This appeal arises out of a products liability action against Petitioner, Miller Metal Fabrication, Inc., and Country Fresh Mushroom Co. (“Country Fresh”) in which the Circuit Court for Caroline County granted summary judgment in Petitioner’s favor.
1
Because, however, the order granting summary
judgment was not a
I.
Petitioner custom manufactures machinery, including food processing machinery. 2 The machine at issue here is a brine-filling machine (“the Machine”) commissioned by Country Fresh to be fabricated according to a design for a machine previously manufactured by a defunct company named A.K. Robins. Country Fresh commissioned the Machine for use in a mushroom processing plant assembly line at a Hanover Foods Corporation (“Hanover”) facility in Ridgely, Maryland. 3 The Machine was installed in Hanover’s mushroom processing assembly line to fill buckets of mushrooms with brine.
During the time period relevant to this case, three employees filled buckets of various sizes with mushrooms and placed them on a conveyor belt. The buckets then moved down the belt to the Machine, at which point the Machine’s sensors detected the buckets and engaged a carriage system, five nozzles attached to a beam located above the conveyor belt. Once the buckets stopped beneath the carriage system, it would descend until the nozzles were inside the buckets and fill them with brine. After filling the buckets, the carriage system would ascend to the default position above the convey- or belt, and the mushroom buckets continued down the assembly line.
Ms. Wall, a quality control coordinator for Hanover, tested samples of mushroom brine by taking a full bucket off of the belt after the bucket moved out from under the Machine. 4 On May 1, 2003, Ms. Wall was resting her hand on a table behind the Machine, while waiting for it to fill some mushroom buckets so she could take a sample, when the carriage system descended unexpectedly. Before Ms. Wall could remove her hand, the carriage system lowered onto her hand and pulled it inside the carriage system up to her mid forearm. Upon seeing the incident, other Hanover employees ran to Ms. Wall’s aid, but they could not lift the carriage system off of her arm. Despite unplugging and plugging back in the Machine, Ms. Wall’s armed was trapped for ten minutes before the carriage system ascended and released her arm. Ms. Wall suffered fractures to her hand and wrist, lacerations, and scarring.
The Lawsuit
On April 13, 2006, Respondents filed suit against Petitioner and Country Fresh in the Circuit Court for Caroline County. The complaint was comprised of multiple counts, sounding in negligence and strict liability, for design defect, manufacturing defect, failure to warn, breach of an express warranty, breach of implied warranties of merchantability and fitness for a
In the memorandum supporting the motion, Petitioner argued that the defective design counts failed because the contractor’s defense insulated Petitioner from liability. 5 Peti tioner argued that the failure to warn counts failed because any risks associated with the Machine were “open and obvious” and because Petitioner supplied the Machine to a “sophisticated user,” 6 which shifted the duty to warn from Petitioner to Hanover. Petitioner further argued that the breach of express warranty and manufacturing defect counts failed because Respondents had provided no evidence that the Machine deviated from the design plans provided and, likewise, provided no evidence of any express statements regarding the Machine’s fitness for the “use in the manner in which it was being used and operated.” Additionally, Petitioner argued that the count alleging breach of an implied warranty of merchantability must fail because Petitioner fabricated the Machine according to the designs provided by Hanover and thus could not have impliedly warranted for the safety or efficacy of the Machine. At most, Petitioner argued that it could have impliedly warranted “that the [M]achine would be constructed in a workmanlike manner in accordance with the specifications it was provided[.]” Petitioner argued that the count alleging breach of an implied warranty for a particular purpose failed because Respondents failed to establish any evidence that Hanover was relying on Petitioner’s expertise and Petitioner merely constructed the Machine according to the design provided by Hanover, an experienced and knowledgeable buyer. After a hearing on September 27, 2007, the Circuit Court issued an order granting Petitioner’s summary judgment motion.
On October 19, 2007, Respondents filed with the Circuit Court a motion for entry of a final judgment pursuant to Maryland Rule 2-602(b).
7
The Rule permits a trial
On October 24, 2007, without the benefit of a hearing, the Circuit Court, “having determined that there is no just reason for delay,” granted Respondents’ motion. Consequently, the court entered a final judgment based on the order granting summary judgment in Petitioner’s favor. The Circuit Court order consisted of a single page and provided no explanation for the court’s determination that “there was no just reason for delay.”
On November 19, 2007, Respondents timely noted an appeal to the Court of Special Appeals. On appeal, Respondents argued that the Circuit Court had erred in granting summary judgment in Petitioner’s favor because a genuine dispute of material fact existed as to each count: defective design, manufacturing defect, failure to warn, breach of express warranty, breach of implied warranty of merchantability, and breach of implied warranty of fitness for a particular purpose. On September 3, 2009, the Court of Special Appeals, in an unreported opinion, affirmed in part and vacated in part the judgment of the Circuit Court.
The Court of Special Appeals at the outset noted that, even though Respondents’ claim was not settled as to all parties when the Circuit Court granted summary judgment, Respondents’ appeal was proper because, pursuant to Rule 2-602(b), the Circuit Court had entered a final judgment with respect to Petitioner. The Court of Special Appeals did not address the propriety of the Circuit Court’s Rule 2-602(b) certification. Turning to the merits of Respondents’ appeal, the court held that, even assuming
arguendo
that the contractor’s defense would insulate from liability a custom manufacturer that built a product to customer specifications, a factual dispute existed as to whether Petitioner contributed to the Machine’s design and, therefore, the Circuit Court erred in granting summary judgment on the design defect counts. Because, however, Respondents “failed to meet their burden of producing evidence of [Petitioner’s] specifications and the Machine’s non-conformance,” the Court of Special Appeals upheld the Circuit Court’s grant of summary judgment on the manufacturing defect counts. As to the counts alleging failure to warn, the
court held that the sophisticated user defense shielded Petitioner from liability because Hanover was a “ ‘knowledgeable industrial user’ that had ‘reason to know of any dangerous
The court affirmed the Circuit Court’s grant of summary judgment on the breach of express warranty count, concluding that Respondents failed to present any evidence that Petitioner was aware that employees would obtain brine samples and therefore “could not have expressly warranted the Machine’s safety for this use.” The Court of Special Appeals reversed, however, the Circuit Court’s grant of summary judgment with respect to the count alleging breach of implied warranty of merchantability. Construing the facts in the light most favorable to Respondents, the court concluded that Respondents had produced sufficient evidence to create a question of fact as to whether the Machine would “ ‘[pjass without objection in the trade under the contract description[.]’ ” (Quoting Md. Code (1999 RepLVol., 2005 Supp.), § 2-314(l)(a) of the Commercial Law Article). Finally, discerning no evidence in the record that Petitioner knew that Hanover employees would obtain brine samples near the Machine, the court affirmed the Circuit Court’s grant of summary judgment on the count alleging breach of implied warranty for a particular purpose.
Consequently, on October 20, 2009, Petitioner filed with this Court a petition for writ of certiorari, and on November 4, 2009, Respondents filed a conditional cross-petition for writ of certiorari. We granted both petitions.
Miller Metal Fabrication, Inc. v. Wall,
It is a “long-standing bedrock rule of appellate jurisdiction, practice, and procedure that, unless otherwise provided by law, the right to seek appellate review in this Court or the Court of Special Appeals ordinarily must await the entry
of a final judgment that disposes of all claims against all parties.”
Silbersack v. AC & S, Inc.,
Absent an “express determination that there is no just reason for delay,” an order directing the entry of a final judgment pursuant to Rule 2-602(b) is invalid.
See
Rule 2-602(b);
Blucher v. Ekstrom,
The discretionary authority vested in the trial courts by Rule 2-602 reflects their role as the “dispatcher” of final orders.
Mortimer,
To assist appellate review of trial court decisions directing the entry of a final judgment pursuant to Rule 2-602, the Court of Special Appeals has strongly encouraged trial courts to set forth, in addition to the magic words “no just reason for delay,” the reasons supporting such a determination.
Murphy v. Steele Software Sys. Corp.,
Even though Rule 2-602 does not expressly require trial courts to set forth an explanation of the basis for the determination that “there is no just reason for delay,” such express findings ensure “meaningful appellate review.”
Canterbury,
A majority of the federal Courts of Appeals have recognized that appellate review of a trial court’s determination of “no just reason for delay” is hobbled when the trial court has not provided an explanation of the factors it considered to reach that determination.
See Bldg. Indus. Ass’n v. Babbitt,
Because the certification power enables trial courts to grant an exception to a closely guarded condition to appellate jurisdiction, effective appellate review of certification decisions is essential. Encouraging courts to articulate the reasons supporting certification better equips appellate courts to perform this task.
See, e.g., Babbitt,
Despite the benefits of mandating that all certification orders set forth the basis for the trial court’s determination of “no just reason for delay,” the federal courts have not uniformly interpreted Rule 54(b) to impose that strict requirement.
Compare Anthuis,
As under federal law, Maryland recognizes a strong presumption against piecemeal appeals because, “ ‘beyond being inefficient and costly, [piecemeal appeals] can create significant delays, hardship, and procedural problems.’ ”
Silbersack,
Thus, we take this opportunity to eliminate any ambiguity and declare expressly the appellate standard of review of certification pursuant to Rule 2-602(b). We adopt the standard applied by a number of federal courts as expressed by the Fourth Circuit in
Braswell:
When a trial court, after expressly finding “no just reason for delay,” directs the entry of a final judgment pursuant to Rule 2-602(b), but fails to articulate in the order or on the record the “findings or reasoning in support thereof, the deference normally accorded such a certification is nullified.”
III.
As mentioned, the Circuit Court, pursuant to Rule 2-602(b), certified as a final judgment the order granting summary judgment in Petitioner’s favor. The order reflecting that decision was entered without the benefit of a hearing, consisted of a single page, and provided no explanation for the court’s determination that “there was no just reason for delay.” We have established, however, that a trial court’s failure to articulate the reasons supporting its finding of “no just reason for delay” is not fatal to the corresponding appeal
if the record clearly demonstrates “the existence of any hardship or unfairness” sufficient to “justify discretionary departure from the usual rule establishing the time for appeal.”
Diener,
Courts commonly find “no just reason for delay” when delaying an appeal will have a significant adverse economic impact on the party requesting certification.
See, e.g., Curtiss-Wright Corp. v. General Electric Co.,
[t]he appellate court may be faced with having the same issues presented to it multiple times; the parties may be forced to assemble records, file briefs and records extracts, and prepare and appear for oral argument on multiple occasions; resolution of the claims remaining in the trial court may be delayed while the partial appeal proceeds, to the detriment of one or more parties and the orderly operation of the trial court; and partial rulings by the appellate court may do more to confuse than clarify the unresolved issues.
Lead,
Our review of the record does not reveal “hardship or unfairness” sufficient to “justify discretionary departure from the usual rule establishing the time for appeal.”
Diener,
IV.
Because the record does not support the Circuit Court’s finding of “no just reason for delay,” we conclude that the
Circuit
JUDGMENT OF THE COURT OF SPECIAL APPEALS VACATED; CASE REMANDED TO THAT COURT WITH INSTRUCTIONS TO VACATE THE CERTIFICATION ORDER AND REMAND TO THE CIRCUIT COURT FOR CAROLINE COUNTY FOR FURTHER PROCEEDINGS. COSTS IN THIS COURT AND IN THE COURT OF SPECIAL APPEALS TO BE DIVIDED 50% TO PETITIONER/CROSS-RESPONDENT AND 50% TO THE RESPONDENTS/CROSS-PETITIONERS.
Notes
. Petitioner is also a cross-respondent because we granted the conditional cross-petition of Respondents/Cross-Petitioners Dawn and Kevin Wall. For ease of reference, we refer to Miller Metal as Petitioner and the Walls as Respondents. For reasons to be explained later, Country Fresh Mushroom Co. is not a party to this appeal.
. Because we do not reach the merits of the issues before us, we recount only the most relevant facts and circumstances.
See Boswell v. Boswell,
. Hanover processes and packages mushrooms for Country Fresh at the Ridgely facility.
. Respondent did not file a complaint against Hanover because the Workers' Compensation Act, Md.Code (1999 Repl.Vol., 2005 Supp.), § 9-509 of the Labor & Employment Article, limits Respondent’s recovery from her employer to the compensation provided pursuant to that act.
. The contractor’s defense shields a manufacturer from liability for injuries caused by a product fabricated according to specifications or
plans provided by the purchaser.
Housand v. Bra-Con Indus., Inc.,
. Under the sophisticated user doctrine a manufacturer is insulated from liability for injuries allegedly arising out of the manufacturer’s failure to warn if the purchaser was a "knowledgeable industrial user who has reason to know of any dangerous condition which might be inherent in the product.”
Housand,
. Rule 2-602, "Judgments not disposing of entire action,” provides:
(a) Generally. Except as provided in section (b) of this Rule, an order or other form of decision, however designated, that adjudicates fewer than all of the claims in an action (whether raised by original claim, counterclaim, cross-claim, or third-party claim), or that adjudicates less than an entire claim, or that adjudicates the rights and liabilities of fewer than all the parties to the action:
(1) is not a final judgment;
(2) does not terminate the action as to any of the claims or any of the parties; and
(3) is subject to revision at any time before the entry of a judgment that adjudicates all of the claims by and against all of the parties.
(b) When allowed. If the court expressly determines in a written order that there is no just reason for delay, it may direct in the order the entry of a final judgment:
(1) as to one or more but fewer than all of the claims or parties; or
(2) pursuant to Rule 2-501(f)(3), for some but less than all of the amount requested in a claim seeking money relief only.
. The parties presented the following six issues for our consideration:
1. When a custom builder manufactures a machine according to designs, plans and specifications provided by a customer, can it subsequently be held liable for any alleged design defects in the machine, or is it shielded from liability by virtue of the contractor’s defense?
2. Can a custom builder rely upon the contractor’s defense if it makes minor changes to the design provided to it by substituting parts and materials required by the design that are no longer available?
3. Can a custom builder rely upon the contractor’s defense if it makes minor changes to the design provided to it by substituting modern parts and materials that did not exist when the designs were first drafted when there is no evidence or expert testimony that any of the substituted parts or materials were a proximate cause of the accident or injuries?
4. Does the sophisticated user defense extend to claims for breach of implied warranty of merchantability, and if so, did the Court of Special Appeals err when it only applied the sophisticated user defense to Ms. Wall’s strict product liability and negligence claims based upon an alleged failure to warn?
5. To survive summary judgment on a breach of implied warranty of merchantability claim, must a plaintiff come forward with admissible evidence in the form of expert testimony as to an alleged defect that is the cause of any alleged malfunction?
Whether the Court of Special Appeals erred in affirming the judgment of the Circuit Court for Caroline County that there was no dispute of material fact regarding Miller Metal’s failure to warn of risks related to the operation of the Machine that would not be obvious to normal, reasonable users.
. The propriety of the Circuit Court's Rule 2-602(b) certification was not among the questions upon which we granted certiorari. We nevertheless do not hesitate to consider the propriety of that certification because, though the precise Rule 2-602(b) issue presented by this case does not implicate the lack of appellate jurisdiction, it implicates appellate court's exercise of its jurisdiction. We explain infra why the Court of Special Appeals should not have exercised appellate jurisdiction in this instance.
. The predecessor to Rule 2-602 was Maryland Rule 605 a. Because the former and current versions of the rule are not materially different, we do not distinguish between cases addressing the Rule's older and
newer versions.
See Mortimer,
. Our disposition of this appeal prevents our consideration of the opinion and judgment of the Court of Special Appeals and the parties’ respective arguments for and against the intermediate appellate court’s various holdings and supporting rationales. We note, however, that in light of this opinion the Circuit Court's order granting summary judgment is no longer a final judgment. The Circuit Court remains at liberty, as it sees fit, to revisit its summary judgment decision in further proceedings.
