Justia U.S. 7th Circuit Court of Appeals Opinion Summaries

Jessica Gehner was implanted with a Cook Medical inferior vena cava (IVC) filter in Ohio. She later experienced abdominal pain, and a CT scan in March 2013 revealed that the filter had perforated her IVC. Her doctors recommended the filter's removal, which occurred in April 2013, but a fragment was left behind due to the filter fracturing. Gehner filed a lawsuit in May 2016 against Cook Incorporated, Cook Medical LLC, and William Cook Europe APS, alleging products liability and implied warranty claims. The defendants argued that her claims were time-barred under Ohio’s two-year statute of limitations.The United States District Court for the Southern District of Indiana granted the defendants' motion for judgment on the pleadings, which was converted to a summary judgment motion. The court concluded that Gehner's claims were time-barred, as she was informed by her doctors in March 2013 that the IVC filter caused her injury, starting the statute of limitations clock. Gehner contended that she was unaware of the defect until 2016 when her mother saw a television commercial about defective IVC filters.The United States Court of Appeals for the Seventh Circuit reviewed the case de novo. The court held that under Ohio law, the statute of limitations for product liability claims begins when the plaintiff is informed by competent medical authority of an injury related to the product or when the plaintiff should have known of the injury through reasonable diligence. The court found that Gehner was aware of her injury and its relation to the IVC filter by April 2013 at the latest. The court rejected Gehner's argument that the statute of limitations should start when she learned of the defect, noting that awareness of the injury itself was sufficient to start the clock. The court affirmed the district court's summary judgment in favor of the defendants, concluding that Gehner's claims were indeed time-barred. View "Gehner v. Cook Medical, LLC" on Justia Law

Jason Beckner, employed by Commercial Air, Inc., was injured while working on a construction site in Zionsville, Indiana. Commercial Air had rented a crane and operator from Maxim Crane Works, L.P. for a day to lift roof trusses. Beckner claimed that the crane operator, Emmitt Pugh, caused his injury through negligent operation. Beckner and his wife sued Maxim Crane for negligence, asserting vicarious liability.The case was initially filed in Indiana state court but was removed to the United States District Court for the Southern District of Indiana based on diversity jurisdiction. Maxim Crane moved to dismiss the case, arguing that Indiana’s Worker’s Compensation Act barred the suit because Pugh was a co-employee of Beckner. The district court denied the motion to dismiss but later granted summary judgment in favor of Maxim Crane, ruling that Pugh was also employed by Commercial Air, making the Worker’s Compensation Act Beckner’s exclusive remedy.The United States Court of Appeals for the Seventh Circuit reviewed the case. The court found that genuine issues of material fact existed regarding whether Pugh was an employee of Commercial Air. The court noted conflicting evidence about who controlled Pugh’s work and whether Commercial Air believed it employed Pugh. The court applied both the seven-factor test from Hale v. Kemp and the ten-factor test from Moberly v. Day, concluding that factual disputes precluded summary judgment.The Seventh Circuit vacated the district court’s judgment and remanded the case for further proceedings to resolve these factual issues. View "Beckner v. Maxim Crane Works, L.P." on Justia Law

RCBA Nutraceuticals, LLC, a Florida-based nutritional supplements company, contracted with Western Packaging, Inc. for the manufacture of plastic zipper pouches to hold its protein powder. These pouches were produced by PolyFirst Packaging, Inc. in Wisconsin, which was later acquired by ProAmpac Holdings, Inc. The pouches were shipped to companies in New York and Texas for filling. RCBA discovered that the pouches were defective, with seams splitting and spilling the protein powder, leading to a lawsuit against ProAmpac in federal court in Wisconsin. RCBA's claims included breach of contract, breach of implied warranties, negligence, civil conspiracy, and fraudulent misrepresentation.The United States District Court for the Eastern District of Wisconsin dismissed RCBA’s complaint. The court found that the claims were "foreign" under Wisconsin’s borrowing statute, WIS. STAT. § 893.07, and applied the statutes of limitations from New York and Texas for the contract claims, and Florida for the negligence claim. The court concluded that the contract claims were time-barred under the four-year statutes of limitations of New York and Texas, and the negligence claim was time-barred under Florida’s statute of limitations. The remaining tort claims were precluded by the economic loss doctrine. RCBA’s motion to reconsider was denied, with the court ruling that RCBA had waived its equitable arguments by not raising them earlier.The United States Court of Appeals for the Seventh Circuit affirmed the district court’s dismissal. The appellate court agreed that the final significant event for the contract claims occurred where the defective pouches were delivered, in New York and Texas, making the claims foreign and subject to those states' statutes of limitations. The court also upheld the district court’s decision to deny the motion to reconsider, noting that RCBA had waived its equitable arguments by not presenting them in response to the motion to dismiss. The court concluded that RCBA’s claims were either time-barred or precluded. View "RCBA Nutraceuticals, LLC v. ProAmpac Holdings, Inc." on Justia Law

Henry Beverly, a financial analyst at Abbott Laboratories, took a personal leave of absence during which he began working for Cook County without informing Abbott. His leave was extended twice, but when he requested a third extension, Abbott had already filled his position and terminated his employment. Beverly sued Abbott, alleging racial discrimination and defamation, among other claims.The United States District Court for the Northern District of Illinois granted summary judgment in favor of Abbott on some of Beverly’s claims, including those related to his termination, while allowing others to proceed to trial. The jury found in favor of Abbott on the remaining claims. Beverly appealed, challenging several pretrial, trial, and post-trial rulings.The United States Court of Appeals for the Seventh Circuit reviewed the case and affirmed the district court’s decisions. The appellate court held that the reduction in Beverly’s job duties did not amount to a constructive discharge and that Abbott’s reason for terminating Beverly’s employment was not pretextual. The court also upheld the district court’s mid-trial judgment as a matter of law on Beverly’s defamation claim, finding that the statement in question was a non-actionable opinion. Additionally, the appellate court found no abuse of discretion in the district court’s trial rulings, including those related to impeachment attempts and the exclusion of certain evidence. The court concluded that Beverly’s arguments did not warrant a new trial and affirmed the district court’s judgment in full. View "Beverly v. Abbott Laboratories" on Justia Law

Derek Mesenbring, an employee of Industrial Fumigant Company, LLC (IFC), died after inhaling a toxic dose of methyl bromide at work. His widow, Melissa Mesenbring, sued IFC and its parent company, Rollins, Inc., for wrongful death. Rollins, as IFC's parent company, had some authority over IFC's revenue goals and certain expenditures, and also leased IFC's facility. However, IFC managed its own day-to-day operations, including safety and regulatory departments, and trained its employees on the safe use of fumigants like methyl bromide.The case was initially filed in Illinois state court but was moved to federal court under diversity jurisdiction. Mrs. Mesenbring dismissed IFC from the suit due to workers' compensation benefits she was receiving, leaving Rollins as the sole defendant. Rollins moved for summary judgment, arguing that it was not liable for IFC's acts under Illinois law. The district court granted Rollins' motion, ruling that Rollins did not specifically direct an activity that made the accident foreseeable, nor did it control or participate in IFC's use of and training on methyl bromide, thus foreclosing direct participant liability. Mrs. Mesenbring appealed this decision.The United States Court of Appeals for the Seventh Circuit affirmed the district court's decision. The appellate court agreed that under Illinois law, a parent company is not liable for the acts of its subsidiary unless it specifically directs an activity where injury is foreseeable. The court found that Rollins did not surpass the level of control typical of a parent-subsidiary relationship and did not specifically direct or authorize IFC's use of or training on methyl bromide. Furthermore, there was no evidence that Rollins foresaw that safety would be compromised as a result of its budgetary restrictions over IFC. Therefore, the court concluded that Rollins could not be held liable for IFC's acts under a theory of direct participant liability. View "Mesenbring v. Rollins, Inc." on Justia Law

The case involves Continental Indemnity Company (Continental) and its attempt to collect a default judgment against BII, Inc. (BII) from Starr Indemnity & Liability Company (Starr), BII's insurer. Continental had paid a workers' compensation claim for an employee injured at a construction site where BII was a subcontractor. Continental then sought reimbursement from BII, which had failed to maintain its own workers' compensation insurance. When BII did not pay, Continental secured a default judgment against BII and sought to collect from Starr under Illinois garnishment procedures.The district court in the Northern District of Illinois dismissed the garnishment proceeding against Starr, finding that it lacked subject matter jurisdiction. The court reasoned that the dispute over the scope of coverage under the Starr-BII insurance policy was too distinct from the underlying suit between Continental and BII. Continental appealed this decision to the United States Court of Appeals for the Seventh Circuit.The Seventh Circuit affirmed the district court's decision. The court found that the garnishment proceeding introduced new factual and legal issues, making it essentially a new lawsuit. The court explained that while federal courts have ancillary enforcement jurisdiction to consider proceedings related to an underlying suit, the subject of those proceedings must still be sufficiently related to the facts and legal issues of the original action. In this case, the court found that the garnishment proceeding fell outside the scope of ancillary enforcement jurisdiction. The court suggested that Continental could file a new civil action against Starr to litigate the dispute over the insurance policy's coverage. View "Continental Indemnity Company v. BII, Inc." on Justia Law

The case revolves around Denis Navratil, his wife Dimple Navratil, and their business, Dimple’s LLC, who filed a lawsuit against the City of Racine and Mayor Cory Mason. The lawsuit was based on several constitutional claims and a defamation claim against Mason. The core of the claims was the city's decision not to grant an emergency grant to Dimple’s LLC because Denis had attended a rally protesting the statewide “Safer at Home Order” that limited public gatherings, travel, and business operations to combat the COVID-19 pandemic. The rally was a violation of the Safer at Home Order and a permit required for holding rallies at the State Capitol had been denied due to the pandemic.The case was initially heard by a magistrate judge who granted summary judgment for both defendants on all claims. The plaintiffs appealed this decision.The United States Court of Appeals for the Seventh Circuit affirmed the lower court's decision. The court found that Denis's attendance at the rally was not protected First Amendment activity because the rally was prohibited by two valid time, place, and manner restrictions—the Safer at Home Order and the state permit requirement. The court also rejected the plaintiffs' equal protection claims, finding no evidence of political animus or similarly situated comparators. The court further dismissed the plaintiffs' due process claims, finding no deprivation of any constitutionally protected property or liberty interest. Lastly, the court found that Mayor Mason's statements were substantially true or pure opinion and thus not actionable under defamation law. View "Denis Navratil v. City of Racine" on Justia Law

The case involves three plaintiffs, Xingjian Sun, Xing Zhao, and Ao Wang, who sued their professor, Gary Gang Xu, for various allegations. Sun and Zhao, former students at the University of Illinois at Urbana-Champaign, accused Xu of sexual and emotional abuse. Wang, a professor at Wesleyan University, posted online that Xu had a history of sexually assaulting students. In response, Xu allegedly posted negative comments about Wang and sent a letter to his employer. Xu counterclaimed, asserting a defamation claim against Sun and claims for intentional infliction of emotional distress against all three plaintiffs.The case was tried in the United States District Court for the Central District of Illinois, where a jury found in favor of Xu on all issues and awarded him damages against Sun and Wang. The plaintiffs appealed, arguing that the district court erred in denying their motion for judgment as a matter of law regarding Xu’s intentional infliction of emotional distress counterclaims. They also contended that the district court erred in denying their motion for a new trial, based on the court’s decision to admit evidence that Sun had a relationship with another professor.The United States Court of Appeals for the Seventh Circuit reversed the judgment in favor of Xu on his counterclaim against Wang, finding that no reasonable jury could find Wang's conduct extreme and outrageous under Illinois law. However, the court affirmed the judgment in favor of Xu on his counterclaim against Sun, concluding that a reasonable jury could find that Sun's conduct met the requirements for intentional infliction of emotional distress. The court also affirmed the district court's denial of the plaintiffs' motion for a new trial. View "Sun v. Xu" on Justia Law

The case revolves around a patient, Tommy Harris, who contracted bacterial sepsis due to repeated infections from his dialysis treatment at a clinic in Belleville, Illinois. Harris filed a malpractice lawsuit against the operators of the clinic and later included a claim against Durham Enterprises, Inc., the janitorial company responsible for cleaning the facility. The case primarily concerns Durham’s insurance coverage. Durham submitted the lawsuit to Ohio Security Insurance Company, its insurer, which denied coverage based on the insurance policy’s exclusion for injuries caused by fungi or bacteria. Harris and Durham then negotiated an agreement in which Durham promised not to mount a defense and Harris promised to seek recovery only from the insurer. The state trial judge granted a motion to sever Harris's claim against Durham and set it for a bench trial. The judge held a short, uncontested bench trial and entered judgment against Durham for more than $2 million.Ohio Security was not a party to the state court proceedings and the insurance policy was not in the record. However, the consent judgment includes findings on insurance issues, notably, that the insurer breached its duty to defend and is estopped from asserting any policy defenses. After the judgment became final, Harris filed an amended complaint purporting to add Ohio Security as a defendant. Ohio Security removed the action to federal court and sought a declaration of its coverage obligations. The district court held that the bacteria exclusion precludes coverage.In the United States Court of Appeals for the Seventh Circuit, Harris and Durham jointly appealed, challenging the no-coverage ruling but also raising a belated challenge to subject-matter jurisdiction under the Rooker–Feldman doctrine. The court found the jurisdictional argument meritless, as the Rooker–Feldman doctrine does not block federal jurisdiction over claims by nonparties to state-court judgments. The court also affirmed the district court's ruling that the policy’s bacteria exclusion precludes coverage for this loss. View "Mitchell v. Durham Enterprises, Inc." on Justia Law

The plaintiff, Richard Rodgers, a prisoner with a history of scoliosis and back pain, had steel rods implanted in his back prior to his incarceration. During his time in prison, the rods broke, but this went undetected for over a year due to two radiologists misreading his x-rays. The prison's primary care physician, Dr. William Rankin, discovered the broken rods and arranged for corrective surgery. Rodgers sued the radiologists and Dr. Rankin, alleging violation of his Eighth Amendment rights.The district court dismissed Rodgers' claims against the radiologists, finding that he did not state a viable constitutional claim against them. The court allowed Rodgers to proceed against Dr. Rankin but eventually granted summary judgment in his favor. The court found that Rodgers had not provided evidence that would allow a reasonable jury to find that Dr. Rankin had violated the Eighth Amendment by acting with deliberate indifference toward Rodgers' serious medical condition.The United States Court of Appeals for the Seventh Circuit affirmed the district court's judgment. The court agreed that Rodgers' allegations against the radiologists amounted to no more than negligence, which is insufficient to state a viable Eighth Amendment claim. Regarding Dr. Rankin, the court found that the evidence would not support a reasonable finding that he acted with deliberate indifference to Rodgers' serious medical condition. The court noted that Dr. Rankin was the one who discovered the radiologists' errors and arranged for Rodgers' corrective surgery. View "Rodgers v. Rankin" on Justia Law