Robert John Gulden v. Crown Zellerbach Corporation, a Nevada Corporation, Gregory Steele v. Crown Zellerbach Corporation, a Nevada Corporation

A transformer failure released a toxic level of polychlorinated biphenyls (PCBs) onto the floor of Crown Zellerbach’s mill in West Linn, Oregon. After three attempts by hazardous waste specialists failed to reduce the PCB level to nontoxic levels, Crown Zellerbaeh ordered employees Robert Gulden and Gregory Steele to finish the cleanup by scrubbing the floor while on their hands and knees without protective clothing. Both workers acquired body levels of PCBs beyond that considered safe. They filed separate diversity-based suits in federal district court. The district court granted summary judgment to Crown Zel-lerbach on Gulden’s and Steele’s causes of action, holding their battery claims to be preempted by the Oregon workers’ compensation scheme. The court rejected Steele’s fraud claim as preempted by section 301 of the Labor Management Relations Act. We consolidated Gulden’s and Steele’s appeals and reverse.

I.

The district court granted summary judgment for Crown Zellerbaeh on Gulden’s and Steele’s causes of action for battery on the ground there was no evidence Crown Zellerbaeh intended to injure Gulden and Steele and therefore workers’ compensation was their exclusive…