Court Opinion

ID: 8899726
Source: CourtListenerOpinion
Date Created: 2022-11-27 00:52:33.62173+00
Date Added: 2024-06-11T17:07:45.149840
License: Public Domain

SNEED, Circuit Judge
(concurring):
I concur in the foregoing opinion. It is necessary, however, to observe that this circuit has not in all instances denied recovery for an economic loss in actions based on negligence. See Union Oil Co. v. Oppen, 501 F.2d 558 (9th Cir. 1974). Judge Renfrew, however, in this case was correct in holding that the injury set forth in Counts Two and Three is the failure of the insulation purchased by the plaintiffs to meet their expectations in terms of performance. 391 F.Supp. at 971-72. Compensation for such an injury requires the existence of an undertaking by the seller that his goods will meet such expectations. A cause of action based on such an undertaking sounds in contract, not tort.