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Breach of Contract
Product Liability
Fraud and Negligent Misrepresentation

County Sanitation District No. 3 v. Amoco Chemical Company, United Technologies Corporation, et al.

Published: Jun. 24, 1995 | Result Date: Jun. 14, 1995 | Filing Date: Jan. 1, 1900 |

Case number: 722816 –  $6,592,570

Judge

Gary P. Ryan

Court

Orange Superior


Attorneys

Plaintiff

David R. Griffin

Thomas L. Woodruff


Defendant

John Rogers

Howard Cabot

Gabrielle M. Wirth
(Dorsey & Whitney LLP)


Facts

The Orange County Sanitation Districts are the third largest wastewater treatment agency on the West Coast and are responsible for collecting, treating, and safely disposing of wastewater and its residuals for 2,100,000 residents and businesses in metropolitan Orange County. This was an action for product liability, negligence, and fraud arising out of the use of Techite pipe which was designed, manufactured, and tested by Defendant United Technologies. In 1970, Defendant United Technologies sold the pipe to a contractor hired by Plaintiff County Sanitation District No. 3 to install a sewer pipeline in the Westminster Avenue Force Main project in the cities of Westminster and Seal Beach. The pipe was installed over a 7-month period from September 1970 to March 1971. From 1971, there were 6 breaks in the pipe, thus allowing sewage to spill.

Settlement Discussions

Plaintiff contends it made a 998 demand in the amount of $5,000,000, reduced to $1,500,000 and that Defendant made a 998 offer in the amount of $325,000. Defendant contends that it filed one 998 offer in the amount of $325,000 and that Plaintiff filed only one 998 demand in the amount of $5,000,000.

Damages

Per Plaintiff: $3,700,000 to replace the pipe; $150,000 to $200,000 for repair costs on emergency breaks; and unspecified punitive damages. Per Defendant: Plaintiff originally sought $9,000,000 in compensatory damages and $50,000,000 in punitive damages.

Result

Defendant prevailed on all of Plaintiff's claims for liability except fraud by misrepresentation, for which the jury awarded compensatory damages of $147,570 and punitive damages of $6,445,000.

Deliberation

10 hours

Poll

9-3 on liability and damages

Length

35 days


#103961

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