Perrine v. E.I. Du Pont De Nemours & Co.

694 S.E.2d 815, 225 W. Va. 482, 40 Envtl. L. Rep. (Envtl. Law Inst.) 20097, 2010 W. Va. LEXIS 19
CourtWest Virginia Supreme Court
DecidedMarch 26, 2010
DocketNos. 34333, 34334, 34335
StatusPublished
Cited by71 cases

This text of 694 S.E.2d 815 (Perrine v. E.I. Du Pont De Nemours & Co.) is published on Counsel Stack Legal Research, covering West Virginia Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Perrine v. E.I. Du Pont De Nemours & Co., 694 S.E.2d 815, 225 W. Va. 482, 40 Envtl. L. Rep. (Envtl. Law Inst.) 20097, 2010 W. Va. LEXIS 19 (W. Va. 2010).

Opinions

ALAN D. MOATS, Judge:

This environmental class action is before this Court upon three separate appeals seeking review of a series of jury verdicts, orders, and rulings by the Circuit Court of Harrison County, West Virginia. In the underlying class action, E.I. du Pont de Nemours and Company, a defendant below (hereinafter referred to as “DuPont”), was found to be liable to class members in the approximate amount of $381,737,522 for off-site arsenic, cadmium, and lead contamination which emanated from DuPont’s zinc smelter facility in Spelter, West Virginia. The class consists of a property class and an overlapping medical monitoring class. The $381,737,522 amount includes the following: (1) $55,537,522 for soil and structural remediation, (2) an estimated cost of $130,000,000 for medical monitoring, and (3) $196,200,000 in punitive damages.

On September 25, 2008, this Court granted the three appeals and ordered that they be consolidated for purposes of argument, consideration, and decision.1 This Court has heard the oral arguments of the parties to this appeal, and has before it their briefs, all matters of record, and amicus curiae briefs from the West Virginia State Medical Association, the West Virginia Citizen Action Group, and the Honorable Joe Manchin, III, Governor of the State of West Virginia.2

In Supreme Court appeal no. 34334, DuPont appeals from orders of the circuit court entered on February 25, 2008, denying DuPont’s motions for judgment as a matter of law or, in the alternative, to decertify the class; for a new trial; for relief concerning the scope, duration and cost of the medical monitoring plan; and to vacate or reduce the award of punitive damages. Specifically, DuPont contends that the circuit court erred by (1) granting summary judgment in favor of the Plaintiffs on the issue of the statute of limitations; (2) certifying this case as a class action; (3) admitting certain evidence pursuant to Rule 404(b) of the West Virginia Rules of Evidence; (4) qualifying Dr. Kirk Brown as an expert witness for the Plaintiffs and allowing his testimony; (5) adopting a verdict form and allowing certain instructions that permitted the jury to apply inaccurate standards of law; (6) accepting a medical monitoring verdict that was not supported by the evidence; and (7) awarding punitive damages. After thorough consideration of these issues, we conclude that the circuit court’s order on the issue of the statute of limitations is reversed; however, the verdict (as modified by this opinion) is conditionally af[496]*496firmed, and this case is remanded with directions to the circuit court to hold a jury trial on the sole issue of when the Plaintiffs possessed the requisite knowledge to trigger the running of the statute of limitations.3 Should the statute of limitations issue be resolved in favor of the Plaintiffs on remand, the remaining issues pertaining to liability and compensatory relief are affirmed, but we reverse the punitive damages award. With regard to the punitive damages award, we first conclude that punitive damages are not proper in connection with a claim for medical monitoring and therefore reduce the punitive damages award by forty percent. In addition, we find that mitigating circumstances warranted a reduction in the punitive damages award. Accordingly, we reverse the punitive damages award and remand the case with directions that the trial court give the Plaintiffs a period of thirty days from the issuance of this Court’s mandate to decide whether they will accept a punitive damages remittitur in the amount of $20,000,000, resulting in a total punitive damages verdict of $97,720,000, or submit to a new trial on punitive damages only.

In a separate appeal, no. 34335, DuPont challenges the September 14, 2007, order of the circuit court holding that, pursuant to the terms of an October 29, 2001, agreement between DuPont and T.L. Diamond & Company, Inc., an interim owner of the smelter facility, DuPont is obligated to indemnify Diamond for its costs and expenses incurred in defending this action. Based upon the 2001 agreement, the circuit court entered a subsequent order on February 15, 2008, holding that Diamond is entitled to reimbursement from DuPont in the amount of $814,949.37. After careful review, these two orders by the circuit court are affirmed.

Finally, in appeal no. 34333, certain individual plaintiffs appeal from orders entered by the circuit court on September 14, 2007, and on September 20, 2007,4 which barred their property damage claims (but not their claims for medical monitoring), because their predecessors-in-title executed deeds granting the Grasselli Chemical Company, the original owner and operator of the zinc smelter, and Grasselli’s successors, releases and easements with regard to emissions from the facility. After thorough review of this issue, we affirm.

Due to the length of this opinion and the number of issues involved, we set out the following table of contents for the reader’s convenience.

I. FACTUAL AND PROCEDURAL HISTORY................................ 497

A Historical Facts....................................................... 497

B. Regulatory Background................................................ 499

C. Procedural Background................................................ 501

1. Pre-Trial Matters................................................... 501

2. Trial and Post-Trial Matters ......................................... 504

II. STANDARD OF REVIEW................................................ 505

III. DISCUSSION........................................................... 505

A Summary Judgment Issues............................................. 506

1. Indemnification of Diamond.......................................... 506

2. The Grasselli Deeds................................................. 509

3. The Statute of Limitations........................................... 516

B. Class Certification..................................................... 520

1. Certification Requirements Under Rule 23(a)........................... 522

a. Numerosity..................................................... 522

b. Commonality.................................................... 523

c. Typicality....................................................... 524

d. Adequacy of Representation....................................... 524

[497]*4972.Certification Requirements Under Rule 23(b)........................... 525

a. Predominance Test............................................... 526

b. Superiority Test................................................. 527

c. Additional 23(b)(3) Factors to Be Considered........................ 527

C. 404(b) Evidence....................................................... 529

1. General Liability Phase: Videotape Deposition Testimony of Plaintiffs’

Witness Kathleen Forte............................................. 530

2. Punitive Damages Phase............................................. 532

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694 S.E.2d 815, 225 W. Va. 482, 40 Envtl. L. Rep. (Envtl. Law Inst.) 20097, 2010 W. Va. LEXIS 19, Counsel Stack Legal Research, https://law.counselstack.com/opinion/perrine-v-ei-du-pont-de-nemours-co-wva-2010.