Wilmot Shaw, Plaintiff v. Psychemedics Corporation, Defendant.

Summary

The South Carolina Supreme Court answered a certified question affirmatively, holding that a drug‑testing laboratory that contracts with an employer owes a duty of care to the employees it tests, thereby permitting a negligence cause of action for inaccurate testing. The Court based its decision on the laboratory’s contractual relationship with the employer, foreseeability of economic harm, and public policy considerations.