New Hampshire Ball Bearings, Inc. v. GeoSierra Environmental, Inc. et al

2021 DNH 137
CourtDistrict Court, D. New Hampshire
DecidedAugust 27, 2021
Docket20-cv-258-PB
StatusPublished

This text of 2021 DNH 137 (New Hampshire Ball Bearings, Inc. v. GeoSierra Environmental, Inc. et al) is published on Counsel Stack Legal Research, covering District Court, D. New Hampshire primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
New Hampshire Ball Bearings, Inc. v. GeoSierra Environmental, Inc. et al, 2021 DNH 137 (D.N.H. 2021).

Opinion

UNITED STATES DISTRICT COURT FOR THE DISTRICT OF NEW HAMPSHIRE

New Hampshire Ball Bearings, Inc. Case No. 20-cv-258-PB v. Opinion No. 2021 DNH 137

GeoSierra Environmental, Inc. et al

MEMORANDUM AND ORDER

On February 18, 2020, New Hampshire Ball Bearings, Inc.

(“NHBB”) filed a complaint against Hull & Associates, Inc.

(“Hull”) and GeoSierra Environmental, Inc. (“GeoSierra”) for

breach of contract, negligent misrepresentation, negligence,

violation of the New Hampshire Consumer Protection Act, and

breach of warranty. The complaint seeks to hold both defendants

liable for design and installation errors associated with a

permeable reactive barrier (“PRB”) that GeoSierra installed in

2014 at a superfund site controlled by NHBB.

Defendants have challenged the complaint in summary

judgment motions arguing that NHBB’s claims are barred by the

applicable statutes of limitations. For reasons I discuss

below, I grant defendants’ motions with respect to NHBB’s breach

of warranty claim but otherwise deny the motions because a

genuine dispute of material fact exists as to whether NHBB

discovered its claims more than three years before it filed its

complaint.

1 I. BACKGROUND

A. History of the Site

NHBB has operated a facility in the vicinity of what is now

the South Well Superfund Site (“Site”) since 1956. The Site is

located on 250 acres of the Contoocook River Valley in

Peterborough, New Hampshire. NHBB’s use of chlorinated solvents

at its facility resulted in the release of volatile organic

compounds (“VOCs”) into the groundwater beneath the facility.

In an attempt to address the groundwater contamination at

the Site, the Environmental Protection Agency (“EPA”) issued a

Record of Decision (“ROD”) in 1989 requiring that NHBB install

source control remedies and manage the migration of

contaminants. Starting in 1990, Hull, a project development and

engineering company, began serving as a consultant for NHBB,

assisting with project management, engineering, and

hydrogeologic consulting for the Site.

Hull initially designed, oversaw installation, and

monitored implementation of a “pump and treat” system that

removed, treated, and then replaced contaminated groundwater at

the Site. By 2006, however, the system was no longer

functioning at “peak efficiency” due to the impact of

biofouling.1 The EPA urged NHBB to consider additional treatment

1 “Biofouling is the undesirable accumulation of microorganisms, plants, algae, arthropods, or mollusks to a surface . . . when

2 technologies to address the contaminated groundwater and, from

2006 to 2009, Hull conducted a Focused Feasibility Study (“FFS”)

to explore new treatment technologies. The FFS examined the

feasibility of a PRB,2 in addition to other treatment methods,

and Hull concluded that PRB technology could adequately treat

the groundwater within the EPA’s mandated parameters.

B. Installation of the PRB

Upon publication of Hull’s FFS, the EPA issued an Amended

Record of Decision (“AROD”) in April 2009, replacing its initial

1989 ROD. The AROD recommended the use of several new treatment

methods, including thermal treatment, bioremediation, and the

installation of a PRB. In response, Hull evaluated several PRB

designs, including patented technology by GeoSierra, a company

specializing in PRB installation. NHBB hired GeoSierra on

September 12, 2012, to produce a final design for their patented

“Azimuth” PRB. The Azimuth PRB was intended to reduce VOCs to

it is in contact with water for a period of time.” Kathleen D. Oppenheimer Berkey & Todd K. BenDor, A Comprehensive Solution to the Biofouling Problem for the Endangered Florida Manatee and Other Species, 42 Envtl. L. 415, 421 (2012).

2 A PRB is a system intended to “chemically neutralize contaminants” found in groundwater. Def. GeoSierra Mot. for Summ. J., Doc. No. 35-1 at 5. In operation, a PRB is a permeable “underground wall” consisting of iron filings stretching “from bedrock to the top of the water table,” allowing groundwater to flow through the iron filings and treating the contaminants in the groundwater as it passes through. Doc. No. 35-1 at 1.

3 certain maximum contaminant levels (“MCLs”) and to provide a

long-term solution to groundwater protection at the Site.

Hull submitted the PRB’s final design for EPA approval,

which was granted on December 3, 2013. NHBB then contracted

with GeoSierra to construct the PRB as designed. In November

2014, GeoSierra completed installation of the PRB.

C. Efficacy of the PRB

On March 15, 2015, Hull began quarterly monitoring of

groundwater samples both upgradient and downgradient of the PRB

to analyze VOC concentrations at the Site. On December 15,

2015, Hull sent NHBB an email that discussed the groundwater

samples from March, June, and September 2015. The email noted

that “we have more weirdness in some of our key downgradient

wells, particularly the wells at depth along the centerline of

the plume.” Def. GeoSierra Ex. 7, Doc. No. 35-9 at 2. Hull

continued, “At some point, we should share these data with

GeoSierra. I wanted to run this by you, particularly if future

legal actions are pursued, I was unsure how we should handle the

sharing.” Doc. No. 35-9 at 2. Although the email did not

specify the source of the “weirdness,” the data itself shows

that PCE and TCE concentrations at certain wells downgradient of

the PRB were higher than they were at upgradient wells.3 This

3 For example, data from December 2015 at upgradient well PRB- FR50 showed PCE concentrations of 230 micrograms per liter,

4 “weirdness” was later discussed by Hull in its May 2016 report

to NHBB, where it stated that, while “the Total VOC

concentrations fail to demonstrate a clear trend . . . many of

the downgradient wells continue to exhibit PCE and TCE at

concentrations greater than the MCLs and in some cases, VOC

concentrations are higher in the downgradient wells compared to

their upgradient counterpart[s].” Def. GeoSierra Ex. 12, Doc.

No. 35-14 at 38.

In January and February 2016, Hull sent data about the

Site’s historical groundwater levels to GeoSierra and requested

an analysis and response. On February 3, 2016, NHBB requested

the latest quarterly test results of groundwater contaminants

from Hull. Hull replied that “the PRB data is similar in

magnitude as September.” Def. GeoSierra Ex. 9, Doc. No. 35-11

at 2. Five days later, Hull reached out to GeoSierra for its

“opinion [o]n what is happening (or not happening) as well as

whereas its downgradient counterpart well PRB-M50 showed PCE concentrations of 530 micrograms per liter. The same pattern was true at upgradient well PRB-GR50, which showed PCE concentrations of 24 micrograms per liter, with its downgradient counterpart well PRB-L50 showing 300 micrograms per liter. See Def. Hull Ex. 5, Doc. No. 34-6 at 65; Def. GeoSierra Ex. 12, Doc. No. 35-14 at 31. According to Hull’s 2016 report, “The downgradient wells of these pairs showed an approximate 103% and 245% increase in PCE concentration over the duration of 2015 in the results from PRB-M50 and PRB-L50, respectively.” Def. GeoSierra Ex. 12, Doc. No. 35-14 at 31.

5 your suggestions for corrective actions.” Def. GeoSierra Ex.

10, Doc. No. 35-12 at 2.

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2021 DNH 137, Counsel Stack Legal Research, https://law.counselstack.com/opinion/new-hampshire-ball-bearings-inc-v-geosierra-environmental-inc-et-al-nhd-2021.