Nebraska's Statute of Limitations on Product Liability Claims: Understanding § 25-224

In personal injury law, product liability is one of the most critical areas. When defective products cause injury or damage, victims often seek justice through legal channels. However, one essential factor in any product liability case is timing. In Nebraska, the statute that governs the timeline for filing product liability claims is § 25-224. This statute outlines when an action must be filed, how statutes of repose apply, and exceptions for certain types of claims, such as those involving asbestos.

In this article, we’ll explore Nebraska’s statute of limitations on product liability claims, explain the concept of statutes of repose, and discuss how these legal deadlines can impact your case. Whether you’re a consumer injured by a faulty product or an attorney representing a client, understanding the intricacies of § 25-224 is crucial to ensuring that your case is handled within the legal timeframe.

Key Provisions of Nebraska’s § 25-224

Nebraska's § 25-224 addresses both the statute of limitations and statutes of repose in product liability cases. Here’s a breakdown of the key provisions:

  1. General Statute of Limitations (Subsection 1):
    • The general rule for product liability claims is that they must be brought within four years after the injury, death, or damage occurs. This is standard for most personal injury and product liability actions.
  2. Statute of Repose (Subsection 2):
    • Nebraska imposes a statute of repose on product liability claims. This means that, regardless of when the injury occurred, a claim must be filed within a certain timeframe after the product was first sold or leased for use or consumption.
    • For products manufactured in Nebraska, the action must be filed within 10 years after the product was first sold or leased for use or consumption.
    • For products manufactured outside of Nebraska, the statute of repose applies according to the laws of the state or country where the product was manufactured, but in no event can the time allowed be less than 10 years.
  3. Exceptions to the Statute of Repose:
    • Asbestos-related claims: Subsection (5) of the statute provides a specific exception for injuries caused by asbestos exposure. In these cases, the action must be filed within four years after the injured person is informed by competent medical authority that their injury was caused by asbestos exposure, or within four years after the discovery of facts that would reasonably lead to such a conclusion.
  4. Indemnity and Contribution Actions:
    • Subsection (3) clarifies that the limitations in subsections (1), (2), or (5) do not apply to indemnity or contribution actions brought by manufacturers or sellers of a product against others who may be liable for all or part of a judgment.

Statutes of Repose vs. Statutes of Limitations

To fully understand § 25-224, it’s important to distinguish between two key legal concepts: statutes of limitations and statutes of repose.

  • A statute of limitations sets a deadline for filing a lawsuit based on when the injury, damage, or wrongful act occurs. In Nebraska, the statute of limitations for product liability claims is four years from the date of injury.
  • A statute of repose, on the other hand, sets a deadline for filing a lawsuit based on when the product was first sold or delivered for use. The statute of repose serves as an absolute bar to claims brought after a certain number of years, regardless of when the injury occurred.

For example, if a consumer purchases a lawnmower in 2000, and the statute of repose is 10 years, any product liability claim must be filed by 2010, even if the injury doesn’t happen until 2011. This is designed to give manufacturers some level of certainty about their liability for older products.

In Nebraska, the 10-year statute of repose applies to products manufactured both in and out of the state, with some variation depending on the laws of the state or country where the product was made.

Real-World Examples of Nebraska’s Product Liability Statute of Repose

Let’s look at a few examples to illustrate how the statute of repose could affect a product liability case in Nebraska:

Example 1: A Defective Car Part

Imagine a consumer in Nebraska purchases a car in 2012. In 2022, the consumer suffers an injury due to a defective airbag that fails to deploy. Under § 25-224, the consumer must file a product liability claim within four years of the injury, which would give them until 2026 to file their lawsuit.

However, the statute of repose limits the time to bring a claim to 10 years from when the product was first sold or leased. If the car was first sold in 2012, the statute of repose would bar any product liability claim after 2022, regardless of when the injury occurred. In this case, even though the consumer was injured in 2022, they would be barred from filing a claim because the 10-year statute of repose had already expired.

Example 2: Refurbished Machinery

The Nebraska Supreme Court addressed the issue of refurbished products in Divis v. Clarklift of Nebraska, Inc., 256 Neb. 384 (1999). In this case, the court held that if a product has been refurbished, it may be considered a “new product,” which would restart the statute of repose. However, the refurbishing must significantly lengthen the product’s useful life to be considered a new product.

For example, if a forklift sold in 2000 is refurbished in 2015 to the point where its useful life is extended by several years, the statute of repose may be reset. A product liability claim could then be brought within 10 years of the refurbishing date, meaning the consumer would have until 2025 to file a claim, even if the original statute of repose would have barred a claim in 2010.

Asbestos Claims and Product Liability

Subsection (5) of § 25-224 provides a specific exception for asbestos-related claims. Asbestos is a known carcinogen, and exposure to asbestos can cause severe and often fatal diseases such as mesothelioma and lung cancer. These diseases may not manifest until years or even decades after exposure, which complicates product liability claims.

Under the statute, the time for filing an asbestos-related claim is four years from when the injured person is informed by a medical authority that their injury was caused by asbestos exposure. Alternatively, the claim can be filed within four years after the discovery of facts that would reasonably lead to the discovery of the asbestos-related injury.

This is a significant departure from the general four-year statute of limitations for product liability claims, as it recognizes the delayed onset of diseases caused by asbestos. It also ensures that injured individuals are not unfairly barred from seeking compensation for injuries that may take years to become apparent.

Constitutional Challenges to § 25-224

Nebraska's product liability statute has faced several constitutional challenges, particularly with respect to the 10-year statute of repose. Plaintiffs have argued that the statute violates the Due Process and Equal Protection Clauses of both the Nebraska and U.S. Constitutions by denying access to the courts for individuals who are injured by products after the statute of repose has expired.

However, the Nebraska Supreme Court has upheld the constitutionality of the statute. In Gillam v. Firestone Tire & Rubber Co., 241 Neb. 414 (1992), the court ruled that the statute of repose does not violate due process or equal protection rights, nor does it violate the Nebraska Constitution’s provision guaranteeing access to the courts. The court reasoned that the statute strikes a reasonable balance between the rights of consumers and the need for manufacturers to have certainty about their potential liability.

Similarly, in Radke v. H.C. Davis Sons’ Mfg. Co., 241 Neb. 21 (1992), the court reaffirmed the constitutionality of the 10-year statute of repose, holding that it does not violate the U.S. or Nebraska Constitutions.

Impact of Nebraska’s Product Liability Laws on Consumers and Manufacturers

For consumers, Nebraska’s § 25-224 can have significant consequences. If you are injured by a defective product, it’s essential to be aware of both the statute of limitations and the statute of repose. While you may have four years from the date of injury to file a claim, the 10-year statute of repose may bar your claim if the product was sold or leased more than 10 years ago.

For manufacturers, the statute of repose provides a level of certainty and protection. After 10 years, manufacturers can have confidence that they will not face product liability lawsuits for injuries caused by their products, except in cases involving asbestos or other specific exceptions.

Conclusion: Understanding Your Rights Under Nebraska’s Product Liability Statute

Nebraska’s § 25-224 is a critical statute for anyone involved in a product liability case, whether as a consumer, a manufacturer, or an attorney. The four-year statute of limitations for product liability claims is standard, but the 10-year statute of repose adds an additional layer of complexity, particularly for products that have been in use for many years.

If you’ve been injured by a defective product, it’s essential to act quickly to ensure that your claim is filed within both the statute of limitations and the statute of repose. At Ironclad Injury Law, we are committed to helping our clients navigate the complexities of product liability law and ensuring that they receive the compensation they deserve.

Contact us today for a free consultation to discuss your case and learn more about your legal options.

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