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Case Notes

By David R. Geiger

MA Federal Court Holds 'Economic Loss Doctrine' Does Not Bar Claim for Breach of Implied Warranty

In Sharp v. Hylas Yachts, Inc., 2013 WL 4517181 (D. Mass. Aug. 26, 2013), the owner of a luxury yacht sued its manufacturer after the yacht broke down on multiple occasions, requiring significant expense to perform repairs and design modifications to fix the alleged defects. The lawsuit, brought in the United States District Court for the District of Massachusetts, asserted claims for negligence, breach of express and implied warranties, breach of contract and violation of Mass. Gen. L. ch. 93A (the Massachusetts unfair and deceptive practices statute) and sought damages for loss of use, costs of repair and other additional expenses. The suit did not allege any personal injury or damage to property other than the yacht itself.

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