NH DEPT. OF ENV. SERVICES v. Mottolo

917 A.2d 1277
CourtSupreme Court of New Hampshire
DecidedMarch 6, 2007
Docket2006-363
StatusPublished
Cited by2 cases

This text of 917 A.2d 1277 (NH DEPT. OF ENV. SERVICES v. Mottolo) is published on Counsel Stack Legal Research, covering Supreme Court of New Hampshire primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
NH DEPT. OF ENV. SERVICES v. Mottolo, 917 A.2d 1277 (N.H. 2007).

Opinion

917 A.2d 1277 (2007)

NEW HAMPSHIRE DEPARTMENT OF ENVIRONMENTAL SERVICES
v.
Richard A. MOTTOLO.

No. 2006-363.

Supreme Court of New Hampshire.

Argued: January 18, 2007.
Opinion Issued: March 6, 2007.

*1278 Kelly A. Ayotte, attorney general (Peter C.L. Roth, senior assistant attorney general, on the brief and orally), for the State.

Devine, Millimet & Branch, P.A., of Manchester (Peter G. Beeson and Daniel J. Callaghan on the brief, and Mr. Beeson orally), for the defendant.

GALWAY, J.

The defendant, Richard A. Mottolo, appeals an order of the Trial Court (Fitzgerald, J.) granting a preliminary and permanent injunction to the plaintiff, New Hampshire Department of Environmental Services (DES). We affirm in part, vacate in part and remand.

The record supports the following facts. Between 1975 and 1979, the defendant, as part of his chemical waste disposal business, improperly buried numerous barrels of waste on his 50-acre parcel in Raymond. In 1979, when it learned of the disposal site, DES began addressing the waste and the soil and groundwater contamination caused thereby. At some point, the United States Environmental Protection Agency (EPA) took primary responsibility for remediation of the waste at the site. Over approximately fifteen years, DES and EPA brought actions against the defendant, as well as K.J. *1279 Quinn & Company (Quinn) and the Lewis Chemical Company, the generators of the waste, to recover the costs of remediation. As a result of those suits, DES and EPA have obtained substantial liens on the defendant's parcel.

In 1996, the defendant filed for personal bankruptcy under Chapter 7 of the United States Bankruptcy Code. EPA and DES participated in the defendant's bankruptcy proceedings. In 1998, the defendant received a bankruptcy discharge. After discharge, the defendant remained the record owner of the property, which remained subject to the liens held by DES and EPA. From the time of the defendant's bankruptcy discharge to the present, DES has monitored the groundwater contamination and its attenuation at the site. The cost to DES for that monitoring has been reimbursed by EPA or by Quinn.

In July 2005, DES contacted the defendant and requested that he obtain a groundwater management permit for the property. See RSA 485-A:13 (2001); N.H. Admin. Rules, Env-Wm 1403.12. A groundwater management permit requires, among other things, a "legally responsible person," N.H. Admin. Rules, Env-Wm 1403.02(q), to monitor the groundwater quality in a specific area and to implement measures to restore the quality of any contaminated groundwater within that area. N.H. Admin. Rules, Env-Wm 1403.12(b). The defendant did not obtain, or attempt to obtain, a permit. Therefore, in December 2005, DES filed a petition for equitable relief and declaratory judgment and a motion for preliminary and permanent injunction, seeking an order requiring the defendant to obtain a permit.

A preliminary hearing on DES' motion was held in January 2006. The day before that hearing, the defendant filed an objection to DES' request for a preliminary injunction. At the hearing, the defendant argued that DES had not met its burden to obtain an injunction and that his bankruptcy discharge barred DES' action. Following a hearing, the trial court did not rule upon DES' request for a preliminary injunction, but did issue a structuring conference order fixing the dates for: (1) briefs on the bankruptcy issue; (2) the close of discovery; and (3) the filing of motions for summary judgment and responses thereto. Also, because the preliminary hearing was held before the defendant's answer to DES' petition was due, the defendant filed an answer after the hearing setting forth various defenses, including his bankruptcy discharge defense.

In February 2006, DES and the defendant filed various pleadings relative to the bankruptcy issue and to DES' request for preliminary injunctive relief. On March 16, 2006, approximately two weeks prior to the close of discovery, and before DES had responded to the defendant's discovery requests, the trial court issued an order which read, in its entirety:

Following hearing and submission of supplemental briefs, the court is persuaded by the logic and authorities cited by the State and finds that the respondent's bankruptcy discharge does not in any way affect his obligation to comply with the state's groundwater protection statutes and regulations. The State's request for a preliminary and permanent injunction is granted and the respondent is ordered to obtain and comply with a groundwater management permit as required by N.H.R.S.A. 485-A:13.
The court finds that the requirement that Petitioner show a threat of immediate irreparable harm is met by a showing that state statutes are not being complied with.

(Emphasis added.) The defendant moved for clarification, arguing that the only issue before the court had been DES' request *1280 for a preliminary injunction and asking whether DES would be required to comply with his discovery requests. At the same time, the defendant moved for reconsideration, arguing that DES had not met its burden to obtain an injunction and that the trial court had improperly consolidated DES' request for preliminary injunctive relief with a ruling on the merits. The trial court, without comment, denied both motions and this appeal followed.

On appeal, the defendant contends that the trial court erred by: (1) consolidating its decision on DES' request for a preliminary injunction with its decision on the merits; (2) ruling on the bankruptcy issue before discovery had been completed; and (3) granting an injunction when DES had not met its burden of proof to obtain one.

The defendant first contends that when the trial court consolidated its ruling on DES' request for preliminary relief with its ruling on the merits, it was required by the New Hampshire Constitution and Superior Court Rule 161(b) to notify the parties and provide them an opportunity to object to consolidation. Because it did not provide notice and an opportunity to object, the defendant contends the trial court erred in granting preliminary and permanent relief.

Superior Court Rule 161(b)(2) provides that before or after the commencement of a hearing on an application for a preliminary injunction, the court may order the trial of the action on the merits be consolidated with the hearing on the application. We have not squarely addressed the issue of what is required for a trial court to consolidate issues under Rule 161(b). In Spengler v. Porter, 144 N.H. 163, 164-65, 737 A.2d 1121 (1999), the plaintiffs made allegations substantially similar to those made by the defendant here. The majority held that the issue had not been preserved for appellate review. Chief Justice Brock dissented, however, and concluded that the issue had been preserved and that the plaintiffs' rights had been violated. Spengler, 144 N.H. at 167-70, 737 A.2d 1121 (Brock, C.J., dissenting). Here, the issue is properly before us, and we adopt Chief Justice Brock's analysis on the merits.

In Spengler, Chief Justice Brock noted that it is "axiomatic that due process guarantees the right to be heard at a meaningful time and in a meaningful manner." Id.

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Bluebook (online)
917 A.2d 1277, Counsel Stack Legal Research, https://law.counselstack.com/opinion/nh-dept-of-env-services-v-mottolo-nh-2007.