Indiana Law Review Delimiting the Manufacturer's Liability: An Examination of Loss of Consortium Recovery in Strict Products Liability Actions Under Section 402A of the Restatement (Second) of Torts I. Introduction In 1963, the judiciary first recognized the manufacturer's strict tort Habihty in Greenman v. Yuba Power Products, Inc? The American Law Institute adopted section 402A of the Restatement (Second) of Torts — Special Liability of Seller of Product for Physical Harm to User or Consumer in 1965.^ Based largely on policy considerations,^ strict products Hability evolved with great emphasis on consumer protection/ This led to the continued expansion of the scope of the doctrine.^ Yet the courts rarely conducted a detailed analysis of whether the policy goals of section 402A were actually promoted by the ever-expanding scope of the man- ufacturer's liability.^ 1. 59 Cal. 2d 57, 377 P.2d 897, 27 Cal. Rptr. 697 (1963). 2. Restatement (Second) of Torts § 402A (1965). 3. See, e.g., Greenman, 59 Cal. 2d at 63-64, 377 P.2d at 901, 27 Cal. Rptr. at 701. See generally Prosser, The Fall of the Citadel (Strict Liability to the Consumer), 50 Minn. L. Rev. 791 (1966) [hereinafter Fall of the Citadel]; Prosser, The Assault Upon the Citadel (Strict Liability to the Consumer), 69 Yale L.J. 1099 (1960) [hereafter Assault Upon the Citadel]. 4. See Vandall, Our Product Liability System: An Excellent Solution to a Complex Problem, 64 Den. U.L. Rev. 703, 715 (1988). See also Manuel & Richards, Economic Loss in Strict Liability—Beyond the Realm of Section 402A, 16 Mem. St. U.L. Rev. 315 (1986). 5. See Shepard v. Alexian Bros. Hosp., 33 Cal. App. 3d 606, 612, 109 Cal. Rptr. 132, 135 (1973) (California cases expanded the scope of the Greenman doctrine by imposing strict liability on retail dealers (Vandermark v. Ford Motor Co., 61 Cal. 2d 256, 391 P.2d 168, 37 Cal. Rptr. 896 (1964)); wholesale and retail distributers (Barth v. B.F. Goodrich Tire Co., 265 Cal. App. 2d 228, 71 Cal. Rptr. 306 (1968)); home builders (Kriegler v. Eichler Homes, Inc., 269 Cal. App. 2d 224, 74 Cal. Rptr. 749 (1969)); bailors and lessors of personal property (McClaflin v. Bayshore Equipment Rental Co., 274 Cal. App. 2d 446, 79 Cal. Rptr. 337 (1969)); and hcensors of chattels (Garcia v. Halsett, 3 Cal. App. 3d 319, 82 Cal. Rptr. 420 (1970)). The standard of strict Hability has been held to apply to a defect in design as well as a defect in manufacture (Pike v. Frank G. Hough Co., 2 Cal. 3d 465, 467 P.2d 229, 85 Cal. Rptr. 629 (1970)) and extends not only to actual consumers or users, but to any human being to whom an injury from the defect is reasonably foreseeable (Elmore v. American Motors Corp., 70 Cal.2d 578, 451 P.2d 84, 75 Cal. Rptr. 652 (1969)). 6. Shepard v. Superior Court, 76 Cal. App. 3d 16, 27, 142 Cal. Rptr. 612, 619 (1977) (Kane, J., dissenting). 821 822 INDIANA LAW REVIEW [Vol. 22:3 The recognition of loss of consortium as a redressable cause of action within the context of strict products liability provides an excellent example of the expansion of section 402A with a lack of appropriate judicial discourse. Courts have consistently permitted the loss of con- sortium claim in strict products Uability actions. Upon reviewing the decisions in many jurisdictions, a federal district court noted that it had *'not found a single case where a consortium claim was dismissed in a products Uability action. To the contrary, the decisions do not even question the vaUdity of a consortium claim. "^ Yet liability under section 402A of the Restatement is strict liability in tort^—culpability of the defendant is not a necessary factor. Accordingly, the scope of the manufacturer's responsibility should be carefully delineated. Whether the loss of consortium cause of action is appropriately within the scope of section 402A liability depends primarily upon policy considerations^ which have significantly shifted in the two decades since the estabhshment of strict tort liability. Therefore, this note details the relevant historical aspects of the loss of consortium and strict tort Uability doctrines, as well as society's current concern with deUmiting liability. Analysis of the apposite case law and Restatement provisions follow. Although valid arguments support both views of the issue, countervailing poUcies are now sufficient to preclude continued manufacturer respon- sibility for this legal wrong. Thus, thorough judicial analysis of the loss of consortium claim under a strict products liability theory is both timely and appropriate. II. Relevand Historical Considerations A. The Loss of Consortium Cause of Action A cause of action for loss of consortium has existed for hundreds of years. ^° Significantly, the nature of the claim continually adapted to meet the changing needs of society. Originally, the term consortium denoted the husband's legal right to the wife's performance of the duties and obligations assumed by her upon marriage. ^^ The husband's cause 7. Timms v. Verson Allsteel Press Co., 520 F. Supp. 1147, 1151 (N.D. Ga. 1981). 8. Restatement, supra note 2, § 402A comments a and m. 9. See Borer v. American Airlines, Inc., 19 Cal. 3d 441, 563 P.2d 858, 138 Cal. Rptr. 302, 306 (1977) (in delimiting the extent of a tortfeasor's responsibility for damages under the general law of torts, the courts must locate a line between liability and nonliability at some point, a decision which is essentially political). 10. This legal right was first recognized in Guy v, Livesey, 79 Eng. Rep. 428 (1681). 11. See generally. Note, Loss of Consortium: Paradise Lost, Paradise Regained, 15 CuMB. L. Rev. 179 (1984) (authored by Nancy C. Osborne). 1989] MANUFACTURER'S LIABILITY 823 of action originated at a time in history when the wife was wholly subserviant and the law viewed his loss primarily in terms of the dep- rivation of her services—her performance in caring for the home, rearing the children, and serving her husband. '^ Although the cause of action was first permitted only against one who intentionally infringed upon those rights, ^^ the courts ultimately extended the loss of consortium claim to cases in which the injury to the wife was negligently inflicted. ^"^ A wife, however, did not originally have a similar cause of action. Prior to the passage of the married woman's acts, a married woman did not have a separate legal identity and could not sue in her own name.^^ The emancipation statutes, therefore, played an important role in the evolution of the loss of consortium action. Once endowed with rights equal to her husband's, the courts quickly recognized the wife's cause of action where the defendant's wrong was an intentional one.'^ However, not until 1950, in Hitaffer v. Argonne Co.,^'' did a court allow a wife's claim for loss of consortium due to a negligent injury to her husband. ^^ Further, no significant trend followed this decision until ten years later when one court aptly noted that "the obstacles to the wife's action were 'judge invented'" and were therefore subject to judicial destruction.^^ By the 1970's, an overwhelming majority of states recognized the wife's cause of action for loss of consortium.^^ Concurrent with the grant of the wife's right to claim loss of consortium, a gradual shift in the focus of loss of consortium ensued. Rather than the tangible and pecuniary entitlement to services, the intangible relational aspects of the loss were emphasized. ^^ Thus, the modern definition of consortium tends to be vague and indefinite and 12. Id. at 184. 13. See Guy v. Livesey, 79 Eng. Rep. 428 (1681). See generally Note, supra note 11. 14. See, e.g., Skoglund v. Minneapolis St. Ry., 45 Minn. 330, 47 N.W. 1071 (1891), overruled, Roland v. Morrill, 275 Minn. 496, 148 N.W.2d 143 (1967); Busch v. Busch Constr., Inc., 262 N.W.2d 377 (Minn. 1977). 15. See generally Chused, Late Nineteenth Century Married Women's Property Law: Reception of the Early Married Women's Property Acts by Courts and Legislatures, 29 Am. J. Legal Hist. 3 (1985); Chused, Married Women's Property Law: 1800 - 1850, 71 Geo. L.J. 1359 (1983). 16. See, e.g., Hinnant v. Tidewater Power Co., 189 N.C. 120, 126 S.E. 307 (1925), overruled, Nicholson v. Hugh Chathan Mem. Hosp., 300 N.C. 295,^ 266 S.E.2d 818 (1980). 17. 183 F.2d 811 (D.C. Cir. 1950), overruled on other grounds, Smither & Co. V. Coles, 242 F.2d 220 ( D.C. Cir. 1957). 18. See Hitaffer, 183 F.2d at 813. 19. Dini v. Naiditch, 20 111. 2d 406, , 170 N.E.2d 881, 892 (1960). 20. See Note, supra note 11, at 190-91 n.85. 21. Id. 824 INDIANA LAW REVIEW [Vol. 22:3 the * Various attempts at defining it only aggrevate its nebulosity. "^^ Further, today the term is applied to many different relationships and is defined in the context of the particular relationship for which protection is sought. 2^ The definitions typically include the term '* society," which one court noted as referring to a * 'broad range of mutual benefits each family member receives from [the] other's continued existence, including love, affection, care, attention, companionship, comfort and protec- tion. ''^4 Accordingly, the loss of consortium claim evolved into the area of filial relationships in recent years. In 1975, in Shockley v. Prier,^^ the Wisconsin Supreme Court permitted parents to recover for the loss of their child's aid, comfort, society and companionship resulting from the defendants' neghgence.^^ In 1980, in Ferriter v. Daniel O'Conneirs Sons Inc.,^^ a child's cause of action for the negligent deprivation of parental consortium was granted by the Massachusetts Supreme Court. ^^ Moreover, the court in Ferriter stated that ''as claims for injuries to other rela- tionships come before us, we shall judge them according to their nature and force. "29 In conclusion, the doctrine of loss of consortium dramatically evolved through the years to conform to contemporary society. Although the courts expanding the cause of action routinely recognized the fear that 22. Hodges v. Johnson, 417 S.W.2d 685, 691 (Mo. Ct. App. 1967). 23. See, e.g., Berger v. Weber, 411 Mich. 1, 303 N.W.2d 424 (1981) (child sought recovery for loss of parental society and companionship); Kailimai v. Firestone Tire & Rubber Co., 87 Mich. App. 144, 273 N.W.2d 906 (1978) (spouse sought recovery for loss of society, companionship, services, and all other incidents of the marriage relationship); Wangen v. Ford Motor Co., 97 Wis. 2d 260, 294 N.W.2d 437 (1980) (parent sought recovery for loss of child's services, society, companionship, and pecuniary support); Elden V. Sheldon, 46 Cal. 3d 267, 758 P.2d 582, 250 Cal. Rptr. 254 (1988) (cohabitant sought recovery for loss of conjugal society, comfort, affection, companionship and sexual relations because there was a stable and significant relationship parallel to a marital relationship). 24. Consolidated Machines., Inc. v. Protein Prods. Corp., 428 F. Supp. 209, 228 (M.D. Fla. 1976) (an action for loss of society under maritime laws). 25. 66 Wis. 2d 394, 225 N.W.2d 495 (1975). 26. Id. at , 225 N.W.2d at 501. Accord Reben v. Ely, 146 Ariz. 309, 705 P.2d 1360 (1985); Norvell v. Cuyahoga County Hosp., 11 Ohio App. 3d 70, 463 N.E.2d 111 (1983). But see Baxter v. Superior Court, 19 Cal. 3d 461, 563 P.2d 871, 138 Cal. Rptr. 315 (1977); Wilson v. Gait, 100 N.M. 227, 668 P.2d 1104 (1983). 27. 381 Mass. 507, 413 N.E.2d 690 (1980). 28. Id. at 413 N.E.2d at 696. Accord Weitl v. Moes, 311 N.W.2d 259 (Iowa 1981), overruled, Audubon-Exira Ready Mix, Inc. v. IlHnios Cent. Gulf R.R., 335 N.W.2d 148 (Iowa 1983); Berger v. Weber, 411 Mich. 1, 303 N.W.2d 424 (1981); Hay v. Medical Center Hosp., 145 Vt. 533, 496 A.2d 939 (1985); Ueland v. Reynolds Metals Co. (State Report Title: Veland v. Pengo Hydra-Pull Corp.), 103 Wash. 2d 131, 691 P.2d 190 (1984); Theama v. City of Kenosha, 117 Wis. 2d 508, 344 N.W.2d 513 (1984). 29. Ferriter, 381 Mass at , 413 N.E.2d at 696. 1989] MANUFACTURER'S LIABILITY 825 liability might ultimately reach too far, the arguments advanced for restraining the claim were generally rejected due to policy considerations, or as one court noted, '*due to an absence of sufficient countervailing policy. "^° As a result, it is reasonable to assert that the cause of action will continue to expand. The cause of action for loss of consortium was initially available when the injury was intentionally inflicted, and only gradually extended to cases of negligence. Research yielded no case adopting a new cause of action for loss of consortium in which the legal injury resulted from conduct governed by the law of strict liability. Because the courts have analyzed and endorsed the validity of loss of consortium recovery in the negligence context, the issue becomes whether the policies and ra- tionales underlying strict tort liability are distinct enough to justify a different result. B. The Manufacturer's Strict Liability in Tort Unhke the doctrine of loss of consortium, strict products liability is of relatively recent origin. ^^ MacPherson v. Buick Motor Co.,^^ decided in 1916, is often noted as the father of modern products liability actions. MacPherson *s abrogation of the privity requirement in negUgence actions" was a major development in the evolution of the doctine. Yet the difficult task of proving the negligence of an often remote manufacturer still confronted the plaintiff. ^^ Thus, the courts often resorted to the doctrine of res ipsa loquitur which permitted at least an inference of negligence from the presence of a defective product on the market. ^^ A leading re ipsa case, Escola v. Coca-Cola Bottling Co. ,^^ provided the opportunity for Justice Traynor to enunciate the concept of strict 30. Ekalo V. Constructive Serv. Corp., 46 NJ. 82, 215 A.2d 1, 8 (1965). See also Swartz V. United States Steel Corp., 293 Ala. 439, , 304 So. 2d 881, 883-87 (1974) (the court rejected each of the six arguments contending that allowance of the wife's claim would: (1) ignore the state constitution; (2) repudiate the doctrine of stare decisis; (3) violate the doctrine of separation of powers by judicial invasion of the legislative function; (4) create the possibility of double recovery for a single injury; (5) allow an extension of causes of actions to all persons who suffer a loss when a loved one has been injured; and (6) cause difficulties in assessing damages). 31. For a history of products Hability, see generally R. Epstein, Modern Products Liability Lavv^ (1980); Prosser, Assault Upon the Citadel, supra note 3. 32. 217 N.Y. 382, 111 N.E. 1050 (1916). 33. Id. at , 111 N.E. at 1053. 34. See Prosser, Assault Upon the Citadel, supra note 3, at 1114. 35. See, e.g., Gordon v. Aztec Brewing Co., 33 Cal. 2d 514, 532, 203 P.2d 522, 524-35 (1949). See generally Jaffe, Res Ipsa Loquitur Vindicated, 1 Buffalo L. Rev. 1, 13 (1951). 36. 24 Cal. 2d 453, 150 P.2d 436 (1944). 826 INDIANA LAW REVIEW [Vol. 22:3 liability in tort in a concurring opinion issued in 1944. Traynor stated that *'it should now be recognized that a manufacturer incurs an absolute liability when an article that he has placed on the market, knowing that it is to be used without inspection, proves to have a defect that causes injury to human beings. "^^ In justification, Traynor noted the realities of modern manufacturing and marketing as well as the manufacturer's potential to increase product safety and the availability of insurance.^* He presented a strong argument for the idea that the manufacturers, as a group and an industry, should absorb the inevitable losses which result from the use of their products, because they are in a better position to do so.^^ Thus, it was pubUc policy which prompted the manufacturer's liability. A number of legal scholars agreed with Traynor's reasoning and urged the judicial creation of strict tort liability."^ However, no American court adopted such a rule until 1963 in Greenman v. Yuba Power Products, InCy"^^ when Justice Traynor wrote for a unanimous court. The court in Greenman held that **[a] manufacturer is strictly liable in tort when an article he places on the market, knowing that it is to be used without inspection for defects, proves to have a defect that causes injury to a human being. '"^^ Further, the court noted the policy that the costs of injuries resulting from defective products should be borne by the manufacturers who market them rather than by the consumers who are powerless to protect themselves. "^^ Other jurisdictions rapidly adopted the "loss shifting" theory enunciated in Escola and adopted in Greenman. The courts manifested a unified purpose—to protect the consumer'^—and thus the strict tort liability concept developed with the goal of making it easier for consumers to obtain compensation."*^ The rapid acceptance of Greenman was aided by the American Law Institute's adoption of section 402A of the Restatement (Second) of 37. Escola, 24 Cal. 2d at 461, 150 P.2d at 440 (Traynor, J., concurring). 38. Id. at , 150 P.2d 440-4L 39. See Prosser, Assault Upon the Citadel, supra note 3, at 1120. 40. See, e.g.. Green, Should the Manufacturer of General Products Be Liable Without Negligence?, 24 Tenn. L. Rev. 928 (1957); James, General Products—Should Manufacturers Be Liable Without Negligence?, 24 Tenn. L. Rev. 923 (1957); Noel, Manufacturers of Products—The Drift Toward Strict Liability, 24 Tenn. L. Rev. 963 (1957); Prosser, Assault Upon the Citadel, supra note 3; Wilson, Products Liability Part 1: The Protector of the Injured Person, 43 Calif. L. Rev. 614 (1955). 41. 59 Cal. 2d 57, 377 P.2d 897, 27 Cal. Rptr. 697 (1963). 42. Greenman, 59 Cal.2d at 60, 377 P.2d at 900, 27 Cal. Rptr. at 700. 43. Id. 44. See Vandall, supra note 4, at 715. 45. Id. at 710. 1989] MANUFACTURER'S LIABILITY 827 Torts'*^ two years later. The new section provided for the "special liability of sellers of products for physical harm to users or consumers.'*'*^ However, the drafting of section 402A began well before the judicial recognition of strict tort liability in Greenman. In 1961, the Reporter for the Restatement, Dean William Prosser, introduced the original version of section 402A to the American Law Institute (ALI)/^ This draft indicated that a seller would be strictly liable for '^bodily harm"^^ resulting from the sale of impure food for human consumption.^^ How- ever, after noting that many jurisdictions had recently extended the rule to products intended for intimate bodily use, the ALI voted to corre- spondingly enlarge the scope of section 402A.^' Yet the second draft of section 402A," which was accepted at the 1962 ALI meeting, ^^ still contained the provision that the seller would be subject to liability for '^bodily harm. "5^ In 1964, although much of the Restatement (Second) of Torts was at the printer, Prosser resubmitted section 402A to the ALI due to the 46. Section 402A provides: (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 (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. Restatement (Second) of Torts § 402A (1977). 47. This is the title of § 402A. See Restatement, supra note 46, § 402A. 48. See 38 A.L.I. Proc. 49-58 (1961). 49. See id. at 64. "[A]s long as the section is limited to food, we are Hmiting it to personal injury—injury to the body." Id. 50. Restatement (Second) of Torts (Tent. Draft No. 6, at 24 (1961)). "One engaged in the business of selling food for human consumption who sells such food in a defective condition unreasonably dangerous to the consumer is subject to liability for bodily harm thereby caused to one who consumes it . ..." /c/. (Emphasis added). 51. See A.L.I. Proc, supra note 48, at 75. In addition, the movement toward strict liability for all products was recognized through the use caveats. Id. at 85-86. 52. Restatement (Second) of Torts (Tent. Draft No. 7, at 1 (1962)). "One engaged in the business of selling food for human consumption or other products for intimate bodily use, who sells such a product in a defective condition unreasonably dangerous to the consumer, is subject to liability for bodily harm thereby caused to one who consumes it . . . ." /