Confidential
Settlement – $333,000,000Court
L.A. Superior Central
Attorneys
Plaintiff
Gary A. Praglin
(Cotchett, Pitre & McCarthy LLP)
Walter J. Lack
(Engstrom, Lipscomb & Lack)
Robert W. Finnerty
(Girardi & Keese)
Thomas V. Girardi
(Girardi & Keese)
Defendant
Steven L. Hoch
(Clark Hill LLP)
Gregory C. Read
(Gough & Hancock LLP)
Experts
Plaintiff
Daniel T. Teitelbaum
(medical)
Max Costa
(medical)
Joseph Gambone
(medical)
John A. Glaspy M.D.
(medical)
Gerry Aster
(medical)
Richard F. Corlin
(medical)
James G. Dahlgren M.D.
(medical)
Barry F. Silverman
(medical)
Roger L. Bick
(medical)
Jan Roughan R.N.
(technical)
Norman Pitt
(technical)
Edward J. Faeder
(medical)
Peter Formuzis Ph.D.
(technical)
Defendant
P. Lesley Bidstrup
(medical)
Michael S. Meredith
(technical)
Gregory P. Sarna
(medical)
Ronald R. Cavagrotti
(technical)
Clark Boli
(technical)
Dennis Paustenbach
(medical)
Kenneth Rothman
(medical)
Michael L. Abrams
(medical)
James Franklin Fires
(medical)
Silvio Deflora
(technical)
Michael Dourson
(technical)
Donn L. Marrin
(technical)
E. Barrie Kenney
(medical)
Charles B. Andrews
(technical)
Brent Finley
(technical)
Saul A. Rosenberg
(medical)
Milton Thomas Edgerton
(medical)
William D. Hooker
(medical)
David R. Suder
(technical)
John Doull
(medical)
Thomas J. Feeley
(Thomas J. Feeley APC)
(medical)
Keith L. Black
(medical)
Blaine F. Nye
(technical)
Stephan R. Targan
(medical)
H. James Wedner
(medical)
Facts
The plaintiffs, 600 residents of a small desert town located outside of Barstow, Calif., claimed that the defendant gas and electric company contaminated the ground water in their city. The plaintiffs contended that the defendant used chromium in its generation plant and then dumped the chromium into unlined ponds. The plaintiffs also claimed that the defendant knew that the contamination reached crisis levels. (This claim was verified by the defendant's documents.) The plaintiffs sole water supply was the contaminated water and the defendants allegedly considered supplying fresh water to the community. However, they did not do so. The plaintiffs maintained that the defendant knew of the seriousness of the problem for 25 years but did nothing about it. The plaintiffs claimed numerous injuries including various types of cancer (lung, nasal, Hodgkins, stomach and kidney) and various digestive disorders, including Crohn's disease. The defendant denied that the chromium caused any of the plaintiffs' medical problems. The plaintiffs brought this action against the defendant based on negligence and strict liability theories of recovery.
Settlement Discussions
The plaintiffs made an initial C.C.P. º998 settlement demand for $170 million, which was increased to $355 million upon completion of the trial of 39 cases. The defendant made a C.C.P. º998 offer of compromise for $100 million -- in response to the plaintiffs' initial demand -- which was increased to $150 million at trial (April, 1996).
Injuries
The plaintiffs alleged that they suffered numerous injuries, including various types of cancer and various digestive disorders, as a result of the contaminated ground water.
Other Information
The plaintiffs and defendants tried 39 of the cases, resulting in a judgment in favor of the plaintiff for $131 million. All cases subsequently settled for a total of $333 million. The settlement was reached approximately two years and two months after the case was filed.
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