Pacific Gas and Electric Company v. Superior Court

116 Cal. Rptr. 2d 562, 95 Cal. App. 4th 1389
CourtCalifornia Court of Appeal
DecidedMay 1, 2002
DocketA093509
StatusPublished
Cited by1 cases

This text of 116 Cal. Rptr. 2d 562 (Pacific Gas and Electric Company v. Superior Court) is published on Counsel Stack Legal Research, covering California Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Pacific Gas and Electric Company v. Superior Court, 116 Cal. Rptr. 2d 562, 95 Cal. App. 4th 1389 (Cal. Ct. App. 2002).

Opinion

116 Cal.Rptr.2d 562 (2002)
95 Cal.App.4th 1389

PACIFIC GAS AND ELECTRIC COMPANY, Petitioner,
v.
The SUPERIOR COURT of Sonoma County, Respondent,
John Emery et al., Real Parties in Interest.

No. A093509.

Court of Appeal, First District, Division Four.

February 7, 2002.
Review Granted May 1, 2002.

*563 Sonoma County Superior Court; Laurence K. Sawyer.

Attorneys for Petitioner, Pacific Gas and Electric Company: Severson & Werson, William L. Stern, Law Offices of Rita F. Gilmore, Rita F. Gilmore.

Attorneys for Real Parties in Interest, John Emery et al.: Law Offices of Colin C. Claxon, Colin C. Claxon, Barri Kaplan Boncepart.

SEPULVEDA, J.

Petitioner herein and defendant below, a public utility, applies for a writ of mandate directing the Sonoma County Superior Court to dismiss plaintiffs' fourth cause of action for injunctive and related relief under the unfair competition law (UCL); (see Bus. & Prof.Code, § 17200 et seq.). Petitioner contends the superior court's subject matter jurisdiction over the fourth cause of action is ousted by section 1759 of the Public Utilities Code (§ 1759), preempting the exercise of judicial jurisdiction to review any order or decision of the California Public Utilities Commission. We granted an alternative writ, ordered briefing, and heard oral argument. Having determined the trial court lacks subject matter jurisdiction to adjudicate the fourth cause of action alleged in plaintiffs' first amended complaint, we now grant the relief sought, directing the superior court to enter an order dismissing with prejudice that claim for relief.

BACKGROUND

Real parties John Emery and Jeffrey Caldeway, plaintiffs below, own unimproved land in Sonoma and Napa Counties. In their underlying superior court action, they alleged that on July 31, 1996, trees and vegetation on their respective parcels were destroyed by a fire caused by contact between high tension powerlines owned by petitioner and a cluster of bay trees. The powerline/tree contact ignited the so-called "Cavedale fire," so named because it originated on a steep slope off Cavedale Avenue in Glen Ellen. The fire spread south, covering almost 2,100 acres along a ridgeline separating Napa and Sonoma Counties. According to the allegations of plaintiffs' first amended complaint, their properties suffered extensive fire damage from the Cavedale conflagration, burning over 170 acres.

In July 1999, plaintiffs filed a four-count amended complaint against petitioner for damages in tort and specific relief under the UCL. In addition to claims for tort damages pleaded in the first three causes of action, the fourth cause of action seeks an injunction against petitioner requiring it to cease its alleged wrongful business practice of diverting funds appropriated for tree-trimming and vegetation control programs, as well as restitutionary relief to the general public for these alleged diversions. In brief, plaintiffs contend defendant systematically substantially under-spent *564 funds budgeted for tree-trimming (also referred to as tree-line clearances) and related vegetation control activities, using those monies for other purposes unrelated to the earmarked activities.[1] A causal upshot of this underspending scheme, plaintiffs allege, was the uncontrolled growth of trees and other vegetation along the paths of high tension electrical transmission lines, leading to a heightened potential for wildfires from contact between the powerlines and encroaching trees and vegetation and, among other untoward events, the Cavedale fire of 1996.

Plaintiffs' suit was filed a week after the conclusion of a year-long investigation and hearings prosecuted before the Public Utilities Commission (PUC) by that agency's Consumer Services Division (CSD). We glean from the record before us that those adjudicatory proceedings, captioned "Investigation on the Commission's Own Motion into the Operations and Practices of the Pacific Gas and Electric Company in Connection with Public Utilities Code Section 451, General Order 95 and Other Applicable Standards Governing Tree Line Clearances" (the Tree-Line Clearances Proceedings) were instituted to inquire into CSD allegations that defendant utility had failed to meet tree-line clearance and vegetation management and control requirements imposed by statute and commission regulations.[2] In addition, the Tree Line Clearances Proceedings addressed CSD allegations the utility had failed to comply with commission requirements regarding accounting for expenditures of tree trimming and vegetation control funds made available under an assembly bill. The commission also decided to address the issue of what, if any, sanctions should be imposed against the utility if the allegations of underspending and associated misconduct were sustained.

At the end of a week of evidentiary hearings, the commission suspended proceedings after the utility, CSD, and two private parties to the Tree-Line Clearances Proceedings indicated they had reached a proposed agreement to settle the matter. As described in the commission's opinion filed in the proceedings approving the settlement, the agreement includes both specific and monetary relief. The commission's opinion characterized the settlement as requiring the utility's "shareholders [to] fund up to $22.7 million in vegetation-related activities over the next five years and make an immediate, one-time $6 million contribution to the California general fund." The commission's description of the terms of the settlement agreement continues:

"The settlement places on PG & E shareholders up to $28.7 million in future expenditures spread across five cost categories: (1) $5 million over a five year period for public safety programs and activities; (2) up to $3.6 million over a threeto five-year period for PG & E's quality assurance program and a CSD-managed monitoring and inspection program; (3) $14 million over a three-year period for tree removal and replacement; (4) $6 million as a one-time contribution to the State general fund; and (5) up to $100,000 reimbursement to CSD for consultant costs incurred in connection with this proceeding. In addition to these pecuniary provisions, the settlement establishes protocols for three different levels of tree and vegetation clearance noncompliance and requires PG & E to establish an electronic *565 database for customers who refuse PG & E permission to trim trees on their property."

In the parallel superior court litigation, defendant's demurrer to and motion to strike the fourth cause of action of plaintiffs' amended complaint on jurisdictional grounds was denied, the trial court commenting the issue presented thereby "raise[d] important issues of law such that immediate review of that cause of action via writ of mandate would benefit the parties and the trial court." Defendant then applied to us for interlocutory relief.

ANALYSIS

After more than two decades of comparative quiescence, the jurisprudence of preemption under section 1759[3] has of late produced a wavelet of litigation, including a major opinion from the California Supreme Court construing the contours of the preemption statute (San Diego Gas & Electric Co. v. Superior Court (Covalt) (1996) 13 Cal.4th 893, 55 Cal.Rptr.2d 724, 920 P.2d 669 (Covalt

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Bluebook (online)
116 Cal. Rptr. 2d 562, 95 Cal. App. 4th 1389, Counsel Stack Legal Research, https://law.counselstack.com/opinion/pacific-gas-and-electric-company-v-superior-court-calctapp-2002.