U.S. Supreme Court Reverses $2.7M In Damages Against Goodyear

U.S. Supreme Court Reverses $2.7M In Damages Against Goodyear

Last week, the U.S. Supreme Court unanimously decided to reverse the $2.74 million in damages against the tiremaker and the two attorneys who represented the company.

From Tire Review

Goodyear Tire & Rubber Co. will no longer owe $2.7 million in damages for its alleged misconduct following a product liability lawsuit from two couples injured in a motor home accident.

Last week, the U.S. Supreme Court unanimously decided to reverse the $2.74 million in damages against the tiremaker and the two attorneys who represented the company.

The original case started in 2003 when two couples were injured after their motor home swerved and flipped over on an Arizona highway. In 2005, the couples sued Goodyear, claiming the accident was caused by a faulty original equipment Goodyear G159 tire on the motor home. The couple alleged in the lawsuit that the tire shouldn’t have been mounted on the motor home.

Goodyear settled in April 2010, but the tiremaker and its attorneys were sued again in November 2012 with the couples’ lawyer claiming Goodyear withheld relevant evidence of tests that showed the G159 tire became abnormally hot at 55 to 65 mph.

An Arizona federal district court judge then ordered Goodyear and its attorneys to pay $2.74 million in attorney fees and court costs to the couples. The U.S. Court of Appeals for the Ninth Circuit upheld the district court decision in July 2015.

One of Goodyear’s attorneys then appealed to the Supreme Court, which reversed the damages decision on April 18, finding that the two lower courts should not have ordered Goodyear to pay legal fees other than those that were specifically from the tiremaker’s alleged misconduct.

“A sanctioning court must determine which fees were incurred because of, and solely because of, the misconduct at issue, and no such finding lies behind the $2.7 million award made and affirmed below,” Justice Elena Kagan wrote.

Justice Neil Gorsuch was not involved in the Supreme Court’s ruling.

You May Also Like

Dayco Initiates R&D Project on Rubber in Manufacturing

Dayco submitted an R&D project focusing on the reuse of devulcanized rubber in the design of auto parts.

Dayco rubber study R&D

Dayco has passed the preliminary phase of the "Automotive Innovation Agreements DD 10/10/2022" (MIMIT: Ministry of Industries and Made in Italy). Dayco submitted an R&D project entitled "The circular economy in the rubber industry: the re-use of devulcanized rubber in the design of components and in their production process," as part of its mission to reduce the environmental impact.

Advance Looks to Spin Off Worldpac, Canadian Business

Advance is taking steps to improve its cost structure and return the business to profitable growth, company executives said.

Advance auto parts store
GPC Reports Q3 Results, Updates Full-Year Outlook

Paul Donahue, chairman and CEO, said GPC’s Q3 was highlighted by double-digit earnings growth.

AutoZone Reports 6% Increase in Fiscal Q4 Sales

Domestic same-store sales for the fourth quarter, which ended Aug. 26, were up 1.7%.

Donaldson Reports Q4 Earnings, Record FY 2023

The company’s aftermarket sales are projected to increase by mid-single digits, the company said.

Other Posts

Tire Industry CEOs Commit to Sustainability Work Plan

CEOs from 10 global tire manufacturers are committing to efforts to research tire emissions.

WESTAR Releases Drive Unit Mounts for EVs

The company released 19 new mounts, all for EV applications.

Section 301 Tariffs & Circumvention: A Closer Look

There’s buzz suggesting that these tariffs are likely here to stay, possibly with even steeper charges on specific items.

Edelmann Elite Releases Universal Coolers

The coolers bring OE-quality, improved performance and easy installation to the aftermarket.