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891 F. Supp. 2d 1364
M.D. Ga.
2012
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Background

  • Goodrich sues SWWC over a standpipe flood on Goodrich's 325 Goodrich Ave property causing extensive hardwood floor damage.
  • SWWC moves for summary judgment on nuisance, trespass causation, damages, attorneys' fees, and punitive damages; Goodrich moves to exclude Gates and Shmulsky opinions.
  • The flood occurred October 8, 2010; SWWC allegedly turned on a valve causing water flow; Molenkamp coordinated response with SWWC after notification by Goodrich employees.
  • Goodrich salvaged some wood; Building B was demolished in November 2009; Building A damage involves hardwood floors; various experts were engaged by Faraday for assessment.
  • Court awards partial summary judgment for SWWC on some claims and limits damages to diminution in value; nuisance treated as negligence in substance; causation and some damages remain for trial.
  • Gates’ testimony on reclaimed wood valuation and insurance provisions is excluded; Dr. Shmulsky’s opinions limited to certain findings; spoliation sanctions are denied.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Is Goodrich’s nuisance claim viable or should it be read as negligence? Goodrich asserts nuisance as pleaded; can be negligence in substance. Nuisance fails as pleaded; damages based on negligence issues. Nuisance dismissed; negligence framing adopted
What is the proper causation standard and is there a genuine issue for trial on causation of the Flood? Molenkamp's testimony supports causation by SWWC. Causation should be limited; disputes shown by testimony gaps. Genuine issue of material fact on proximate causation remains
What damages are recoverable for Building A and Building B? Damages include replacement costs and lost profits where applicable. Damages limited to diminution in value; replacement costs and lost profits largely disallowed. Damages limited to diminution in value for both buildings; replacement costs and lost profits denied
Should spoliation sanctions apply for demolition of Building B before inspection? Destruction hindered SWWC’s ability to assess damages. Demolition occurred in ordinary course; no bad-faith spoliation. Spoliation sanctions rejected; no sanctions imposed
Are Dr. Shmulsky and Gates' testimonies properly admissible and to what extent? Dr. Shmulsky opinions are necessary; Gates testimony should be excluded. Challenge to Shmulsky's causation and damages; Gates improper expert testimony. Shmulsky opinions 1, 2, 3, and 5 admitted; replacement-cost opinions moot; Gates testimony on valuation and co-insurance excluded

Key Cases Cited

  • Van T. Junkins & Assocs. v. U.S. Indus., Inc., 736 F.2d 656 (11th Cir. 1984) (contradictory affidavits cannot create genuine issues after clear testimony)
  • Shirey v. L. & N.R. Co., 327 F.2d 549 (5th Cir. 1964) (pure speculation defeats proximate causation at summary judgment)
  • Celotex Corp. v. Catrett, 477 U.S. 317 (U.S. 1986) (burden-shifting for summary judgment; burden on moving party)
  • Anderson v. Liberty Lobby, Inc., 477 U.S. 242 (U.S. 1986) (pretrial burden of proof; credibility issues go to jury)
  • Daubert v. Merrell Dow Pharmaceuticals, Inc., 509 U.S. 579 (U.S. 1993) (gatekeeping reliability standard for expert testimony)
  • Kumho Tire Co., Ltd. v. Carmichael, 526 U.S. 137 (U.S. 1999) ( Daubert applicability to non-scientific expert testimony)
  • Frazier v. United States, 387 F.3d 1244 (11th Cir. 2004) (test for helpfulness and relevance of expert testimony)
Read the full case

Case Details

Case Name: 325 Goodrich Avenue, LLC v. Southwest Water Co.
Court Name: District Court, M.D. Georgia
Date Published: Sep 4, 2012
Citations: 891 F. Supp. 2d 1364; 2012 U.S. Dist. LEXIS 124862; 2012 WL 3835872; No. 5:10-CV-452 (CAR)
Docket Number: No. 5:10-CV-452 (CAR)
Court Abbreviation: M.D. Ga.
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    325 Goodrich Avenue, LLC v. Southwest Water Co., 891 F. Supp. 2d 1364