Torts/Personal Injury,
California Supreme Court,
9th U.S. Circuit Court of Appeals
Aug. 23, 2024
California Supreme Court clarifies exemption of tort claims from economic loss rule
The court's previous decision in Robinson Helicopter v. Dana Corp. left unanswered the question of whether fraudulent concealment claims could be exempted from the rule.
The state Supreme Court has answered a certified question from the 9th U.S. Circuit Court of Appeals, clarifying the application of the state's economic loss rule to claims of fraudulent concealment arising from conduct during a contractual relationship.
The court ruled that such claims can be exempt from the rule, pending a plaintiff's ability to establish it independently of any contractual rights and responsibility and prove any risk of harm is more than purely economic...
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