Paint Failure
Case Study

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You will be amazed how often companies experience paint failures that could easily be prevented. In the past several years I have been asked to give consulting or expert witness testimony in legal cases where either the customer or the vendor has failed to provide a detailed specification for a coating or coating process. 

Here is one example. For obvious reasons, I won’t identify the exact problem or the name of the parties involved. 

Case Study: A customer (CUS) wanted to purchase hundreds of components that were to be powder coated.  He placed the order with a distributor (D), but he did not give D a specification, nor tell him exactly what environmental conditions the product would need to withstand.  Since D had worked with CUS for many years, it was assumed that D knew what was needed.  The coated product would be installed into the ground where it would need to withstand the elements for many years.

D in turn sent the uncoated products to a powder coating job shop (JS) and simply asked that they be coated in a specific color.  D apparently assumed that JS would know what type of resin system and film thickness would be required for this type of product.  Moreover, D pressured JS do everything possible to keep the costs down, because the product was being sold into a very price-sensitive market.

JS in turn coated the products with a polyester powder coating and applied approximately 2 mils to the surfaces.  Since no specification had been given to him, he was not all that concerned about film thickness, and allowed it to drift from 1.8 – 2.2 mils.

After CUS received the coated products he installed them outdoors in his usual manner.  Three years later CUS found that the products were corroding prematurely.  Apparently, D had given him a 5 year warrantee, (either verbally or in writing, I don’t know which), but JS had never been told about such a warrantee.  Subsequently, CUS sued both D and JS for damages.

I don’t know how the case settled, and I’ll let you make your own judgment in the case.  Needless to say this expensive law suite could quite easily have been avoided if CUS had told D what physical, chemical and environmental conditions the product was expected to withstand.  Instead, he simply assumed that D knew under what conditions the products were to be used.  Similarly, D assumed that when JS bid on the coating job he would immediately know what type of surface preparation, resin system, dry film thickness, etc. should be used for this type of product.  By the same token, JS, who had been in the business of powder coating for many years didn’t insist on a specification.  He wanted the job and gave JS what he asked for; namely a coated product that looked attractive and was relatively inexpensive for a price-sensitive market.

Who was to blame?  Since I’m not a lawyer or a judge, I must leave that decision to the legal profession, but it does seem that all three parties were somewhat naive.  In my opinion CUS and D should have had the sense to define more precisely what they wanted JS to provide.  Although one might argue that JS did what he was asked; namely, coat the product in the desired color and at the lowest cost, he should have anticipated that if the coating failed, he would be held responsible.  Even if D didn’t give him a specification, JS should at least have asked for something in writing indicating that color and cost were the only important parameters.

This case is not atypical.  As a consultant I receive a surprising number of calls from lawyers who are handling cases of a similar nature.

Therefore, if you are the customer, I urge you to be specific about your performance requirements, environmental conditions in which the product will be used, and anything else that allows your vendor to know what needs to be done.  America is a litigious society and you will want to be able to place the responsibility on your vendor if the coating fails prematurely.  On the other hand, if you are a vendor, I urge you to get your customer to be specific about his/her expectations.  Remember, no matter how careful you are in your coating process, if the coating fails you will be blamed.  Count on it!  You might be able to pass the responsibility onto your coating supplier, but YOU will also be part of the law suite.  That’s the way it works.

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