Bill Text: CA AB2748 | 2015-2016 | Regular Session | Amended

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Environmental disaster: release of claims: statute of limitations: attorneys' fees.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Vetoed) 2016-09-26 - Vetoed by Governor. [AB2748 Detail]

Download: California-2015-AB2748-Amended.html

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BILL NUMBER: AB 2748	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  APRIL 18, 2016
	AMENDED IN ASSEMBLY  MARCH 18, 2016

INTRODUCED BY   Assembly Member Gatto

                        FEBRUARY 19, 2016

   An act to add  Section   Sections 1544 and
 3484.5 to the Civil Code,   and to amend Section 340.8 of,
and to add Section 1021.3 to, the Code of Civil Procedure, 
relating to  natural gas.   environmental
disaster. 


	LEGISLATIVE COUNSEL'S DIGEST


   AB 2748, as amended, Gatto. Aliso Canyon Gas Storage Facility:
leak: claims for damage to property. 
   Under existing law, the Public Utilities Commission has regulatory
authority over public utilities, including gas corporations. The
Public Utilities Act prohibits any gas corporation from beginning the
construction of, among other things, a line, plant, or system, or of
any extension thereof, without having first obtained from the
commission a certificate that the present or future public
convenience and necessity require or will require that construction.
Pursuant to existing law, the commission issued a certificate of
public convenience and necessity to Southern California Gas Company
for the Aliso Canyon Gas Storage Facility.  
   Existing law establishes the Division of Oil, Gas, and Geothermal
Resources in the Department of Conservation and authorizes the State
Oil and Gas Supervisor, with the approval of the Director of
Conservation, to adopt rules and regulations that may be necessary to
carry out the purposes for which the division was established.
Pursuant to its existing authority, the supervisor has adopted
onshore well regulations that are applicable, in part, to gas storage
facilities.  
   Existing law provides that an obligation is extinguished by a
release given to the debtor by the creditor, upon a new
consideration, or in writing, with or without new consideration. A
general release does not extend to claims the creditor does not know
or suspect to exist in his or her favor at the time of executing the
release, which if known by him or her must have materially affected
his or her settlement with the debtor.  
   This bill would prohibit a payment or reimbursement, made in
connection with an environmental disaster by the responsible polluter
or any agent or entity related to the responsible polluter to any
recipient, from being conditioned upon the release by the recipient
of any claim unrelated to the environmental disaster or all future
claims, or both. 
   Existing law defines a nuisance as anything injurious to health,
indecent or offensive to the senses, or an obstruction to the free
use of property, as specified. Existing law defines a public nuisance
as a nuisance that affects at the same time an entire community or
neighborhood or any considerable number of persons, although the
extent of the annoyance or damage inflicted upon individuals may be
unequal, and makes every public nuisance a private nuisance as to
those affected by it. Existing law provides that the abatement of a
nuisance does not prejudice the right of any person to recover
damages for its past existence.
   This bill would create a right of action against Southern
California Gas Company for any person owning real property in the
Porter Ranch area, as defined, on October 23, 2015, who suffers a
diminution in value of that real property resulting from the leakage
of natural gas from the Aliso Canyon Gas Storage Facility during 2015
and 2016.  The right of action would accrue when the
claimant first offers the property for sale or seeks refinancing of
the property. The bill would specify a mechanism for
measuring the diminution in value.
   This bill would make legislative findings and declarations as to
the necessity of a special statute for the Aliso Canyon Gas Storage
Facility leak. 
   Existing law establishes statutes of limitations for civil actions
for injury or illness or wrongful death based upon exposure to a
hazardous material or toxic substance other than asbestos, as
specified. For injury or illness, the statute of limitations is 2
years from the date of injury, or 2 years after the plaintiff becomes
aware of, or reasonably should have become aware of, an injury, the
physical cause of the injury, and sufficient facts to put a
reasonable person on inquiry notice that the injury was caused or
contributed to by the wrongful act of another, whichever occurs
later. For wrongful death, the statute of limitations is no later
than either 2 years from the date of the death of the plaintiff's
decedent, or 2 years from the first date on which the plaintiff is
aware of, or reasonably should have become aware of, the physical
cause of the death and sufficient facts to put a reasonable person on
inquiry notice that the death was caused or contributed to by the
wrongful act of another, whichever occurs later.  
   This bill would change all those dates from 2 to 3 years. 

   Under existing law, except as attorney's fees are specifically
provided for by statute, the measure and mode of compensation of
attorneys is left to the agreement of the parties.  
   This bill would authorize the court, in any action for private
nuisance against an environmental polluter defendant arising out of
an environmental disaster for which the defendant has been adjudged
civilly liable, upon motion, to award reasonable attorneys' fees to a
prevailing plaintiff against the defendant. 
   Vote: majority. Appropriation: no. Fiscal committee: no.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

   SECTION 1.    Section 1544 is added to the  
Civil Code   , to read:  
   1544.  A payment or reimbursement made in connection with an
environmental disaster by the responsible polluter or any agent or
entity related to the responsible polluter to any recipient shall not
be conditioned upon the release by the recipient of any claim
unrelated to the environmental disaster or all future claims, or
both. 
   SECTION 1.   SEC. 2.   Section 3484.5 is
added to the Civil Code, to read:
   3484.5.  (a) As used in this section, "Porter Ranch area" has the
same meaning as defined in the document titled "SS-25 Incident Aliso
Canyon Gas Leak Odorous Emissions Mitigation Plan and Temporary
Relocation Plan," dated December 15, 2015, included as Exhibit A in
the stipulation and order, filed December 24, 2015, with the superior
court of the County of Los Angeles in the People of the State of
California v. Southern California Gas Company, Case No. BC602973, and
including, but not limited to, the map titled "SoCalGas Complaints
and SCAQMD Air Sampling Locations" located in  attachment
  Attachment  B of the plan document.
   (b) Any person owning real property in the Porter Ranch area on
October 23, 2015, who suffers a diminution in value of that real
property resulting from the leakage of natural gas from the Aliso
Canyon Gas Storage Facility during 2015 and 2016 shall have a right
of action against Southern California Gas Company for that diminution
in value.  The cause of action shall accrue when the owner
first offers the property for sale or seeks refinancing of the
property.  The diminution in value shall be calculated by
determining the value of the real property on October 22, 2015,
identifying similarly priced real property in neighboring communities
on that date, then comparing the value of the owner's real property
 at the time the action accrues   on June 1,
2016,  to the value of the properties in the neighboring
communities that had been similarly  priced.  
priced, regardless of whether the owner has sold or refinanced the
real property.  The diminution in value shall be the value of
the property in the Porter Ranch area on  the date the action
accrues   June 1, 2016,  subtracted from an
average value on  the date the action accrues  
June 1, 2016,  of properties in neighboring communities that
were priced similarly to the Porter Ranch area property as of October
22, 2015.
   (c) This section shall apply only to actions filed on and after
January 1, 2017.
   SEC. 3.    Section 340.8 of the   Code of
Civil Procedure   is amended to read: 
   340.8.  (a) In any civil action for injury or illness based upon
exposure to a hazardous material or toxic substance, the time for
commencement of the action shall be no later than either  two
  three  years from the date of injury, or
 two   three  years after the plaintiff
becomes aware of, or reasonably should have become aware of, (1) an
injury, (2) the physical cause of the injury, and (3) sufficient
facts to put a reasonable person on inquiry notice that the injury
was caused or contributed to by the wrongful act of another,
whichever occurs later.
   (b) In an action for the wrongful death of any plaintiff's
decedent, based upon exposure to a hazardous material or toxic
substance, the time for commencement of an action shall be no later
than either (1)  two   three  years from
the date of the death of the plaintiff's decedent, or (2) 
two   three  years from the first date on which the
plaintiff is aware of, or reasonably should have become aware of,
the physical cause of the death and sufficient facts to put a
reasonable person on inquiry notice that the death was caused or
contributed to by the wrongful act of another, whichever occurs
later.
   (c) For purposes of this section:
   (1) A "civil action for injury or illness based upon exposure to a
hazardous material or toxic substance" does not include an action
subject to Section 340.2 or 340.5.
   (2) Media reports regarding the hazardous material or toxic
substance contamination do not, in and of themselves, constitute
sufficient facts to put a reasonable person on inquiry notice that
the injury or death was caused or contributed to by the wrongful act
of another.
   (d) Nothing in this section shall be construed to limit, abrogate,
or change the law in effect on  the effective date of this
section   January 1, 2004,  with respect to actions
not based upon exposure to a hazardous material or toxic substance.
   SEC. 4.    Section 1021.3 is added to the  
Code of Civil Procedure   , to read:  
   1021.3.  In any action for private nuisance against an
environmental polluter defendant arising out of an environmental
disaster for which the defendant has been adjudged civilly liable,
the court, upon motion, may award reasonable attorneys' fees to a
prevailing plaintiff against the defendant. 
   SEC. 2.   SEC. 5.   The Legislature
finds and declares that a special law is necessary and that a general
law cannot be made applicable within the meaning of Section 16 of
Article IV of the California Constitution in order to achieve just
results while reducing court congestion as a result of the unique
circumstances involving a major leak of natural gas from the Aliso
Canyon Gas Storage Facility during 2015 and 2016.