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May 7, 2025

State Supreme Court clarifies exemption of tort claims from economic loss rule

See more on State Supreme Court clarifies exemption of tort claims from economic loss rule

Rattagan v. Uber Technologies, Inc.

State Supreme Court clarifies exemption of tort claims from economic loss rule
From left: Alana H. Rotter, Cynthia E. Tobisman, Jeffrey E. Raskin and Laura Lim. Photo Credit: Justin Stewart

Contracts, torts

Cynthia E. Tobisman, Alana H. Rotter, Laura Lim, Jeffrey E. Raskin, Greines, Martin, Stein & Richland LLP

A long-standing common law rule in California barred economically injured parties in contractual relationships from suing for torts and collecting large damages awards, including punitives. The so-called economic loss rule limited such suits to much lower-value claims for breach of contract only.

Now -- thanks to t...

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