Tri-County Investment Group, Ltd. v. Southern States, Inc.

500 S.E.2d 22, 231 Ga. App. 632, 98 Fulton County D. Rep. 1294, 1998 Ga. App. LEXIS 416
CourtCourt of Appeals of Georgia
DecidedMarch 16, 1998
DocketA97A2178
StatusPublished
Cited by14 cases

This text of 500 S.E.2d 22 (Tri-County Investment Group, Ltd. v. Southern States, Inc.) is published on Counsel Stack Legal Research, covering Court of Appeals of Georgia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Tri-County Investment Group, Ltd. v. Southern States, Inc., 500 S.E.2d 22, 231 Ga. App. 632, 98 Fulton County D. Rep. 1294, 1998 Ga. App. LEXIS 416 (Ga. Ct. App. 1998).

Opinion

Ruffin, Judge.

Tri-County Investment Group, Ltd., a Georgia Corporation, (“Tri-County”) sued Southern States, Inc. (“Southern”) for Southern’s alleged groundwater contamination of property located in Henry County, Georgia that Tri-County purported to own. Southern moved for summary judgment, arguing; inter alia, that Tri-County did not have standing to sue because it did not own the property. Southern *633 maintained that even if Tri-County had standing, the action was barred by the four-year statute of limitation for damages to realty. OCGA § 9-3-30. The trial court granted Southern summary judgment without stating upon what grounds the judgment was based. The trial court also denied Tri-County’s motion to add as a party plaintiff Tri-County Investors, a partnership (“the Partnership”), stating that there was no viable cause of action which the Partnership could pursue. Tri-County appealed, and for the following reasons, we reverse.

“To prevail at summary judgment under OCGA § 9-11-56, the moving party must demonstrate that there is no genuine issue of material fact and that the undisputed facts, viewed in the light most favorable to the nonmoving party, warrant judgment as a matter of law. OCGA § 9-11-56 (c). ... A defendant who will not bear the burden of proof at trial need not affirmatively disprove the nonmoving party’s case; instead, the burden on the moving party may be discharged by pointing out by reference to the affidavits, depositions and other documents in the record that there is an absence of evidence to support the nonmoving party’s case. If the moving party discharges this burden, the nonmoving party cannot rest on its pleadings, but rather must point to specific evidence giving rise to a triable issue. OCGA § 9-11-56 (e).” Lau’s Corp. v. Haskins, 261 Ga. 491 (405 SE2d 474) (1991).

Viewed in a light most favorable to Tri-County, the record reveals the following. In September 1987, the Partnership purchased over 100 acres of property adjacent to Southern’s property in Henry County. Over the ensuing years, the Partnership sold some of the acreage, leaving it with approximately 34 acres (“the subject property”) adjoining Southern’s property.

In 1989, contaminants were found in the city of Hampton’s water supply. The Georgia Environmental Protection Division (“EPD”) contacted Southern to determine if Southern was the cause of the contamination. Southern drilled monitoring wells and concluded that a contamination plume of pollutants extended from a landfill located on Southern’s property.

Also in 1989, cleaning solvents leaked from one of Southern’s drainage pipes and contaminated a pond and groundwater located on Southern’s property. Southern’s drainage system was subsequently redesigned to prevent further leaks from occurring.

Although Southern filed with the EPD a clean up plan for the groundwater and pond contamination, the EPD had not approved the plan at the time Southern filed its motion for summary judgment in this case.

Southern apprised the Partnership of the contamination in 1990 or 1991. In July 1991, consulting engineers employed by Southern to investigate the groundwater contamination requested access to the *634 Partnership’s property for testing. In May 1992, the Partnership permitted the engineers to drill two monitoring wells on its property. Southern then requested, in February 1993, for permission from the Partnership to drill more wells on the Partnership’s property. The Partnership allowed Southern’s engineers to perform a non-intrusion site inspection, but prohibited Southern from drilling any further test wells.

On May 6, 1993, Tri-County was incorporated. The principals in Tri-County were the same principals in the Partnership. While the partners assumed that all the Partnership’s assets were transferred to Tri-County after the incorporation, in actuality the subject property was not conveyed to Tri-County. In June 1993, Tri-County wrote to Southern, stating that the marketability of the subject property had been destroyed and demanding that Southern purchase the land for $419,000.

The engineers employed by Southern to assess the contamination issued a report in November 1993 stating that Southern’s contamination had spread into the groundwater onto the subject property. They concluded that “much of the contaminant plume is expected to extend across onto [the subject property]. . . . This distance would be as much as 200 to 300 feet south of [the subject] property.” The engineers admitted that the Southern “facility is the most likely source of the VOC contamination found in the groundwater . . . [and] spills or releases of contaminants to the land or surface water at the [Southern] facility would naturally progress to [the subject property] over time.” The “[f]ull extent of groundwater contamination . . . cannot be determined from the information available at this time. However, the plume is expected to extend laterally . . . which is 100 to 150 feet west of [the subject property’s] boundary with [Southern].” The engineers gave various possibilities for the source of the contamination, all of which wére located on Southern’s property. Finally, the engineers admitted that it was feasible that the contamination could be spreading in the groundwater.

In May 1995, Tri-County sued Southern seeking, inter alia, damages for continuing trespass and continuing nuisance due to the contamination of the groundwater. After Southern raised the issue of Tri-County’s standing since the corporation did not own the subject property, Tri-County’s attorney prepared and filed a warranty deed from the Partnership to Tri-County conveying the 34 acres. Additionally, in August 1996, Tri-County moved to add the Partnership as a plaintiff pursuant to OCGA §§ 9-11-18, 9-11-20 and 9-11-21. Then, in January 1997, the Partnership filed a separate action against Southern utilizing the same complaint filed by Tri-County against Southern in the instant case.

In its order granting summary judgment the trial court stated *635 that, “having granted [Southern’s] Motion for Summary Judgment, [it] does hereby deny Plaintiff’s Motion to Add [the Partnership] as a Plaintiff since no cause of action now exists to which [the Partnership] could be added.” The trial court further noted that the Partnership has a separate civil action against Southern in Henry County Superior Court.

1. Tri-County asserts that it filed its complaint for continuing trespass and continuing nuisance within the applicable period of limitations. Southern asserts that the tort involved here — the contamination of the groundwater — is not continuing but rather is a permanent nuisance that occurred in 1989.

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Bluebook (online)
500 S.E.2d 22, 231 Ga. App. 632, 98 Fulton County D. Rep. 1294, 1998 Ga. App. LEXIS 416, Counsel Stack Legal Research, https://law.counselstack.com/opinion/tri-county-investment-group-ltd-v-southern-states-inc-gactapp-1998.