Kahl v. Texaco, Inc.

574 P.2d 650, 281 Or. 337, 1978 Ore. LEXIS 753
CourtOregon Supreme Court
DecidedFebruary 14, 1978
DocketNo. 74-2290-L-1, SC 25056
StatusPublished

This text of 574 P.2d 650 (Kahl v. Texaco, Inc.) is published on Counsel Stack Legal Research, covering Oregon Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Kahl v. Texaco, Inc., 574 P.2d 650, 281 Or. 337, 1978 Ore. LEXIS 753 (Or. 1978).

Opinion

BRYSON, J.

Plaintiffs brought this action to recover damages from defendant for diminution of the market value of their property. Judgment was entered on a defendant’s jury verdict and plaintiffs appeal.

The complaint, so far as it is relevant to this appeal, alleged that defendant was negligent in raising its land several feet, building a retaining wall next to plaintiffs’ property line, and constructing a storm drain in the wall at too high a level to adequately carry away the natural drainage water from plaintiffs’ property. Defendant generally denied these allegations and affirmatively alleged that plaintiffs had caused the flooding by clogging the drain.

The following facts are not disputed. Plaintiffs own the land situated to the west of defendant’s property and operate a beauty college thereon. Prior to the defendant’s filling and raising its property, surface water from plaintiffs’ land naturally drained across the land purchased by defendant. Defendant bought the adjoining parcel in 1968, several years after plaintiffs had purchased and improved their property, and hired M. O. Newdahl, an independent contractor. Newdahl raised the level of defendant’s land some five feet and built a service station on it for the defendant. In order to do this, Newdahl built a cement retaining wall along the easterly boundary of plaintiffs’ property. During construction, Newdahl told defendant’s employee and constructional engineer that the retaining wall would interfere with the natural water drainage from plaintiffs’ land "unless some means of drainage would be provided.” Therefore, defendant had notice that construction of the retaining wall would interfere with the natural water drainage from plaintiffs’ land. In order to prevent this interference and the flooding of plaintiffs’ property, defendant’s engineer and also contractor Newdahl decided to put a culvert in the retaining wall to carry the water off plaintiffs’ property. Plaintiffs’ evidence showed that [340]*340the culvert was improperly constructed. According to the testimony of defendant’s own expert, the normal method of building a proper drain or culvert would have required the building of a catch basin below the level of plaintiffs’ parking lot and then running a pipe from the basin to drain off the water. He testified it is necessary to build up a head of water to get it to flow through the pipe. Instead of following this method, Newdahl built the culvert without a catch basin and installed the drain pipe a little above the level of plaintiffs’ parking lot. Plaintiffs’ evidence showed that the faulty construction of the culvert and retaining wall caused substantial flooding of their property following heavy rains, and this flooding discouraged customers from using the parking lot and occasionally threatened to flood the building. Plaintiffs had to pláce plastic sheets against the building with mud on them to prevent water from going into the building.

Defendant argues that any negligence in building the culvert was the independent contractor’s fault, not defendant’s, thus relieving defendant of liability; that even if defendant were responsible for the contractor’s negligence, the plaintiffs caused the flooding by their negligent reroofing of their building, and the rocks used in the reroofing washed away with the rain, clogging the culvert.

Plaintiffs contend that the trial court erred in failing to give the following requested instruction:

"I instruct you that under the facts of this case it is not material whether M. O. Newdahl was an independent contractor or an employee of defendant Texaco, Inc. In either case Texaco, Inc, the defendant, is responsible for all acts or omissions committed by M. O. Newdahl.”

and in giving the following instruction:

"I instruct you that under the facts of this case M. O. Newdahl was an independent contractor and not an employee of Defendant. Defendant is not liable for any harm caused to Plaintiffs as the result of the acts or omission os [sic] M. O. Newdahl unless you find that the [341]*341Defendant directed M. O. Newdahl or Mr. Newdahl’s employees to do the acts or refrain from doing them.
"In other words, an owner of property is not liable for harm caused by some improper method which an independent contractor without any direction of his employer adopts in doing the work.
"An owner of land is liable, however, for harm caused by an independent contractor if he knows or has reason to know that the work that he has employed the independent contractor to perform is likely to create a private nuisance.”

We conclude that the plaintiffs’ requested instruction should have been given.1 We have recognized the general principle that "the employer of an independent contractor is not liable for physical harm caused to another by an act or omission of the contractor of his servants.” 2 Restatement (Second) of Torts § 409 (1965), cited in Macomber v. Cox, 249 Or 61, 65, 435 P2d 462 (1968). However, we also recognized, in Macomber, that there are numerous exceptions to the general principle:

"* * * A variety of exceptions have made inroads upon this rule of immunity (e.g., when the employer’s duty is non-delegable) * * 249 Or at 65.

Comment b to Restatement (Second) of Torts § 409 states, at page 370:

"* * * They [exceptions] are so numerous, and they have so far eroded the 'general rule,’ that it can now be said to be 'general’ only in the sense that it is applied where no good reason is found for departing from it. He Hi

This case falls within the rule enunciated in Gordon Creek Tree Farms v. Layne et al, 230 Or 204, 220, 358 P2d 1062, 368 P2d 737 (1962):

"* * * Jt is well settled that an employer who orders work to be performed from which, in the natural course of things, injurious consequences must be expected to arise unless means are adopted by which such consequences may be prevented, is bound to see that necessary [342]*342precautions are taken to prevent injury and such person can not by employing some other person relieve himself of his liability to do what is necessary to prevent the work from becoming wrongful. [Citations omitted.] The foregoing rule is sufficiently comprehensive to embrace not only work which is regarded as 'inherently’ or 'intrinsically dangerous,’ but also work which will in the ordinary course of events occasion injury to others if certain precautions are omitted, but which may as a general rule be safely executed if such precautions are taken. * * *”

This case falls within the above rule because the defendant in this case knew that the work to be performed (building of the retaining wall, culvert and drain) would, in the natural course of things, result in the flooding of plaintiffs’ land unless precautions were taken, such as the building of a proper drainage culvert within the retaining wall, to prevent the injury. Defendant could not relieve itself of this responsibility by employing Newdahl, its contractor, to do the work2 which resulted in the injury.

In Cascadia Lbr. Co. v. Stout, 249 Or 232, 437 P2d 111 (1968), Justice O’Connell, in commenting on Gordon Creek Tree Farms, stated, at 234:

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Related

Hall v. Northwest Outward Bound School, Inc.
572 P.2d 1007 (Oregon Supreme Court, 1977)
MacOmber v. Cox
435 P.2d 462 (Oregon Supreme Court, 1967)
Lipman Wolfe & Co. v. Teeples & Thatcher, Inc.
522 P.2d 467 (Oregon Supreme Court, 1974)
Gordon Creek Tree Farms, Inc. v. Layne
368 P.2d 737 (Oregon Supreme Court, 1962)
Cascadia Lumber Co. v. Stout
437 P.2d 111 (Oregon Supreme Court, 1968)

Cite This Page — Counsel Stack

Bluebook (online)
574 P.2d 650, 281 Or. 337, 1978 Ore. LEXIS 753, Counsel Stack Legal Research, https://law.counselstack.com/opinion/kahl-v-texaco-inc-or-1978.