Airlift International, Inc. v. McDonnell Douglas Corporation Douglas Aircraft Company McDonnell Douglas Finance Corporation and the Deutsch Company

During maintenance procedures, Airlift’s DC-8 airliner exploded. In a diversity action Airlift sued McDonnell Douglas, the manufacturer of the airplane, and Deutsch, the manufacturer of the component fuel boost pump connector assembly alleged to be the cause of the explosion. In defense to Airlift’s negligence, strict liability, and warranty claims, McDonnell Douglas asserted Article 14, the general warranty and disclaimer clause of the aircraft purchase agreement. Deutsch also asserted that defense.

Defendants’ initial motions for summary judgment were denied without prejudice. The parties then stipulated to bifurcation of the trial to try separately the validity of the exculpation clause.

After trial of that issue to the court, defendants renewed their summary judgment motions. Following trial and in response to those motions, the district court held the exculpation clause a perfect defense to the negligence and strict liability claims. It granted summary judgment on Airlift’s breach claims on the grounds that the breach of implied warranty claim had been waived and that the express warranty had not been breached.

DISCUSSION

I. Bifurcation of Trial

The district court did…