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Torts Keyed to Prosser
Erie Ins. Co. v. Amazon.com
Citation:
925 F.3d 135Facts
Dream Light, a manufacturer of headlamps, had an agreement where it shipped its inventory to Amazon.com (“Amazon”) (defendant). Once an order was received online for the product, Amazon would retrieve the headlamp from the inventory, box it, and ship it to the purchaser. One day in Maryland, Trung Cao purchased a headlamp on the Amazon website. Amazon packaged and shipped the headlamp to Cao using a third-party shipper, UPS Ground. Cao gave the headlamp to one of his friends as a gift. The headlamp’s batteries malfunctioned and it caused the friends’ home to catch on fire. The insurer of the home, Erie Insurance Company (“Erie”) (plaintiff), had to pay the $300,000 in damages to the house. Erie sued Amazon to obtain reimbursement. Erie alleged negligence, breach of warranty, and strict liability in tort. Amazon contended that it was not the “seller.” Erie, however, argued that Amazon took so much control over the transaction that it effectively became the seller. Amazon moved for summary judgment and the trial court granted the motion. Erie appealed.
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