Buggsi, Inc. v. Chevron U.S.A., Inc.

857 F. Supp. 1427, 25 Envtl. L. Rep. (Envtl. Law Inst.) 20147, 39 ERC (BNA) 1526, 1994 U.S. Dist. LEXIS 10591, 1994 WL 383216
CourtDistrict Court, D. Oregon
DecidedJuly 19, 1994
DocketCiv. 92-1379-FR
StatusPublished
Cited by14 cases

This text of 857 F. Supp. 1427 (Buggsi, Inc. v. Chevron U.S.A., Inc.) is published on Counsel Stack Legal Research, covering District Court, D. Oregon primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Buggsi, Inc. v. Chevron U.S.A., Inc., 857 F. Supp. 1427, 25 Envtl. L. Rep. (Envtl. Law Inst.) 20147, 39 ERC (BNA) 1526, 1994 U.S. Dist. LEXIS 10591, 1994 WL 383216 (D. Or. 1994).

Opinion

OPINION

FRYE, District Judge:

The matter before the court is the motion of the defendant, D.B. Anderson, Inc., for summary judgment (# 45).

UNDISPUTED FACTS

Since the 1920’s, the Petroleum Bulk Storage and Distribution Plant (the Bulk Plant) in La Grande, Oregon has been used to store and dispense gasoline and diesel fuel. At a prior time, underground storage tanks were used to store the fuel; however, all of these underground storage tanks have been removed from the site. Gasoline and diesel fuel are also stored and dispensed on properties adjacent to the Bulk Plant, such as service stations, and, until 1991, a lumber facility.

In April of 1980, D.B. Anderson, Inc. (D.B. Anderson) purchased the Bulk Plant from Chevron, U.S.A., Inc. (Chevron). In the late 1970’s and early 1980’s, groundwater contamination caused by petroleum was discovered in an area southeast of the Bulk Plant. The Department of Environmental Quality of the State of Oregon (the DEQ) concluded in 1981 that the major source of the contamination was the Bulk Plant.

Groundwater contamination caused by petroleum has been a problem beneath the property of the plaintiff, Buggsi, Inc. (Buggsi), since 1983. The flow of the groundwater in the area of Buggsi’s property is generally east/southeast along the former stream channel deposits.

As a result of the groundwater contamination, and with the agreement of the DEQ, Chevron performed remediation in the vicinity of the Bulk Plant. This clean-up operation ended in 1982 with the approval of the DEQ. Chevron has continued to monitor the site for groundwater contamination.

In September of 1988, Buggsi purchased property about 400 feet easVsoutheast from the land containing the Bulk Plant and approximately 1,000 feet from the Bulk Plant itself.

Buggsi built a motel on one part of its property, and, in 1990, Buggsi contracted to sell another part of its property to Pizza Hut. Buggsi intended to use the profits from the sale of the property to Pizza Hut to expand the motel that occupies the remainder of the property. Pizza Hut and Buggsi obtained environmental assessments (EA’s) of the property in 1991, which revealed that the groundwater under the property was contaminated by petroleum products. The sale to Pizza Hut was not completed.

In April of 1993, a vapor extraction system was installed in the vicinity of the Bulk Plant by the Pacific Environmental Group at the behest of Chevron. On March 14, 1994, no benzene was found in the groundwater beneath Buggsi’s property.

On March 18, 1993, Buggsi gave notice of its intent to file suit against D.B. Anderson under the notice provisions of the CERCLA, 42 U.S.C. § 9659(a)(1), and the RCRA, 42 U.S.C. § 6972(b)(2)(A).

On April 22,1993, Buggsi filed a complaint against Chevron and D.B. Anderson. On August 12, 1993, Buggsi filed a second amended complaint alleging five claims: (1) trespass; (2) nuisance; (3)(a) common law negligence; (3)(b) negligence per se; (4) citizen suit under the RCRA; and (5) strict liability under the Oregon Superfund.

APPLICABLE STANDARD

Summary judgment should be granted only if “the pleadings, depositions, answers to interrogatories, and admissions on file, together with the affidavits ... show that there is no genuine issue as to any material fact and that the moving party is entitled to a judgment as a matter of law.” Fed.R.Civ.P. 56(c). The burden to establish the absence of a material issue of fact for trial is on the moving party. British Airways Bd. v. Boeing Co., 585 F.2d 946, 951 (9th Cir.1978), cert. denied, 440 U.S. 981, 99 S.Ct. 1790, 60 L.Ed.2d 241 (1979). This burden “may be discharged by ‘showing’ ... that there is an absence of evidence to support the nonmov-ing party’s case.” Celotex Corp. v. Catrett, *1430 477 U.S. 317, 325, 106 S.Ct. 2548, 2554, 91 L.Ed.2d 265 (1986). The burden shifts to the nonmoving party to “go beyond the pleadings and ... designate ‘specific facts showing that there is a genuine issue for trial.’” Id. at 324, 106 S.Ct. at 2553.

Assuming there has been adequate time for discovery, summary judgment should then be entered against “a party who fails to make a showing sufficient to establish the existence of an element essential to that party’s case, and on which that party will bear the burden of proof at trial.” Id. at 322, 106 S.Ct. at 2552. All inferences drawn from the underlying facts must be viewed in the light most favorable to the nonmoving party. United States v. Diebold, Inc., 369 U.S. 654, 655, 82 S.Ct. 993, 993, 8 L.Ed.2d 176 (1962). When different ultimate inferences can be reached, summary judgment is not appropriate. Sankovich v. Life Ins. Co. of N. Am., 638 F.2d 136, 140 (9th Cir.1981). Finally, summary judgment is inappropriate where credibility is at issue. Credibility issues are appropriately resolved only after an eviden-tiary hearing or full trial. SEC v. Koracorp Indus., 575 F.2d 692, 699 (9th Cir.), cert. denied, 439 U.S. 953, 99 S.Ct. 348, 58 L.Ed.2d 343 (1978).

CONTENTIONS OF D.B. ANDERSON

D.B. Anderson contends that this court should summarily grant judgment in its favor on the following grounds: (1) Buggsi did not comply with the mandatory notice provisions of the RCRA, 42 U.S.C. § 6972; (2) there is no evidence of an imminent and substantial endangerment as required by the RCRA; (3) the Bulk Plant is not an ultrahazardous activity which can support common law claims for trespass and nuisance; and (4) the common law claims are barred by O.R.S. 12.115.

D.B. Anderson also contends that Buggsi has not produced any evidence of a causal connection between the operations of D.B. Anderson and the alleged contamination on Buggsi’s property which connection is required in order to support Buggsi’s common law claims of trespass, nuisance and negligence.

ANALYSIS AND RULING

1. The Notice Requirement of the RCRA, ¡¡.2 U.S.C. § 6972(b)(2)(A)

D.B. Anderson argues that this court has no jurisdiction to proceed because the complaint was not timely filed. D.B. Anderson relies on 42 U.S.C.

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857 F. Supp. 1427, 25 Envtl. L. Rep. (Envtl. Law Inst.) 20147, 39 ERC (BNA) 1526, 1994 U.S. Dist. LEXIS 10591, 1994 WL 383216, Counsel Stack Legal Research, https://law.counselstack.com/opinion/buggsi-inc-v-chevron-usa-inc-ord-1994.