Lead Opinion
OPINION
In this direct appeal, Monsanto Company challenges a product liability verdict entered against it, arising from the presence, throughout a Commonwealth building, of chemicals that it manufactured.
On June 16, 1994, a fire occurred on the sixth floor of the Transportation and Safety Building (the “T & S Building” or the “Building”), a twelve-story office tower that was located on the campus surrounding the state Capitol in Harrisburg. The Building housed, inter alia, offices of the Pennsylvania Department of Transportation (“PennDOT”), Public Utility Commission (the “PUC”), Emergency Management Agency (“PEMA”), and Department of State, with PennDOT being the principal occupant of office space. In the aftermath of the fire, the presence of polychlorinated biphenyls (“PCBs”), a class of synthetic chemicals, was detected on surfaces and in ambient air inside the Budding. Although in the weeks that followed Building occupants were permitted to return to all floors but the four that were most directly affected by the fire, the Commonwealth implemented ongoing, protective health and safety measures, including extensive monitoring of PCB levels throughout the structure. Ultimately, a decision was made to demolish the Building at least in part due to the presence of PCBs, and it was imploded in 1998 and replaced with a new office tower designated as the Keystone Building.
In 1996, the Pennsylvania Department of General Services (“DGS”), PennDOT, the PUC, PEMA, and the Department of State (collectively “Appellees”),
Monsanto unsuccessfully pursued summary judgment on various grounds,
On May 26, 2000, after the close of the evidence, Monsanto moved for a directed verdict. Monsanto’s motion was granted relative to Appellees’ claim for compensation for the loss of certain categories of personal property, but was denied in all other respects. The case was submitted to the jury solely on a strict liability theory.
In August of 2000, by a ten-to-two vote, the jury returned a $90 million verdict against Monsanto, without specification of the particular damages theories and/or claims that were accepted. Monsanto filed motions for post-trial relief and a mistrial. The latter request was based upon comments of the jury foreman during deliberations, in which he told other jurors that his brother suffered from cancer and that the foreman believed this was caused by Monsanto’s PCBs. The trial court denied the motions in a published opinion. See Commonwealth, DGS v. United States Mineral Products Co.,
Monsanto then filed the instant direct appeal, renewing several of the challenges raised in the trial court and further arguing that delay damages should not have begun to accrue until one year after it was served with the complaint. Appellees filed a cross-appeal, contending that the delay damages should have been assessed on the entire verdict rather than the reduced figure. This Court remanded the case to the trial court for the preparation of an opinion specifically addressing the juror misconduct issue, which had not been covered in the court’s original opinion.
By way of further background, several overarching themes run through the parties’ presentations. Monsanto, for its part, portrays the T & S Building as a maintenance-starved, asbestos-infested, fire-ravaged structure, which, independent of any involvement of PCBs, required enormous rehabilitative efforts and expenditures. Monsanto highlights the Commonwealth’s pre-fire failure to accede to repeated requests from Harrisburg officials to install a sprinkler system in the Building to bring it into compliance with the local fire safety code; the consequence of such failure in terms of prolonging the June-1994 fire; the impact of the fire in terms of generating the contamination by consuming, inter
Appellees, on the other hand, regard the verdict as a just con sequence of Monsanto’s manufacture and distribution of dangerous chemicals, which are classified as probable human carcinogens, have the tendency to bioaccumulate in the environment and in humans, and have been banned by Congress since 1976. Appellees acknowledge the role of the fire in terms of its leading to the discovery of the chemical contamination, but contend that Monsanto is liable nonetheless, since a fire is a foreseeable event. Moreover, Appellees highlight their presentation of evidence to the effect that PCBs used as a component of certain of the Building’s ductwork were spread throughout the structure through heating and ventilation over the course of its thirty-year life span via “off-gassing” or volitization and dispersal through the air system. Although Appellees acknowledge that occupied portions of the Building were managed in such a way as they remained safe during the period of reoccupancy, there was no question that PCB remediation was necessаry, and Appellees rely primarily on the anecdotal experience with cleaning efforts in the Building and other contaminated structures as suggesting that the extraordinary measures taken (including implosion and replacement) were essential to ensure a satisfactory result. Ap-pellees also take issue with Monsanto’s characterization of the condition of the Building as decrepit, asserting that most Building issues other than the PCB and asbestos contamination were capable of being addressed through manageable maintenance and repair efforts far short of what was required to remedy the PCB contamination. They maintain that they met their burden of proof with respect to each and every element of their product liability claim seeking compensation for property damage and argue that, under the guise of advancing legal claims, Monsanto truly seeks nothing more than for this Court to reweigh the evidence and inappropriately supplant the role of the jurors as fact finders.
In this landscape, Monsanto presents its challenge to the verdict within a framework of five categories of asserted error,
I. Replacement Cost Damages
As its lead issue, Monsanto contends that the trial court erred in submitting to the jury Appellees’ $135 million building replacement cost claim.
In Pennsylvania, the general measure of damаges for permanent harm to real property is the diminution in market value attributable to the conduct, product, or instrumentality giving rise to liability, and in situations in which the harm is reparable, damages are assessed according to the lesser of the cost of repair or the market value of the affected property. See Lobozzo v. Adam Eidemiller, Inc.,
[A]s value in the commercial sense is determined by the market demand for the thing valued, Sechrist v. Bowman,307 Pa. 301 ,161 A. 332 (1932), the application of such a damage formula to property in the public domain, such as a bridge forming a part of a highway system, cannot possibly fulfill its purpose of compensating the injured party for the actual loss sustained. The ‘value’ of such a bridge regardless of its age, condition and other circumstances cannot possibly be determined for want of any such value in the market place. Any attempt to so value it would be wholly speculative, the very pitfall to be avoided in proof of damages.
U.S. Mineral Products,
You have heard evidence of the costs incurred by the plaintiff to build the new Keystone Building as a replacement for the demolished Transportation & Safety Building. If you find that the T & S Building was a total loss, damages are to be measured either by its market value or its special value to the plaintiff, whichever is greater. The T & S Budding was operational, albeit it had inadequacies. Consequently, you may determine that it had a value to the plaintiff regardless of its market value. In order to recover replacement costs, plaintiff must prove, in addition to all of the things that I have already instructed you, on [sic] these additional elements[:]
[F]irst that PCBs could not have been cleaned up to a level safe for occupancy and, second, that the T & S Building was unique and totally incapable of commercial appraisal.
N.T., August 10, 2000 (morning), at 105-07.
Presently, Monsanto’s primary argument on this point is that the trial court’s authorization for Appellees to proceed on a $135-million replacement cost theory predicated on the Commonwealth’s construction of the new Keystone Building (described by Monsanto as state-of-the-art), constituted an unprecedented authorization of a windfall, particularly in light of the post-fire condition of the T & S Building independent of the PCB involvement. See Brief of Appellant at 26-34. Characterizations aside, we agree with Monsanto’s central contention in this regard.
In the first instance, to the extent that Crea accepts the principle that special-purpose property may be not be amenable to conventional market-valuation assessment, and therefore, utilization of some alternate methodology may be appropriate in determining due compensation for associated loss or destruction, it is consistent with the law of this and other jurisdictions to the effect that an injured plaintiff should not be deprived of fair recompense merely because there is some degree of uncertainty associated with the calculation of damages. See, e.g., Smail v. Flock,
There are decisions in other jurisdictions that reflect that, where replacement or reproduction costs are not wholly unreasonable relative to the pre-loss condition of the property, it may not be necessary to specifically account for depreciation in a special-purpose property case; this may be one way to read Crea; and we need not proceed further in this case to evaluate Crea’s correctness as applied to the facts that were presented to the intermediate appellate court in that case. Rather, we hold that Crea’s approach of foregoing an adjustment to replacement cost to account for depreciation cannot be fairly transported to the present setting involving the replacement of a thirty-year-old office tower in the condition of the T & S Building to a new, materially different, and substantially improved structure.
We do recognize the difficulty of quantifying depreciation in a situation in which there is little or no market for a property, since depreciation is conventionally understood in terms of the impact of factors such as wear and obsolescence on the price that prospective purchasers would be willing to pay. See supra note 7. Once the abstract figure of replacement or reproduction costs is presented as an indicator of value, however, we find it preferable to require consideration of an analogously abstract depreciation figure over simply disregarding (or permitting a jury to dis
In summary, while this Court has rejected fixed and formulaic rules when it is determined that they are not setting an appropriate, compensatory standard, see, e.g., Incollingo v. Ewing,
II. Strict Liability
In addition to the above, we find that Monsanto has identified a second fundamental defect in the verdict requiring, at a minimum, a new trial on both liability and damages. At trial, Monsanto maintained the position that the jurors should be admonished to distinguish between PCB contamination resulting from the June-1994 fire, and contamination resulting from ordinary use of the PCB-containing building materials. For example, Monsanto proposed the following jury instructions:
Under Pennsylvania law, a product is “defective” if it was unsafe for its intended use when it left the manufacturer’s control. The manufacturer of a product is not liable for damages caused by an abnormal use of the product.
Under Pennsylvania law, subjecting a product to a fire is an abnormal use, not an intended use, of a product. If you find that, without the fire, the products in question would not have made the T & S Building unsafe, then you cannot find that the products were defective for their intended use when sold.
An unintended use, even if foreseeable, will not render a product defective. In other words, the manufacturer will not be liable for damages resulting from an unintended use, even if that unintended use, as well as the danger inherent in such unintended use, was foreseeable. A product manufacturer is not liable for unsafe conditions caused by unintended uses of its product, no matter how foreseeable that unintended use may have been.
Proposed Jury Instructions of Defendant Monsanto Company, at 23, 26. Monsanto’s entreaty for the court to distinguish between the fire-related and other contamination, however, was rejected. Indeed, as reflected in the trial court’s opinion, the instructions given to the jurors explicitly or implicitly authorized them to evaluate the evidence to determine whether the fire could be considered to have been a reasonably foreseeable event against which Monsanto should have guarded. See U.S. Mineral Products,
This was error. As noted, the case was tried solely under a strict-liability theory. In such actions, this Court has held that a manufacturer can be deemed liable only for harm that occurs in connection with a product’s intended use by an intended user; the general rule is that there is no strict liability in Pennsylvania relative to non-intended uses even where foreseeable by a manufacturer. See Phillips v. Cricket Lighters,
We acknowledge that it is reasonably foreseeable that building materials may be subject to consumption in a fire, and therefore, an argument can be made that safety for an intended use as building materials should be deemed to encompass their safety in the event of accidental combustion.
In her concurring and dissenting opinion, Madame Justice Newman posits that the Court should extend the liability without fault of manufacturers, beyond the realm of injuries occasioned in the actual course of the use of a product as the manufacturer intended, to injury or damage occasioned by exposure of a product to some unintended but reasonably foreseeable condition of use or “outside cause or instigator.” See Concurring and Dissenting Opinion, op. at -, -, -, -,
Initially, crashworthiness doctrine has developed as a discrete facet of product liability jurisprudence, having particularized elements requiring the fact finder to distinguish non-compensable injury (namely, that which would have occurred in a vehicular accident in the absence of any product defect) from the enhanced and compensable harm resulting from the product defect. See generally Kupetz v. Deere & Co.,
More fundamentally, Justice Newman’s position is premised on the notion that Phillips’ lead opinion failed to garner a majority vote for the proposition that negligence concepts, such as foreseeability, have no place in strict liability doctrine. See Concurring and Dissenting Opinion, op. at -,
We recognize that, at an abstract theoretical level, Justice Newman’s position is not unreasonable, just as the position is not unreasonable that the overall concept of intended use should include all reasonably foreseeable uses and/or occurrences, as a number of other courts have held. See, e.g., Pacheco v. Coats Company, Inc.,
As it is undisputed that the incineration of building products is not a use intended by the manufacturer, under prevailing Pennsylvania law, damages in strict liability are unavailable for the fire-related contamination. The absence of any requirement for the jurors to distinguish between the fire- and non-fire-related contamination brings the entire verdict on liability and damages into question, since it cannot be determined whether or not the jurors accepted Appellees’ off-gassing theory of PCB dispersal, see N.T., May 19, 1999, at 207-224, accord N.T., November 12, 1999, at 93, 114-15, or Monstanto’s evidence that the spread of PCBs throughout the Building resulted from the fire, and therefore, no liability without fault could ensue. In such situation, a new trial is due. See generally Harman ex rel. Harman v. Borah,
III. Judgment Notwithstanding the Verdict
As noted, as an alternative to its request for a new trial, Monsanto seeks a determination that the trial court erred by failing to award judgment notwithstanding the verdict in its favor. Such an award is appropriate only if, rеading the record in the light most favorable to Appellees as the verdict winners, and affording them the benefit of all reasonable inferences, we would conclude that there is insufficient, competent evidence to sustain the verdict. See Adamski v. Miller,
Monsanto argues that Appellees’ evidence of an increased risk of harm to human health caused by PCBs was inadmissible and insufficient as a matter of law, because Pennsylvania law sharply circumscribes claims based upon an increased risk of future injury. See Brief of Appellant at 54-55. In this respect, Monsanto cites to cases in which actual damages for increased risk to human health were sought. See, e.g., Simmons v. Pacor, Inc.,
Monsanto also contends that Appellees only presented evidence of PCB levels in the Building that were below all binding federal regulatory standards, and thus, the structure was safe for human oсcupancy under governing law. See, e.g., Brief of Appellant at 54. This claim is factually inaccurate, however, since Appellees presented testimony to the effect that sampling results showed PCB levels above the binding federal standards in various times and locations.
Furthermore, Monsanto contends that Appellees’ substantial reliance at trial on a standard designed to quantify a limit for maximum safe exposure advanced by the National Institute for Occupational Safety and Health (“NIOSH”), a non-binding recommendation by a federal research body, as contrasted with binding regulations of the Environmental Protection Agency and Occupational Safety and Health Administration allowing for higher PCB levels in the workplace setting, undermines the sufficiency of Appellees’ proofs. See Brief of Appellant at 57-58. However, Appellees offered expert testimony to the effect that the NIOSH standard was the correct one to ensure safe occupancy.
Finally, Monsanto argues thаt Appellees failed to establish that its products are unreasonably dangerous, an essential prerequisite to a strict liability claim under Azzarello v. Black Bros. Co.,
B. Damages
Monsanto subdivides its challenges to a retrial concerning Appellees’ damages claims into attacks on the availability of compensation for costs associated with the Building’s demolition and replacement; Building remediation and repair; replacement and repair of personal property; and relocation during the period of demolition and reconstruction.
i. Building demolition and replacement — With regard to the costs of demolition and replacement of the T & S Building, Monsanto argues that Appellees failed to offer expert testimony to the effect that the PCBs were incapable of being remediated and, relatedly, that the Building was permanently damaged beyond repair. More specifically, Monsanto asserts that no expert witness who testified at trial ever suggested that the total replacement approach taken by the Commonwealth was in any way necessary to the safety of Budding occupants. Monsanto characterizes as unprecedented and inexplicable the trial court’s holding that there is no need for expert testimony to support the causative aspect of a plaintiffs burden of proof relative to a potentiаl award of full-value damages for destruction of a multi-million dollar office tower. In the absence of essential expert evidence regarding such causation, Monsanto advances the position that this damages claim never should have been submitted to the jury, and that the trial court compounded its error in allowing the claim to go forward by failing to award judgment notwithstanding the verdict. See Brief of Appellant at 39-42.
The trial court summarized the applicable law as requiring the presentation of expert testimony in circumstances in which the subject matter of an essential inquiry involves special skill and training beyond that possessed by lay persons. See U.S. Mineral Products,
We agree with Monsanto, however, that this evidence is insufficient to support an award of full-value damages in a building-contamination case. As previously noted, in repairable damage cases involving real property and associated structures, repair costs (capped by market value) constitute the general measure of damages. See Lobozzo,
By way of additional perspective, Appel-lees’ own evidence suggests that the decision to demolish the Building was not made strictly based on an informed understanding that it was not possible (or economically feasible) to make it safe for human occupancy, but rather, was impacted by broader concerns, such as the stigma associated with the chemical contamination of a building. This is borne out, for example, in Appellees’ questioning of Secretary Crowell, as follows:
Q: Let’s look at the second page [of a transcript from a press conference]. It says, “The major consideration in these options were plan one considerations, abatement and cleanup. Plaza problems, leaks, et cetera, 30 year old building, gut building to exterior wall and structural steel, fill in floor distribution system with lightweight concrete. Distribution of electrical power from overhead. Lack of efficiency for space utilization. No matter what we do there would still be the lingering concern regarding the contamination in the building. And I would suspect that if we renovate and reoccupy the existing building, common aliments involving watery eyes, headaches, fevers, what have you, would be attributed tо the building. I don’t think we could ever overcome the perception of a sick building, and there would still exist the question of liability. ” Did I read that accurately.
A: Yes, you did.
Q: Is that what you said at the time?
A. That’s what I said at the time.
*609 Q: And that’s what you told the jury two days ago [in summarizing the reasons for demolishing the Building]?
A: Precisely.
N.T., June 8, 1999, at 283-84 (emphasis added); see also id. at 296 (reflecting Secretary Crowell’s concern as to “whether people would ever feel comfortable”); cf. N.T., June 3, 1999, at 167-68 (reflecting Secretary Crowell’s assertion: “My solution was if you got a problem and you want to get rid of the problem, you eliminate the problem, and then there’s no more concern, and that’s — and I just said implode the building.”). While certainly other jurisdictions have found such stigma as it affects property value may be relevant to property-loss damages, see generally Martha A. Churchill, Diminished Property Value Due to Environmental Contamination, 33 Am.JuR. PROOF of Facts 3d 163, 177-79, 195-98 (1995), and this Court has not foreclosed such a theory, in the present case stigma was not relevant under the damages theory that was submitted to the jury. Rather, the trial court instructed the jurors that damages were to be gauged by the measures actually necessary to make the Building safe for human occupancy.
We hold that, in the circumstances of this ease, since Appellees failed to offer expert evidence indicating that remediation of the PCBs in the Building to a degree that would make it safe for human occupancy was not possible or practicable (and, correspondingly that the Building was a total loss due to Monsanto’s product), their presentation lacked an essential prerequisite to recovery of full-value damages. Accordingly, on this claim, the trial court should have awarded judgment notwithstanding the verdict in Monsanto’s favor.
ii. Building remediation and repair — Monsanto also seeks judgment notwithstanding the verdict relative to an аlternative damages theory that Appellees presented to the jury, predicated on a projected cost of $65 million to remediate the PCBs and to restore the Building to functional use. Monsanto complains that this theory was founded upon building demolition specifications that called for stripping the Building down to the structural steel, but no expert testified that remediation of PCBs for safe reoccupancy (as opposed to preparation for a safe implosion)
As the trial court observed, however, Ewing, an industrial hygienist and expert witness for Appellees, testified that the procedures that were actually used to remediate the PCBs from the PennDOT building were “necessary to protect human health in the environment.” N.T., May 20, 1999, at 816-17. Although Monsanto regards Ewing’s statement in this regard as addressing only remediation necessary for the sake of the demolition, consistent with the principles governing review of a request for judgment notwithstanding the verdict, which require that this evidence be considered in the light most favorable to Appellees, with all reasonable inferences also accorded in their favor, see Adamski,
Monsanto also contends that, prior to the fire and thе ensuing discovery of PCBs, the Commonwealth already had approved plans in place to strip the Building to its structural steel to remediate the asbestos hazard, as well as a well-developed intention to update all Building systems. Thus, Monsanto argues, full abatement of all contaminants would have occurred independent of the involvement of Monsanto’s product. See Brief of Appellant at 45-46 n. 24. In support of this argument, Monsanto offers a chart collecting extensive, purported admissions by Appellees to the effect that full remediation was planned prior to 1994. See id. at Appendix, Table II.
The portions of the record summarized in this chart primarily reflect that the removal of asbestos was required; they do not, however, establish Monsanto’s more general claim of an absolute overlap between essential PCB and asbestos remediation efforts. Moreover, substantial evidence of record reasonably supports the conclusion that the involvement of PCBs reposited in building materials and systems (including the asbestos fireproofing) substantially complicated the remediation efforts and increased the associated expense. See, e.g., N.T., May 20, 1999, at 311-16; N.T., June 24, 1999, at 222-30; N.T., August 11, 1999, at 111. Accordingly, Appellees sufficiently developed their claim that Monsanto’s product was a substantial factor in causing their injuries, and, to the degree that the jury may have rested its verdict upon Appellees’ off-gassing theory, the allocation of liability was within its province. Accord Powell v. Drumheller,
Monsanto also complains that, since the general rule is that repair costs are bounded by market value, see Lobozzo,
As noted above, we have rejected Monsanto’s argument that the Building cannot be considered a special-use property, and, with regard to such property, we will not foreclose the argument that, in appropriate cases, diminished market value should bear lesser significance relative to costs of repair in a damages assessment than in cases involving more fungible property such as the wagon in the Vogler case cited by Monsanto. In the present case, it is clear that Appellees were confronted with the need to implement substantial remediation relative to the PCB contamination in a public office building centrally located on the Capitol campus, and, to the extent that a fact finder could reasonably attribute liability to Monsanto under Appellees’ off-gassing evidence, we will not foreclose a new trial on the Building repair claim based on the absence of market value evidence.
iii. Replacement and repair of personal property — Monsanto next claims that the trial court erred in failing to render judgment notwithstanding the verdict on Appellees’ $12-million claim for the contamination-related loss of personal property, consisting primarily of soft-surface items such as upholstered furniture and work stations. See Brief of Appellant at 47-50.
Appellees; on the other hand, characterize Monsanto’s argument as an effort to impose an arbitrary rule precluding recovery if a plaintiff cannot prove fair market value. Further, they underscore the trial court’s citation to the general line of cases rejecting a rule which would require plaintiffs to establish their damages with absolute certainty, see U.S. Mineral Products,
this Court searched for an approach to damages when fair market value could not be determined because there was no market for the property in question and where the cost to determine market value would be prohibitive. Pugh fashioned an approach which more closely reflected the actual injury suffered by the plaintiff. See also Pikunse v. Kopchinski,429 Pa.Super. 46 , 51-52,631 A.2d 1049 , 1051 (1993) (quoting Pugh to reject the defendant’s argument that the failure to submit evidence of fair market value precluded recovery, and only requiring sufficient facts to permit an intelligent estimate of damages; if the defendant wishes to argue for a reduction in damages or to rebut the adequacy of plaintiffs evidence, that burden is on the defendant).
Brief of Appellees at 55-56.
Pugh, however, does not support Appel-lees’ contention that they should be relieved from offering evidence of fair market value of personal property that they claim was destroyed by Monsanto’s product.
As with our discussion of real property interests, above, we recognize that the cost of replacement of used personal property affords some measure of value, and that Appellees offered evidence at trial to the effect that the affected property was in good condition. We also remain mindful that some flexibility is available in favor of plaintiffs whose property has been injured by a defective product. Nevertheless, there must be some limit to tolerance in this regard. See generally Stevenson v. Economy Bank of Ambridge,
Monsanto also complains that Appellees were improperly permitted to offer a $3-million claim seeking compensation for sampling of PCB contamination and cleaning items that were not discarded. Monsanto characterizes this claim exclusively as a repair claim and notes that the proper measure of damages for reparable injury to personal property is the lesser of the cost of repairing the property and its actual market value at the time of its destruction. See Vogler,
In response, Appellees cite to cases “where market value could not compensate plaintiffs for their loss,” Brief of Appellees’ at 56, but again, furnish no real explanation as to why market value could not compensate them for their loss in this case. On this point also, therefore, we find Monsanto’s citation to Vogler to be highly relevant.
We offer no conclusion as to whether sampling or testing of contamination is fairly considered as a “repair” or whether
iv. Relocation costs — Finally, Monsanto argues that Appellees’ $55-million claim for relocation damages, representing their gross rental obligations spanning various five-to-seven-year leases that the Commonwealth negotiated for private office space to house the agencies that vacated the T & S Building during its demolition and the construction of the Keystone Building, should have been disallowed as a matter of law. According to Monsanto, as with the other PCB-related causation and damages issues, the likely and reasonable duration of any necessary PCB-related clean up was a question outside the range of an ordinary juror’s experience and training, and expert testimony was therefore required.
We have credited Monsanto’s argument that the Building replacement claim was not properly presented to the jury and cannot be raised at a new trial. It follows that Appellees’ claim for attendant damages in the form of lease costs encompassing the entire period of remediation, demolition, and construction of the Keystone Building cannot be fully sustained. As we have otherwise held, however, a new trial is available concerning the Building remediation-and-repair claim. See supra § III(B)(ii). While Appellees did not specifically correlate their loss-of-use prеsentation to such period, there is sufficient evidence of record from which the jurors could have defined the pertinent period and prorated damages accordingly, see, e.g., N.T., August 10, 1999, at 226-249, and the jury was in fact instructed of the obligation to adjust the lease expense according to its determination of the time attributable to necessary remediation. See N.T., August 10, 2000 (morning), at 109-12. Although we recognize that the state of the record concerning this loss-of-use claim is not ideal, we consider it sufficient for the present purposes of evaluating the availability of judgment notwithstanding the verdict. Our holding here is that the loss-of-use claim is not foreclosed in its entirety on retrial as a consequence of Monsanto’s arguments in this appeal.
IV. The Remaining Claims
In light of our decision to direct the entry of judgment notwithstanding the verdict on various of Appellees’ claims, and
The order of the trial court is reversed, and the case is remanded for a new trial, with the proviso that judgment notwithstanding the verdict is due to be entered in favor of Monsanto relative to certain of Appellees’ damages claims, in accordance with this opinion.
Notes
. Although DGS, PennDOT, the PUC, PEMA, and the Department of State are also cross-appellants relative to one question presented, for the sake of convenience, we will refer to them as "Appellees” throughout.
. Summary judgment was awarded in favor of several other co-defendants, however, and the others, including U.S. Mineral Products, received favorable verdicts at trial.
. In this regard, Monsanto emphasizes that the extensive environmental testing throughout the two-and-one-half years after the fire generally confirmed that PCB levels in occupied areas of the Building were below legally-enforceable safety standards set by the United States Environmental Protection Agency and the Occupational Safety and Health Administration, and that DGS and the Pennsylvania Department of Health repeatedly announced during this period that PCB levels were negligible and presented no health risk to employees.
. Monsanto notes that several of this Court’s decisions prior to Lobozzo had advanced the proposition, commonly applied in a number of other jurisdictions, that the general measure of damages for reparable harm to realty is the lesser of the repair costs or the diminution in market value caused by the defendant's conduct, product, or instrumentality. See Brief of Appellant at 27 n. 12, 46-47 & n. 26. Monsanto’s argument suggests the color-able position that Lobozzo’s formulation bounding costs of repair by full market value (as opposed to diminution in market value) is not grounded in legal reasoning developed by the Court, but rather, appears to stem from a misreading of the seminal decision in Rabe v. Shoenberger Coal Co.,
. Along these lines, in the eminent domain arena, the General Assembly has codified an approach that permits special uses or purposes to be taken into account in determining valuation and achieving fair compensation. See 26 P.S. § 1-603 (Comment — Joint State Government Commission) (observing that the Eminent Domain Code provides for "proper valuation of special use properties”); accord Redevelopment Auth. of Phila. v. Lieberman,
.Monsanto asserts that compensation based on replacement costs was unavailable as a specifiс measure of damages in this case under Crea as a matter of fact, since the T & S Building had an ascertainable market value. In this regard, Monsanto notes that other buildings situated on the Capitol campus are privately owned and/or have been appraised, sold or exchanged in the past, see, e.g., N.T., February 29, 2000, at 190-94; private offers were made to purchase the structure even in the aftermath of the fire, see, e.g., R.R. at 3075a-3090a; and various Commonwealth representatives had expressly contemplated the option of privatizing the T & S Building. Monsanto also observes that the trial court's reliance on the need for legislative pre-ap-proval of a sale is not persuasive, since such approval is not greatly distinguishable from the necessity for obtaining authority from a board of directors for sale of a building owned by a corporation and has nothing to do with the availability or non-availability of willing buyers. Furthermore, Monsanto complains that the trial court’s logic would render all similarly-situated Commonwealth buildings valueless. Moreover, according to Monsanto, the Building’s amenability to conventional market valuation has been conceded by Appellees in the present briefing. See Brief of Appellees at 44 (“The Agencies were prepared to put a dollar amount on the value of the T & S Building[J”).
This Court, however, has not categorically and immutably confined special-purpose valuation and/or the relevance of replacement or reproduction costs to instances in which market valuation is impossible. Cf. Romesberg v. Caplan Iron & Steel Co.,
. We use depreciation here in the same manner as it is used in the application of the cost approach to real-property valuation, as encompassing the effect of "all factors that make the particular structure worth less than its replacement or reproduction cost new, including physical deterioration, faulty design and other deficiencies of the structure, and changes in the external environment and economic conditions." Daniel F. Sullivan, Valuation of Structure Based on Reproduction or Replacement Cost, 8 AmJur. Proof of Facts 2d 399, 429 (1976).
. The Pennsylvania decisions addressing construction costs appear to reflect an approach more closely tied to "reproduction” rather than "replacement” costs, as these terms are utilized in the arena of real estate appraisal. See generally Sullivan, Valuation of Structure Based on Reproduction or Replacement Cost, 8 AmJur. Proof of Facts 2d at 408 (distinguishing such costs as follows: "Reproduction cost is the current cost of constructing a replica of the structure, using the same or closely similar materials!)] [Replacement cost is the current cost necessary to construct an improvement of the same functional utility as the original one, but using current practices in construction design and choice of building materials.”). Frequently, however, replacement costs are lower than reproduction costs,
. In their brief, Appellees observe (albeit subject to dispute by Monsanto) that they did not include "upgrades" associated with the Keystone Building, such as its helipad and fire suppression system, within their damages calculations. Accord N.T., June 8, 1999, at 299. However, this at best accounts for a few, discrete, selected improvements, but does little to address the depreciation aspect on a comprehensive basis. Since the evidence concerning the degree of depreciation substantially diverged, although certainly the jurors would have been free to assign a monetary amount to depreciation based on their resolution of the conflicts, they should have been directed that depreciation was to be considered by them in arriving at a verdict.
.The Court has recognized that there are limited, targeted exceptions to this approach that have arisen in the case law. See, e.g., Davis v. Berwind Corp.,
. Obviously, our present discussion does not address a situation in which a defect in the building materials is the cause of combustion occurring during their ordinary use.
. Like the trial court’s charge and opinion, Appellees’ argument on this point is couched specifically in terms of foreseeability. See Brief of Appellees at 32 ("A fire is clearly foreseeable.”), 33 (“The issue of foreseeability is for the jury, and if the jury found that the fire was foreseeable, Monsanto is liable.”), 33 (”[T]he jury evaluated the evidence to determine whether the potential fire should be considered reasonably foreseeable.”).
. Justice Newman attempts to address this difficulty in her analysis by proposing that the issue of injury enhancement can be addressed in this case via a remand limited to a new determination of damages. See Concurring and Dissenting Opinion, op. at -,
. The position that contamination-related harm occasioned by incineration of a product should be viewed as occurring within the product’s intended use so long as the product was being used as intended (for example, as a dormant building product) at the time that it was destroyed is an awkward one, both semantically and conceptually. Indeed, the responsive opinion ultimately recognizes that crashworthiness doctrine (upon which its conclusions are grounded) functions as an exception to the intended use requirement, as opposed to a logical corollary. See Concurring and Dissenting Opinion, op. at -,
.What happened in Phillips is not that there was an effort on the part of the lead opinion to alter existing doctrine, as Justice Newman appears to posit. In fact, the lead opinion in Phillips accurately cited and applied such doctrine verbatim. Rather, in Phillips, a plurality of the Court, viewing the condition of Pennsylvania strict liability doctrine as impaired, advocated reform in a case that it acknowledged was not a ready vehicle for effecting such a change. See Phillips,
. Justice Newman undertakes to develop the particular facts of Kimco to suggest that they can be squared with her theory of a conditions-of-use/outside-cause-or-instigator exception to the bar against resort to negligence concepts in strict liability actions. See Concurring and Dissenting Opinion, op. at - -,
. Notably, in distinguishing the child-play fire scenario, Justice Newman indicates that the present circumstances involving PCB contamination throughout the T & S Building represent "a situation where the inherent defect increased the severity of the injury through no fault or misuse on the part of the intended user.” Concurring and Dissenting Opinion, op. at -,
. See, e.g., N.T., May 17, 1999, at 120; N.T., May 20, 1999, at 303; N.T., May 24, 1999, at 213-14; N.T., May 25, 1999, at 58, 60; N.T., June 10, 1999, at 37-38; N.T., August 11, 1999, at 79.
. See, e.g., N.T., May 17, 1999, at 118, N.T., May 21, 1999, at 98, 110-12; cf. N.T., May 24, 1999, at 221, 226.
. In this appeal, Monsanto has not presented a claim for relief attacking the trial court's exercise of its discretion in permitting Appel-lees’ theory to be presented to the jury that the primary PCB contamination for which compensation was sought resulted from long-term volitization via off-gassing from duct-work, as opposed to the consumption of PCB-containing building materials in the June-1994 fire. Our discussion, above, therefore, must assume that the trial court acted within its discretion in this regard.
. Citing Kozak v. Struth,
. In their brief, Appellees’ offer additional citations to the record to support the proposition that "despite great efforts, the building could not be cleaned.” See Brief of Appellees at 5, 38. The citations are to the testimony of Secretary Crowell (who was not offered as an expert witness) and Appellees’ damages expert, Jack Halliwell. Like Cocciardi, however, Halliwell also did not testify that the PCBs in the Building could not be remediated, or that wholesale replacement was required (on the pages referenced by Appellees, the thrust of Halliwell's testimony was that certain wiring raceways underneath the concrete flooring had to be abandoned and replaced by a substitute system. See N.T., July 28, 1999, at 134-37; August 11, 1999, at 78-81). Appel-lees' present assertion that Halliwell's testimony goes to causation is also inconsistent with various representations they made to the trial court during the course of trial in their attempts to secure Halliwell's qualification as an expert witness. See, e.g., N.T., June 29, 1999, at 236, 337 (reflecting the representation of Appellees’ counsel that "all [Halliwell] is offering the opinion of what the contracts cost to abate the PCBs from the building pursuant to the specifications[,] ... [a]nd subsequently what did it cost either to build a new building, assuming Mr. Crowell was right, he needed to implode it, or, number two, assuming the defendant is right and you only needed to clean it to a level of 10.”).
. In this regard, the trial court charged the jurors:
As against Monsanto, plaintiff must show, by credible, scientific expert evidence, that the levels of PCBs in the T & S Building were such as to make the building unsafe for human occupancy. Plaintiffs cannot meet their burden of proof merely by showing that PCBs were in the T & S Building.
In determining the damages, if any, on [Plaintiff’s claim that PCBs in the T & S Building made the Building unsafe for human occupancy], you must determine, based possible [sic] the credible scientific evidence, whether the PCBs in the T & S Building could have been cleaned up to a level which made the building safe for occupancy. If you find that the PCBs could have been cleaned up, assuming plaintiffs have proven that any clean up was necessary, to a level which made the building safe for occupancy, then thе measure of damages for property damage to the T & S Building would be the lesser of the reasonable cost of cleaning up the PCBs or decrease in market value caused by the presence of PCBs.
N.T., Aug. 10, 2000, at 93, 104-05. Parenthetically, as it concerns the market-value limitation on repair costs in a real-property-improvements case, this instruction reflects the law as delineated in Rabe, but which was supplanted by Lobozzo. See supra note 4.
.The decisions in Lobozzo and Freeman also appear to reflect some latitude on the part of Pennsylvania courts in terms of plaintiffs’ proofs concerning the market-value boundary relative to repair costs. See Lobozzo,
. Appellees had originally sought replacement costs for both hard- and soft-surface building contents. Because, however, Appel-lees' witnesses affirmed that all hard-surface items could have been cleaned up, see N.T., June 17, 1999, at 98, the trial court granted a directed verdict as to those items. See N.T., August 10, 2000, at 107-08.
. Monsanto also contends that, with regard to items claimed to have been a total loss, Appellees offered no evidence of irreparable injury. See Brief for Appellant at 48-49. In denying relief on this claim, the trial court relied upon Appellees' evidence that soft-surfаce items were irreparably damaged in the process of testing them for PCB contamination. See U.S. Mineral Products,
. The damages-related portion of Pugh is centered on the inherent difficulties in quantifying rent abatement in compensation for landlord breach of the implied warranty of habitability, and the discussion expressly entails consideration of special circumstances confronting low-income tenants. See Pugh,
. The relevant instruction proceeded as follows:
In order to recover on these claims, plaintiffs must prove these things to you as to each item for which they claim damage: First, that each soft surface item contained PCBs or asbestos at unsafe levels so as to require clean up; second, the costs of such clean up and third, a reasonable basis for calculating the market value, given its age and condition. Under Pennsylvania law the measure of damages for furniture, equipment, office supplies and other such items is the lesser of the cost of repair, that is, to clean up the item, and the market value of the item at the time of damage, given its age and condition. Pennsylvania law does not allow for the cost of replacement for such items.
N.T., August 10, 2000 (morning), at 108-09; accord Denby v. North Side Carpet Cleaning Co.,
. It is also noteworthy that, despite the chаrge that the trial court had selected relative to personal property valuation, Appellees’ counsel made no effort to couch his valuation presentation to the jurors in fair-market-value terms. See N.T., August 8, 2000, at 233-34 ("[S]o it was more cost efficient to replace [soft-surface items] than it was to attempt to clean them and to test them. So the personal property for the Department of Transportation was $14 million. $14,403[,000].”).
. Monsanto does not contend that loss-of-use damages are unavailable as a matter of law in a strict liability case.
Concurrence in Part
concurring and dissenting.
I join the Majority Opinion in its resolution of Issues I and III. However, I respectfully dissent from the Majority’s resolution of Issue II and its discussion and determination of strict liability as it applies to the instant matter.
In particular, the Majority concludes that, although a product-defect claim may be allowed based on the general danger of polychlorinated biphenyls (PCBs), a claim for strict liability is not permitted according to prior case law. Maj. Op. at -,
Presently, the issue does not involve an unintended user. Further, the Majority mistakenly attempts to equate unintended user with foreseeable misuse. Maj. Op. at -,
It is necessary to know the background in the confusing field of strict liability doctrine-that has developed in this Commonwealth. Phillips discussed the doctrine in detail and highlighted somе of the concerns with the present system. Although it is true that Phillips was highly critical of the then-existing strict liability doctrine, ultimately, there was no Majority to conclude that foreseeability considerations never have a place in a strict liability case. Instead, the overriding principle set forth in Phillips is that strict liability should be limited to a very small range of cases. In particular, Phillips merely garnered a Majority that agreed that cases involving an unintended user are outside the scope of the strict liability doctrine.
In evaluating the standards for strict liability, this Court, in Webb v. Zern,
(1) One who sells any product in a defective condition unreasonably dangerous to the user or consumer or to his property is subject to liability for physical harm thereby caused to the ultimate user or consumer, or to his property, if
(a) the seller is engaged in the business of selling such a product, and
*616 (b) it is expected to and does reach the user or consumer without substantial change in the condition in which it is sold.
(2) The rule stated in Subsection (1) applies although
(a) the seller has exercised all possible care in the preparation and sale of his product, and
(b) the user or consumer has not bought the product from or entered into any contractual relation with the seller.
This Court has opined that a product will be deemed defective only if it “left the supplier’s control lacking any element necessary to make it safe for its intended use or possessing any feature that renders it unsafe for the intended use.” Azzarello v. Black Bros. Co.,
Phillips was a plurality Opinion from which it is difficult to discern a majority position regarding the application and exceptions to this Court’s general restriction on recovery pursuant to a theory of strict liability. Moreover, all comments on precluding any exрansion of. strict liability were mere dicta that failed to garner a majority. In part, as noted by Justice Saylor’s Concurring Opinion in Phillips, this is a result of the difficulty and artificiality in parsing negligence concepts from those of strict liability.
Importantly, the case at hand involves neither an unintended user nor an unin
As such, this case is readily distinguishable from the concerns present in the Lead Opinion in Phillips regarding the oft-misplaced foreseeability argument in strict liаbility cases. The instant scenario is more akin to a “crashworthiness doctrine” situation than to Phillips. As noted by the Majority, the Third Circuit predicted that this Court would adopt the crash-worthiness doctrine relative to vehicle manufacturers. Maj. Op. at -, n. 10,
Historically, a Section 402A strict products liability action only created liability for injuries proximately caused by a defect where the defect also caused the accident. Barris v. Bob’s Drag Chutes Safety Equipment, Inc.,685 F.2d 94 , 99 (3rd Cir.1982). However, the crashwor-thiness doctrine extends the liability of manufacturers and sellers to situations in which the defect did not cause the accident or initial impact, but rather increased the severity of the injury over that which would have occurred absent the design defect. Kupetz,435 Pa.Super. 16 ,644 A.2d 1213 , 1218 (Pa.Super.1994) (citing Mills v. Ford Motor Co.,142 F.R.D. 271 (M.D.Pa.1990)).
Colville,
The underlying reasoning for the exception is that the intended use of a vehicle is not to crash it; but instead to use it safely without accident. However, the majority of jurisdictions that have addressed the crashworthiness doctrine have been persuaded by the rationale that an intended user who uses the product in its intended fashion may still be involved in a crash through no fault or misuse of his or her own. The crashworthiness doctrine permits strict liability as a means of ensuring that automobile manufacturers create a product that is safely designed for its purpose, including foreseeable conditions that do not involve misuse on the part of the user. Those same considerations exist in a case such as this one; namely, that the producer of building materials designs a product that is inherently safe when used as intended by the intended user and foreseeable misfortune occurs through no fault of that user. Ultimately, the defect is one that increases the severity, of the injury due to a foreseeable outside cause, or instigator of the injury. This is not a situation where the user intentionally or unintentionally was the direct cause of the injury, and I do not profess to address a scenario where a user has intentionally set the material on fire. In contrast, this is a situation where the inherent defect increased the severity of the injury through no fault or misuse on the part of the intended user.
The Majority asserts that Phillips foreclosed the expansion of strict liability and that to allow the present claim to be subject to strict liability would be to expand the doctrine. Maj. Op. at -,
Moreover, the Majority states that:
*619 While Justice Newman’s threshold proposition may be accurate as concerns Phillips, it fails to account for prior majority decisions of this Court that have based their holdings squarely on the proposition that negligence concepts have no place in strict liability doctrine. See, e.g., Kimco Dev. Corp. v. Michael D’s Carpet Outlets,536 Pa. 1 , 7-9,637 A.2d 603 , 606-07 (1993) (predicating a holding that manufacturers may not assert a comparative negligence defense in strict liability cases on the notion that negligence concepts do not properly extend into the strict liability arena).
Maj. Op. at -,
Thus, I find that, under current strict liability law, a colorable strict liability issue exists for the jury in a case such as this. Namely, when a product is used by its intended user (building owner) and for its intended use (in the construction and maintenance of a building), a question exists as to whether or not the product was “lacking any element necessary to make it safe for its intended use or possessing any feature that renders it unsafe for the intended use.” Azzarello,
. Notably, because Phillips had only six participating Justices, this Concurring Opinion garnered the support of half the Court and squarely recognized that negligence principles currently exist in a limited manner in strict liability doctrine.
. In addition, Justice Saylor wrote that this Court should consider the reasoned approach of the Third Restatement of Torts: Products Liability § 2 (1998). Id. at 1019-20 (utilizing a risk-utility test). As in Phillips, an argument concerning the Third Restatement of Torts is not before us. I recognize the apparent and possible appeal in the more progressive approach adopted by the Third Restatement, in particular, in cases such as this involving a known dangerous chemical where a risk-utility test would be a just measure of a manufacturer’s liability for the product. However, I will proceed to analyze the present matter pursuant to our existing caselaw and the Second Restatement of Torts.
. The Majority misreads and mischaracterizes this central line of reasoning in this Opinion. In no way have I proposed that an alteration to existing case law be adopted by allowing reasonably foreseeable unintended use to enable recovery pursuant to a theory of strict liability. As emphasized throughout my Concurring and Dissenting Opinion, the building materials in this case were used as intended by the intended user. The ability to recover may exist only if these two prerequisites are met. Azzarello, supra. When a manufacturer designs a product that must be safe for its intended user and intended use, сommon sense dictates that such safely intended use must include all reasonably foreseeable conditions and events affecting that intended use. Thus, a sense of fair play to the innocent consumer mandates that recovery is allowable pursuant to a theory of strict liability. Moreover, as the materials were used in their intended fashion by their intended user, no prior case law in this Commonwealth precludes recovery. Rather, the Majority appears to equate foreseeability of conditions of intended use with foreseeable misuse. Maj. Op. at -,
. The Majority opines, “we are of the view that the metamorphosis of the particularized crashworthiness doctrine into a generalized conditions-of-use/outside-cause-or-instigator exception to the general bar against resort to foreseeability concepts in the strict liability arena would, in fact, represent an extension of the type that was disapproved by a majority of Justices in Phillips." Maj. Op. at - -,
