Sikkelee Round Two: Federal Aviation Law Vs. State Tort Law Rematch

In Short

The Situation: The Third Circuit decided Sikkelee II, a closely watched case involving preemption in the aviation context.

The Outcome: A divided Third Circuit held, 2-1, that federal aviation law did not "conflict preempt" state tort claims asserting aircraft design defects. To the majority, the facts suggested the manufacturer was aware of the purported issue and discussed it with the Federal Aviation Administration ("FAA") but did not seek FAA approval to address it. The dissent reasoned (correctly in our view) that since manufacturers cannot alter engine designs without FAA approval, impossibility preemption rightly applied.

Looking Ahead: Despite Sikkelee II, aircraft manufacturers should still assert conflict-preemption defenses in future litigation because: (i) Sikkelee II is narrow and fact-based and does not create a categorical rule; (ii) other circuits have not definitively addressed conflict preemption in aviation cases; and (iii) the decision did not address "obstacle" conflict preemption.

In April 2016, the Third Circuit shifted the landscape of aviation law by holding, in Sikkelee v. Precision Airmotive Corp., 14-4193 (Sikkelee I), that federal aviation law does not occupy the field of aircraft design, leaving room for state tort liability. Sikkelee I, however, left important questions unanswered: What happens when state tort law conflicts with federal aviation law, thereby creating a "conflict preemption" situation? Must conflicting state law yield to federal law under conflict-preemption principles?

On October 25, 2018, the Third Circuit addressed these questions in the highly anticipated Sikkelee II, 17-3006. In a split 2-1 decision, the court held that federal aviation law, under unique facts presented on summary judgment, did not conflict preempt state tort claims alleging aircraft design defects. While not the result for which manufacturers advocated, Sikkelee II is a narrow, fact-based decision leaving ample room for future preemption defenses.

Background

David Sikkelee perished in 2005 when his Cessna 172N airplane crashed. His spouse sued numerous defendants, bringing Pennsylvania tort claims alleging design defects in the Cessna's carburetor. While defendants initially obtained summary judgment on their field-preemption defense, Sikkelee I reversed, allowing the plaintiff's claims to proceed using state standards of care, subject to traditional principles of conflict preemption.

The defendants took this cue...