Thursday, February 03, 2000
House passes cap on makers' liability
BY PAUL BARTON
Enquirer Washington Bureau
WASHINGTON — A bill designed to protect Cincinnati's machine-tool industry and other makers of durable goods from liability on aging equipment passed the House Wednesday.
“It will (help protect) thousands of manufacturing jobs, not only in Cincinnati but across the country,” said Rep. Steve Chabot, R-Cincinnati, principal sponsor of the bill.
The measure passed 222-194, although President Clinton is likely to veto it.
There are more than 11,000 machine-tool jobs in Ohio, including more than 7,000 in the Cincinnati area.
The bill prohibits lawsuits for property damage and personal injury relating to the use of the aging machine tools and other equipment in factories. Machine tools are equipment and goods that are used to make consumer products.
Such suits would be prohibited if the incident occurred more than 18 years after the delivery of the machine tools to the original purchaser. The limitation would not apply to workers who are ineligible for workers' compensation.
In many cases, Mr. Chabot contends, decades-old factory equipment is resold and modified without the manufacturer's knowledge. As a result, he said, liability claims relating to them are potentially endless.
“This modest proposal is critically needed to encourage economic growth, maintain the competitiveness of American durable goods manufacturers and keep U.S. manufacturing jobs from moving overseas,” Mr. Chabot said.
But many criticized the potential effect the bill could have on workers.
“We have left workers out to dry,” said Rep. Stephanie Tubbs Jones, D-Ohio.
The Association of Trial Lawyers of America also opposed the bill.
“It restricts rights of workers and shifts costs from the machine tool industry to other manufacturers through workers' compensation,” said Carlton Carl, spokesman for the trial lawyers. “It is grossly unfair.”
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