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GERALD M. MOORE AND SON, INCORPORATED, PLAINTIFF-APPELLEE, v. JOSEPH S. DREWRY, JR., DEFENDANT-APPELLANT, DREWRY AND ASSOCIATES, INCORPORATED, DEFENDANT.

MURNAGHAN, Circuit Judge:

Joseph S. Drewry, Jr. (Drewry) was president of Drewry and Associates, Inc. (D A), which entered a contract with Gerald M. Moore Son, Inc. One question presented was whether Drewry, as president of D A and the engineer who performed the work called for, was liable for the purely economic losses resulting from the negligent performance of the contract.

The question was certified to the Supreme Court of Virginia which held that "in the absence of privity, a person cannot be held liable for economic loss damages caused by his negligent performance of a contract." Hence "the certified question was answered in the negative."

Accordingly, the opinion holding Drewry individually liable under the economic loss doctrine is REVERSED.

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GERALD M. MOORE AND SON, INC. v. DREWRY
(Apr 22, 1996)