Products Liability Law Daily Wrap Up, CHOICE OF LAW—CHEMICAL PRODUCTS—Wash. Sup. Ct.: Washington Supreme Court upholds jury's $185M verdict against Pharmacia in PCB exposure case, (Nov 4, 2025)

By Wendy Biddle, J.D.

Court reverses appellate decision, applying Missouri law to repose and punitive damages while Washington law governs liability in complex choice-of-law dispute.

The Washington Supreme Court has reinstated a substantial jury verdict against Pharmacia LLC in a product liability case involving three public school teachers who became ill after exposure to polychlorinated biphenyls (PCBs) in an aging school building. The court partially reversed the Court of Appeals, holding that Missouri law applies to both the statute of repose and punitive damages issues, while Washington's product liability act governs the substantive elements of liability (Erickson v. Pharmacia LLC, No. 103135-1 (Wash. Sup. Ct. Oct. 30, 2025)).

The case stems from injuries suffered by Kerry Erickson, Michelle Leahy, and Joyce Marquardt, who taught at Sky Valley Education Center (SVEC) in Monroe, Washington, between 2011 and 2016. The school occupied buildings constructed in 1967-1968, when PCB-containing materials were commonly used in caulking and light ballasts. All three teachers developed serious health problems and retired due to declining health attributed to PCB exposure.

After a seven-week trial in June 2021, a jury awarded the teachers $15 million, $17 million, and $18 million in compensatory damages respectively, plus $45 million each in punitive damages. The jury found Pharmacia liable under Washington's product liability act (WPLA) on all four claims: design defect, construction defect, failure to warn at the time of sale, and postsale failure to warn.

Monsanto Company, Pharmacia's predecessor, began manufacturing PCBs in 1935 after purchasing Swann Chemical Company. The company operated from its St. Louis, Missouri headquarters, where its medical department, sales, marketing, and public relations divisions were located. Scientific testing in the 1930s confirmed that PCB exposure posed risks of systemic toxic effects. The EPA banned PCB manufacture in 1979 after identifying severe toxic effects on humans and wildlife.

The primary legal dispute centered on choice of law. The trial court determined that Missouri law should govern the statute of repose and punitive damages, while applying the WPLA to liability elements. The Court of Appeals reversed, concluding that Washington's statute of repose was "claim-defining" and inseparable from the WPLA, and that the verdict form improperly failed to require the jury to specify which liability theory supported punitive damages.

Chief Justice Stephens, writing for the majority, affirmed Washington's long-standing choice-of-law methodology established in Johnson v. Spider Staging Corp., 555 P.2d 997 (Wash. Sup. Ct. 1976). Under this framework, courts must apply the law of the state with the most significant relationship to each particular issue when laws conflict. The court emphasized that this issue-by-issue analysis applies equally to statutes and common law.

Regarding the statute of repose, the court found no evidence that the WPLA contains a legislative directive requiring exclusive application of Washington law to all WPLA claims. The court noted that the WPLA was enacted five years after Johnson established Washington's choice-of-law principles, and the statute expressly preserves common law except where modified. The court found that without clear evidence of legislative intent, statutes are presumed to leave ordinary choice-of-law principles untouched.

Applying the most significant relationship test, the court concluded that Missouri has a stronger interest in applying its law on repose. Pharmacia's tortious conduct—including design, manufacturing decisions, and failure to warn—occurred primarily at its Missouri headquarters. The court noted that Pharmacia could not have reasonably expected protection under the WPLA's statute of repose, as it ceased PCB production in 1977, four years before the WPLA's enactment. Additionally, Washington has minimal interest in protecting an out-of-state corporation through its statute of repose, which was primarily intended to protect retail businesses located within Washington while preserving consumers' rights to recover for injuries.

On punitive damages, the court similarly held that Missouri law applies. Missouri permits punitive damages when a defendant shows "complete indifference to or conscious disregard for the safety of others," while Washington law generally prohibits punitive damages unless authorized by statute. The court emphasized that the place of tortious conduct is the most significant factor for punitive damages, as Missouri's law aims to punish and deter misconduct occurring within its borders.

The court rejected Pharmacia's argument that applying different states' laws to liability and damages would create an impermissible "Frankenstein's monster." The court found that the jury properly found liability under the WPLA and then applied Missouri's heightened standard for punitive damages. Because the jury instructions required findings consistent with both Washington and Missouri law, the verdict form was sufficient without requiring the jury to specify which liability theory supported punitive damages.

The court also addressed the admissibility of expert testimony from industrial hygienist Kevin Coghlan, who estimated historic PCB exposure levels using two back-calculation methods. The court held that both methods satisfied the Frye standard for scientific evidence and Evidence Rule 702. Coghlan's use of partition coefficients to back-calculate air concentrations from carpet samples and his use of protection factors derived from remediation studies were found to be generally accepted methodologies in industrial hygiene.

The Supreme Court reversed the Court of Appeals decision that a new trial was warranted. It reinstated the jury’s verdict and remanded to the trial court for further proceedings consistent with the opinion.

The case is No. 103135-1.

Judge: Stephens, D.

Attorneys: Sean Gamble (Friedman Rubin PLLP) for Kerry L. Erickson. Jennifer Lynn Campbell (Bryan Cave Leighton Paisner LLP) for Pharmacia LLC.

Companies: Pharmacia LLC

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