Buchalter litigators Steven Di Saia, Paul Alarcon, and Bree Oswald obtained a favorable summary judgment ruling on behalf of Solar Turbines, Inc., a subsidiary of Caterpillar Inc., in an arbitration, arising from a turbine explosion at a landfill power generation facility in Michigan. The turbine, which converted landfill gas into electricity, had been substantially modified by the owners of the facility and had been continually operated for over a decade, despite numerous warnings by Solar Turbines concerning the safety risks posed by their alterations and the need for upgrades to correct the issues presented. In granting the motion, Arbitrator Eugene L. Bass held that (1) Plaintiff lacked standing to pursue its causes of action under the non-assignment clause of the controlling agreement; (2) Plaintiff’s causes of action had expired, pursuant to the agreement; (3) Solar Turbines did not owe a contractual or tort duty to warn Plaintiff; and (4) regardless of the lack of a duty, Solar had properly warned of the risks that ultimately caused the explosion. The Arbitrator further ruled that Solar Turbines was entitled to recovery of its costs for arbitration. Plaintiff alleged damages relating to repair and replacement costs, loss of business, operating costs, and interest totaling up to $5,000,000 in damages. Please join us in congratulating Buchalter’s Product Liability Practice!
