Dash Point Village Associates v. Exxon Corp.

937 P.2d 1148, 86 Wash. App. 596, 1997 Wash. App. LEXIS 2166
CourtCourt of Appeals of Washington
DecidedJune 9, 1997
Docket36382-4-I
StatusPublished
Cited by29 cases

This text of 937 P.2d 1148 (Dash Point Village Associates v. Exxon Corp.) is published on Counsel Stack Legal Research, covering Court of Appeals of Washington primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Dash Point Village Associates v. Exxon Corp., 937 P.2d 1148, 86 Wash. App. 596, 1997 Wash. App. LEXIS 2166 (Wash. Ct. App. 1997).

Opinion

Grosse, J.

After gasoline from an Exxon station contaminated the groundwater below a neighboring shopping *599 center owned by Dash Point, 1 a jury found Exxon liable under the Model Toxics Control Act (MTCA) and awarded Dash Point its costs and expenditures for remediation of the shopping center property. On appeal, Exxon does not dispute its liability for the cleanup of the Dash Point property. Rather it claims that the trial court erred (1) by failing to make a determination of whether Dash Point’s remedial actions were substantially equivalent to a state-supervised cleanup operation, (2) by apportioning all the damages to Exxon, (3) by its award of litigation expenses, and (4) by its reliance on Dash Point’s segregation between the successful MTCA claims and the unsuccessful common law claims in awarding attorney fees. We affirm.

FACTS

Under the MTCA, a past or present property owner is liable for the cleanup and damages to the environment caused by the release of toxic substances. 2 In 1989, a MTCA environmental complaint was filed with the Department of Ecology (DOE) reporting contaminated leakage from underground storage tanks at Exxon’s gas station. Exxon admitted that the groundwater under its property contains concentrations of petroleum hydrocarbons exceeding MTCA cleanup standards. The contamination was caused by overspills and by the removal of gasoline storage tanks. Exxon eventually initiated a cleanup of its property.

The Dash Point Shopping Village is located next to the Exxon station. In 1990, during a pending sale of the shopping center, a study revealed contaminants in its ground *600 water. Exxon refused to acknowledge responsibility for this contamination. In 1991 through April 1992, Lee Dorigan, an environmental scientist hired by Dash Point, tested the Dash Point property and recorded levels of gasoline higher than the allowed MTCA levels.

In 1994, Dash Point hired AGI Technologies (AGI) to investigate the necessary steps to remediate the contamination at the shopping center. The AGI site assessment detected gasoline contamination in the groundwater beneath the Exxon site and discovered that contaminants in the groundwater had migrated onto the Dash Point property. According to AGI’s remediation services manager, Gary Laakso, Exxon’s remediation efforts were not cleaning up the Exxon station property nor were these efforts stopping further contamination at the Dash Point property.

Laakso proposed two alternative plans to clean up the Dash Point property. One plan assumed that Exxon would stop any further contamination, leaving only the past damage to clean up. This plan would cost $235,000. The second plan assumed that Exxon would not cooperate with Dash Point and stop future contamination. This plan would cost $398,000. His hydrocarbon contamination assessment cost $31,944 and it did not include expert witness fees.

Exxon hired SEACOR in March 1993 to continue the cleanup of its property. SEACOR’s expert agreed that levels of contaminants at the Exxon station exceeded MTCA levels. He recommended evaluating the adjacent Dash Point shopping center property, but due to the pending litigation this did not happen. He thought the Exxon remedial system was reducing the contamination.

Before Dash Point’s trial against Exxon and two former station operators, the trial court dismissed Dash Point’s claim for common-law strict liability and its claims of violations of the Oil and Hazardous Substance Spill Prevention Act (RCW 90.56) and of the Washington Hazardous Waste Management Act (RCW 70.105). For the *601 surviving common-law claims and the MTCA claim, Dash Point settled with the former gas station operators for $18,500. During trial, Exxon prevailed in a motion for directed verdict to dismiss Dash Point’s trespass claim.

Before the jury, Dash Point claimed Exxon was negligent and sought damages in the amount of $1.3 million for lost sales. It also requested damages for nuisance abatement for the cost of Laakso’s cleanup plans. Dash Point sought recovery under the MTCA for past remediation costs and a declaratory judgment that Exxon was liable for future remediation expenses.

Exxon argued that the MTCA liability question should not be submitted to the jury because it was an equitable question for the judge to determine. Disagreeing, the trial court simply instructed the jury to find liability under the MTCA if it found that "Exxon exercised any control over the facility and that hazardous substances were disposed of or released into the environment[.]” The special verdict form asked the jury to determine "[wjhat amount should be awarded to the plaintiffs for past remedial action costs under the Model Toxics Control Act.”

The jury found that Exxon and BP Oil were "liable to the plaintiffs as 'owners or operators’ under the Model Toxics Control Act.” It awarded Dash Point Village Associates $6,253.24 and it awarded the Irmas Charitable Foundation $13,934.39 for "drill & lab” costs. The court retained jurisdiction to determine if costs incurred to clean up the property in the future were substantially equivalent to a DOE-supervised remedial action. Under the MTCA, the court awarded Dash Point approximately $195,000 in attorney fees and $80,000 in litigation expenses. The jury did not find Exxon negligent but found that Exxon created a nuisance affecting Dash Point’s property, but did not award damages for this claim.

ANALYSIS

The statute at issue is RCW 70.105D.080, which allows a *602 person to seek the recovery of remedial action costs from the party responsible for contaminating property:

70.105D.080 Private right of action—Remedial action costs. Except as provided in RCW 70.105D.040(4)(d), a person may bring a private right of action, including a claim for contribution or for declaratory relief, against any other person liable under RCW 70.105D.040 for the recovery of remedial action costs. In the action, natural resource damages paid to the state under this chapter may also be recovered. Recovery shall be based on such equitable factors as the court determines are appropriate. Remedial action costs shall include reasonable attorneys’ fees and expenses. Recovery of remedial action costs shall be limited to those remedial actions that, when evaluated as a whole, are the substantial equivalent of a department-conducted or department-supervised remedial action. Substantial equivalence shall be determined by the court with reference to the rules adopted by the department under this chapter.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Robert E. Thomas Trust, V. Johns Real Estate Corp
Court of Appeals of Washington, 2022
Eugene Burke v. Joseph Frickey
Court of Appeals of Washington, 2020
Lisa Susan Smith v. Chris Jeffrey Raymond
Court of Appeals of Washington, 2019
Seattle Times Co. v. Leathercare, Inc.
337 F. Supp. 3d 999 (W.D. Washington, 2018)
Douglass v. Shamrock Paving, Inc.
Washington Supreme Court, 2017
Deborah Ewing v. Green Tree Services Llc
394 P.3d 418 (Court of Appeals of Washington, 2017)
David A. Kohles, Inc., P.s. v. Donna Cook
Court of Appeals of Washington, 2016
Hartstene Pointe Maintenance Assoc, V John E Diehl
Court of Appeals of Washington, 2015
Target National Bank v. Higgins
321 P.3d 1215 (Court of Appeals of Washington, 2014)
Target National Bank v. Jeanette E. Higgins
Court of Appeals of Washington, 2014
PacifiCorp Environmental Remediation Co. v. Department of Transportation
162 Wash. App. 627 (Court of Appeals of Washington, 2011)
PACIFICORP ENVT'L v. Dept. of Transp.
259 P.3d 1115 (Court of Appeals of Washington, 2011)
Taliesen Corp. v. Razore Land Co.
135 Wash. App. 106 (Court of Appeals of Washington, 2006)
Donohoe v. State
135 Wash. App. 824 (Court of Appeals of Washington, 2006)
Loeffelholz v. CITIZENS FOR LEADERS
82 P.3d 1199 (Court of Appeals of Washington, 2004)
Loeffelholz v. Citizens for Leaders With Ethics & Accountability Now
82 P.3d 1199 (Court of Appeals of Washington, 2004)
Union Station Associates, LLC v. Puget Sound Energy, Inc.
238 F. Supp. 2d 1218 (W.D. Washington, 2002)
Weyerhaeuser Co. v. Commercial Union Ins.
15 P.3d 115 (Washington Supreme Court, 2001)

Cite This Page — Counsel Stack

Bluebook (online)
937 P.2d 1148, 86 Wash. App. 596, 1997 Wash. App. LEXIS 2166, Counsel Stack Legal Research, https://law.counselstack.com/opinion/dash-point-village-associates-v-exxon-corp-washctapp-1997.