the case at trial on behalf of all plaintiffs), and counsel for several of the plaintiffs whose individual actions were originally filed in other courts but transferred here.
1
This consolidated proceeding arises from the crash of a B-737 passenger jet (designed and built by The Boeing Company and operated by Air Florida, Inc.) in Washington, D.C. on January 13, 1982. The plane departed from Washington National Airport, located across the Potomac River from the city of Washington, in Arlington County, Virginia, 2 and was bound for Tampa and Fort Lauderdale, Florida. Snow was falling before and during the takeoff. Shortly after the plane left the runway, it hit the Rochambeau Memorial Bridge (the northbound span of what is popularly known as the 14th Street Bridge) connecting Arlington, Virginia and the District of Columbia, damaging several automobiles on the bridge and injuring or killing their occupants. It then fell into the icy waters of the Potomac River below, within the District of Columbia. Five people aboard the flight were pulled from the river to safety, tragically, however, over 70 others died. Most of the victims were residents of the District of Columbia or the states in which its suburbs lie, Maryland and Virginia; other victims were from Florida, Massachusetts, Pennsylvania, Georgia, and Texas. Rescuers from various authorities, including the District of Columbia, the United States Park Police, and Arlington County, went
into action as a result of the crash. The bridge, an interstate highway (Route 1-395) owned by the District of Columbia and a major commuter route between the city of Washington and its Virginia suburbs, was damaged and remained closed for several days. By a horrible yet unrelated coincidence, within a half-hour of the plane crash a subway train of the Washington Metropolitan Area Transit Authority carrying a full load of passengers derailed in an underground tunnel. The derailment caused several fatalities and resulted in the partial disruption of the Metro subway system, which, like the 14th Street Bridge, is used by many commuters between the District of Columbia and Virginia. The closing of the bridge and the disruption of Metro service prompted the federal government to direct that “nonessential” employees working in the District of Columbia need not report for work for several days following.
Air Florida is a defendant in each of the cases embraced in the consolidated trial. The wrongdoing alleged against Air Florida centers around the actions of the cockpit crew and the procedures they followed before and during the takeoff, including their decisions regarding the necessity of undergoing additional wing deicing treatment before takeoff. Boeing likewise is a defendant in each case; in those cases wherein Boeing is not named in the complaint, Boeing has been impleaded by Air Florida.
There is no doubt that a number of states
4
have an interest in some or all of the issues to be adjudicated at the consolidated liability trial. Since federal subject matter jurisdiction arises from the parties’ diversity of citizenship, this Court must follow the choice of law rules of the states where the various actions were originally filed.
Klaxon Co. v. Stentor Electric Manufacturing Co.,
Most of these jurisdictions (the District of Columbia, Illinois, Massachusetts, Pennsylvania, and Texas) have discarded the
lex loci delicti
or “site of the injury” rule in favor of tests involving an exploration of the interests of the various states having some relationship to the parties or the crash. Illinois, Massachusetts, Pennsylvania, and Texas each have specifically adopted the test of the Restatement, Second, of the Law of Conflict of Laws (1971).
6
The District of Columbia likewise has discarded the
lex loci
rule, but before the Restatement, Second was published.
Tramontana v. S.A. Empresa de Viacao Aerea Rio Grandense,
I. Choice of Law Under the Modern Analysis
Modern choice of law analysis regards an examination not simply of the various states’ interests generally, but of their interests regarding the various distinct issues to be adjudicated. This is the concept of “dépegage,” and has been followed in other air crash cases.
Chicago,
The District of Columbia method of “governmental interest analysis” directs the
A. Negligence
As there is no conflict as to the negligence law among the various interested jurisdictions the Court will apply the negligence law of the District of Columbia.
10
B. Products Liability
As noted above, the allegations of products liability against Boeing are essentially that the design of the 737 aircraft’s wings was defective in that the plane had a tendency to lose control or “pitch up” on takeoff when ice or snow became adhered to the leading edges of the wings, and that operating manuals for the 737 did not adequately advise the users of this phenomenon. Aside from the matter of the manuals’ adequacy, 11 Boeing is also charged with failing to warn consumers of the alleged defective wing design.
In accordance with
Hitchcock
and section 145(2) of the Restatement, Second, the contacts to be considered include: (a) the site of injury, (b) the place where the conduct occurred, (c) the parties’ domiciles, and (d) the place where the parties’ relationship is centered. The Second Restatement further instructs that these contacts be evaluated according to their relative importance with respect to the particular issue; for example, while section 145(2)(c) lists residence of the parties as a relevant contact, with respect to the issue of tort liability, the states wherein the plaintiffs or victims resided have a negligible interest in regulating extraterritorial conduct causing injury outside their borders. Likewise, a simple mechanical application of these factors is inappropriate: the mere fact that one jurisdiction numerically satisfies more of these contacts than another is not dispositive of the question of which state has the “most significant relationship” regarding this issue.
See Chicago,
With respect to this issue of Boeing’s liability, the jurisdictions having contacts to consider are: the District of Columbia (the place of injury), the State of Washington (the place of Boeing’s alleged misconduct 12 and its principal place of business), and whatever state in which the relationship between the parties can be said to be centered. Guidance on the question of where the parties’ relationship is centered as well as some direction as to the relative importance of each of the four contacts to the particular issue at hand is provided in Reese, The Law Governing Airplane Accidents, 39 Wash. & Lee L.Rev. 1303 (1983) [hereinafter cited as Reese, Airplane Accidents],
Professor Reese has developed a useful approach to determining the law to apply to the various issues likely to arise in an air crash action. According to Professor Reese, in an action by a passenger against an aircraft manufacturer the question of whether the manufacturer’s conduct was liability-creating is governed by the law of (1) the place of manufacture or design, (2) the manufacturer’s principal place of business, (3) the place of the flight’s departure, or (4) the place of the flight’s intended
The importance of the sites of departure and intended destination vis a vis that of the manufacturer’s domicile and place of manufacture and design also bears some relationship to contact (a) of the Restatement, Second; site of injury. Professor Reese comments that the relative importance of the place of intended destination is not usually great, unless the plane happens to crash upon arrival.
Id.
at 1312. Accordingly, Florida’s interest in this issue as the scheduled arrival point can be further discounted under the Reese analysis, inasmuch as the plane did not crash while landing. The Reese analysis appears to imply that where the site of injury coincides with the site of departure (or intended arrival), the interest of the relevant state
qua
site of injury is less likely to be discounted as the “result of a fortuity.” This is especially appropriate to the facts of the instant case, where the allegations of fault refer to the actions of flight and ground crew and the performance of the aircraft on takeoff. Consequently, the District of Columbia’s interest as the place of departure
14
is augmented by its having been the place of
The policies advanced by the District of Columbia’s adoption of these doctrines are several. The existence of law providing for tort liability in the District of Columbia demonstrates, first of all, the District’s interest in regulating — and preventing — conduct that could cause tortious injury. W. Prosser, Law of Torts § 4, p. 22 (4th ed. 1971). Furthermore, the adoption of the rule of strict products liability evinces additional interests: to do away with the harsh common-law requirement of privity in products cases and to hold manufacturers of defective products to a higher standard than that of negligence.
See Berman v. Watergate West, Inc.,
Washington State recently has codified its judicially-acknowledged products liability law, by enacting the Washington Products Liability Act of 1981, Wash.Rev.Code §§ 7.72.010-.060 (1981).
17
This act estáb
While the newness of the Washington Products Liability Act of 1981 has resulted in a paucity of judicial interpretations thereof, the act’s preamble conveniently provides a statement of the legislature’s intent in enacting the statute. 1981 Wash. Laws ch. 27 § 1. The preamble notes first the process of tort reform in Washington and the resulting amelioration of the “harshness of many common law doctrines.” It then states that “The purpose of this amendatory act is to enact further reforms in the tort law to create a fairer and more equitable distribution of liability among parties at fault.” Id. at ¶ 2. This evident interest in providing fair treatment for defendants is explicated in the paragraph immediately following, wherein the preamble refers to these effects of modern changes in products liability law: increased costs of consumer and. industrial goods because of rising premiums for product liability insurance and the related “disincentives to industrial innovation and the development of new products.” Id. at ¶ 3. The remainder of the preamble continues in this vein.
The PSC asserts that there is no actual conflict between the Washington and District of Columbia laws for two reasons. First, the PSC asserts that the standards that would govern the relevant allegations against Boeing are essentially the same under the laws of the District of Columbia and Washington in that the claim is one for a “failure to warn” which is subject to a negligence charge either way. PSC Reply
Second, the PSC argues that although the laws of the two jurisdictions may differ, the policies they effectuate,
i.e.,
the creation of a products liability doctrine not dependent on historical requirements of privity, are the same and that therefore District of Columbia law may be applied with no fear of a true conflict. The PSC cites an unreported opinion from this district,
Cunningham v. Textron, Inc.,
Civil Action No. 75-0318 (May 15, 1978) (order granting plaintiff’s motion
in limine)
to the effect that where states having different products liability laws have demonstrated similar policies, no actual conflict exists.
Cunningham
indeed involved a “false conflicts” situation, because the three interested states all followed in substance (if not in name) the rule of strict liability.
18
In the case at hand, however, it can not be doubted that, with respect to design defects the two interested jurisdictions do not apply the same standard of care. Moreover, the two jurisdictions have expressed different policy objectives that are relevant to their particular interests in the parties. The decisions of the District of Columbia courts in strict products liability cases demonstrate a preeminent concern with the protection of plaintiffs. See
Berm
an v. Watergate West,
Inc.,
Boeing argues that the products liability-law of Washington State rather than the District of Columbia law should govern because any interest the District has relevant to this issue is diminished because it was “fortuitous” that the plane crashed and caused injury here.
20
Under this theory, since the site of injury resulting from a design or manufacturing defect is “almost always fortuitous,”
Pittway Corp. v. Lockheed Aircraft Corp.,
The fact that the site of injury might be fortuitous does not for every case answer the question of which state has the most significant relationship to this issue. Indeed, were that so, the
lex loci delicti
rule would simply be replaced by another equally rigid rule of
lex loci actus.
The unfairness of such a rule to those who suffered from the injury directly and indirectly is obvious, and denies what the Seventh Circuit recognized in
Chicago,
that the state where the injury occurred does have some interest in imposing liability on the wrongdoer, depending on the facts of the particular case.
Furthermore, in the cases cited above an important reason why the sites of injury were determined fortuitous and therefore uninterested was that the plaintiffs had little or no connection with those states. Here, by contrast, the site of injury was Flight 90’s site of departure. As such, many of the victims had some kind of settled relationship with the District of Columbia, be it residence, employment, or some other nexus, and the District of Columbia no doubt has an interest in protecting such individuals from harm.
See
Restatement (Second) of Conflict of Laws § 146, comment (e). Likewise, as suggested earlier, the District of Columbia has an interest in protecting those persons who use the services of its airport.
23
The instant case is distinguishable from the typical “fortuitous crash” cases cited above inasmuch as the crash sites in those cases had no relationship to the parties on either side.
24
The instant case is more like
Chicago
than those cases; as Illinois had an interest in the crash in light of the victims’ relationship to Illinois and the severity of the disaster’s impact on that state, so it is with the District of Columbia in the case at bar. Yet the District of Columbia has a greater interest in this litigation than Illinois had in
Chicago.
While the
Chicago
crash was purely fortuitous inasmuch as the DC-10’s engine could have fallen off anywhere on that flight,
The interest of the District of Columbia in regulating conduct so as to promote air safety is evidenced further by the aftermath of the crash. The crash had a direct and severe effect on people throughout metropolitan Washington. 25 It caused death and injury to people using the District’s bridge to enter into the city. The consequent closing of both spans of the bridge jammed commute routes into the suburbs for hours and, with the coincidental Metro subway disruption, caused the federal government’s Washington offices virtually to shut down for several days. The resources of District of Columbia and other rescue units were taxed, and the District no doubt incurred substantial expense in the course of the rescue and clean-up, not to mention the repair of its bridge. 26
For these various reasons, the Court finds that the District of Columbia has a very strong interest in the application of its tort law principles to the question of Boeing’s liability.
Nevertheless, the interest of Washington State in the resolution of this issue is evident as well. As the allegations against Boeing concern its conduct within the State of Washington, that state has, at the outset, a strong interest in the regulation of that conduct. That interest is strengthened further by the fact that Washington has made a legislative choice as regards the imposition of strict liability for design defects, after addressing how the issue concerns plaintiffs and corporate defendants doing business in Washington. See Washington ' Products Liability Act of 1981, Preamble, supra. The preamble to Washington’s new products liability act demonstrates that state’s interest in how the balance between providing remedies to plaintiffs and insuring the fiscal health of local corporate defendants is made. Indeed, as Boeing is one of the largest, if not the largest, employers in that state, Washington’s interest in various issues relating to Boeing’s products liability cannot be denied.
Yet, as regards the policies expressed in the preamble to the Washington Products Liability Act, the Court must examine how important the specific provisions of that act at issue here are toward effectuating those policies. The Washington Products Liability Act, according to Boeing, substantially duplicates the Uniform Products Liability Act, with the exception that it does not adopt the uniform law’s rule providing for punitive damages. There is long-established policy in Washington against the award of punitive damages.
See Maki v. Aluminum Building Products,
C. Apportionment of Liability
The jurisdictions interested in how fault is apportioned among the defendants follow two different rules on this subject. The District of Columbia and Virginia (which, it is argued, has an interest in apportionment because of the allegedly wrongful conduct of Air Florida and American Airlines which occurred there) both follow an equal-share rule, under which all culpable defendants contribute equal parts of the judgment, regardless of their relative fault.
27
Air Florida argues in favor of the law of either jurisdiction; American concurs. Florida, Texas, and Washington (the principal places of business of Air Florida, American, and Boeing, respectively) all follow a comparative fault rule under which each tortfeasor is assessed a portion of the judgment proportional to its relative culpa
The policies behind the equal-share rule are (1) that of encouraging each member of the community to conform to a standard of due care and (2) that of facilitating the determination of each defendant’s share of the judgment. The first policy is one in which the District of Columbia and Virginia are interested in the instant case, in that injury and conduct took place in those jurisdictions. As the second policy concerns efficient judicial administration, it is an interest of the District of Columbia, as this is the forum for the majority of the individual actions. The rationale behind a comparative fault rule essentially is to make certain that all defendants are treated fairly. There is no doubt that Washington has an interest in seeing its law applied in that it certainly would be concerned that one of its local corporations, a defendant who is alleged to have done a wrong in Washington, be treated fairly among its co-defendants. Similarly, Florida and Texas would be interested in the fair treatment of their citizens.
Air Florida asserts that Florida, Texas, and Washington have no interest in the apportionment of fault where the injury was “extraterritorial” as to those states. However, as Boeing notes, the primary purpose of a comparative fault apportionment rule is not to punish or deter, but to ensure fair treatment of defendants. As such, with respect to this issue, a state where the conduct or injury took place is not necessarily the state of most significant relationship; rather, it is likely to be a state in which a protected defendant is located.
So it is with the instant case. The jurisdictions most interested in the application of the comparative fault rule are those in which the defendants are located. Moreover, applying this rule will not contravene the purposes of the rules of the other interested jurisdictions, the District of Columbia and Virginia, in that by apportioning responsibility in accordance with fault this rule, like the equal-share rule, serves the purpose of ensuring that parties act in conformance with a standard of due care. Indeed, by making sure that a highly-culpable defendant pays its fair share, rather than a per capita portion, which might be less, the comparative fault rule effectuates this policy even more completely and accurately than the older rule. As to the concern about the jury’s ability to allocate fault upon a proportional basis, this Court is not convinced that a jury would be less equipped to entertain this task than it would be to consider other types of speculative matters typically assigned to juries. Finally, and most importantly, while applying the comparative fault rule in the instant case would not contravene the policies of the District of Columbia and Virginia, application of the equal-share rule would most certainly offend the legitimate and profound interests of the, defendants’ home states. The comparative fault rule will govern the apportionment of liability among the defendants.
D. Punitive Damages
This issue has generated much interest among numerous parties, who have provided the Court with a plethora of suggestions as to which jurisdiction’s law should govern the liability of the various defendants. The PSC argues that, because of the obvious contacts this litigation has with the District of Columbia, that jurisdiction’s law, which allows punitive damages in survival actions but not wrongful death actions,
29
should apply. Alternatively, the PSC argues for the application of Florida law, because Air Florida trained its pilots and received Boeing’s warnings and instructions for 737 op
The primary purpose of imposing punitive damage assessments is to punish egregious conduct of a defendant and deter future wrongful conduct by the defendant and others,
not
to compensate a plaintiff. Consequently, a state whose only connection with this litigation is that it was the domicile of a plaintiff or victim has no interest in the imposition of punitive damage liability.
Chicago,
Plaintiff Fako asserts that under the choice of law rules of the Commonwealth of Pennsylvania, which this Court must follow inasmuch as her action was transferred here from a federal court located there, Pennsylvania is the state most interested in the assessment of punitive damages. The cases cited by plaintiff Fako do not convince the Court that a Pennsylva
Pennsylvania’s interest in the amount of recovery, on the other hand, is great .... Our commonwealth, the domicile of decedent and his family, is vitally concerned with the administration of decedent’s estate and the well-being of the surviving dependents to the extent of granting full recovery, including expected earnings.
The Izzo and Donahue plaintiffs argue that a court in Massachusetts, from which their actions were transferred, would be guided by that Commonwealth’s “most significant relationship” test to apply its rule allowing punitive damages. These plaintiffs cite Massachusetts’ law governing punitive damages, which provides for a mandatory, minimum $5,000 assessment of punitive damages where a defendant is found to have acted maliciously, willfully, wantonly or recklessly, or to have been grossly negligent. Mass.Ann.Laws ch. 229, § 2 (Michie/Law.Co-op.Cum.Supp.1982). In support of their position, plaintiffs Izzo and Donahue quote the following portion of
Schulhof v. Northeast Cellulose, Inc.,
Massachusetts has a strong interest in applying its punitive damage provision .... Its punitive damage provision represents a legislative decision that ordinary tort damages do not sufficiently deter “willful, wanton or reckless” acts causing death.
Izzo/Donahue brief, at 11-12. The Court disposes of the argument of plaintiffs Izzo and Donahue by noting the sentence counsel has excised from the portion of the
Schulhof
opinion quoted in their memorandum:
“As the place of the wrong,
[Massachusetts] has an interest in deterring behavior which causes injury and death
within its borders.”
As the allegations against Air Florida and American refer to conduct before and upon takeoff from Washington National Airport, while those against Boeing primarily concern actions which took place in the State of Washington, the choice of law questions regarding these two groups of defendants must be examined separately. With regard to the conduct of Air Florida and American, the jurisdictions having some contact with this litigation relevant to the punitive damages issue are the District of Columbia (the site of injury), Virginia (the suggested locus of the alleged wrongful conduct), and Florida and Texas (the defendants’ places of business).
36
In determining which of these jurisdictions has the greatest interest, great respect must be given to both the decisions to allow punitive damages and the decisions to deny punitive damages.
Chicago,
In
Chicago,
the Seventh Circuit was forced to choose between the site of injury (Illinois, considered fortuitous but nonetheless interested,
see
In the instant case, Air Florida and American argue, persuasively, that as their conduct occurred outside of Florida and Texas, neither of those states would be interested in the regulation of such conduct.
37
Although a state might be more interested in punishing extraterritorial conduct of one of its citizens than avenging harm caused to one of its citizens outside of its borders, for many of the same reasons, it is evident that jurisdictions having a greater interest in this issue would be those where the conduct or any non-fortuitous
With regard to the conduct of Air Florida and American as alleged in the instant case, the District of Columbia and the Commonwealth of Virginia have a concurrent regulatory interest. As the allegations of wrongful conduct on the part of Air Florida’s flight crew include their actions throughout the takeoff procedure (including decisions as to how much thrust to apply, and so on, while airborne), those allegations embrace conduct which could have taken place over either jurisdiction. Apart from that conduct which could actually have taken place in either or both jurisdictions, the District of Columbia shares with Virginia an interest in the safe operation of the airport — especially where the activities sought to be regulated are fraught with the potential for physical injury within the District and other damage or disruption to the commerce and public order of the municipality.
Between the District of Columbia and the Commonwealth of Virginia, the District of Columbia has the most significant relationship to this issue. As noted earlier, the injurious effects of the conduct were predominantly felt in the District of Columbia. Victims were rushed by rescue units stationed in the District of Columbia to hospital and other facilities within the District. The city’s bridge was damaged. While commerce in most parts of Virginia proceeded as usual after the crash, business in the District of Columbia was brought to a standstill. Moreover, the fact that Virginia recently has changed its position on the denial of punitive damages and now will permit an assessment thereof is strongly suggestive that denying punitive damages was not a very significant policy concern of the Commonwealth at the time of the crash. Accordingly, the law of the District of Columbia will control the question of the liability of Air Florida and American for punitive damages. 38
In light of the foregoing analysis, the Court now considers Boeing’s liability for punitive damages. There is no doubt that the State of Washington, the site of the alleged wrongful conduct (the designing of the 737) and Boeing’s principal place of business is an interested jurisdiction.
See Chicago,
In
Chicago,
the Seventh Circuit selected the law of Illinois, the site of injury, to govern the question of the manufacturer’s liability for punitive damages. However, in doing so, the court expressly stated that Illinois’ interest in the question was less than that of both California, the state where the plane was designed and built, and Missouri, the manufacturer’s principal place of business.
Because the place of injury is much more fortuitous than the place of misconduct or the principal place of business, its interest in and ability to control behavior by deterrence or punishment, or to protect defendants from liability, is lower than that of the place of misconduct.
Id.
With respect to a manufacturing or design defect, unlike the case of a navigational error, the place of injury is almost always fortuitous.
Pittway Corp. v. Lockheed Aircraft Corp.,
However, the inquiry as to the interest of the state of injury has two components: the state’s connection with the defendant alleged to have caused the injury (explored by the Seventh Circuit in its conclusion that the site of the
Chicago
crash was fortuitous) and the state’s connection with the injury itself. In considering the latter component, the Seventh Circuit recognized that the fact that the interest of the place of injury in
Chicago
was less than that of the places of the manufacturer’s business headquarters and the alleged misconduct “does not mean that Illinois has
no
interest in the punitive damages question.”
Nevertheless, despite these apparently significant interests of Illinois (which the District of Columbia certainly holds in greater measure in the instant case) the court found that the concerns of California and Missouri were of sufficiently great importance to supplant Illinois’ interest. A second look at the other component of the inquiry as to the interest of the state of injury, that state’s connection with the defendant manufacturer, is necessary to understand why the Chicago court reached this conclusion. The Seventh Circuit noted in Pittway Corp. v. Lockheed Aircraft Corp. that a manufacturer often will be determined not to have any substantial contact with the site of injury since the fact that the injury occurs at a particular place usually has little relationship to the type of conduct in which the manufacturer is alleged to have been engaged. As a result, the jurisdictions with the greatest connection with the manufacturer’s conduct frequently will be those in which the actual conduct occurred (the place of manufacture or design) or the place where ultimate responsibility for that conduct lies (the manufacturer’s principal place of business). This was the case in Chicago. But this will not always be so. It must be kept in mind that the inquiry as to the site of conduct is not an end in itself but a means of determining the manufacturer’s connections with the various states interested in the litigation, including the state of injury. This embraces some due process considerations: could the manufacturer foresee that a certain state’s law would be applied to its conduct? Reese, Airplane Accidents, at 1311-12. For example, in the case of the Oklahoma to Utah flight in Bruce v. Martin-Marietta, Corp., discussed above, the manufacturer had no reason to expect that its aircraft would crash in Colorado, as it did, rather than any other state through which it passed enroute. In the instant case, on the other hand, although Boeing’s conduct conceivably could have caused injury wherever a 737 took off under circumstances similar to those present at Flight 90’s departure, the fact the likely places of resultant harm are limited to areas around commercial airports renders the site of injury in this case, with respect to Boeing, less fortuitous than the injury sites in cases such as Bruce v. Martin-Marietta, Corp.
Boeing has a much more substantial relationship to the District of Columbia than a manufacturer generally has to the site of injury in a typical “fortuitous crash” case. It reasonably could have foreseen, and no doubt desired, that its short-haul 737 aircraft would be used for flights out of Washington National Airport, one of the nation’s busiest airports and a station limited by federal regulation to flights shorter than 1,000 statute miles.
See
14 C.F.R. § 159.60 (1982). As the allegations against Boeing concern the aircraft’s performance upon departure, it would not be unreasonable to hold Boeing, with respect to the issues of this case, to the standards of the District of Columbia. Moreover, the allegations in-
For these reasons, in this case, unlike the Chicago case, it cannot be said that the state of injury necessarily has a lesser interest than the state in which the defendant’s conduct occurred or its principal place of business was located. To resolve the conflict between the laws of the District of Columbia and the State of Washington, the Court now considers the policies behind those laws relevant to the substantive question of Boeing’s liability for punitive damages.
Between the District of Columbia and the State of Washington, the former has the greater interest in the question of Boeing’s liability for punitive damages in the instant litigation. While Washington State has made a considered choice not to allow the assessment of punitive damages, that choice necessarily includes a balancing of the interests of resident tortfeasors against the interests of that state in preventing harm caused by tortious conduct. Yet while Washington State, through its legislature, may weigh the rights of its own injured victims against its resident tortfeasors, the sovereignty of other states prevents it from placing on that scale the rights of those injured elsewhere. Accordingly, with respect to those actions in this litigation originally filed in jurisdictions following interest analysis choice of law principles, the law of the District of Columbia shall govern the question of Boeing’s liability for punitive damages.
II. Choice of Law in Cases Transferred from Virginia, Georgia, and Maryland
Since interest analysis directs that the law of the District of Columbia is applicable to all issues but apportionment of liability, the law that shall govern actions subject to the lex loci delicti rule can possibly differ only with respect to that issue.
A. Virginia
The highest court of Virginia recently has reaffirmed its adherence to the
lex loci delicti
rule.
McMillan
v.
McMillan,
B. Georgia
In determining what choice of law principles to apply to the action transferred from the United States District Court for the Northern District of Georgia, this Court must resolve the issue as the courts of the State of Georgia would.
Imperial Enterprises, Inc. v. Fireman’s Fund Insurance Co.,
It is by no means certain that the Georgia Supreme Court would today follow the doctrine of
lex loci delicti
in a case such as this. The United States District Court for the Northern District of Georgia, when recently faced with the question of what choice of law principles Georgia would use in a tort case stated that “the law of the place of the
wrong
— lex
loci delicti
— has always been the choice of law rule in this state.”
Harris v. City of Chattanooga,
More recently than
Harris,
the District Court for the Northern District of Georgia has held that although the Georgia courts had not expressly addressed the question of whether to discard the
lex loci
rule in contracts actions, the “strong implication” was that Georgia would now follow the relevant theories of the Restatement, Second, of Conflict of Laws.
Ryder Truck Rental, Inc. v. St. Paul Fire & Marine Insurance Co.,
In
Boston,
that court was presented with a similar situation in regard to the law applicable to actions originally filed in Vermont. The court noted that the most recent case in which the Vermont Supreme Court had applied the
lex loci delicti
rule was a 1961 ruling, decided before the Restatement, Second and some 14 years before the
Boston
court was presented with the issue.
Nonetheless, the
Boston
court was not as fortunate as is this Court to have before it a recent decision of the transferor court discussing which state’s choice of law rules would apply in an aviation case.
Baltimore Football Club, Inc. v. Lockheed Corp.,
Although the
Baltimore Football
court’s analysis of Georgia choice of law principles might be considered dicta inasmuch as that case had been transferred from a Wisconsin federal court on the defendant’s motion and therefore was necessarily governed by the laws of that state, it nonetheless persuades this Court that it would be inappropriate at this time to rule that
lex loci delicti
is no longer the rule in Georgia tort actions. Indeed, the precedents which guided the
Ryder Truck
court toward departing from
lex loci
in that contract case were in existence at the time the
Baltimore Football
case was
This does not answer the entire question of what law should govern the action transferred here from the Georgia federal court. As noted in a portion of
Baltimore Football
quoted above, Georgia will not follow foreign laws in conflict with its own policy. Unlike the District of Columbia, Georgia has a comparative fault rule for contribution among tortfeasors. Ga.Code Ann. § 105-2011 (1968);
Greyhound Lines, Inc. v. Cobb County, Ga.,
C. Maryland
In determining what law should govern actions transferred from the Maryland federal court, this Court must attempt to determine what the highest Maryland state court would hold were that court faced with the issues present in the instant action.
Sherby v. Weather Brothers Transfer Co.,
The most recent statement of Maryland’s highest court on the issue of choice of law principles was in 1975 when the Court of Appeals of Maryland noted that “the rule of
lex loci delictus
is applicable in tort actions brought in Maryland.”
Frericks v. General Motors Corp.,
White
v.
King,
Unlike the courts of Virginia and Georgia, the Maryland court left the door open to adopting the modern approach at an appropriate time. Citing
White v. King,
Accordingly, the fact that the Maryland Court of Special Appeals, considering White v. King, believed itself unfettered to perform an analysis of the states’ interests in the litigation strongly suggests that the rule of lex loci delicti in tort actions, questioned by the highest court of Maryland as early as 1966, no longer has vitality in that state and that the Court of Appeals of Maryland would not apply it were the instant matters now before it. Therefore, the law governing any action transferred to this Court from Maryland shall be the same as the relevant law governing those other actions subject to the analysis in Part I of this Memorandum Opinion.
An Order consistent with the foregoing accompanies this Memorandum Opinion.
ORDER
Consistent with the Memorandum Opinion issued in this proceeding this date, the following principles shall govern the consolidated trial on liability issues to commence March 31, 1983:
1. With respect to actions originally filed in the District of Columbia, the States of Illinois, Maryland, and Texas, and the Commonwealths of Massachusetts and Pennsylvania, the law of the District of Columbia shall govern the issues of (a) negligence of any party, (b) products liability of defendant Boeing, and (c) liability of all defendants for punitive damages. With respect to these actions the law of the States of Florida, Texas, and Washington shall govern apportionment of liability or contribution among defendants.
2. With respect to actions originally filed in federal or state courts in the Commonwealth of Virginia, the law of the District of Columbia shall govern all issues.
3. With respect to actions originally filed in federal or state courts in the State of Georgia, the law of the District of Columbia shall govern all issues except apportionment of liability or contribution among defendants, which issue shall be controlled by the law of the State of Georgia.
SO ORDERED.
Notes
. All actions arising from the air crash that were filed in other United States District
After discovery was substantially under way, the Court ordered, sua sponte, that all actions transferred for discovery by the Judicial Panel be transferred pursuant to Rule 11(b) of the Rules of Procedure of the Panel and 28 U.S.C. § 1404(a) for purposes of trial on all liability issues. Order of December 6, 1982. The Court also consolidated all actions, except for those of plaintiffs claiming through victims of the crash who were Air Florida’s crew members, for a single trial on liability issues to commence March 31, 1983. The Plaintiffs’ Steering Committee, as previously constituted, was appointed to conduct the plaintiffs’ case at trial. The “crew member plaintiffs,” who, unlike all the other plaintiffs, did not sue Air Florida, have moved (through the appointed Crew Plaintiffs’ Coordinating Counsel) to transfer their actions back to their transferor court, in the Southern District of Florida. That motion has been ordered held in abeyance until 60 days after the close of discovery. Id.
There is also before this Court a claim by the District of Columbia for property damage and for rescue and clean-up expenses, Civil Action No. 82-2506.
. See note 22, infra.
. Union Carbide, the manufacturer of the ethylene glycol deicing solution applied to the plane’s wings by the American Airlines crew, and United Technologies, the manufacturer of the two Pratt & Whitney engines on the 737, have at times been defendants in some of the cases herein, but have been voluntarily dismissed from all cases. Until very recently, the United States of America was a defendant in all cases either through complaints by plaintiffs or third-party actions by Air Florida, but it since has been dismissed in all actions. The complaints and third-party complaints were premised upon the fact that Federal Aviation Administration employees provided air traffic control services to National Airport (which is owned by the federal government). The United States admitted no liability for the crash nor made any financial contribution in the course of obtaining dismissals from the other parties.
. For simplicity, references to “states” or “a state” in this Memorandum Opinion include the District of Columbia.
. Defendant Boeing argues that the choice of law rules of the District of Columbia should apply to certain cases originally filed in other states for the reason that the plaintiffs in those cases sought transfer to this district. While the doctrine of
Van Dusen v. Barrack
provides that an action transferred from the federal district court to another pursuant to 28 U.S.C. § 1404(a) generally is governed by the substantive law of the transferor court, it has been suggested that when such a transfer is made upon motion of a plaintiff, that doctrine does not apply and the transferee court’s choice of law rules should control.
Carson v. U-Haul Co.,
The courts generally have not followed the suggestion of Wright, Miller, and Cooper.
See, e.g., In Re Richardson-Merrell, Inc.,
Moreover, the theory of Wright,
et al.
has been criticized (see Note, Choice of Law in Federal Courts after Transfer of Venue, 63 Cornell L.Rev. 149, 154-59 (1977)), and the Sixth Circuit apparently has abandoned it.
Martin v. Stokes,
.
Evra Corp. v. Swiss Bank Corp.,
. Section 145 of the Restatement, Second provides:
(1) The rights and liabilities of the parties with respect to an issue in tort are determined by the local law of the state which, with respect to that issue, has the most significant relationship to the occurrence and the parties under the principles stated in § 6.
(2) Contacts to be taken into account in applying the principles of § 6 to determine the law applicable to an issue include:
(a) the place where the injury occurred.
(b) the place where the conduct causing the injury occurred.
(c) the domicil, residence, nationality, place of incorporation and place of business of the parties, and
(d) the place where the relationship, if any, between the parties is centered.
These contacts are to be evaluated according to their relative importance with respect to the particular issue.
. Contacts serve only as one means to ascertain the relevance of the policies of a state.
Saigon,
. Section 6 of the Restatement, Second of the Law of Conflict of Laws provides:
(1) A court, subject to constitutional restrictions, will follow a statutory directive of its own state on choice of law.
(2) When there is no such directive, the factors relevant to the choice of the applicable rule of law include
(a) the needs of the interstate and international systems,
(b) the relevant policies of the forum,
(c) the relevant policies of other interested states and the relative interests of those states in the determination of the particular issue,
(d) the protection of justified expectations,
(e) the basic policies underlying the particular field of law,
(f) certainty, predictability and uniformity of result, and
(g) ease in the determination and application of the law to be applied.
The importance of the factors listed in subsection (2) varies from field to field. For example, the “protection of justified expectations,” while of substantial importance in a contract case, is a rather insignificant factor in a tort action, inasmuch as persons who cause injury (notably those committing unintentional torts) usually act without thinking about what law governs the legal consequences of such conduct. See Restatement (Second) of Conflict of Laws § 145, comment c.
. In each of the conceivably interested states the elements of a negligence action are (1) a standard of care due to the plaintiff and a duty on the defendant’s part to exercise it, (2) a breach of that duty, (3) a proximate causal connection between that breach and the injury complained of, and (4) actual harm or damage.
Hassan v. Hartford Insurance Group,
When the laws of the various jurisdictions are not in conflict, for reasons of judicial efficiency the law of the forum may be applied. A strict application of this rule would require the Court to refer to several perhaps differently articulated but essentially identical theories of law inasmuch as the various individual actions were filed in a number of forums. Because of the inevitable peculiarities of the multidistrict proceeding, the negligence law to which this Court shall refer is the law of the transferee forum, the District of Columbia.
. An allegation that there were defects in an aircraft encompasses an allegation that there were defects in its manuals.
Leachman v. Beech Aircraft Corp.,
. The 737 was designed, built, certified, and delivered in Washington State. See Purvis affidavit, Exh. B to Boeing’s memorandum in opposition to Air Florida’s motion, filed Nov. 5, 1982.
. Despite National Airport’s location on the Virginia side of the Potomac, the District of Columbia is more meaningfully considered the site of departure for the purposes of the analysis here. A literal application of the Reese approach conceivably could mean that the “place of departure” interest belongs to the Commonwealth of Virginia, on whose side of the Potomac River Washington National Airport lies. However, the precise physical location of National Airport does not answer the question of where the parties’ relationship, with respect to this issue, is centered. The passengers on Flight 90 contracted for passage from Washington, D.C. to Florida. Flight 90, like all flights bound from Washington National Airport, was advertised and designated as a departure from Washington, D.C. Washington National Airport is the airport used by the vast majority of people traveling to or from Washington, D.C. by air.
Compare, e.g., Bernhard v. Harrah’s Club,
For these reasons, inter alia, the Court finds that the District of Columbia is appropriately considered the place of Flight 90’s departure under the Reese approach and as that concerns section 145 of the Restatement, Second, of Conflict of Laws.
. This is not to say that the Commonwealth of Virginia does not have an interest in the safe condition and operation of planes at National Airport. On the contrary, the circumstances of the airport create among the District of Columbia and Virginia a concurrent interest in this and many related issues. On the facts of this case, however, since the effect of the accident was felt to a much greater extent by the District of Columbia, the District’s interests necessarily will be greater than Virginia’s.
. The special case of the “bridge plaintiffs” is also addressed by Professor Reese. In actions by such third persons against an aircraft manufacturer, the candidate laws for governing the liability issue are those of: (1) the place of manufacture or design, (2) the manufacturer’s principal place of business, and (3) the place of injury. Reese, Airplane Accidents, supra, at 1320. This third choice corresponds not only to the identical “contact” in the Restatement, Second, but, like the departure and destination points in the passenger actions, to the Restatement alternative of the place where the parties’ relationship is centered as well. “[I]t is the only place that is certain to have a contact with both the producer and the plaintiff. Id. In this case, of course, that place is Washington, D.C.
. The Court of Appeals observed:
“First, aircraft manuals are required by law to be in the plane, 14 C.F.R. § 91.31(b) (1982), so they are as much a part of the plane as if they were bolted to it. Second, the duty to manufacture a plane free of defects ... includes the duty to provide warnings and manuals that are also free of defects. Under products liability law, the plane’s flight characterisiles may be unreasonably dangerous and give rise to liability unless accompanied by warnings as to the dangers .... Thus, in certain circumstances, an allegation that an aircraft is defective may mean that the warnings that were supplied were inadequate or defective.”
Leachman v. Beech Aircraft Corp.,
at 1306.
See also Martinez v. Dixie Carriers, Inc.,
. The section of the Act relevant to the instant inquiry provides:
7.72.030 Liability of manufacturers. (1) A product manufacturer is subject to liability to a claimant if the claimant’s harm was proximately caused by the negligence of the manufacturer in that the product was not reasonably safe as designed or not reasonably safe because adequate warnings or instructions were not provided.
(a) A product is not reasonably safe as designed, if, at the time of manufacture, the likelihood that the product would cause the claimant’s harm or similar harms, and the seriousness of those harms, outweighed the burden on
(b) A product is not reasonably safe because adequate warnings or instructions were not provided with the product, if, at the time of manufacture, the likelihood that the product would cause the claimant’s harm or similar harms, and the seriousness of those harms, rendered the warnings or instructions of the manufacturer inadequate and the manufacturer could have provided the warnings or instructions which the claimant alleges would have been adequate.
(c) A product is not reasonably safe because adequate warnings or instructions were not provided after the product was manufactured where a manufacturer learned or where a reasonably prudent manufacturer should have learned about a danger connected with the product after it was manufactured. In such a case, the manufacturer is under a duty to act with regard to issuing warnings or instructions concerning the danger in the manner that a reasonably prudent manufacturer would act in the same or similar circumstances. This duty is satisfied if the manufacturer exercises reasonable care to inform product users.
(2) A product manufacturer is subject to strict liability to a claimant if the claimant’s harm was proximately caused by the fact that the product was not reasonably safe in construction or not reasonably safe because it did not conform to the manufacturer’s express warranty or to the implied warranties under Title 62A RCW.
(a) A product is not reasonably safe in construction if, when the product left the control of the manufacturer, the product deviated in some material way from the design specifications or performance standards of the manufacturer, or deviated in some material way from otherwise identical units of the same product line.
(b) A product does not conform to the express warranty of the manufacturer if it is made part of the basis of the bargain and relates to a material fact or facts concerning the product and the express warranty proved to be untrue.
(c) Whether or not a product conforms to an implied warranty created under Title 62A RCW shall be determined under that title.
(3) In determining whether a product was not reasonably safe under this section, the trier of fact shall consider whether the product was unsafe to an extent beyond that which would be contemplated by the ordinary consumer.
. Texas had adopted the strict liability doctrine of section 402A of the Second Restatement of Torts. No Utah state court had addressed the issue, but the Tenth Circuit had applied the doctrine on the theory that Utah would were it given the opportunity. Virginia’s legislature had eliminated the privity requirement from warranty actions; judicial decisions resulting from that enactment had created a doctrine “identical” to strict liability. Cunningham v. Textron, Inc., slip op. at 6.
. This case is distinguishable from
Reyno v. Piper Aircraft Co.,
where the Third Circuit found that an asserted conflict between one jurisdiction’s law of strict liability and another’s of negligence was actually a false conflict.
Reyno
involved an air crash in Scotland of an aircraft manufactured in Pennsylvania. While Pennsylvania had a strict products liability law, Scottish law employed a negligence standard. The court noted that strict liability and negligence serve the same policies of deterrence and compensation and differ only in where they strike the balance in searching for optimal deterrence of harmful conduct and allocating the costs of injuries among producers and consumers, negligence being more producer-protective and strict liability being more consumer-protective.
. Air Florida and American likewise assert that the “fortuity” of the crash reduces the District of Columbia’s interests in issues concerning those defendants. See part I-D, infra.
. According to a National Transportation Safety Board diagram appended by American Airlines to its November 15, 1982 memorandum as Exhibit A, Flight 90 began its departure on a runway at National Airport within the Commonwealth of Virginia. It was airborne by the time it passed over the land’s end at the runway’s terminus, at which point it crossed over an inlet of the Potomac River, which is in the District of Columbia. After this brief flight over District of Columbia waters, its path took it over a point where Virginia land again juts out into the river. Further on, the waterline evidently was just below the aircraft’s route; as such, Flight 90 conceivably could have crossed the state line several times during this portion of the flight. Finally it hit the 14th Street Bridge at a point over the river and therefore in the District of Columbia, but a matter of feet away from Virginia.
The question of whether the relevant events happened in the District of Columbia or Virginia was a troubling matter to resolve in another case involving a fatal crash of a commercial passenger plane at or near Washington National Airport,
Union Trust Co. of District of Columbia v. United States,
In that crash, the DC-4 was cut in two, its forward portion falling in the Potomac and the after portion on the Virginia shore.
Eastern Air Lines Inc. v. Union Trust Co.,
. D.C.Code § l-101(a) (Michie 1981) provides that “The District of Columbia is that portion of the territory of the United States ceded by the State of Maryland for the permanent seat of government of the United States, including the river Potomac in its course through the District, and the islands therein.” The reach of Maryland’s cession on January 24, 1791 to the District of Columbia was equivalent to that of the 1632 charter of Charles I granting Maryland to Lord Baltimore; to “the farther bank of the said [Potomac] river and following it.”
Smoot Sand & Gravel Corp. v. Washington Airport, Inc.,
. See note 13, supra.
. The various district court cases involving “fortuitous crashes” and cited above turned to section 145 of the Restatement, Second for the contact to consider. They did not, however, make reference to sections 146 or 175, which are the special cases for personal injury and wrongful death actions, respectively. Each of these sections provides that the local law of the state where the injury occurred presumptively governs the issues of liability, unless another state has a more significant relationship to the event and the parties under the considerations of section 6.
. Judicial notice may be taken of these facts.
See Chicago,
. The District of Columbia has filed a claim against Air Florida to recover such expenses. Boeing is a third-party defendant in this case. District of Columbia v. Air Florida, Civil Action No. 82-2506.
.
Early Settlers Ins. Co. v. Schweid,
. Fla.Stat.Ann. § 768.31(3)(a) (West Supp. 1981); Wash.Rev.Code § 4.22.040(1) (West Supp.1981); Tex.Stat.Ann. art. 2212a § 2 (Vernon Supp. 1981).
.
Runyon v. District of Columbia,
.
Martin v. United Security Services, Inc.,
. Under the Virginia Death by Wrongful Act law as it existed on January 13, 1982, punitive damages were not available. Va.Code §§ 8.01-50, -52 (1967);
Wilson v. Whittaker,
. As noted above, the Washington Supreme Court has held that “the doctrine of punitive damages is unsound in principle and [punitive damages] cannot be recovered in this jurisdiction, absent statutory authorization.”
Maki v. Aluminum Building Products,
.
E.g., Focht v. Rabada,
Mass.Ann.Laws ch. 229 § 2 (Michie/Law Coop. Cum.Supp.1982).
. Tex. Const., art. 16 § 26; Tex.Stat.Ann., art. 4673.
. The Court wishes to emphasize its displeasure -with counsel’s misrepresentation of the legal conclusions reached by the United States District Court for the District of Massachusetts. For counsel to “[k]nowingly make a false statement of law or fact” is a violation of the Code of Professional Responsibility and will not be tolerated. Model Code of Professional Responsibility DR 7-102(a)(5); Rules of the Supreme Judicial Court of Massachusetts,Mass.-(1981). The negligent making of a false statement of law or fact is also reprehensible. It should be noted that counsel for these plaintiffs moved for leave to file their brief and to present oral argument only several days before the hearing, after hundreds of pages of briefing had been filed by the other parties over the course of a number of weeks. Every court should be able to rely upon the accuracy of the statements made by members of the Bar — and indeed, given the limited resources of a judge’s staff, must be able to do so without hesitation.
Vargas v. McNamara,
. To the extent that it can be determined where the relationship between the parties is centered, that place is the District of Columbia. See note 13, supra.
. In a case where a Texas-domicile defendant corporation allegedly engaged in conduct in Illinois also causing injury in Illinois, the Fifth Circuit decided that since the tort remedy’s primary purpose was to deter or punish, Illinois, as the state where the conduct took place, was the “state of dominant interest and thus that of most significant relationship.”
Houston North Hospital Properties v. Telco Leasing,
. This is consistent with the Reese approach, which suggests that the three potentially interested jurisdictions in an action by a passenger for punitive damages against a carrier are (1) the carrier’s place of business, (2) the place where the plane was maintained, in a case where the injury resulted from a failure to inspect or repair the plane, and (3) the place of navigational error, in a case where the injury resulted from such error. Reese, Airplane Accidents, supra, at 1317-18. As discussed above, Florida and Texas have a lessened interest in this issue because the allegedly wrongful conduct took place outside of their borders. Site (2) applies to the allegations against American, and refers to National Airport. Site (3) applies to Air Florida, and similarly refers to National Airport. As the District of Columbia and Virginia together are concerned with the regulation of conduct at National Airport they both therefore have an interest in the application of their laws. Between them, as injury was felt primarily in the District of Columbia, the District has the more significant relationship to the issue.
.
Pittway
was an action against a manufacturer for cost of repairing an airplane’s cracked mainframe and for economic loss. There was no crash in this case, but the owner was forced to put its plane out of service when the crack was discovered while the plane was on the ground in Wisconsin. As such, the location of the aircraft at the time the crack occurred was indeterminable.
Even if the court were able to fix the site of injury, however, the court stated that it “could not agree that it is the state with the most significant relationship to the litigation.”
Id.
at 528. Noting that the Restatement, Second, of Conflict of Laws provides, at § 145, subsec. 2, comment (b), that where the place of injury is indeterminate or fortuitous, the law of the place of misconduct should be given greater weight, the court concluded that the law of Georgia, where the plane was built, should control.
. Section 175 states that the law of the site of injury determines the “rights and liabilities of the parties” unless some other state has a more significant relationship under the principles of section 6 to the occurrence and the parties. However, it concerns the law generally to be applied in wrongful death actions, and does not specifically refer to the question of liability for punitive damages. Indeed, section 175, comment (f), which discusses the case where conduct and injury occur in different states, suggests that the injury state’s law is most likely to be applied where the decedent had a settled relationship to that state
{e.g.,
was a domiciliary or resident thereof). This suggests a concern with compensation, which is not a factor in the issue of imposing punitive damages.
Compare
Reese,
Airplane Accidents, supra,
at 1313, wherein the author suggests that the two jurisdictions which properly have an interest in the imposition of punitive damages in a case by a passenger against a manufacturer are (1) the place of manufacture or design, and (2) the manufacturer’s principal place of business. Professor Reese notes that while the state where the crash occurred “could also be said to have an interest in deterring the manufacture of defective planes .. . [it] might, however, have no substantial relation to either the producer or the passenger.”
Id.
at 1314. This suggests that the Reese formula would include the state of injury in this list in a case where these parties in fact have a connection with that jurisdiction. In a third person’s (bridge plaintiff’s) action against a manufacturer, the
. Ironically, in neither
Lay
nor
Craven
was the law of the
loci delicti
applied, because inasmuch as the laws of those states (Alabama and South Carolina, respectively) were not pleaded specifically, the common law as interpreted by the courts of Georgia was to be followed.
Lay,
. In two recent decisions, the United States District Court for the District of Maryland has stated that
lex loci delicti
is Maryland’s choice of law rule in tort cases.
Grodinsky v. Fairchild Industries, Inc.,