House Ear Institute v. Henry Salemi and Parviz Aria dba H&S Food & Gas, Atlantic Richfield Company, South Bay Petroleum, Inc., et al.
Published: Apr. 2, 1994 | Result Date: Mar. 8, 1994 | Filing Date: Jan. 1, 1900 |Case number: BC001689 – $0
Judge
Court
L.A. Superior Central
Attorneys
Plaintiff
Defendant
Jeffrey B. Margulies
(Norton Rose Fulbright US LLP)
Experts
Plaintiff
William T. Hudspeth
(technical)
Andrew S. Friedman
(Bonnett, Fairbourn, Friedman & Balint PC)
(technical)
Glenn A. Brown Jr.
(technical)
Daniel T. Elliott
(technical)
Richard T. McNerny
(technical)
Defendant
Rudolph White
(technical)
Richard J. Zipp
(technical)
Facts
In April of 1990, Plaintiff House Ear Institute began to experience gasoline contamination in the lowest level of the parking garage of its almost completed medical research and treatment facility. Plaintiff's investigation led it to believe that gasoline leaking from a gasoline station owned and operated by Defendant Salemi (H&S), located a block to the east, was the cause of the contamination. Plaintiff filed suit against Salemi and his business associate, Atlantic Richfield, and South Bay Petroleum, Inc. The station sold ARCO gasoline purchased from Defendant South Bay, which contractually was authorized to allow independent stations to display ARCO trademarks. Prior to trial, Atlantic Richfield obtained summary judgment on the grounds that: (1) there was no evidence it either knew or should have known of a leak in Salemi's tanks; and (2) the station's operators were not agents of Atlantic Richfield. Salemi and Aria settled prior to trial for $500,000 cash and an assignment of a minimum of $775,000 of the $990,000 for which Salemi was eligible under the state's underground storage tank remediation fund. The case proceeded to trial solely against South Bay Petroleum, Inc., the wholesale supplier of gasoline to the station.
Settlement Discussions
Defendant South Bay contended that their offer was $50,000 increased to $75,000 prior to trial; and Plaintiff made a 998 demand of $349,000 in April of 1993; then $750,000 and $700,000 prior to trial.
Damages
The case was bifurcated on liability/damages. Plaintiff sought over $4,000,000 in damages associated with past and future remediation (approximately $1,300,000 out-of-pocket damages).
Deliberation
4 days
Poll
8-4 (in favor of Defense)
Length
7.5 days
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