Tom Hals

(Reuters) – As the number of COVID-19 lawsuits in America rises, companies fear that a California court decision will increase the chances of their company being sued for infection. This applies even to customers and employees.

Dec. 21 was the date that See’s Candies Inc, Berkshire Hathaway (NYSE) allowed a wrongful Death lawsuit to be filed against it by Arturo Ek from Los Angeles. Arturo Ek died in April 2020 at 72 years old after suffering COVID-19.

See employed Matilde Ek as his wife. She claimed she contracted the coronavirus working in close proximity to sick colleagues, then it was caught at home by her husband.

Appeals courts are the first to grant a COVID-19 “take-home”, COVID-19 lawsuit. This suits seeks damages for a business that violates safety protocols and sets off an infection chain beyond company premises.

See’s did not reply to an inquiry for comment and could appeal to California’s supreme Court.

Legal experts stated that although the See’s decision is binding only in California, it could provide guidance for judges in other states.

Business groups warned in court papers filed before the See’s decision that such a ruling could prompt lawsuits by an infected employee’s family and friends, and anyone infected by that circle of people.

They called it “a never-ending chain of liability.”

Business interests convinced at least 30 states, including those in take-home, to create laws to make COVID-19 cases more difficult. These laws often require the plaintiff to demonstrate gross negligence.

California was not one of these states.

“The appellate court’s ruling could open up California employers to frivolous COVID-related lawsuits that will further dampen the ability of small businesses in particular to recover,” said Kyla Christoffersen Powell, the president of Civil Justice Association of California, a business group.

A couple from California, who were both construction workers, brought the case to an appeals court in San Francisco. A similar suit against Victory Woodworks Inc. is being revived by the couple.

At least 23 COVID-19 take-home lawsuits have been filed in the United States. These cases are still early. Defendants are Amazon.com Inc (NASDAQ) and Walmart (NYSE) Inc. Royal Caribbean Cruises Ltd., Conagra Brands(NYSE:) Inc. and Pilgrim’s Pride(NASDAQ:), an associate of a meat producer JBS SA (OTC:).

These lawsuits allege negligence in regard to COVID-19 protocols. For example, employees were transported into company vans and symptomatic workers kept in dorms. Infected persons were not screened before they entered a workplace. These lawsuits are filed on behalf of spouses and the children of employees who died or were put on ventilators.

Six of the six lawsuits against Southwest Airlines (NYSE 🙂 Co have been dropped. Six, including two against McDonald’s Corp, (NYSE 🙂 Co, appear to have led to a private settlement according Stephen Jones, general counsel at Praedicat Inc. Praedicat Inc evaluates risk for insurance companies.

Employees aren’t the only ones affected. Royal Caribbean’s Celebrity Cruise Line was sued by a federal judge in Miami over a COVID-19 epidemic on a cruise ship. The outbreak infected two people who then brought the disease home with them. They are expected to start mediation this month.

Jones stated that until a jury verdict is rendered, it will not be possible to predict if there will inevitably be an explosion in cases.

This ruling by See helped resolve a question about take-home COVID-19 cases. It found that workers’ compensation does not protect employers from being sued by lawsuits. It provides fast payments and does not require workers to prove their fault.

California Court of Appeal Second Appellate District ruled that Arturo Ek died because of his wife’s role as a conduit for virus. See had contended that her death was independent of his wife’s disease.

Judge Ek must accept that See’s family still owes duty to employees and their families. In cases against Southwest Airlines and an Illinois meat processing firm, as well as a Maryland hospital, plaintiffs failed to prove that.

Plaintiffs need to show that the take-home COVID-19 case is connected in order for them to prevail.

Amberly Morgan of Fisher Phillips, an attorney who defends employers, stated that it would be necessary for an employee to travel to work.