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April 01, 2005

Grefer v. Alpha Technical, et al.

After a year and a half of waiting the Louisiana Fourth Circuit Court of Appeals released its decision in Grefer v. Alpha Technical, et al.  Though it's an important decision - I would imagine the Fourth Circuit is merely a way point between the trial court and the Louisiana Supreme Court.

This is a property damage case.  The Grefers owned land in south Louisiana valued at approximately $1.5 million.  For decades the land had been used as a pipe-cleaning yard.  Used drilling pipes from oil fields were sent to the Grefer property for descaling and cleaning.  The cleaning process resulted in the accumulation of Naturally Occurring Radioactive Material (NORM).  NORM is a natural by-product of oil and gas drilling.  Though not ubiquitous there is some indication that NORM contamination is a problem in many areas of the world.  Industry knowledge about NORM dates back to the early to middle 1980s.

The trial court awarded $56,145,000 in compensatory damages and $1 billion in punitive damages.

The appellant-defendants raised seven assignments of error.  The Court rejected all but one.  The Fourth Circuit rejected the appellant's prescription argument, unlawful-jury-verdict argument, jury-instruction arguments, and the argument on the availability of punitive damages.  The appellate court accepted the appellant's due-process argument on the quantum of the punitive-damage award.  That award was reduced from $1 billion to $112,290,000 - twice the compensatory-damage award.

You can read the opinion here:

Download grefer_decision.pdf

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» A decision in the Grefer appeal from Naked Ownership
Yesterday the Fourth Circuit released its long-awaited opinon in Grefer v. Alpha Tech. Brad Parker has uploaded the opinion on his blog, Where's Travis McGee? To learn more about the case, read Brad's synopsis. [Read More]

» Grefer v. Alpha Tech from Appellate Law
Yesterday the Louisiana Court of Appeal released its judgment and opinion in Grefer v. Alpha Tech. [Read More]

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