Facts

Peninsula Corridor Joint Powers Board (JPB) owned real and personal property located at 1920 Evans Street in San Francisco, California, including the Caltrain tracks and right-of-way around the Caltrain tracks. On January 8, 2018, JPB discovered breaches in the subterranean fiber optic lines located on the property. An investigation revealed an entire sub-grade line sticking up out of the ground, indicating a break in the line. JPB had not leased or granted permission to enter the property where the fiber optic lines were buried. Caltrans owned the adjacent property and leased it to the City and County of San Francisco for construction. In February 2019, JPB filed a lawsuit against the City and County of San Francisco, Golden Bay Fence Plus Iron Works, Inc., Caltrans, and the California Department of Transportation, alleging trespass onto its real property and property damage.

PLAINTIFF'S CONTENTIONS: Plaintiff contended that the fiber optic lines and a fiber optic vault within the property were struck and destroyed by heavy machinery used for grading, boring, and excavating asphalt and fencing. Further, they maintained that there were indicators that defendants' employees had recklessly and negligently encroached onto the property for their construction efforts and that the damage to the JPB's property would not have occurred but for this encroachment. Plaintiff also alleged that defendants owed a duty to them as owners of the adjacent Caltrans property. Moreover, plaintiff maintained that the breaches onto JPB's property were the actual and proximate cause of the damage to JBP's fiber optic lines. Finally, plaintiff contended that it did not give any defendant or any of the defendant's employees permission to enter into the property for any purpose.

DEFENDANTS' CONTENTIONS: Defendants denied generally and specifically each and every allegation contained in the complaint and denied that plaintiff had been damaged in the amounts alleged by reason of any act or omission on defendant's part or by any act or omission of defendant's employees or agents. Defendants further alleged that the plaintiff's negligence caused the damage alleged and that plaintiff failed to take reasonable steps to prevent or mitigate the damage alleged. Further, defendants contended that each cause of action in the complaint was barred by the statute of limitations and plaintiff's voluntary and knowing waiver of all rights and causes of action.

Result

$975,000 settlement and a promise to negotiate in good faith a lease for the City's use of JPB's property. JPB also settled with Golden Bay Fence for $50,000.