In Re Chevron U.S.A., Inc.

109 F.3d 1016, 27 Envtl. L. Rep. (Envtl. Law Inst.) 21060, 44 ERC (BNA) 1890, 1997 U.S. App. LEXIS 6026, 1997 WL 138918
CourtCourt of Appeals for the Fifth Circuit
DecidedMarch 26, 1997
Docket97-20042
StatusPublished
Cited by71 cases

This text of 109 F.3d 1016 (In Re Chevron U.S.A., Inc.) is published on Counsel Stack Legal Research, covering Court of Appeals for the Fifth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
In Re Chevron U.S.A., Inc., 109 F.3d 1016, 27 Envtl. L. Rep. (Envtl. Law Inst.) 21060, 44 ERC (BNA) 1890, 1997 U.S. App. LEXIS 6026, 1997 WL 138918 (5th Cir. 1997).

Opinions

ROBERT M. PARKER, Circuit Judge:

Chevron U.S.A., Inc. (“Chevron”) petitions this Court for a Writ of Mandamus seeking relief from an order of the district court dated December 19, 1996, containing a trial plan for this litigation. We DENY the petition as it relates to the scheduled trial of the thirty selected plaintiffs referenced in the district court’s order, but GRANT the petition as it relates to utilization of the results of such trial for the purpose of issue or claim preclusion.

UNDERLYING FACTS AND PROCEDURAL HISTORY

This controversy arose out of the alleged injuries suffered by over 3,000 plaintiffs and intervenors (“Plaintiffs”), who claim damages for personal injuries, wrongful death, and property contamination allegedly caused by Chevron’s acts and omissions. The Plaintiffs and their allegedly contaminated property are located in the Kennedy Heights section of Houston, Texas. The Plaintiffs contend that their subdivision was constructed on land used in the 1920’s by Chevron for a crude oil storage waste pit.1 According to the Plaintiffs, when Chevron ceased using the property as a tank farm, it failed to take appropriate measures to secure the site, thereby allowing other waste to be deposited on the land. Later, Chevron sold the property for residential development knowing that the land was contaminated. Various developers filled these waste pits without remediating the land. Plaintiffs assert that the hazardous substances which were stored in the waste pits have migrated into the environment, including the drinking water supply for the Kennedy Heights section. As a result, Plaintiffs claim personal injuries and property damage.

The Plaintiffs brought suit against Chevron in both state and federal court. Subsequent to the federal suit being filed, Chevron removed the state court cause of action to federal court, which was consolidated into this ease.2 On December 19, 1996, the district court approved a trial plan. The trial plan provided for a unitary trial on the issues of “general liability or causation” on behalf of the remaining plaintiffs, as well as the individual causation and damage issues of the selected plaintiffs, and ordered the selection of a bellwether group of thirty (30) claimants, fifteen (15) to be chosen by the plaintiffs and fifteen (15) to be chosen by Chevron. Chevron contends that the goal of the “unitary trial” was to determine its liability, or lack thereof, in a single trial and to establish bellwether verdicts to which the remaining claims could be matched for settlement purposes. It is this selection process which Chevron argues will not result in a representative group of bellwether plaintiffs.

Chevron filed with the district court the affidavit of Ronald G. Frankiewiez, Ph.D. which evaluated the district court’s trial plan for selecting the thirty plaintiffs, concluding [1018]*1018that such a plan was “not representative.” Instead, Frankiewicz detailed the “stratified selection process” which should be used by the district court in selecting the bellwether group which would result in a representative group of plaintiffs. The district court however struck Frankiewicz’s affidavit as untimely filed and redundant in substance. On January 7, 1997, the district court denied Chevron’s request to certify an interlocutory appeal. This Petition for Writ of Mandamus ensued.

DISCUSSION

1. Standard of Review

Our review of a trial court’s plan for proceeding in a complex case is a deferential one that recognizes the fact that the trial judge is in a much better position than an appellate court to formulate an appropriate methodology for a trial. We have consistently noted that a writ of mandamus is an extraordinary remedy and is available in only limited circumstances. See Allied Chemical Corp. v. Daiflon, Inc., 449 U.S. 33, 101 S.Ct. 188, 66 L.Ed.2d 193 (1980). We have historically reserved the issuance of the writ for “extraordinary” cases, Southern Pacific Transp. Co. v. San Antonio, Tex., 748 F.2d 266, 270 (5th Cir.1984) (citing Ex parte Fahey, 332 U.S. 258, 67 S.Ct. 1558, 91 L.Ed. 2041 (1947)), and will issue the writ where the petitioner has met its burden of proving a clear and indisputable abuse of discretion or usurpation of judicial power by a trial judge. In re First South Sav. Assoc., 820 F.2d 700, 706 (5th Cir.1987) (citing Schlagenhauf v. Holder, 379 U.S. 104, 85 S.Ct. 234, 13 L.Ed.2d 152 (1964)).

Our traditional reluctance to meddle in the formulation of a district court’s trial plan is tempered by the demands placed upon judicial resources and the extraordinary expense to litigants that typically accompanies mass tort litigation. We, therefore, as we proceed, do so mindful of the admonition contained in Rule 1 — that what we do should serve the compelling interests of justice, speed, and cost-containment. See Fed.R.Civ.P. 1.

We now turn to the focus of Chevron’s petition, the December 19 trial plan.

2. The Plan

The trial court has in our view quite properly categorized this litigation as complex. The mere fact that there are potentially some 3,000 claimants in and of itself complicates traditional dispute resolution. Additionally, when large numbers of claimants assert both property damage claims and claims for personal injury as well as claims for injunctive relief, it removes any question that may linger regarding the complexity of the task visited upon the lawyers and the trial court.

This case is a classic example of a nonelastic mass tort, that is, the universe of potential claimants are either known or are capable of ascertainment and the event or course of conduct alleged to constitute the tort involved occurred over a known time period and is traceable to an identified entity or entities. When compared to an elastic mass tort where the universe of potential plaintiffs is unknown and many times is seemingly unlimited and the number of potential tortfeasors is equally obtuse, the task of managing the non-elastic mass tort is infinitely less complex. In the non-elastic context, the necessity for the obtainment of maturity as reflected by a series of verdicts over time is not required in order to test the viability of plaintiffs’ claims or the defendant’s defenses.

The district court, after designating the case as complex, then articulated the goals of its trial plan as seeking to achieve the greatest efficiency and expedition in the resolution of all issues involved in the case. Pursuant to those goals, it structured the trial as follows:

1. Composed of thirty (30) plaintiffs, fifteen (15) chosen by the plaintiffs and fifteen (15) chosen by the defendants. The thirty (30) plaintiffs chosen shall come from the lists submitted by the parties to the state court in April of 1996.

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Bluebook (online)
109 F.3d 1016, 27 Envtl. L. Rep. (Envtl. Law Inst.) 21060, 44 ERC (BNA) 1890, 1997 U.S. App. LEXIS 6026, 1997 WL 138918, Counsel Stack Legal Research, https://law.counselstack.com/opinion/in-re-chevron-usa-inc-ca5-1997.