The Subrogation Strategist

In L’Oreal USA, Inc. v. Burroughs, 372 Ga. App. 30, 2024 Ga. App. LEXIS 250, the Court of Appeals of Georgia (Appellate Court) considered whether Georgia’s ten-year statute of repose for products liability precluded strict liability and/or negligence claims where the product, allegedly causing injury, was first purchased more than 10 years ago, but new containers of the same product were purchased within the last 10 years. The Appellate Court found that the “first sale” triggers the products liability statute of repose.

In Burroughs, Kiara Burroughs (Burroughs) alleged that she continuously used chemical hair relaxers from the age of six to twenty-five. In 2018, Burroughs was diagnosed with uterine fibroids, which caused her significant health problems. In October 2022, a scientific health study was released finding an association between chemical hair relaxers and uterine cancers. On October 27, 2022, Burroughs filed her original complaint, including claims for strict liability, negligence, and failure-to warn against L’Oreal USA, Inc. and others (collectively, Defendants). Defendants filed a Motion to Dismiss based, in part, on the statute of repose.Continue Reading

In Jewels by Iroff, Inc. v. Securitas Tech. Corp., No. 1:23-CV-556-TWT, 2023 U.S. Dist. LEXIS 172391, a Georgia federal court addressed a suit against a security/alarm company arising from a break-in at a jewelry store where the thieves stole over $1 million in jewelry. The court addressed numerous provisions in the alarm company’s contract – such as a waiver of subrogation, exculpatory and limitation of liability provision – and concluded that the provisions were enforceable. Thus, the court dismissed the plaintiff’s complaint (although it gave the plaintiff the opportunity to try and amend its complaint to state a cause of action).

In February 2022, a break-in occurred in Alpharetta, Georgia at Jewels by Iroff, Inc. (Iroff). Iroff’s insurer, Jewelry Mutual Insurance Company (Insurer), reimbursed Iroff for more than $1.2 million in losses following the incident. Insurer then filed a subrogation action against Iroff’s alarm security contractor, Securitas Tech. Corp. (Securitas), alleging gross negligence, breach of contract and fraudulent misrepresentation.Continue Reading

For all cases filed after May 13, 2022, Georgia has amended its apportionment of fault statute, O.C.G.A. § 51-12-33. The amendment affects subsection (b), which formerly stated that in actions brought against “more than one person for injury to person or property,” the amount of damages awarded, after taking a reduction for the plaintiff’s percentage of fault, shall be apportioned among the person or persons liable according the each person’s percentage of fault. It also eliminated joint liability and the right of contribution. The amended subsection (b) now applies to actions brought “against one or more persons,” thus allowing courts to apply the statute to single-defendant lawsuits.Continue Reading

In Maynard v. Snapchat Inc., No. S21G0555, 2022 Ga. LEXIS 68, the Supreme Court of Georgia reversed and remanded an appellate court decision that dismissed the popular mobile app Snapchat from suit. Plaintiffs Wentworth and Karen Miller (collectively, Plaintiffs) were struck by a driver who was allegedly using the popular social media app at the time of the accident. More specifically, the Plaintiffs alleged the driver was using the Snapchat “Speed Filter” feature, which displays and records your speed on camera. Users can then send video messages to friends that display the speed you were traveling at the time the video was taken. The Plaintiffs alleged that the app was negligently designed and Snapchat was at fault for promoting unsafe driving through use of the Speed Filter.Continue Reading