CEFU Attorney Kenneth Merritt Obtains Summary Disposition in Subrogation Case


Plaintiff Subrogee of a commercial insured filed suit against a manufacturer of a product that cleans circuit boards claiming Breach of Warranty and Negligent Design and Manufacture resulting in a fire causing over $2 Mil in property damages. Our client produced evidence that the insured owned the product since at least 2005. The fire occurred in 2010. We used the UCC 4 year Statute of Limitations and the “Economic Loss Doctrine” which applied because it was a commercial owner of the product and only property damage resulted from the fire. That doctrine also applied the 4 yr UCC Statute which starts to run when the “defect” exists which is considered to be when the product was purchased by the owner rather than from the date of the fire. Motion for Summary Disposition was granted without need for any discovery.

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