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United States v. CB&I Constructors, Inc.

Country/Territory
United States of America
Type of court
National - higher court
Date
Jun 29, 2012
Source
UNEP, InforMEA
Court name
United States Court of Appeal for the Ninth Circuit
Judge
Rawlinson, J.B.
Goodwin, A.T.
Fletcher, W.A.
Reference number
No. 10-55371
Language
English
Subject
Environment gen., Forestry
Keyword
Liability/compensation
Abstract
The federal government filed the lawsuit in 2008 against Merco Construction Engineers and its subcontractor for damages allegedly caused when the subcontractor, while building a water-storage project, ignited dry brush which resulted in a wildfire that spread to the national forest. The government sought to recover $6.6 million in fire suppression costs and unspecified damages for harm to wildlife habitats, soils, native plants, loss of recreational use, scenic views, the California red-legged frog habitats, and a historic mining camp. Merco settled its liability for $2.1 million. Jurors awarded the government $7.6 million for fire suppression and other costs and an additional $28.8 million for “intangible” environmental damages. Their verdict found both defendants liable in negligence and trespass, assigning 65 percent of the blame to the subcontractor and 35 percent to Merco. The subcontractor appealed. The three-judge appellate panel held that the damages award “was not grossly excessive” based on the substantial evidence the government presented at trial. According to the court, “[u]nder California law, the government was entitled to full compensation for all the harms caused by the fire, including intangible environmental harm.”
Full text
COU-159400.pdf