Florida Power & Light Co. v. Allis-Chalmers Corp.

752 F. Supp. 434, 21 Envtl. L. Rep. (Envtl. Law Inst.) 20619, 32 ERC (BNA) 1024, 1990 U.S. Dist. LEXIS 7858, 1990 WL 193623
CourtDistrict Court, S.D. Florida
DecidedApril 9, 1990
Docket86-1571-Civ
StatusPublished
Cited by4 cases

This text of 752 F. Supp. 434 (Florida Power & Light Co. v. Allis-Chalmers Corp.) is published on Counsel Stack Legal Research, covering District Court, S.D. Florida primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Florida Power & Light Co. v. Allis-Chalmers Corp., 752 F. Supp. 434, 21 Envtl. L. Rep. (Envtl. Law Inst.) 20619, 32 ERC (BNA) 1024, 1990 U.S. Dist. LEXIS 7858, 1990 WL 193623 (S.D. Fla. 1990).

Opinion

ORDER ON MOTION FOR PARTIAL SUMMARY JUDGMENT.

ATKINS, Senior District Judge.

This cause is before the court on the defendants’ motion for partial summary judgment. Fed.R.Civ.P. 56. The motion addresses those counts in which the plaintiffs seek to recover damages from the defendants based on claims of restitution and indemnity. A hearing on the motion was held December 11, 1989, after at least ten days notice of such hearing. Now, upon consideration of the motion, the responsive memoranda, the affidavits, and the relevant case law and federal rules, it is

ORDERED AND ADJUDGED that:

(1) The defendants’ motion is GRANTED as to the plaintiff Florida Power & Light Company (“FPL”);

(2) The defendants’ motion is GRANTED as to the plaintiffs Pepper’s Steel & Alloys, Inc. and Norton Bloom (collectively, “PEPPER’S”);

(3) The defendants’ motion is GRANTED as to intervening plaintiffs William U. Payne, Flora B. Payne, Lowell Payne, and Thomas A. Curtis (collectively “the landowners” or “the intervening plaintiffs”); and

(4) The court shall, in a separate order, enter Final Judgment against plaintiffs FPL and PEPPER’S.

A.

Facts and Background Information.

The following facts are not in dispute. The defendants are all current or former manufacturers of electrical transformers. The transformers at issue in the present case contained mineral oil in accordance with their design. During the manufacturing process, the mineral oil became contaminated with polychlorinated biphenals (“PCBs”), a hazardous chemical compound.

The defendants, pursuant to their ordinary course of business, sold electrical transformers to FPL. FPL bought these transformers for use in its day-to-day business of supplying electrical power to consumers in Florida. When the transformers reached the ends of their useful lives, FPL sold them as scrap to Pepper’s Steel & Alloy, Inc. and its owner/president, Norton Bloom. FPL made these sales to PEPPER’S from approximately 1967 until 1982. Upon receipt of the scrap transformers, PEPPER’S would strip them to recover various valuable metals for resale. This stripping process was carried out at the Pepper’s Steel site, a thirty acre parcel of *437 land located in Medley, Florida. 1

As described in greater detail in this court’s Order Granting Motion for Partial Summary Judgment (March 20, 1989) (the “Statute of Limitations Order”), an investigation conducted in 1982 by the United States Environmental Protection Agency (“EPA”) revealed the presence of unacceptable levels of PCBs, lead, arsenic, and antimony at the PEPPER’S site. On July 11, 1983, the EPA filed an emergency environmental cleanup action against PEPPER’S under § 104(a) of the Comprehensive Environmental Response, Compensation & Liability Act of 1980 (“CERCLA”), 42 U.S.C. §§ 9601-9657. On July 13, 1983, the Florida Department of Environmental Regulation (“DER”) filed a similar action against PEPPER’S under the state counterpart to CERCLA. And on March 5, 1985, the United States, at the request of the EPA, sued PEPPER’S and FPL under § 107 of CERCLA to recover the costs incurred in the cleanup. The present defendants were not named as defendants or responsible parties in any of the foregoing actions.

FPL commenced the present action on July 18, 1986. PEPPER’S and the landowners thereafter intervened as plaintiffs. In the present action, the plaintiffs seek to recover from the defendants the costs incurred by the plaintiffs in connection with the EPA and DER actions. The plaintiffs also seek to recover damages based on several lawsuits filed by former PEPPER’S employees against FPL and PEPPER’S. 2 At the present juncture, all that remains of FPL’s and PEPPER’S actions are their claims for restitution (FPL Amended Complaint, count X; PEPPER’S Amended Complaint, count VI) and indemnity (FPL Amended Complaint, count II; PEPPER’S Amended Complaint, count II). 3 The landowners have also asserted a variety of claims against the defendants, including a count for restitution (Landowners’ Complaint, count VI). By the present motion, the defendants seek summary judgment against all three groups of plaintiffs on their restitution counts, and against FPL and PEPPER’S on their indemnity counts.

B.

Discussion.

1. Standards for Motion for Summary Judgment.

Summary judgment should be entered if, after a review of all the evidentia-ry material in the record, “there is no genuine issue as to any material fact and the moving party is entitled to a judgment as a matter of law.” Fed.R.Civ.P. 56(c). Summary judgment is mandated after “a sufficient time for discovery and upon motion, against a party who fails to make a showing sufficient to establish the existence of an element essential to that party’s case, and upon which the party will bear the burden of proof at trial.” Celotex Corp. v. Catrett, 477 U.S. 317, 322, 106 S.Ct. 2548, 2552, 91 L.Ed.2d 265 (1986). The moving party has the initial burden of identifying evidence which it believes shows an absence of a genuine issue of material fact. This burden may be discharged by demonstrating that there is an absence of evidence to support the nonmoving party’s case. Id. at 323-25, 106 S.Ct. at 2552-53. If the moving party discharges this burden, the nonmoving party “may not rest upon mere allegation or denials ..., but must set forth specific facts showing that there is a genuine issue for trial.” Anderson v. Liberty Lobby, Inc., 477 U.S. 242, 256, 106 S.Ct. 2505, 2514, 91 L.Ed.2d 202 (1986). *438 With these principles in mind, we now turn to the restitution and indemnity counts which the defendants attack through their motion for summary judgment.

2. Restitution.

The term “restitution” denotes a form of equitable relief. The term describes those situations in which “a party would arguably be unjustly enriched if allowed to retain without paying for it some benefit that had been conferred upon him.” Farns-worth, Contracts 98 (1982). In such situations, the courts will imply a “quasi-contract” between the provider and the recipient of the benefit at issue. Such quasi-contracts are “obligations imposed by the law on grounds of justice and equity, and do not rest upon the assent of the contracting parties. This legal fiction was adopted ... to provide a remedy in instances where one of the contracting parties is unjustly enriched.” Tipper v. Great Lakes Chemical Co., 281 So.2d 10, 13 (Fla.1973) (citations omitted); see also Challenge Air Transport, Inc. v. Transportes Aereos Nacionales, S.A.,

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752 F. Supp. 434, 21 Envtl. L. Rep. (Envtl. Law Inst.) 20619, 32 ERC (BNA) 1024, 1990 U.S. Dist. LEXIS 7858, 1990 WL 193623, Counsel Stack Legal Research, https://law.counselstack.com/opinion/florida-power-light-co-v-allis-chalmers-corp-flsd-1990.