Facts

Three neighboring families lived on a slope in the Pacific Palisades on Paseo Miramar and Lucero Streets, north of Sunset Blvd. During the early months of 2005 all of the properties sustained substantial damage resulting from the movement of a massive prehistoric landslide that had moved periodically over the last 70 years.

PLAINTIFFS' CONTENTIONS:
Plaintiffs alleged that there homes were damaged by movement of the prehistoric Paseo Miramar Landslide, which was caused by long term leakage from Los Angeles Dept. of Water & Power water mains, City of Los Angeles sewer lines, and improper curbs and gutters that deposited water into the ancient landslide mass. Plaintiffs further alleged that their slope was destabilized by a 1920's road cut, during the construction of Paseo Miramar.

The up-slope plaintiffs, Martin Jelinowicz and Matthew Heyman, further alleged that their real property and homes were damaged after the January 2005 rains as a result of failure of the down-slope plaintiffs, Lawrence and Elizabeth Bridges, to adequately support their property. Although Heyman's home suffered no direct damage, his claim was based upon the loss of the lower third of his property and the resulting instability, which rendered the property valueless and left it exposed to further damage.

Each of the homeowners alleged negligence, nuisance, and trespass against each of the other homeowners. They also alleged those claims, plus inverse condemnation, against the City of Los Angeles and the Los Angeles Department of Water & Power.

Each of the homeowners denied liability to each of the other homeowners.

DEFENDANT'S CONTENTIONS:
The city and LADWP denied the claims on the basis of statute of limitations, as well as an extensive geology and hydrology analysis that blamed unusually heavy rainfall and a complex of alternative underlying landslide structures.

The city contends that the Bridges failed to maintain their property, resulting in soil failure.

Damages

Plaintiffs each sought damages for diminution of property value and cost of repair, in excess of $60 million.

Result

Total settlement payments of $21,767,700 were distributed. Lawrence and Elizabeth Bridges' total settlement was $16,317,500, which was contributed to as follows: City of Los Angeles/DWP $16,000,000, Jelinowicz $300,000, and Heyman $17,500. Martin Jelinowicz' total settlement was $1,967,500, which was contributed to as follows: City of Los Angeles/DWP $1,500,000, Bridges $450,000 and Heyman $17,500. Matthew Heyman's total settlement was $3,432,700 which was contributed to as follows: City of Los Angeles/DWP $2,532,700 and Bridges $950,000.

Other Information

MEDIATOR: Hon. Robert Altman, retired, ADR Services. FILING DATE: April 14, 2006.