Facts

On Oct. 3, 2007, a landslide occurred on Mt. Soledad Road in the area of La Jolla in San Diego. Dozens of homes required evacuation and sustained damage, and three were obliterated.

65 homeowners affected by the landslide sued the City of San Diego claiming that the landslide resulted in diminished property values.

PLAINTIFFS' CONTENTIONS:
Plaintiffs claimed that the City's actions, including allowing water leaks to seep into soil, resulted in the landslide. Further, plaintiffs contended that they informed defendant about leaks and cracks prior to the landslide.

DEFENDANT'S CONTENTIONS:
Defendant argued that the landslide was caused by the area's geology, pointing to shifting earth, a long-term movement of land, and softening in a rupture that was fixed decades ago. Further, defendant argued that the landslide was dry and that no evidence of water seepage existed. Defendant also claimed that the alleged leaks were fixed promptly, and there was insufficient amount of water to cause the landslide.

Result

The parties reached a settlement amounting to $284,000, which ensured that plaintiffs would not appeal after the trial court ruled in favor of defendant in October 2009. In exchange for plaintiffs' agreement to not file an appeal, defendant agreed to not request $186,100 in attorney fees. Further, defendant agreed to pay $75,000 for demolition of a home on Soledad Mountain Drive, $72,884 for demolition of a home on Desert View Drive, and $14,000 for repairs to a home on Soledad Mountain Road. Last, the City will pay $121,700 to six homeowners to record easements on their land in order to put shear pins and drains in place for land stabilization.