MEMORANDUM
This mеmorandum addresses defendants’ motion in limine seeking dismissal of plaintiffs’ claim for punitive damages set forth in the сomplaint. Defendants contend that punitive damages are inappropriate in strict products liability asbestos litigation such as the action before this Court. For the reasons stated below, this Court agrees with defendants’ contention, and their motion is granted.
Tennessee law governs the substance of this diversity action.
See Erie R. Co. v. Tompkins,
In
Inland Container Corp. v. March,
Punitive damages ... are awarded in cases involving fraud, gross negligence or oppression, ... or where a wrongful act is done with a bad motive or so recklessly as to imply a disregard of social obligations, ... or where there is such willful miscоnduct or entire want of care as to raise a presumption of conscious indifference to consequences.
Id.
at 44-45 (citations omitted).
Accord
Restatement (Second) of Torts § 908(2) & comment b (1979) (“conduct involving some element of outrage similar to that usually found in crime”). Punitivе damages are not based so much upon the nature and extent of the injury as upon the oppressiоn and punishment of the party who does the injury.
Lazenby v. Universal Underwriters Ins. Co.,
Plaintiffs’ cause of action here is grounded solely in strict tort liability. Thе purpose of imposing strict liability in certain cases is to assess liability without fault; the focus is on the defendants’ product, not on the defendants’ conduct.
See Ford Motor Co. v. Eads,
Several of our Circuit Courts of Appeals have addressed the specific question whether punitive damages are proper in asbestos litigation and have rеached different conclusions based on the state law applied. In
Moran v. Johns-Mansville Sales Corp.,
In
Hansen v. Johns-Mansville Products Corp.,
The Hansen panel thus was unable to follow Jackson v. Johns-Mansville, 727 F.2d 506 (5th Cir.1984), in which the Fifth Circuit, applying Mississippi law, held that the trial court erred in allowing punitive damages in a section 402A strict liability asbestos case. The court concluded that Mississipрi law would disallow punitive damages in the “extraordinary circumstances” of strict products liability asbestos litigation.
At the point where awards of punitive damages destroy the viability of the enterprises necessary tо accomplish loss distribution, the remedy of punitive damages becomes incompatible with the strict liability сause of action.
[I]n the virtually limitless damage milieu of asbestos litigation, punitive damages carry such a рortent of overkill as to threaten future claimants rather than the enterprise with the burden of punishment awаrds to early victims. The general societal objectives of punishment— retribution and reformation — are аdequately met in such a situation by the prospects of open-ended strict-liability compensation [аnd the] anticipation of multiple litigation for compensation damages ____
Id.
at 526.
See also Roginsky v. Richardson-Merrell,
Punitive damages are not appropriate in the instant litigation. First, in Tennessee the purpose of punitive damages is primarily to dеter a specific wrongdoer from future misconduct. Allowing punitive damages in a case pending as one of a vast number of similar actions in our courts would not further this objective, given the potential and actual exposure to millions of dollars in compensatory damages. Second, in Tennessee, as elsewhere, the focus of a section 402A strict products liability action is on the defendant’s product, not its conduct. Punitive damages, which may be awarded only where the defendant’s conduct is fraudulent, reckless, or otherwise outrageous, are inconsistent with a theory of liability without fault. Last, the unique nature of asbestos litigation necessitates care not to exhaust in a limited number of large punitive damage awards funds needed for possible compensatory awards in multiple asbestos lawsuits.
Accordingly, defendants’ motion in limine seeking dismissal of plaintiffs’ claim for punitive damages is granted.
