Eagle Pipe and Supply, Inc. v. Amerada Hess Corp.
Louisiana Supreme Court
79 So.3d 246 (2011)
- Written by Tammy Boggs, JD
Facts
Eagle Pipe and Supply, Inc. (Eagle Pipe) (plaintiff) purchased property from several individuals (the former owners) (defendants). Twenty years later, Eagle Pipe learned for the first time through an environmental investigation that the property was contaminated with radioactive material. In addition to suing the former owners, Eagle Pipe sued a group of oil and trucking companies (the oil companies) (defendants). According to Eagle Pipe’s petition, the former owners had authorized the property to be used as a facility for storing and cleaning the oil companies’ pipes and tubes. Eagle Pipe alleged that the oil companies’ pipes had contaminated the soil and rendered the property valueless. Eagle Pipe asserted various causes of action against the former owners, including a claim for rescission and/or purchase-price reduction (redhibition), and tort and contract causes of action against the oil companies. The former owners and oil companies argued that Eagle Pipe had no right to assert a claim for property damages that occurred before Eagle Pipe was the owner. The trial court agreed. On appeal, the reviewing court initially affirmed but reversed on rehearing, concluding that Eagle Pipe had a right of action for damages. The Louisiana Supreme Court granted the oil companies’ petition for review.
Rule of Law
Issue
Holding and Reasoning (Clark, J.)
Dissent (Weimer, J.)
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