Facts

Between June 5 and June 11, 2002, a wildfire destroyed about 18,000 acres of the Angeles National Forest. The U.S. Department of Justice (U.S.) sued defendants Merco Construction Engineers Inc. and CB&I Constructors Inc., contractor and subcontractor on a nearby housing development, for trespass by fire and violations of the health and safety code. One of defendants' employees acknowledged he did an inadequate job of watering down the area. Before the verdict, Merco settled for $2.1 million, which was its policy limit.

PLAINTIFF'S CONTENTIONS:
The U.S. contended that the defendants' sparks caused the fire and that Merco failed to water the area to prevent a fire. The U.S. further claimed that the defendants did not position employees near the worksite to put out fires. The U.S. also contended that the weather conditions of the day were too extreme, dry, and windy for construction work. The U.S. further contended that the defendants were aware of previous fires and thus had notice.

DEFENDANTS' CONTENTIONS:
The defendants contended that the fire could not have been anticipated and that there was sufficient distance between the construction project and a nearby watered down brush where the fire allegedly started. The defense also argued that a single spark could not have traveled the distance to the brush to start the fire. The defense further contended that employees were present to control dust, not to water the ground to prevent fires. Further, they argued that the area's frog population was not harmed by the fire, as claimed by the U.S. The historic aspects of the mining camp, they argued, were not damaged by the fire either. Thus, they claimed, the government only incurred $2.3 million in economic damages.

Damages

The U.S. demanded about $7.9 million for reimbursement of handling the fire and other costs.

Injuries

The U.S. claimed that the fire decimated California's red-legged tree frog population. A historic place, the Hazel Dell Mining Camp, was destroyed. Irrevocable damage was caused to the area's native vegetation and ecosystem.

Result

The jury found Merco 35 percent liable and CB&I 65 percent liable. The total award was $36,437,145. The jury found that CB&I negligently caused the blaze, while Merco allowed it to start. As for the intangible environmental damages, CB&I must pay $18,720,000, or 65 percent. Joint and several liability applied to the remainder of the judgment, including the U.S.'s costs to fight the fire and rehabilitate the area.