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CONFIDENTIAL

Apr. 26, 1997

Personal Injury (Non-Vehicular)
Product Liability
Heavy Equipment Accident

Confidential

Settlement –  $1,007,500

Judge

Jan Pluim

Court

USDC Central


Attorneys

Plaintiff

Mark J. Peacock

Bruce M. Brusavich
(Abir, Cohen, Treyzon & Salo LLP)


Defendant

Elliott D. Olson

Gary K. Kwasniewski


Experts

Plaintiff

Joyce Elaine Pickersgill
(technical)

Paul J. Glasgow
(technical)

Sandra Schneider
(technical)

Jerry L. Hildreth
(technical)

John B. Sevart
(technical)

John M. Howard
(technical)

Russ Henke
(technical)

Robert O. Kelley
(medical)

Edwin C. Amos M.D.
(medical)

Defendant

Paul R. Lees-Haley
(medical)

Roger Wilson
(technical)

Allan L. Dorris
(technical)

Charles Hanson
(technical)

Lawrence Miller M.D.
(medical)

Edward M. Caulfield
(technical)

James J. Bauer
(technical)

Diane Atkins
(technical)

Charles H. Breeden
(technical)

G. Michael Morris
(technical)

Facts

On April 7 and 8, 1995, in the late evening/early morning, the plaintiff, a 40-year-old heavy equipment and back-hoe operator, was part of a three-man crew that was finishing road repairs in downtown Los Angeles. A back-hoe manufactured by the defendant was left unattended with the engine running. As the plaintiff approached to place a five-gallon bucket on the back-hoe bucket, the bucket flew into the cab of the tractor, hitting the boom swing control lever. This caused the boom to swing, crushing the plaintiff against a raised outrigger. A homeless person found the plaintiff and obtained help. The plaintiff brought this action against the defendant manufacturer based on strict products liability and negligence theories of recovery.

Settlement Discussions

The plaintiff made a settlement demand for $1.8 million. The defendant made a settlement offer of $100,000.

Specials in Evidence

$175,597.94 (paid by workers' compensation) $75,000 $400,000 $200,000 (per the defendant), $75,000 (per the plaintiff)

Injuries

The plaintiff alleged he sustained crushing of his upper right shoulder and chest, resulting in the loss of his right major arm above the elbow from vascular compromise, as well as chronic pain syndrome.

Other Information

A mediation was held on Oct.10, 1996 before Myron Stuart Pessin of the United States Arbitration & Mediation Inc., of Boston, which eventually led to the reported settlement.


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