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CONFIDENTIAL

Mar. 29, 2001

Construction
Negligence
Fire

Confidential

Settlement –  $150,000

Judge

William G. Willett

Court

L.A. Superior Torrance


Attorneys

Plaintiff

Mark S. Roth
(Cozen O'Connor)


Defendant

Rafik Ayvazi

Timothy J. Lippert
(Demler, Armstrong & Rowland)


Facts

On March 12, 1999, a fire destroyed a number of classroom bungalows at an elementary school in Gardena.
Shortly before the fire was discovered, defendant contractors were repaving asphalt adjacent to the area of fire
origin. The paving subcontractors, who initially denied using a propane torch to perform the paving work,
admitted that a propane torch had been used to heat up a paving tool called an "iron." There were no other
ignition sources located in between the two bungalows where the fire originated. Both the Gardena Fire
Department investigator and private fire cause investigator hired by the plaintiff school district concluded that
the fire was caused by careless use of the propane torch resulting in ignition of combustible materials.

Settlement Discussions

The defendants made no settlement offers until the eve of trial citing an endorsement in the insurance policy for the general contractor which excluded coverage for the acts of uninsured subcontractors. The subcontractor using the torch in this case was both unlicensed and uninsured and was hired as a laborer.

Damages

The plaintiff suffered the loss of four fire-destroyed bungalows, demolition expenses, replacement of desks and supplies, and lost personal property owned by the teachers and students. The damages on a fair market value basis totaled approximately $250,000. In discovery, the plaintiff claimed damages in excess of $500,000.

Other Information

<M>A mediation before Corrine Adams resulted in no settlement.</M>


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