Tesoro Refining & Marketing Co. v. Rickley CA2/2

CourtCalifornia Court of Appeal
DecidedMarch 25, 2024
DocketB317441
StatusUnpublished

This text of Tesoro Refining & Marketing Co. v. Rickley CA2/2 (Tesoro Refining & Marketing Co. v. Rickley CA2/2) 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
Tesoro Refining & Marketing Co. v. Rickley CA2/2, (Cal. Ct. App. 2024).

Opinion

Filed 3/25/24 Tesoro Refining & Marketing Co. v. Rickley CA2/2 NOT TO BE PUBLISHED IN THE OFFICIAL REPORTS

California Rules of Court, rule 8.1115(a), prohibits courts and parties from citing or relying on opinions not certified for publication or ordered published, except as specified by rule 8.1115(b). This opinion has not been certified for publication or ordered published for purposes of rule 8.1115.

IN THE COURT OF APPEAL OF THE STATE OF CALIFORNIA

SECOND APPELLATE DISTRICT

DIVISION TWO

TESORO REFINING & B317441, B320358 MARKETING COMPANY, LLC et al., (Los Angeles County Super. Ct. No. Plaintiffs, Cross-defendants BC656002) and Respondents,

v.

REBECCA RICKLEY et al.,

Defendants, Cross- complainants and Appellants;

FIEDLER GROUP, INC.,

Cross-defendant and Respondent.

APPEAL from a judgment of the Superior Court of Los Angeles County, Ruth Ann Kwan, Judge. Affirmed. Law Offices of Natasha Roit and Natasha Roit for Defendants, Cross-complainants and Appellants. Buchalter, Matthew S. Covington, Efrat M. Cogan and George J. Stephan for Plaintiffs, Cross-defendants and Respondents Tesoro Refining & Marketing, LLC and Thrifty Oil Co. Collins + Collins, Brian K. Steward and David C. Moore for Cross-defendant and Respondent Fiedler Group.

______________________________________________

Appellants, defendants and cross-complainants Natasha Roit and Rebecca Rickley (collectively, Defendants), appeal from the judgment entered in favor respondents, plaintiffs and cross-defendants Tesoro Refining & Marketing Company, LLC (Tesoro) and Thrifty Oil Co. (Thrifty) (collectively, Plaintiffs), and respondent and cross-defendant Fiedler Group, Inc. (Fiedler)1 in this action involving a sewer easement and a sewage spill on Defendants’ property. In a bifurcated trial, the trial court granted Plaintiffs’ motion for summary adjudication of their claim for a recorded easement, and following a court trial, granted Plaintiffs an equitable easement. A jury then found Defendants were negligent and awarded Tesoro $423,375 in damages. Defendants contend the trial court erred by summarily adjudicating the recorded easement claim and by granting Plaintiffs an equitable easement. Defendants further contend the jury verdict should be reversed because the trial court made erroneous evidentiary rulings, misinstructed the jury, and improperly rejected Defendants’ claims of attorney misconduct. Finding no legal error or abuse of discretion, we affirm the judgment. BACKGROUND The properties Thrifty owns a gas station at the corner of Pacific Coast Highway (PCH) and Topanga Canyon Boulevard (the gas station property). Tesoro leased the gas station property from Thrifty during the time period relevant to this action.

1 Tesoro, Thrifty, and Fiedler are referred to collectively as Respondents. 2 Defendants own 3929 Malibu Vista Drive (the Malibu Vista property), a residential property located uphill from the gas station property. The easement In 1967, Defendants’ predecessors, the Mortons, granted Gulf Oil Company (Thrifty’s predecessor) and its successors an easement across the Malibu Vista property to “construct, maintain, operate and use sanitary sewers and appurtenant structures” together with the “right to enter upon and to pass and repass over and along” the easement “whenever and wherever necessary for the purposes above set forth.” The easement grant further states that “Grantee agrees . . . to quitclaim said easement within one year from such time that it is possible for Grantee to connect to any sewer line extending along Pacific Coast Highway or Topanga Canyon Boulevard which serves its service station located at the intersection thereof.” The easement was recorded in May 1967. At the time of the easement grant, a Los Angeles County sewer station was located on PCH at Coastline Drive (the Coastline station) approximately three quarters of a mile away from the gas station property. In 1967, the County and Gulf signed a recorded waiver and agreement in which the County permitted Gulf to connect its sewer line from the gas station property to a County sewer line on Malibu Vista Drive (the Malibu Vista sewer), and Gulf agreed not to protest the inclusion of its property “in a Special Assessment District for the construction of any Sanitary Sewer that will serve said property and district, and to pay the proportionate cost of such assessment.” In the late 1960’s, Gulf installed a sewer line for the gas station property, connected it to the public Malibu Vista sewer, and used its sewer line to service the gas station property. Thrifty purchased the gas station property in the 1980’s. Thrifty leased the gas station property to tenants starting in 1997. Thrifty and/or its tenants paid charges to the County for the sewer connection to the Malibu Vista sewer adjacent to the Malibu Vista property and

3 used the sewer line servicing the gas station property continuously from 1982 to 1999. Defendants purchased the Malibu Vista property in 1997. Before purchasing the property, Rickley reviewed a preliminary title report that described an “easement for sanitary sewers.” When she reviewed the preliminary title report, Rickley understood there was an easement for sanitary sewers across the Malibu Vista property. Defendants remove part of the sewer line and a sewage spill occurs In 1999, the gas station was closed temporarily while Tesoro undertook renovations on the station and work to stabilize the adjacent hillside. Tesoro engaged Fiedler for the hillside work and to obtain permits for the gas station renovations. Permitting and construction work for the renovations continued until 2016 and cost approximately $11 million. While the gas station renovations were ongoing, Defendants sued their neighbor, Marvin Goodfriend, claiming he had dumped construction debris along the boundary between their properties (the Goodfriend action). Respondents were not parties to that litigation. The court in the Goodfriend action appointed a receiver to oversee removal of debris on Goodfriend’s property. Defendants supervised the removal of debris on their own property in 2012. During the Goodfriend debris removal on Defendants’ property, an approximately 20-foot section of the sewer pipe in the easement was removed and not replaced. Neither earth movement nor rotting of the pipe was the cause for removing this portion of the sewer pipe. In 2011 to 2012, the County sewer line located at PCH and Coastline Drive was changed from a station pump system to a gravity sewer.2 The gravity sewer line remains in substantially the same location at the corner of PCH and Coastline Drive as it was in the early 1960’s.

2 A gravity sewer main is a type of sewer in which gravity causes the sewage to drain, with no need for a pump. 4 In 2016, shortly after the gas station reopened for business, Defendants reported a sewage spill. Ron Rogers of Tesoro went to investigate the spill and was met by Defendants, who informed him that a portion of the sewer pipe had been removed during the Goodfriend remediation. Rogers confirmed that a portion of the sewer pipe was missing. Defendants would not allow Tesoro to repair the sewer line without a court order. Unable to repair the leak, Tesoro turned off the sewer pump servicing the line and hired a contractor, Top Notch Plumbing (Top Notch), to truck sewage out of the gas station property at a cost of more than $120,000 per year. In June 2018, the County issued a notice of violation to Thrifty for trucking sewage out of the gas station property. The notice required Thrifty to reconnect the sewer line from the gas station property to the Malibu Vista sewer. Defendants continued to deny Plaintiffs access to the Malibu Vista Property to repair the sewer line and to allow reconnection to the Malibu Vista sewer.

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Tesoro Refining & Marketing Co. v. Rickley CA2/2, Counsel Stack Legal Research, https://law.counselstack.com/opinion/tesoro-refining-marketing-co-v-rickley-ca22-calctapp-2024.