The Subrogation Strategist

Statutes of repose establish a legislature’s determination of when defendants should be free from liability. As set forth in Nevada Revised Statute (NRS) 11.202, the statute of repose for construction improvements in Nevada is six years after “substantial completion.” In Somersett Owners Ass’n v. Somersett Dev. Co., 492 P.3d 534 (Nev. 2021), the Supreme Court of Nevada (Supreme Court) discussed when a construction improvement is substantially complete, as defined by the common law, for purposes of NRS 11.202. Because the plaintiff did not establish that its suit was filed within six years of when the rockery walls at issue were substantially complete, the Supreme Court affirmed the decision of the court below.Continue Reading

In Schueler v. Ad Art, No. 75688-COA, 2020 Nev. App. LEXIS 6, the Court of Appeals of Nevada recently considered whether a custom-made sign constituted a “product” for purposes of the doctrine of strict products liability. The court held that the sign ­­–– a large MGM Grand (MGM) sign located atop a 150-foot tall steel pylon –– was a product for the purposes of strict products liability. Thus, the court held that Ad Art, Inc. (Ad Art), who designed, engineered, and managed the production and installation of the sign, could be held strictly liable for injuries to Charles Schueler (Schueler), a service worker who fell and sustained serious injuries.Continue Reading

In the United States, to prove a products liability claim based upon a design defect, the plaintiff must either meet: (1) the consumer-expectation test, or (2) the risk-utility test, depending upon the jurisdiction. Although Nevada has historically followed the consumer-expectation test, in a recent decision the Supreme Court of Nevada evaluated whether to adopt the more stringent risk-utility test. Ultimately, the court rejected adoption of the risk-utility test and reaffirmed its prior precedent holding that a plaintiff need only meet the consumer-expectation test. See Ford Motor Company v. Trejo, 2017 Nev. LEXIS 90 (September 27, 2017).Continue Reading