Regional Gas & Electric Company v. Turbine Manufacturer

Our client, a turbine manufacturer, contracted with a regional gas & electric company for the sale, construction, and installation of a turbine generator and associated equipment for use at one of its power stations.  The gas & electric company filed a suit seeking in excess of $1 million, alleging that during installation, our client failed to properly install the generator and that the generator suffered substantial damage when certain parts broke. Plaintiff asserted claims for negligence and breach of contract.  We obtained summary judgment for the Defendant, arguing the contract and the economic loss rule precluded all of Plaintiff's claims. The Sixth Circuit Court of Appeal upheld summary judgment.