Hicks Thomas LLP Obtains Favorable Ruling for R.R. Street in California Water Contamination Case

SAN FRANCISCO, March 30 /PRNewswire/ -- Attorneys from Houston-based Hicks Thomas LLP are announcing a trial judge's take-nothing ruling issued today in favor of Naperville, Ill.-based R.R. Street & Co. Inc. in an environmental contamination lawsuit filed by the City of Modesto, Calif., and a related local agency.

The City of Modesto and its redevelopment agency sued R.R. Street in addition to Midland, Michigan-based Dow Chemical Company, Pittsburgh-based PPG Industries and others in 1998 based on claims that the companies improperly distributed a solvent that allegedly contaminated soil and underground water. The chemical, perchloroethylene (PERC), is widely used in the U.S. dry cleaning industry.

Attorneys for the redevelopment agency claimed that multiple sites in the city's downtown redevelopment area were contaminated by PERC, and sought a ruling that would require the defendants to pay for cleanup. However, following a three-week bench trial last October, San Francisco Superior Court Judge Ernest H. Goldsmith issued a statement of decision finding that the agency "has not shown that any of the three Defendants is a responsible party under the [Polanco Redevelopment] Act. Because this element must be proved to establish Polanco Act liability . . . , the [agency's] claim under that statute fails. Accordingly, Defendants are prevailing parties."

The March 26, 2010, ruling in City of Modesto, et al. v. The Dow Chemical Company,et al., No. CGC-98-999345, found with respect to Street that the agency "failed to prove that this Defendant published improper PCE disposal instructions or that the company's representatives discharged [PERC] at the [relevant dry cleaning] sites. Therefore, Street is not a responsible party under the Act."

"R.R. Street has always worked with the highest standards for safety," says John Thomas, a partner in Hicks Thomas and lead counsel for R.R. Street. "We are pleased Judge Goldsmith carefully reviewed the facts in this case and found no wrongdoing by our client."

In 2006, the city won a $3 million verdict in an earlier phase of the case involving city water wells at four sites. That award was offset by recoveries the city made in settlements with other parties. In 2008 and 2009, the city sought an additional $140 million for alleged contamination at more than 25 additional sites.  In that phase of the case, R.R. Street received favorable court rulings and a take-nothing verdict that totally exonerated the company.

Founded in 1997, Hicks Thomas LLP is a premier litigation firm representing plaintiffs and defendants in Texas, California and across the nation. The firm's in-depth experience includes oil and gas, environmental, toxic tort, products liability, corporate governance, securities, banking, insurance coverage, transportation, and trade secrets litigation.

For more information, contact Alan Bentrup at 800-559-4534 or [email protected].

SOURCE Hicks Thomas LLP

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