On 28 September 2023, the Tennessee Supreme Court held that the economic loss doctrine (ELD) “only applies in products liability cases and should not be extended to other claims.” After years of confusion and guessing by the lower courts and federal district courts in the state, the Court in Commercial Painting Company, Inc. v. The Weitz Company, LLC, et al. (Weitz) declined to extend the ELD and clarified that it does not apply to contracts for services, including construction contracts.Read More
By Michael P. Cotton, K&L Gates, Pittsburgh
In its July 8, 2015 opinion, the Superior Court of Pennsylvania held that design professionals are potentially subject to liability for negligent misrepresentation claims when it is alleged that their design documents negligently included false information via implicit representations. Gongloff Contracting, L.L.C. v. L. Robert Kimball & Associates, Architects & Engineers, Inc., 119 A.3d 1070 (Pa. Super. 2015). In so doing, the Superior Court clarified the scope of Section 552 of the Restatement (Second) of Torts and found that the Section does not require a design professional to make an explicit negligent misrepresentation of a specific fact for a third party to recover economic damages.