Otay Land Co. v. U.E. Limited

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Two cases consolidated for review involved a property where a shooting range had been operated for decades (the Property), its remediation by Plaintiffs Otay Land Company, LLC (OLC) and Flat Rock Land Company, LLC (FRLC) (collectively, Plaintiffs), and their efforts to recover remediation costs from former owners under the Carpenter Presley-Tanner Hazardous Substances Account Act. Defendants were former owner United Enterprises, Inc. (UEI) and its successors, including United Enterprises, Ltd. (UEL) (together, UE Defendants or UE), and former owner Baldwin Vista Associates, L.P. (now The Otay Ranch, L.P.) and certain of its general partners. Plaintiffs also asserted common law claims for continuing nuisance and continuing trespass. The case proceeded to a bench trial. The trial court's Statement of Decision addressed issues regarding whether Plaintiffs had a private right of action, liability, defenses, the allocation of costs, and cost reductions, each in the alternative, and held Plaintiffs should take nothing. The court entered judgment for Defendants. Defendants moved for attorney fees and costs, which the court denied. Plaintiffs appealed, arguing the trial court erred in its interpretation and application of the Carpenter Presley-Tanner Hazardous Substances Account Act. After review, the Court of Appeal affirmed certain rulings, reversed the judgment in all other respects, and remanded with directions. In light of this decision, the Court held defendants’ appeal of fees was moot. View "Otay Land Co. v. U.E. Limited" on Justia Law