United States of America v. Dico, Inc.

266 F.3d 864, 57 Fed. R. Serv. 1285, 32 Envtl. L. Rep. (Envtl. Law Inst.) 20171, 53 ERC (BNA) 1274, 2001 U.S. App. LEXIS 20584, 2001 WL 1094944
CourtCourt of Appeals for the Eighth Circuit
DecidedSeptember 19, 2001
Docket00-2430
StatusPublished
Cited by51 cases

This text of 266 F.3d 864 (United States of America v. Dico, Inc.) is published on Counsel Stack Legal Research, covering Court of Appeals for the Eighth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
United States of America v. Dico, Inc., 266 F.3d 864, 57 Fed. R. Serv. 1285, 32 Envtl. L. Rep. (Envtl. Law Inst.) 20171, 53 ERC (BNA) 1274, 2001 U.S. App. LEXIS 20584, 2001 WL 1094944 (8th Cir. 2001).

Opinion

BOWMAN, Circuit Judge.

■ The United States sued Dico, Inc., pursuant to the Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA), 42 U.S.C. §§ 9601-9675 (1994 & Supp. IV 1998), to recover response costs incurred for the cleanup of groundwater contaminated by trichloroe-thylene (TCE) 2 and other chlorinated volatile organic compounds (VOCs). The District Court 3 held a bench trial and found Dico liable for response costs incurred in connection with the groundwater contamination. The court also granted summary judgment to the United States on the amount of cleanup costs it was entitled to recover from Dico. Dico appeals both as to liability and damages. We affirm.

I.

This litigation returns to this Court for the third time. The case arises from the EPA’s determination, made in the mid-1970s, that the Des Moines public water supply had been contaminated by TCE and other chlorinated VOCs. Dico’s property sits within the boundaries of the Des Moines TCE Site (the Site), the land area identified by the EPA as the source of the contamination. Dico and other businesses located within the Site had for many years used TCE for degreasing and other industrial applications. The EPA designated Dico as a potentially responsible party under CERCLA and issued a cleanup order to Dico. Dico complied, thereby incurring response costs. Moreover, the EPA itself incurred costs in connection with the cleanup of the Site. For a detailed history and factual background of the prior litigation, see Dico I, 35 F.3d at 349-50 (reversing grant of summary judgment to the EPA in Dico’s suit against the EPA seeking reimbursement for response costs it incurred in complying with the EPA’s cleanup order), and United States v. Dico, Inc., 136 F.3d 572, 574-75 (8th Cir.1998) (Dico II) (reversing grant of summary judgment to the EPA in the EPA’s cleanup-cost recovery action against Dico).

Following our remand in Dico II, the District Court heard the EPA’s suit against Dico at a bench trial. The EPA’s theory of the case was that Dico had released TCE on its property via numerous sources and activities: leaks from vapor degreasers that used TCE to degrease metal parts manufactured by Dico; spreading TCE-laden sludge as a dust suppressant on the ground around Dico’s buildings; dumping TCE sludge directly onto the ground; storing TCE sludge in drums left exposed to the weather; leaks from railcars, drums, and storage tanks used in Dico’s chemical repackaging and supply business; and cleaning of TCE .storage drums at Dico’s facility. The EPA further contended that the TCE released by Dico migrated through the soil into the groundwater below Dico’s property.

In defense, Dico attempted to identify potential alternative sources for the groundwater contamination. Dico argued that all of the groundwater contamination the EPA attributed to its activities actually originated with polluters located to the *869 north of its property. Dico contended that contamination found a mile north of Dico, near the Martin Luther King Expressway (MLKE area), migrated with groundwater flowing south into the aquifer below Dico’s property. Dico also attacked the government’s case by arguing that even if Dico released TCE, none of the TCE could have migrated far enough down through the soil to reach the groundwater.

The District Court found Dico liable for the costs incurred by the EPA in cleaning up the groundwater at the Site, but delayed its decision on the amount of the cleanup costs to be awarded to the EPA pending a hearing on the EPA’s motion for summary judgment on that question. After a hearing, the District Court granted summary judgment to the EPA, awarding it $4,129,426.67 in cleanup costs. Dico appeals both the liability and the award portions of the judgment entered by the District Court.

II.

Dico challenges the District Court’s liability determination on numerous grounds. We first address Dico’s objections to evi-dentiary rulings on the admission of expert testimony and of deposition testimony offered by the government after the close of both parties’ cases-in-chief.

A.

Dico argues that the District Court erred in refusing to exclude the testimony of John Robertson, the government’s expert hydrogeologist, because “his methodology was unreliable.” Appellant’s Br. at 29. We review a district court’s decision to admit expert testimony under Daubert v. Merrell Dow Pharmaceuticals, Inc., 509 U.S. 579, 113 S.Ct. 2786, 125 L.Ed.2d 469 (1993), and Kumho Tire Co. v. Carmichael, 526 U.S. 137, 119 S.Ct. 1167, 143 L.Ed.2d 238 (1999), for an abuse of discretion. Kumho, 526 U.S. at 152, 119 S.Ct. 1167; General Elec. Co. v. Joiner, 522 U.S. 136, 138-39, 118 S.Ct. 512, 139 L.Ed.2d 508 (1997). Admissible expert testimony must be grounded upon scientifically valid reasoning or methodology. 4 Daubert, 509 U.S. at 592-93, 113 S.Ct. 2786. The court must examine both the relevance and the reliability of the proffered testimony, Blue Dane Simmental Corp. v. Am. Simmental Ass’n, 178 F.3d 1035, 1040 (8th Cir.1999), keeping in mind that “[t]he focus, of course, must be solely on principles and methodology, not on the conclusions that they generate.” Daubert, 509 U.S. at 595,113 S.Ct. 2786.

Dico does not dispute the relevance of Robertson’s testimony. Rather, Dico challenges the reliability of Robertson’s testimony, urging us to reject his methodology and exclude his testimony on several grounds. First, Dico argues that Robertson’s analysis of the contamination found on its property is fundamentally flawed because he ignored evidence suggesting alternative sources for the contamination. Dico argues that Robertson improperly excluded from his computer model any consideration of groundwater flow onto Dico’s property from the north, 5 failed to consid *870 er the Ingersoll Run as a conduit for contamination originating off of Dico’s property, 6 disregarded data indicating that the amount of TCE in the Dico remediation wells increased after their activation, 7 and ignored all data regarding TCE contamination in the MLKE area.

The record undermines Dico’s characterization of Robertson’s analysis. First, Dico’s arguments regarding Robertson’s computer model are inapposite because Robertson testified that the model did not form the basis for his conclusion regarding the origin of the contamination. Tr. at 156.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

United States v. Dico, Inc.
920 F.3d 1174 (Eighth Circuit, 2019)
United States v. Puerto Rico Indus. Dev. Co.
368 F. Supp. 3d 326 (U.S. District Court, 2019)
Nicholson v. Biomet, Inc.
363 F. Supp. 3d 931 (N.D. Iowa, 2019)
Joseph Pakootas v. Teck Cominco Metals, Ltd.
905 F.3d 565 (Ninth Circuit, 2018)
United States v. Dico, Inc.
262 F. Supp. 3d 804 (S.D. Iowa, 2016)
Town of Milton Board of Health v. Armand Brisson
2016 VT 56 (Supreme Court of Vermont, 2016)
Scott v. City of Sioux City
23 F. Supp. 3d 1017 (N.D. Iowa, 2014)
Kruszka v. Novartis Pharmaceuticals Corp.
19 F. Supp. 3d 875 (D. Minnesota, 2014)
Village At Deer Creek Homeowners Ass'n v. Mid-Continent Casualty Co.
432 S.W.3d 231 (Missouri Court of Appeals, 2014)
Federal Deposit Insurance v. Dosland
298 F.R.D. 388 (N.D. Iowa, 2013)
Holt v. Quality Egg, L.L.C.
777 F. Supp. 2d 1160 (N.D. Iowa, 2011)
In Re Thompson
426 B.R. 759 (N.D. Illinois, 2010)

Cite This Page — Counsel Stack

Bluebook (online)
266 F.3d 864, 57 Fed. R. Serv. 1285, 32 Envtl. L. Rep. (Envtl. Law Inst.) 20171, 53 ERC (BNA) 1274, 2001 U.S. App. LEXIS 20584, 2001 WL 1094944, Counsel Stack Legal Research, https://law.counselstack.com/opinion/united-states-of-america-v-dico-inc-ca8-2001.