Shockley v. Hoechst Celanese Corp.

132 F.R.D. 429, 1990 WL 161993
CourtDistrict Court, D. South Carolina
DecidedOctober 24, 1990
DocketCiv. A. No. 6:90-0018-17
StatusPublished
Cited by1 cases

This text of 132 F.R.D. 429 (Shockley v. Hoechst Celanese Corp.) is published on Counsel Stack Legal Research, covering District Court, D. South Carolina primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Shockley v. Hoechst Celanese Corp., 132 F.R.D. 429, 1990 WL 161993 (D.S.C. 1990).

Opinion

[431]*431ORDER

JOE F. ANDERSON, Jr., District Judge.

This matter is before the court upon motion of the plaintiff, joined by several third party defendants, to sever the third party claims in this action. At a status conference conducted on May 17, 1990, the court invited all parties to submit memoranda on the severance issue. The court also solicited comments and suggestions on the overall management of what obviously portends to be a complex and expensive ease. Oral argument was heard on August 31, 1990.

At the conclusion of the hearing, the court announced that the third party claims would be severed and tried separately from the plaintiffs’ claims and that discovery on the third party claims would be conducted in “stages”. This order memorializes the court’s ruling on these issues.

FACTUAL BACKGROUND

The complaint filed by the plaintiffs, Milton M. Shockley and others, involves land known as the Old Orchard Meadows Tract. It consists of approximately seventy-five acres and is located along Hood and Súber Roads, near Greer, in Greenville County, South Carolina. A portion of the property is directly across Hood Road from a large industrial complex operated by Hoechst Celanese Corporation (HCC).

HCC also owns a parking lot immediately adjacent to the Shockley property. This parking lot includes a two acre parcel that was originally owned and operated as a chemical reclamation facility by the defendant William H. Groce, III.

The complaint alleges that the Shockley property has been contaminated by industrial wastes. It charges that the wastes have made their way to the Shockley property from two sources: (1) an unlined chemical storage lagoon owned and operated by HCC on its main plant property; and (2) the two acre Groce property. As to the Groce property, the plaintiffs allege that HCC’s industrial wastes were commingled with those of other industries. The complaint joins three parties as defendants, HCC, Groce and Groce Laboratories, Inc., a corporation owned by Mr. Groce.

HCC has filed a third party complaint in which it has joined twenty-six1 third-party defendants. It alleges that most of these defendants are industries which generated wastes which were delivered to and handled at the Groce property. Other defendants are trucking companies which transported wastes to the property. HCC also alleges that three defendants, General Battery, Exide and Textron, disposed of hazardous substances on their own properties located upstream from the Shockley property. It contends that the Shockley property became contaminated as a result of all three of these types of activities.

HCC has sued for contribution under the South Carolina Uniform Contribution Among Tortfeasors Act, S.C.Code Ann. § 15-38-10 et seq., (Law.Co-op.Supp.1989) and under the Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA), 42 U.S.C.A. § 9613(f) (West Supp.1990). HCC’s contribution claims relate to the Shockley property and its possible liability to the plaintiffs on account of that property. But HCC also seeks more. It sues to recover response costs and asks for a declaratory judgment under CERCLA on account of the two acre Groce property, which it now owns. Issues as to cleanup of the Groce property are not involved in the complaint filed by the plaintiffs.

The third party complaint alleges that twenty-three of the twenty-six third party defendants are “generator defendants.” This term refers to companies whose industrial wastes were delivered to and deposited at the Groce property. But these twenty-three are not the only companies whose wastes were handled there. William Groce identified in his deposition approximately forty companies whose wastes were handled at the property. Of those forty, many [432]*432of these have not been named as third party defendants.

LEGAL ANALYSIS

Rule 14 of the Fed.R.Civ.P. specifically provides that “[a]ny party may move to strike the third party claim, or for its severance or separate trial.” The Advisory Committee’s Note to the 1963 amendment makes clear that the district court has discretion “to sever the third party claim or accord it separate trial if confusion or prejudice would otherwise result.”

Professor Wright has noted that “[sjufficient prejudice to warrant denial of impleader may be present when bringing in a third party will introduce unrelated issues and unduly complicate the original suit.” Wright, Miller & Kane, 6 Federal Practice and Procedure: Civil 2d § 1443, p. 304 (1990). Professor Wright’s comment virtually defines this case.

It is immediately apparent that the third party complaint filed by HCC both introduces unrelated issues and unduly complicates the original action. The added issues and complexity are substantial:

1. The complaint seeks relief only as to the Shockley property. HCC’s third party complaint, on the other hand, seeks relief for the damage to the Groce property as well. This additional claim will involve entirely separate evidence concerning the Groce property that has no relevance to the plaintiff's claims.

2. The complaint alleges that the Shockley property was contaminated as a result of waste handling procedures on the Groce property and on HCC’s main plant property. These allegations will require discovery and the development of substantial evidence on practices involving these two parcels.

The third party complaint challenges waste handling practices on at least two additional properties, the facilities owned by Textron and by Exide/General Battery. Both are located approximately three-quarters of a mile upstream of the Shockley property. HCC’s allegations that waste handling practices on these properties contaminated the Shockley property will require substantial evidence concerning operations at these plants. Complex expert evidence on hydraulics and hydrogeology will also be needed.2

3. The addition of twenty-six new defendants to a case originally involving three defendants unquestionably will complicate and prolong the trial. Even if HCC dismisses voluntarily some of the third party defendants, it is likely that many of them will remain. Moreover, HCC has moved to add some of the industrial concerns identified by William Groce as additional third party defendants. What otherwise would have been a relatively simple case to try will, by the addition of more than thirty defendants, become an exceptionally difficult one.

4. If the case remains consolidated, trial will be delayed. HCC will undertake discovery of the third party defendants, and some of the third party defendants no doubt will conduct discovery of one another as well as of HCC. Even if discovery is relatively simple—and it may not be—the sheer number of parties to be discovered will delay substantially the date on which this case might be expected to go to trial.

5. Consolidation also will mean transforming what is predominantly a jury trial involving three defendants into what is predominantly a non-jury trial involving 30 or more defendants. Two of the three causes of action in HCC’s third party complaint are based on CERCLA. Only two of the six causes of action in the complaint are based on CERCLA. While trial by jury has been demanded by the plaintiffs, a jury trial is not available for CERCLA claims. [433]*433See United States v. NEPACCO, 810 F.2d 726, 749 (8th Cir.1986).

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Bluebook (online)
132 F.R.D. 429, 1990 WL 161993, Counsel Stack Legal Research, https://law.counselstack.com/opinion/shockley-v-hoechst-celanese-corp-scd-1990.