GIDDINGS & LEWIS v. INDUSTRIAL RISK

Nos. 2009-SC-000485-DG, 2009-SC-000825-DG.

348 S.W.3d 729 (2011)

GIDDINGS & LEWIS, INC. (A Wisconsin Corporation), et al., Appellants/Cross-Appellees, v. INDUSTRIAL RISK INSURERS (An Unincorporated Association), et al., Appellees/Cross-Appellants.

Supreme Court of Kentucky.

June 16, 2011.


Attorney(s) appearing for the Case

John Lewis Tate , Jason Patrick Thomas , Jamie Kristin Neal , Stites & Harbison, PLLC, Louisville, KY, Counsel for Appellants/Cross-Appellees.

Richard C. Roberts , Whitlow, Roberts, Houston & Straub, PLLC, Paducah, KY, James J. Bigoness , Edward M. Kay , Kimberly A. Hartman , Clausen Miller P.C., Chicago, IL, Counsel for Appellees/Cross-Appellants.


Opinion of the Court by Justice ABRAMSON.

The "economic loss rule" prevents the commercial purchaser of a product from suing in tort to recover for economic losses arising from the malfunction of the product itself, recognizing that such damages must be recovered, if at all, pursuant to contract law. Twenty-five years ago, when the United States Supreme Court unanimously adopted the economic loss rule as a common-law aspect...

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