Morristown Associates v. Grant Oil Company (073248)
106 A.3d 1176
| N.J. | 2015Background
- Morristown Associates purchased Morristown Plaza (strip-mall) in 1979; Plaza Cleaners had an underground storage tank (UST) whose fill/vent pipes later were found severely corroded and leaking fuel oil beginning as early as 1988. Oil deliveries by several heating-oil companies occurred from 1988–2003.
- Contamination was discovered in 2003; Morristown remediated and filed a Spill Act contribution claim in 2006 against multiple oil suppliers and former owners/operators seeking recovery of cleanup costs under N.J.S.A. 58:10-23.11f(a)(2)(a).
- The trial court granted summary judgment for several defendants based on New Jersey’s six‑year statute of limitations for injury to real property, N.J.S.A. 2A:14-1, applying the Lopez discovery rule; the Appellate Division affirmed.
- The New Jersey Supreme Court granted certification to decide whether the general six‑year limitations period applies to private Spill Act contribution actions.
- The Spill Act contribution provision (added 1991) grants a right of contribution and states that a contribution defendant “shall have only the defenses to liability available to parties pursuant to [N.J.S.A. 58:10-23.11g(d)],” which lists only defenses of war, sabotage, or God and does not mention a statute of limitations.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether N.J.S.A. 2A:14-1 (six‑year limitations) applies to private Spill Act contribution claims | Morristown: No; Spill Act’s contribution provision limits available defenses to those in § 58:10-23.11g(d), which does not include a statute of limitations; Legislature omitted a limit deliberately and elsewhere included time bars when intended | Defendants: Yes; when a statute is silent, courts apply the general limitations period for comparable harms (here injury to real property), consistent with Montells and prior district court decisions | Held: Reversed App. Div.; six‑year statute of limitations does not apply to Spill Act contribution claims because the contribution provision limits available defenses and omits any statute‑of‑limitations defense. |
Key Cases Cited
- Montells v. Haynes, 133 N.J. 282 (1993) (general‑limitations application where a statute is silent; discussed and distinguished)
- Pitney Bowes, Inc. v. Baker Indus., Inc., 277 N.J. Super. 484 (App. Div. 1994) (held statute‑of‑repose inapplicable to Spill Act contribution claims; relied on in parties’ briefing)
- Magic Petroleum Corp. v. Exxon Mobil Corp., 218 N.J. 390 (2014) (describing Spill Act’s joint and several strict liability)
- Ventron Corp. v. DEP, 94 N.J. 473 (1983) (remedial purpose of environmental statutes; “Those who poison the land must pay for its cure.”)
- DiProspero v. Penn, 183 N.J. 477 (2005) (statutory‑interpretation principles referenced for discerning legislative intent)
