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Yetter Coleman Obtains Take-Nothing Verdict For Equipment Manufacturer In Breach of Warranty Trial

Yetter Coleman client, GE Oil & Gas, Inc., has obtained a take-nothing ruling by Federal District Judge Nancy F. Atlas in connection with a breach of warranty case that had been brought against it by Berge Helene Ltd., the operator of a large floating oil production, storage, and offloading (FPSO) vessel off the coast of West Africa.

Berge Helene had sued GE, the equipment manufacturer, for breach of express and implied warranties for compressors sold to a third party, and had sought  damages of more than $52 million plus exemplary damages for a $600,000 equipment sale.  GE had no contract with the ultimate user and was several parties removed from it in the contractual chain.

After a five-week trial, the district court entered a take-nothing judgment on all claims brought by Berge Helene, holding that contractual privity is required for warranty actions under maritime law.  Paul Yetter led the trial team, which included Collin Cox, Pamela Hohensee, Doug Griffith, Wendie Childress, Debbie Karakowsky, and Jane Ray.  Read opinion here.