Case Details: ATCO Energy Solutions Ltd. (Plaintiff) vs. Energy Dynamics Ltd. and others (Defendants); Citation: 2024 ABKB 162.

Background: The case involves a dispute over defective pistons manufactured by Energy Dynamics (EnDyn) that were used in ATCO's natural gas storage facility's engine, leading to an incident on July 22, 2014. The engine failure resulted from the piston fracturing into multiple pieces.

Legal Claims: ATCO filed for damages against EnDyn for negligent design, manufacture, assembly of the pistons, and failure to warn of dangerous defects. EnDyn countered, denying negligence and attributing any losses to the negligence of ATCO and others involved in the maintenance and installation of the pistons.

Court's Findings:

• Duty of Care: The court found that EnDyn did owe a duty of care to ATCO in the manufacture of the pistons.
• Breach of Standard of Care: EnDyn breached its standard of care by failing to ensure the pistons were free from defects that could cause significant damage.
• Causation: ATCO proved that four pistons were negligently manufactured and defective; however, it failed to prove these defects caused the specific incident or the extent of the claimed damages.
• Damages: The court awarded damages only for the replacement cost of the four defective pistons, totaling $18,992.03, plus interest, significantly less than the initially claimed $322,155.73.