Bostco LLC and Parisian, Inc., Plaintiffs-Appellants-Cross-Respondents-Petitioners, v. MILWAUKEE METROPOLITAN SEWERAGE DISTRICT, Defendant-Respondent-Cross-Appellant-Petitioner.
Nos. 2007AP221 & 2007AP1440
Supreme Court
Decided July 18, 2013
Oral argument September 6, 2012. 2013 WI 78
835 N.W.2d 160 | 350 Wis. 2d 554
For the defendant-respondent-cross-appellant-petitioner, there were briefs by G. Michael Halfenger, William J. Katt, Jr., Eric G. Pearson, and Foley & Lardner, LLP, Milwaukee, and Susan B. Anthony, James H. Petersen and Milwaukee Metropolitan Sewerage District, Milwaukee, and oral argument by G. Michael Halfenger.
An amicus curiae brief was filed by Claire Silverman, Madison, on behalf of the League of Wisconsin Municipalities.
¶ 2. The parties raise five issues, and we affirm the court of appeals on all but one of the issues. First, MMSD claims in its cross-appeal that it is entitled to immunity for its construction and maintenance of the
¶ 3. First, we conclude that MMSD is not entitled to immunity. Once MMSD had notice that the private nuisance it negligently maintained was causing significant harm, immunity under
¶ 4. Here, Bostco‘s nuisance claim is grounded in MMSD‘s negligent maintenance of its Deep Tunnel, which maintenance constituted a continuing private nuisance. See Physicians Plus Ins. Corp. v. Midwest Mut. Ins. Co., 2002 WI 80, ¶¶ 2-3, 254 Wis. 2d 77, 646 N.W.2d 777 (explaining that when all the elements of nuisance are proved and the municipal entity has notice that the nuisance was causing significant harm, the entity has a duty to abate). Because MMSD‘s maintenance of the continuing private nuisance is not a legislative, quasi-legislative, judicial or quasi-judicial function, MMSD is not entitled to immunity. See Hillcrest Golf & Country Club v. City of Altoona, 135 Wis. 2d 431, 439-40, 400 N.W.2d 493 (Ct. App. 1986) (explaining that the “creation and maintenance of private nuisances are simply not recognized as legislative acts subject to protection under sec. 893.80(4)“); see also Welch v. City of Appleton, 2003 WI App 133, ¶ 8, 265 Wis. 2d 688, 666 N.W.2d 511 (explaining that “no statutory or common law immunity doctrine empowers a public body to maintain a private nuisance“); Menick v. City of Menasha, 200 Wis. 2d 737, 745, 547 N.W.2d 778 (Ct. App. 1996) (concluding “there is no discretion as to maintaining the [sewer] system so as not to cause injury“);
¶ 6. Third, we conclude that the monetary damage cap in
¶ 7. Fourth, with regard to Bostco‘s inverse condemnation claim, we conclude that Bostco forfeited the argument that it makes before this court, and we therefore affirm the court of appeals on this issue.
¶ 8. Fifth, we conclude that Bostco substantially complied with the notice of claim provisions under
¶ 9. Because neither
I. BACKGROUND
¶ 10. This case arises out of MMSD‘s maintenance of the Milwaukee Deep Tunnel, which was constructed in the early 1990s to collect and store both storm water runoff and sewage until the Deep Tunnel‘s collections could be transported to Milwaukee‘s sewage treatment plant.
¶ 11. Boston Store is located in downtown Milwaukee, one block west of the Deep Tunnel‘s North Shore segment. First erected in the 19th century, Boston Store consists of five interconnected buildings that rest upon wood pile foundations that were driven into the ground to support the buildings’ columns. At the time of construction, the pilings were below the water table and were fully saturated, thereby preventing their deterioration.
¶ 12. Over time, however, the water enclosing the pilings was drawn down, and the Boston Store buildings began to suffer substantial structural damage. On November 16, 2004, Bostco filed the amended complaint in this case, alleging that MMSD‘s operation and maintenance of the Deep Tunnel caused the drawdown of the water that led to the deterioration of the wood pilings underlying Bostco‘s buildings. Bostco‘s claims
¶ 13. The amended complaint gave rise to numerous motions that resulted in dismissals of some of Bostco‘s claims. Eventually two common law claims were tried to a jury: negligence and private nuisance.
¶ 14. The jury found that MMSD was negligent in its maintenance of the Deep Tunnel near Bostco‘s building,5 and that MMSD‘s negligence was a cause of Bostco‘s injury.6 The jury awarded Bostco $3,000,000 for past damages and $6,000,000 for future damages.7 The jury also found that Bostco was at fault for 30 percent of the damages, thereby reducing the $9,000,000 award to $6.3 million.8
¶ 15. In regard to Bostco‘s nuisance claim, the jury found that the negligent manner in which MMSD maintained the Deep Tunnel interfered with Bostco‘s use and enjoyment of its property.9 The jury found that MMSD could abate the interference by reasonable
¶ 16. On post-verdict motions,12 the circuit court denied Bostco‘s motion asking the court to find that over $2 million in damages constituted “significant harm” for purposes of Bostco‘s nuisance claim. Additionally, MMSD sought judgment notwithstanding the verdict, on the ground that MMSD was protected by governmental immunity. The circuit court denied MMSD‘s motion; however, the court agreed with MMSD that the $50,000 damages cap in
¶ 18. With regard to Bostco‘s nuisance claim, the court of appeals concluded that the circuit court erred in declining to reverse the jury‘s finding that Bostco did not suffer “significant harm,” and that, as a matter of law, suffering more than $2 million in past damages constituted significant harm. Therefore, the court concluded, Bostco proved its claim for private nuisance. Bostco, 2011 WI App 76, ¶¶ 92-104, 334 Wis. 2d 620, 800 N.W.2d 518. Additionally, although the court of appeals concluded that MMSD was not entitled to immunity under
¶ 19. The court of appeals also affirmed the circuit court‘s summary judgment dismissing Bostco‘s inverse condemnation claim, holding that Bostco had failed to allege facts that could show that MMSD either physically occupied Bostco‘s property or that MMSD deprived Bostco of all or substantially all of the beneficial use of its property.15 Id., ¶¶ 110-13. Additionally, the court of appeals rejected MMSD‘s claim that Bostco had failed to comply with the notice of claim provision under
¶ 20. Bostco petitioned for review, and MMSD cross-petitioned for review. We granted both petitions.
II. DISCUSSION
A. Standard of Review
¶ 21. Whether MMSD is immune from a claim for abatement of the private nuisance it negligently maintained, which was a cause of significant harm and of which it had notice, when MMSD could do so by reasonable means at a reasonable cost, is a question of law for our independent review. See City of Milwaukee, 277 Wis. 2d 635, ¶ 56.
¶ 23. Additionally, Bostco asks this court to review the circuit court‘s summary judgment of dismissal of its inverse condemnation/takings claim. Rather than applying the traditional summary judgment methodology, however, we decline to review that claim because the alleged taking as presented to us is materially different than the taking alleged in the circuit court action. See Vill. of Trempealeau v. Mikrut, 2004 WI 79, ¶ 15, 273 Wis. 2d 76, 681 N.W.2d 190. Accordingly, we conclude that Bostco has forfeited its new claim, and we therefore affirm the court of appeals on this issue.
¶ 24. Bostco also claims that the application of the statutory damages cap under
B. Discussion‘s Structure
¶ 25. Two competing concepts underlie this controversy: one appurtenant to abating private nui-
sances and the other appurtenant to statutory immunity. One concept requires an understanding of the scope of the duty to abate a private nuisance that a municipal entity negligently maintained, which is a cause of significant harm, and of which the municipal entity had notice.16 The other concept requires consideration of whether a municipal entity, here MMSD, has statutory immunity pursuant to
¶ 26. In order to address these competing contentions, it is necessary to fully understand the claim that Bostco proved, i.e., that MMSD negligently maintained a continuing private nuisance that was a cause of significant harm and of which MMSD had notice. Given this posture, our task is to apply the law that bears on the obligation to abate a nuisance, as it has existed for more than 100 years. We interpret the governmental immunity provisions of
¶ 27. After addressing those issues, we briefly address the remaining issues. These include (1) Bostco‘s claim that
C. Nuisance
1. General principles
¶ 28. The tort of nuisance is grounded in a condition or activity that unduly interferes with a public right or with the use and enjoyment of private property. Physicians Plus, 254 Wis. 2d 77, ¶ 21 n.14. There are two broad categories of nuisance that derive their distinctions from the types of rights or interests invaded. City of Milwaukee, 277 Wis. 2d 635, ¶ 24. These broad tort categories are known as public nuisance and private nuisance. Restatement (Second) of Torts, Introductory Note to §§ 821-49 (1979); see also
¶ 29. A public nuisance involves the impingement of public rights, rights that are common to all members of the public. Id., ¶ 28. In order to recover for a public nuisance, an individual must have suffered harm of a kind different from other members of the public who exercised that common right. Restatement (Second) of Torts, § 821C.
¶ 30. A private nuisance is a condition that harms or interferes with a private interest. Id., § 821A. We have accepted the Restatement (Second) of Torts’ characterization of private nuisance as “a non-trespassory invasion of another‘s interest in the private use and enjoyment of land.” City of Milwaukee, 277 Wis. 2d 635, ¶ 25 n.4 (citing Vogel v. Grant-Lafayette Elec. Coop., 201 Wis. 2d 416, 423, 548 N.W.2d 829 (1996)
¶ 31. Wisconsin law employs the following directive for those seeking to establish liability for a private nuisance:
One is subject to liability for a private nuisance if, but only if, his conduct is a legal cause of an invasion of another‘s interest in the private use and enjoyment of land, and the invasion is either
(a) [I]ntentional and unreasonable, or
(b) [U]nintentional and otherwise actionable under the rules controlling liability for negligent or reckless conduct, or for abnormally dangerous conditions or activities.
Restatement (Second) of Torts, § 822; City of Milwaukee, 277 Wis. 2d 635, ¶ 32. Because a nuisance is a result, of which negligence or intentional conduct may be the cause, liability for a nuisance “is founded on the wrongful act in ... maintaining [the nuisance].” Physicians Plus, 254 Wis. 2d 77, ¶ 27 (quoting Brown v. Milwaukee Terminal Ry. Co., 199 Wis. 575, 589, 227 N.W. 385 (1929)) (internal quotation marks omitted). Physical occupation of the property of another is not necessary to a nuisance claim. Vogel, 201 Wis. 2d at 426. For example, invasions of noxious odors can rise to the level of a nuisance. Costas v. City of Fond du Lac, 24 Wis. 2d 409, 413, 129 N.W.2d 217 (1964).
¶ 32. Liability for a private nuisance may be based on either intentional17 or negligent acts. City of Milwaukee, 277 Wis. 2d 635, ¶ 33. In the case of negligence, as here, liability may be predicated on a party‘s failure to act when he has a duty to do so. See id., ¶ 34. The duty to act to abate a nuisance arises when one has notice that he is maintaining a nuisance that is a cause of significant harm. See id., ¶ 35.
[Some] cases involve changes to otherwise benign objects that develop over time and become harmful, through no fault of the owner of the object. In these cases, liability is predicated upon the defendant‘s failure to remove the harmful condition after he has notice of its existence.
Id. (citation omitted).
¶ 33. Furthermore, the duty to abate a nuisance negligently maintained, of which one has notice, is a general common law obligation to which all persons may be subject. See id. at ¶¶ 48, 51; see also Restatement (Second) of Torts §§ 821D, 824; Wis JI-Civil 1922. Moreover, although a municipal entity has a duty to abate a known, private nuisance by one of any number of methods within the entity‘s discretion, such “discretion” in selecting the particular method by which to abate a nuisance does not eliminate the duty to abate, or make that duty, itself, discretionary. Costas, 24 Wis. 2d at 418 (concluding that “[g]enerally the means whereby [a] nuisance is to be abated is left to the direction of the defendant tort-feasor“).
¶ 34. In Physicians Plus, we fully explored the duty of municipal entities to abate a nuisance caused by negligent maintenance. There, a tree had grown to the extent that it obscured a stop sign at a highway intersection, and that untrimmed growth was alleged to have caused a significant automobile accident. Physicians Plus, 254 Wis. 2d 77, ¶ 1. We explained that because the municipal entities responsible for trimming the tree had at least constructive notice of the sign blockage, they had a duty to abate the nuisance. Id., ¶¶ 2-3. This duty arises from the longstanding rule that generally municipal entities are not shielded from liability for maintaining a private nuisance. See Welch, 265 Wis. 2d 688, ¶ 8.
¶ 35. Similarly, in Costas, we addressed a nuisance that arose out of the operation of a sewage system operated by a municipal entity, the City of Fond du Lac.18 The City argued that no nuisance claim could lie because the sewage plant was built and operated ac
¶ 36. In Menick, the plaintiff claimed that the operation of a sewage system resulted in the flooding of the plaintiff‘s basement with raw sewage on two occasions, constituting a private nuisance. Menick, 200 Wis. 2d at 741. As we do here, Menick focused on the duty that pertains to a municipal entity‘s nuisance-causing actions, which is the duty to abate the nuisance upon notice that the negligently caused condition is a cause of significant harm. The court of appeals concluded that although Menick had failed in her proof of her nuisance claim because she did not offer an expert opinion as to the legal cause of the flooding, the City would not have enjoyed immunity from such an action based on private nuisance. Id. at 744-45.
¶ 37. Factually similar to Menick is the Welch case, in which Welch claimed that flooding that occurred after heavy rainfalls constituted a private nuisance, attributable to the City of Appleton‘s maintenance of its storm sewer system. Welch, 265 Wis. 2d 688, ¶ 1. The City asserted that it was immune from suit pursuant to
¶ 38. The most recent nuisance case is City of Milwaukee, which we decided in 2005. In City of Milwaukee, we reviewed the legal issues surrounding a broken city water main that damaged a section of MMSD‘s Deep Tunnel. City of Milwaukee, 277 Wis. 2d 635, ¶ 2. There, MMSD alleged both negligence and nuisance, just as Bostco has alleged here, asserting that the City did not properly inspect or maintain its pipeline so as to discover the leakage before the pipeline ruptured. Id., ¶ 3.
¶ 39. After a full discussion of the law relating to nuisance, we concluded that there was a question of fact as to whether the City had notice that its water main was leaking, and that such notice was necessary to show that the City was under a ministerial duty to abate the nuisance by repairing the water pipe before it broke. Id., ¶ 9. We explained:
[T]he City may be liable for its negligence in failing to repair the leaky water main. However, since there exists a material issue of fact as to whether the City had notice of the leaking water main, we cannot determine whether the City was under a ministerial duty to repair its water main prior to the break. Thus, we cannot determine whether the City is immune under § 893.80(4) from liability predicated upon a negligent failure to repair the water main before it burst.
¶ 40. A careful reading of City of Milwaukee is important to deciding this case because our decision in City of Milwaukee is grounded in a nuisance claim and also because it explains how the duty to abate a nuisance intersects with the concept of a ministerial duty of a municipal entity. We explained,
Since we cannot determine whether the City was on notice that its water main was leaking and could potentially interfere with the use and enjoyment of another‘s property, we cannot conclude whether its duty to repair the leaking main with reasonable care before it broke was “absolute, certain and imperative,” or whether the City‘s decision not to repair the main before the break was discretionary.
Id., ¶ 62 (citation omitted).
¶ 41. It follows from our explanation in paragraph 62 of City of Milwaukee, quoted above, that if the City had notice that its water main was leaking before it broke, it had a duty to abate the nuisance by fixing the pipe.21 The duty to fix the pipe, if the City knew it was leaking, was “absolute, certain and imperative“-in other words, ministerial-even though a particular method of repairing the leak was not “absolute, certain and imperative.”22
2. MMSD‘s nuisance
¶ 42. In this case, Bostco proved that MMSD negligently caused a continuing private nuisance due to the manner in which MMSD chose to maintain the Deep Tunnel.23 MMSD had notice that excessively siphoning groundwater from around Bostco‘s building was interfering with Bostco‘s use and enjoyment of its property by damaging the foundation of the building.
¶ 43. Here, in contrast to the City of Milwaukee case, no further fact-finding is required before concluding that MMSD is under a duty to abate. MMSD knew that excessive siphoning of water into the Deep Tunnel was a cause of significant harm to Bostco‘s building, and MMSD could have abated the nuisance, i.e., stopped the excessive siphoning, by reasonable means and at a
D. Municipal Immunity
¶ 44. In the context of municipal entities, the obligation to abate a known private nuisance is additionally subject to the principles of immunity for governmental entities. We therefore turn to interpreting those statutes relevant to an immunity analysis:
¶ 45. Statutory interpretation requires us to determine the statute‘s meaning, which is assumed to be expressed in the language chosen by the legislature. Richards, 309 Wis. 2d 541, ¶ 20. If the meaning of the statute is apparent in the plain language, we apply that language. State ex rel. Kalal v. Circuit Court for Dane Cnty., 2004 WI 58, ¶ 45, 271 Wis. 2d 633, 681 N.W.2d 110. We give statutory terms their “common, ordinary, and accepted meaning, except that technical or specially-defined words or phrases are given their technical or special definitional meaning.” Id.
¶ 46. A plain meaning analysis may be assisted by consideration of statutory context and structure. See id., ¶ 46. “[T]he statutory context in which a term is used, including the language and structure of surrounding or closely related statutes, is often highly instructive in determining a term‘s meaning.” State v. Soto, 2012 WI 93, ¶ 20, 343 Wis. 2d 43, 817 N.W.2d 848 (citing State v. Jensen, 2010 WI 38, ¶ 15, 324 Wis. 2d 586, 782 N.W.2d 415). The purpose of the legislation also may be useful in ascertaining a statute‘s meaning. Sheboygan Cnty. Dep‘t of Health & Human Servs. v. Tanya M.B., 2010 WI 55, ¶ 28, 325 Wis. 2d 524, 785 N.W.2d 369. Furthermore, we are assisted by prior decisions that have examined similar statutory questions. See DeHart v. Wis. Mut. Ins. Co., 2007 WI 91, ¶ 15, 302 Wis. 2d 564, 734 N.W.2d 394. Finally, if the statute was a legislative attempt to follow the rule of law set forth in a particular supreme court decision, a review of that decision also informs our understanding of the statute.
¶ 47. In regard to the immunity question presented herein, initially we are concerned with
No suit may be brought against any ... political corporation, governmental subdivision or any agency thereof for the intentional torts of its officers, officials, agents or employees nor may any suit be brought against such corporation, subdivision or agency ... for acts done in the exercise of legislative, quasi-legislative, judicial or quasi-judicial functions.
We begin by noting that
¶ 48. As the Legislative Council Report of 1976 also explains:
Prior to 1961 local units of government in Wisconsin were generally immune from tort liability because of the judicial doctrine of governmental immunity.... In 1961 the case of Holytz v. Milwaukee (1961), 17 Wis. 2d 26, was decided which abrogated the principal of governmental immunity from tort liability. ... The opinion did not impose liability on a governmental body in the exercise of its legislative or judicial or quasi-legislative or quasi-judicial functions, and to that extent a part of the immunity doctrine remained intact. ... The general statute concerning the liability of local governmental units for torts [then
§ 343.80 , now§ 893.80 ] was enacted shortly after this decision and in many respects draws from the decision for its content.
Therefore, our interpretation of
¶ 49. In Holytz, we explicitly abrogated common law immunity for municipal entities as it existed in 1962. See Holytz, 17 Wis. 2d at 39-41. The abrogation was intended to apply to municipal entity liability for all torts, “whether they be by commission or omission.”26 Id. at 39. The one limitation on our broad abrogation was clearly stated: our decision was “not to be interpreted as imposing liability on a governmental body in the exercise of its legislative or judicial or quasi-legislative or quasi-judicial functions.” Id. at 40. The second sentence of
¶ 50. The rule as to municipal entity liability has been repeated many times since our decision in Holytz and the enactment of
¶ 51. Furthermore, although a municipal entity escapes liability for its legislative or quasi-legislative decision regarding whether to install a particular system or structure, once the municipal entity makes the decision to install, the entity is under a subsequent ministerial duty29 to maintain the system or structure in a safe and working order. As we explained in Naker:
Once the decision is made and the sign is erected, the legislative function is terminated and the doctrine of Holytz that imposes liability for want of ordinary care takes over. A sign once erected by legislative action must be properly maintained.
¶ 52. As discussed above, in City of Milwaukee, we explained the relationship between municipal immunity under
¶ 53. In the present case, the court of appeals, in reversing the circuit court‘s order for abatement, concluded that while
¶ 54. Statutory interpretation begins with the words chosen by the legislature.
Except as provided in this subsection, the amount recoverable by any person for any damages, injuries or death in any action founded on tort against any ... governmental subdivision ... shall not exceed $50,000.
(Emphasis added).
¶ 55.
¶ 56. Also, non-technical words are to be given their ordinary and accepted meanings. Town of LaFayette v. City of Chippewa Falls, 70 Wis. 2d 610, 619, 235 N.W.2d 435 (1975). The phrase, “amount recoverable by any person,” is stated in non-technical terminology. In order to give an ordinary and accepted
¶ 57. This interpretation is consistent with prior cases interpreting
¶ 58. Our interpretation of
E. Equitable Relief
¶ 59. In the case now before us, the court of appeals attempted to fill the legislature‘s silence in regard to equitable relief under
¶ 60. To obtain injunctive relief, generally one must show that the injunction is necessary to prevent the continuation of significant harm. Pure Milk Prods. Coop. v. Nat‘l Farmers Org., 90 Wis. 2d 781, 803, 280 N.W.2d 691 (1979). “The purpose of an injunction is to prevent [future] violations.” Id. In that respect, injunctive relief is consistent with the obligation to abate a continuing private nuisance, which obligation is imposed to prevent future harms. See, e.g., Menick, 200 Wis. 2d at 745 (concluding that “there is no discretion as to maintaining the [sewer] system so as not to cause injury to residents“).
¶ 61. While the legislature may have authority to limit equitable relief in some circumstances, there is nothing in the language of
¶ 62. Both before and after Holytz, when the principles of immunity have been applied to claims against municipal entities for damages, those principles have not been held applicable to claims for injunctive relief against ongoing governmental activities. Perhaps one of the clearest recognitions of this distinction was our statement in Lister v. Board of Regents of the University of Wisconsin System, 72 Wis. 2d 282, 240 N.W.2d 610 (1976). In Lister, we explained that the public policy considerations that have prompted courts to grant substantive immunity for monetary damages do not apply with equal force to actions for declaratory or injunctive relief. Id. at 304; see also Scarpaci v. Milwaukee Cnty., 96 Wis. 2d 663, 691, 292 N.W.2d 816 (1980) (reaffirming that policies that underlie immunity from damages do not apply with equal force to a suit for injunctive relief).
¶ 63. However, in Johnson v. City of Edgerton, 207 Wis. 2d 343, 558 N.W.2d 653 (Ct. App. 1996), the court of appeals seemed to slip away from precedent in regard to injunctive relief against municipal entities, without recognizing that it was making a significant change in the law. Accordingly, Johnson is a concern that must be addressed for a number of reasons. See Willow Creek Ranch, L.L.C. v. Town of Shelby, 2000 WI 56, ¶¶ 75-99, 235 Wis. 2d 409, 611 N.W.2d 693 (Prosser, J., dissenting). First, because the language in Johnson is so broad, it could be interpreted as overruling, sub-silentio, prior decisions of the court of appeals that addressed immunity under
¶ 64. Second, the court of appeals’ decision in Johnson (upon which we based part of our decision barring injunctive relief in Willow Creek), focused on the wrong language in the municipal immunity statute,
¶ 65. Third, Johnson relied on the principles of immunity that apply to municipal officers. Johnson, 207 Wis. 2d at 352. However, for municipal officers, the rule is immunity, not liability. See Cords v. Anderson, 80 Wis. 2d 525, 539, 259 N.W.2d 672 (1977). The Johnson decision‘s reliance on those principles is misplaced because Johnson actually involved a municipal entity, and therefore, the rule is liability, not immunity. Kimps, 200 Wis. 2d at 10 n.6.
¶ 66. Furthermore, the Johnson decision‘s errors were uncorrected by our decision in Willow Creek. We did note that “[t]o the extent that the language in Johnson suggests otherwise by expanding immunity too broadly, we limit that language.” Willow Creek, 235 Wis. 2d 409, ¶ 34. We did not describe how the language in Johnson was limited.33 However, we now clarify that under Willow Creek and Johnson, equitable relief will be barred when a municipal entity is entitled to immunity. Accordingly, our analysis in this case would be different if we concluded that MMSD were entitled to municipal entity immunity for legislative, quasi-legislative, judicial or quasi-judicial functions. Under circumstances when immunity applies, it bars claims for both monetary damages and injunctive relief. Id., ¶ 36. Therefore, when a plaintiff seeks equitable or injunctive relief against a municipal entity, a court must first answer the threshold question of whether immunity applies. If a court concludes that the actions the plaintiff is seeking to stop through a suit in equity are legislative, quasi-legislative, judicial or quasi-judicial, then the suit must be dismissed because the governmental entity is protected by immunity.
¶ 68. Our conclusion that municipal entities may be subject to orders for equitable relief also finds support in statutory provisions referring to the availability of equitable relief from continuing nuisances, as well as long-standing precedent to the same effect. Currently,
¶ 69. Indeed, we expressed such an understanding of the common law duty to abate and of immunity in Costas. Therein, we concluded that a private individual could bring an action for abatement of a private nui
¶ 70. In 1973, the legislature amended
¶ 71. Therefore, based on the statutory history of
¶ 72. When the circuit court ordered MMSD to abate the private nuisance caused by MMSD‘s negligent maintenance of its Deep Tunnel, it applied the appropriate legal standard and made a decision that a reasonable court could make. The circuit court‘s order required MMSD to abate a continuing private nuisance, of which MMSD had notice and which MMSD could abate by reasonable means and at a reasonable cost. The circuit court, however, went one step too far when, without hearing testimony, it concluded that lining the Deep Tunnel was the required means of abatement. Accordingly, we reverse the court of appeals’ conclusion that an order for abatement was improper. Abatement is required. We therefore affirm the circuit court‘s order for abatement, and remand the matter to the circuit court. Upon remand, a hearing may be held to establish whether another method will abate the continuing private nuisance MMSD maintains, or whether lining the Deep Tunnel with concrete is required for abatement.
F. Remaining Issues
¶ 73. Having concluded that Bostco is entitled to relief in the form of abatement of MMSD‘s continuing nuisance, we now turn to Bostco‘s other asserted claims for relief, beginning with its challenge to the limitation of damages set forth in
1. Limitation of damages under Wis. Stat. § 893.80(3)
¶ 74. Bostco claims that the damage cap under
All people are born equally free and independent, and have certain inherent rights; among these are life, liberty and the pursuit of happiness; to secure these rights, governments are instituted, deriving their just powers from the consent of the governed.
Except as provided in this subsection, the amount recoverable by any person for any damages, injuries or death in any action founded on tort against any volunteer fire company organized under
ch. 181 or213 , political corporation, governmental subdivision or agency thereof and against their officers, officials, agents or employees for acts done in their official capacity or in the course of their agency or employment, whether proceeded against jointly or severally, shall not exceed $50,000.
We have had occasion to review this provision on multiple occasions, including challenges asserting that the limitation on damages violates equal protection. See Sambs v. City of Brookfield, 97 Wis. 2d 356, 293 N.W.2d 504 (1980); Stanhope v. Brown Cnty., 90 Wis. 2d 823, 280 N.W.2d 711 (1979). As noted by the court of appeals in this case, we have upheld
¶ 76. With regard to Bostco‘s facial challenge, we reiterate the high standard facing litigants asserting a constitutional challenge: legislative enactments are presumed constitutional, and we will resolve any reasonable doubt in favor of upholding the provision as constitutional. See Stanhope, 90 Wis. 2d at 837. In the context of an equal protection challenge, we will sustain a legislative enactment that creates a distinction between treatment of different groups, if there exists a rational basis to support that distinction, provided that the distinction does not implicate a suspect class or impinge upon a fundamental right. See State v. Quintana, 2008 WI 33, ¶ 79, 308 Wis. 2d 615, 748 N.W.2d 447. Because Bostco does not assert that it is a member of a protected class, or that recovery in tort from a governmental entity is a fundamental right, we must uphold the damage limitations in
¶ 77. In Holytz, 17 Wis. 2d at 40, we recognized that the legislature was free to limit the amount of damages that plaintiffs may recover from governmental entities for the torts of those entities or their officers. We have since reiterated that principle in Sambs, 97 Wis. 2d at 371-78, and Stanhope, 90 Wis. 2d at 837-42. We now reaffirm the legislature‘s valid limitation of the amount of damages recoverable under
It is within the legitimate power of the legislature to take steps to preserve sufficient public funds to ensure that the government will be able to continue to provide those services which it believes benefits the citizenry. We conclude that the legislature‘s specification of a dollar limitation on damages recoverable allows for fiscal planning and avoids the risk of devastatingly high judgments while permitting victims of public tortfeasors to recover their losses up to that limit.
Accordingly, we conclude that a rational basis exists for the damage limitations in
¶ 79. Bostco asserts that the establishment of the June 1994 date was arbitrary, thereby violating the precept that “every person within the state‘s jurisdiction will be protected against intentional and arbitrary discrimination, whether arising out of the terms of a statute or the manner in which the statute is executed by officers of the state.” State ex rel. Murphy v. Voss, 34 Wis. 2d 501, 510, 149 N.W.2d 595 (1967). The necessary corollary, however, is that some inequality is generally insufficient to demonstrate unconstitutional disparate treatment—again, where there exists a rational basis for the unequal treatment, we will sustain the official action as within the legislature‘s power. See State v. McManus, 152 Wis. 2d 113, 131, 447 N.W.2d 654 (1989).
¶ 80. Here, MMSD made the decision to stop paying claims at the end of June 1994, based on its understanding that the situation that had necessitated a dedicated claims procedure had been ameliorated. MMSD provided notice to property owners before No
2. Bostco‘s forfeiture of inverse condemnation arguments
¶ 81. In its complaint to the circuit court, Bostco alleged that MMSD inversely condemned Boston Store‘s property when it “physically took portions of the timber pilings which rendered them unusable and damaged the Boston Store Building and Parking Garage.” (Emphasis added.) Bostco also alleged that MMSD‘s conduct amounted to a taking of private property for public use without providing just compensation. Bostco made the same argument in opposing MMSD‘s motion
¶ 82. The court of appeals addressed both the timber piles and the groundwater arguments, and held that Bostco could not establish that either claim met the standard for inverse condemnation, namely, that neither the timber piles nor the groundwater was physically occupied by MMSD and that Boston Store was not “practically or substantially” rendered “useless for all reasonable purposes.” Bostco, 334 Wis. 2d 620, ¶¶ 111-17 (quoting Howell Plaza, Inc. v. State Highway Comm‘n, 92 Wis. 2d 74, 85, 284 N.W.2d 887 (1979)). The court of appeals therefore affirmed the circuit court‘s dismissal of Bostco‘s inverse condemnation/takings claim on summary judgment. Id., ¶ 117.
¶ 83. Before us, however, Bostco states in its brief that it “is no longer pursuing its inverse condemnation claim as a taking of the wood piles.” Instead, Bostco argues that MMSD “physically took the groundwater” beneath Boston Store. As Bostco is attempting to make a fundamentally different argument than that which it raised and tried before the circuit court, we decline to address its inverse condemnation/takings claim, notwithstanding the court of appeals’ decision to reach this issue. See Tatera v. FMC Corp., 2010 WI 90, ¶ 19 n.16, 328 Wis. 2d 320, 786 N.W.2d 810 (“Arguments raised for the first time on appeal are generally deemed forfeited.“).
¶ 84. Bostco attempts to avoid the effects of forfeiture by alleging that its complaint before the circuit court “was replete with factual allegations about the
¶ 85. Most tellingly, Count III of Bostco‘s complaint, entitled “Inverse Condemnation,” does not refer at all to groundwater, and instead focuses entirely on timber piles. Because Bostco has not preserved the groundwater-based contention for appeal, we decline to address its inverse condemnation/takings claim, and therefore affirm the court of appeals, albeit on modified grounds.
3. Bostco‘s notice of claim
¶ 86. Finally, in its cross-appeal, MMSD asserts that Bostco did not serve MMSD with a notice of injury and itemization of relief as required by
¶ 87. In pertinent part,
[N]o action may be brought or maintained against any volunteer fire company organized under
ch. 213 , political corporation, governmental subdivision or agency thereof nor against any officer, official, agent or employee of the corporation, subdivision or agency for acts done in their official capacity or in the course of their agency or employment upon a claim or cause of action unless:(a) Within 120 days after the happening of the event giving rise to the claim, written notice of the circumstances of the claim signed by the party, agent or attorney is served on the volunteer fire company, political corporation, governmental subdivision or agency and on the officer, official, agent or employee under
s. 801.11 . Failure to give the requisite notice shall not bar action on the claim if the fire company, corporation, subdivision or agency had actual notice of the claim and the claimant shows to the satisfaction of the court that the delay or failure to give the requisite notice has not been prejudicial to the defendant fire company, corporation, subdivision or agency or to the defendant officer, official, agent or employee; and(b) A claim containing the address of the claimant and an itemized statement of the relief sought is
¶ 88. The notice of claim provisions serve two purposes:37 “(1) to give governmental entities the opportunity to investigate and evaluate potential claims, and (2) to afford governmental entities the opportunity to compromise and budget for potential settlement or litigation.” E-Z Roll Off, LLC v. Cnty. of Oneida, 2011 WI 71, ¶ 34, 335 Wis. 2d 720, 800 N.W.2d 421. In keeping with these purposes, we have recognized that the notice of claim provisions may be satisfied with substantial, rather than strict, compliance. See Figgs v. City of Milwaukee, 121 Wis. 2d 44, 55, 357 N.W.2d 548 (1984). Accordingly, where a claimant fails to strictly comply with the notice of injury provision under
¶ 89. Additionally, with regard to
¶ 90. Here, Bostco‘s notice of injury informed MMSD that the Boston Store buildings had been damaged by MMSD‘s operation of the Deep Tunnel. Although the notice and the itemized statement of relief were submitted on behalf of Saks, Inc. and WISPARK Holdings LLC, the naming of these parties cannot reasonably be said to have compromised MMSD‘s ability to investigate and evaluate the nature of the claim, which was the substantial damage to the Boston Store buildings. Moreover, MMSD has not suffered any prejudice by not knowing precisely which entity owned the property that MMSD was alleged to have damaged; merely being required to litigate, without more, does not demonstrate prejudice. See Luckett v. Bodner, 2009 WI 68, ¶ 43, 318 Wis. 2d 423, 769 N.W.2d 504.
¶ 91. Furthermore, the itemization of relief informed MMSD of what relief was being sought, thereby apprising MMSD of potential costs for which it might have wanted to budget, and allowing MMSD to contemplate settlement for the asserted injuries. Had MMSD sought to compromise or settle the claim (which is not the case here), the naming of different corporate entities did not interfere with the purposes of the notice of claim provisions. Most notable for purposes of compromise or settlement, the same law firm represented
¶ 92. In support of its argument that Bostco failed to comply with the notice of claim requirements, MMSD relies on the court of appeals’ statement in Markweise v. Peck Foods Corp., 205 Wis. 2d 208, 220-21, 556 N.W.2d 326 (Ct. App. 1996), that “unless the government entity has ‘actual knowledge’ of both the claimant and his or her claim, the investigation and evaluation envisioned by the statute is impossible.” That statement, however, arose in the context of thousands of potential claimants against the City of Milwaukee, many of whom remained unknown after the notice of claim. See id. at 221, 232.
¶ 93. Such was not the case here. MMSD was aware of the property damaged, it was aware of the relief sought, and it had sufficient information to contact the claimants. Accordingly, we conclude that Bostco substantially complied with the notice of claim requirements of
III. CONCLUSION
¶ 94. We conclude that MMSD is not entitled to immunity. Once MMSD had notice that the private nuisance it negligently maintained was a cause of
¶ 95. Here, Bostco‘s nuisance claim is grounded in MMSD‘s negligent maintenance of its Deep Tunnel, which maintenance constituted a continuing private nuisance. See Physicians Plus, 254 Wis. 2d 77, ¶¶ 2-3 (explaining that when all the elements of nuisance are proved and the municipal entity has notice that the nuisance is a cause of significant harm, the entity has a duty to abate). Because MMSD‘s maintenance of the continuing private nuisance is not a legislative, quasi-legislative, judicial or quasi-judicial function, MMSD is not entitled to immunity. See Hillcrest Golf, 135 Wis. 2d at 439-40 (explaining that the “creation and maintenance of private nuisances are simply not recognized as legislative acts subject to protection under
¶ 96. Because MMSD does not have immunity for its negligent maintenance of the Deep Tunnel, we also conclude as follows: On the second issue, we conclude that
¶ 97. Third, we conclude that the monetary damage cap in
¶ 98. Fourth, with regard to Bostco‘s inverse condemnation claim, we conclude that Bostco forfeited the argument that it makes before this court, and we therefore affirm the court of appeals on this issue.
¶ 99. Fifth, we conclude that Bostco substantially complied with the notice of claim provisions under
¶ 100. Because neither
¶ 101. By the Court.—The decision of the court of appeals is affirmed in part, reversed in part and the cause remanded to the circuit court.
¶ 102. DAVID T. PROSSER, J., did not participate.
¶ 103. MICHAEL J. GABLEMAN, J. (concurring). I join the majority opinion in toto as I believe it reaches the correct result under our existing immunity law. I write separately, however, to express my dismay that this court continues to apply a series of doctrines that have no connection to the text of the municipal immunity statute (
I. THE HISTORY OF GOVERNMENTAL IMMUNITY
¶ 104. To better understand our current governmental immunity quagmire, it will be helpful to briefly survey the historical development of the doctrine. The concept of governmental immunity goes back to the 18th-century English common law notion that “the king could do no wrong,” Linda M. Annoye, Comment, Revising Wisconsin‘s Government Immunity Doctrine, 88 Marq. L. Rev. 971, 973-74 (2005). Or, as Sir William Blackstone put it, “The king... is not only incapable of
¶ 105. In 1962 this court abrogated the longstanding common law rule of governmental immunity in Holytz, 17 Wis. 2d at 33, noting, “[t]here are probably few tenets of American jurisprudence which have been so unanimously berated as the governmental immunity doctrine.” That decision reversed the relationship between injured plaintiffs and government tortfeasors, as we held that “henceforward, so far as governmental responsibility for torts is concerned, the rule is liability—the exception is immunity.” Id. at 39. However, we qualified this sea change in the law by cautioning that liability should not attach to a governmental body when it exercises its “legislative or judicial or quasi-legislative or quasi-judicial functions.” Id. at 40 (citation omitted).
II. THE MINISTERIAL DUTY AND KNOWN DANGER “EXCEPTIONS”
¶ 106. The first thread of Holytz‘s newly woven tapestry to unravel was Lister v. Bd. of Regents, 72 Wis. 2d 282, 300-01, 240 N.W.2d 610 (1976), where this court laid down the discretionary/ministerial test for whether governmental immunity applied. In holding that the University of Wisconsin-Madison Registrar could not be sued for allegedly misclassifying a group of law students as “non-residents” for tuition purposes, we held that government employees are immune when exercising discretion, but that no immunity attaches to the negligent performance of a “ministerial duty.” Id. at 300-01. We opined that within the context of governmental immunity a “duty is ministerial only when it is absolute, certain and imperative, involving merely the performance of a specific task when the law imposes, prescribes and defines the time, mode and occasion for its performance with such certainty that nothing remains for judgment or discretion.” Id. at 301 (footnote omitted). As the decision on whether to classify a student as a Wisconsin resident for purposes of in-state tuition required “some discretion and judgment,” the
¶ 107. The ministerial duty concept, though, came directly from our decision in Meyer v. Carman, 271 Wis. 329, 332, 73 N.W.2d 514 (1955). See Lister, 72 Wis. 2d at 301 n.18, 19 (citing Meyer). The problem with relying on a test from Meyer, however, was that case was decided before we abrogated governmental immunity in Holytz. So while it made sense for Meyer to speak of an exception to immunity when immunity was the rule, it made no sense for Lister to adopt an exception to a concept that had already been retired both judicially and legislatively.
¶ 108. Justice Prosser has also commented on the bizarre development of the ministerial duty exception “from a context in which it was valuable and necessary” to “a context in which it is unfair and absurd.” Umansky v. ABC Ins. Co., 2009 WI 82, ¶ 64, 319 Wis. 2d 622, 769 N.W.2d 1 (Prosser, J., concurring). By “shift[ing] the focus from liability to immunity,” Lister turned the Holytz decision upside down without even citing to that momentous case. Id., ¶ 75. With a sleight-of-hand, Lister cut the guts out of Holytz and essentially restored governmental immunity. As Justice Prosser accurately and poignantly put it: “[s]o far as government responsibility for torts is concerned, immunity has become the rule and liability has become the rare exception. Justice has been confined to a crawl space too narrow for most tort victims to fit.” Id., ¶ 78.
¶ 109. Following Lister, this court repeatedly relied on the ministerial duty exception to stretch governmental immunity beyond both the text of the statute and the Holytz decision. For example, we have immunized such conduct as a road test examiner‘s purported
¶ 110. In addition to having no connection whatsoever to the governing statute, the other flaw with the ministerial duty test is that it is excruciatingly narrow. As one court has put it, “it would be difficult to conceive of any official act, no matter how directly ministerial, that did not admit of some discretion in the manner of its performance, even if it involved only the driving of a nail.” Ham v. Los Angeles Cnty., 189 P. 462, 468 (Cal. Ct. App. 1920); see also Swanson v. United States, 229 F. Supp. 217, 219-20 (N.D. Cal. 1964) (“In a strict sense, every action of a government employee, except perhaps a conditioned reflex action, involves the use of some degree of discretion.“). The upshot of this court‘s adoption of the ministerial duty exception is that we have in essence overturned Holytz and rewritten
¶ 111. The ministerial duty exception is also the progenitor responsible for the illegitimate birth of the known danger exception. In Cords v. Anderson, 80 Wis. 2d 525, 531-32, 536-38, 259 N.W.2d 672 (1977), a group of college students were injured while hiking at a state park when they fell from an unguarded and unmarked 90-foot cliff into a gorge. The plaintiffs sued the manager of the park (a state employee) for failing to put up warning signs along the trail. Id. at 537-38. The manager, naturally, asserted governmental immunity. Id. However, instead of asking whether the manager‘s actions were legislative, quasi-legislative, judicial, or quasi-judicial, as Holytz requires for state employees, this court (relying on Lister) framed the question as whether the manager had “an absolute, certain, or imperative duty to either place the signs warning the
III. A NEW APPROACH FOR GOVERNMENTAL IMMUNITY JURISPRUDENCE
¶ 112. If we were to do away with the ministerial duty and known danger exceptions, what test would we use to determine whether an action is “legislative, quasi-legislative, judicial, or quasi-judicial?” I recommend that this court adopt the “planning-operational distinction.” This test, which is used in some form by a majority9 of states that no longer recognize governmen-
¶ 113. This approach is most consistent with the municipal immunity statute and Holytz. To begin with, it would protect “the essential acts of governmental
¶ 114. How would this test apply to the present case? MMSD‘s decision to build the Deep Tunnel system is a planning level decision entitled to immunity. Conversely, had the Deep Tunnel never been built, a plaintiff could not successfully allege that his basement was flooded as a result of MMSD‘s inaction. The decision not to build is shielded for the same reasons as the decision to build: it is a question of public policy that involves the evaluation of financial, political, economic, and social factors. See Conlin v. City of Saint Paul, 605 N.W.2d 396, 400 (Minn. 2000).
¶ 116. The circuit court asked each of the parties to submit a date as to when MMSD took over the operation and maintenance of the Deep Tunnel. Both parties agreed that the date MMSD began operating the Deep Tunnel was the date the jury would use “in determining what, if any acts of negligence... MMSD committed.” After briefing and argument, the court settled on August 7, 1992, the date MMSD offered as to when the contractor certified that the Deep Tunnel project was substantially completed. The court then made the nature of the case clear to the attorneys:
[MMSD] is only responsible[,] and the jury will only be asked to assess assuming they find negligence, assess damages that occurred to the Boston Store from that day forward.
So if the proof were, for example, that all of the damages that the foundation, the Boston Store suffered
occurred before August 7, 1992, then the jury should enter zero dollars. On the other hand, if all the damages occurred after August 7, 1992, then whatever those amounts are, that‘s the number the jury should assess.
¶ 117. The negligence question submitted to the jury was consistent with the circuit court‘s remarks to the lawyers at the pre-trial conference: “On or after August 7, 1992 was [MMSD] negligent in the manner in which it operated or maintained the tunnel near Boston Store?” After a two-and-a-half week trial, the jury found that MMSD was negligent and that this negligence was the cause of the damage to Boston Store‘s foundation. Bostco produced a number of expert witnesses during the trial to support its argument that the negligent operation and maintenance of the Deep Tunnel caused damage to the Boston Store, including an engineer who testified that “[t]he Boston Store has experienced large structural column movement as a result of the operation of the [Deep] Tunnel,” and, “[i]f the operation of the [Deep] Tunnel continues under the current conditions, the Boston Store will experience large structural column movements requiring future repair.” (Emphasis added). It is our job as an appellate court to search the record for evidence to support, not contradict, the jury‘s findings. Morden v. Cont‘l AG, 2000 WI 51, ¶ 39, 235 Wis. 2d 325, 611 N.W.2d 659. Here, there is ample evidence in the record to buttress the factual conclusion that MMSD‘s negligent operation and maintenance of the Deep Tunnel unsettled Boston Store‘s foundation, causing millions of dollars of damage.
¶ 118. As the operation and maintenance of a sewerage system is an “operational” rather than “planning-level” decision, this is as far as our immunity
IV. CONCLUSION
¶ 119. We stated in Holytz that the legislature was free to reinstate governmental immunity. In the five decades since that decision, it has not done so. That choice should be respected by this court rather than undermined.
¶ 120. SHIRLEY S. ABRAHAMSON, C.J. (dissenting). I conclude that the Milwaukee Metropolitan Sewerage District (the District or MMSD) is immune from suit for any monetary damages or injunctive relief in the present case. The District is immune because the
¶ 121. Decisions regarding the design of a municipal improvement project are, according to case law, legislative, discretionary decisions, the type of core decisions for which government entities are immune from suit.1 Government entities are immune from suit even if the planning, design, and implementation of the project are negligent and lead to a harmful result, including the maintenance of a nuisance.2
¶ 122. If the District were not immune, I would conclude that any monetary damages or injunctive relief in the present case is limited by the statutory cap set forth in
¶ 123. Before examining the numerous errata in the majority opinion, let me sound an A*L*A*R*M. The majority opinion drastically and fundamentally increases government liability. This case alone may result in a mandatory expenditure of over $10 million by the District.
¶ 125. I now turn to a critique of the majority opinion. The first step is to put the case in perspective.
¶ 126. Bostco asserts (and the majority opinion agrees) that the District is liable in tort for negligently maintaining a private nuisance—a sewer system called the Deep Tunnel—that has interfered with Bostco‘s real property, regardless of the nature of the District‘s action that created the nuisance.5
¶ 129. Even if the District designed the Tunnel in a poor and negligent manner and has created a nuisance and injured Bostco, the District is immune from suit for that design and for the operation and maintenance of the Tunnel in accordance with that design.9
¶ 130. I dissent because the majority opinion reaches the wrong result by revising history, erroneously interpreting cases and statutes, isolating and citing language from cases out of context, relying on and reinvigorating recanted cases, and silently and surreptitiously overturning precedent.
¶ 132. The concurrence bemoans the fact that courts have drifted away from the text of
¶ 133. Case after case has explained that these terms “have been collectively interpreted to include any act that involves the exercise of discretion and judgment.”11 The concurrence might not characterize this definition as “precise,” but it is just as precise (or imprecise) as the concurrence‘s recommended “planning-operational” distinction as a sound interpretation of the statutory words.12
¶ 134. Indeed, this court has explicitly “decline[d] the invitation to create a planning/operational distinction to be utilized in the analysis of state employee immunity,” because the distinction is “ill-defined and
difficult to apply.” Kimps v. Hill, 200 Wis. 2d 1, 24, 546 N.W.2d 151 (1996). The planning/operational distinction has not become better defined or easier to apply since Kimps. Cases from other jurisdictions (both before and after Kimps) demonstrate that using a “planning-operational” distinction between acts that are immune and those for which a government entity is liable provides no silver bullet piercing the difficulties associated with interpreting and applying rules of government immunity and liability.13¶ 135. Government immunity and liability is a complicated area of jurisprudence with 50 years of Wisconsin case law precedent that is not always easy to explain or justify. Periodically the court has attempted to synthesize and clarify our cases. This court‘s decision in Milwaukee Metropolitan Sewerage District v. City of Milwaukee (City of Milwaukee), 2005 WI 8, 277 Wis. 2d 635, 691 N.W.2d 658, just eight years ago, went a long way to clarify the issues presented in the instant case—nuisance, negligence, liability, and immunity. And here we are moving away from that decision.14
¶ 136. Perhaps our whole body of case law interpreting
¶ 137. The majority opinion does not carefully revisit the law and does not have full information. Instead, unfortunately, the majority opinion further muddies the waters.
¶ 138. I am writing this dissent to focus attention on the mistaken premises upon which the majority opinion is based. I shall proceed by listing each erratum with a brief description, followed by a more extensive discussion.16
ERRATUM I. (¶¶ 44-65, infra)
¶ 139. THE INITIAL BAIT-AND-SWITCH. The majority opinion rests heavily on the old bait-and-switch trick.
¶ 140. Here‘s the basic bait: The majority opinion (at ¶ 3) declares that it “rests on our holding in Milwaukee Metro. Sewerage District v. City of Milwau-
¶ 141. Here‘s the switch: The majority opinion fails to adhere to City of Milwaukee and to Physicians Plus Insurance Corp. v. Midwest Mutual Insurance Co., 2002 WI 80, 254 Wis. 2d 77, 646 N.W.2d 777, upon which City of Milwaukee relies.
¶ 142. Here‘s the bait again: The majority opinion (at ¶ 3) correctly states the rule of law set forth in City of Milwaukee: “Whether immunity exists for nuisance founded on negligence depends upon the character of the negligent acts.”17
¶ 143. City of Milwaukee then declares the following rule of law regarding the character of the negligent act:
A municipality is immune from suit for nuisance if the nuisance is predicated on negligent acts that are discretionary in nature. A municipality does not enjoy immunity from suit for nuisance when the underlying tortious conduct is negligence and the negligence is comprised of acts performed pursuant to a ministerial duty.18
¶ 144. The City of Milwaukee court did not decide whether the City was immune from suit for failing to
¶ 145. Here‘s the switch: The majority opinion (at ¶ 41) recasts City of Milwaukee to state: “The duty to fix the pipe, if the City knew it was leaking, was ‘absolute, certain and imperative,‘—in other words, ministerial—even though a particular method of repairing the leak was not ‘absolute, certain and imperative.‘”
¶ 146. According to the majority opinion (at ¶ 43 n.25): “[I]t is the manner in which MMSD complies with the ministerial duty to fix the problem that is subject to discretion; no such discretion exists as to whether MMSD must fix the known problem.” The majority opinion further states (at ¶ 51):
[A]lthough a municipal entity escapes liability for its legislative or quasi-legislative decision regarding whether to install a particular system or structure, once the municipal entity makes the decision to install, the
entity is under a subsequent ministerial duty to maintain the system or structure in a safe and working order.20
¶ 147. In other words, according to the majority opinion (¶¶ 51, 64), once a municipal entity installs a particular system or structure, the entity is under a subsequent ministerial duty to maintain the system or structure in a safe manner and is liable for any damages negligently caused, no matter the act that caused the nuisance or the damage.21
¶ 148. The majority opinion flouts the City of Milwaukee rule of law that distinguishes between operation and maintenance of the Tunnel that may in particular circumstances be legislative actions, and operation and maintenance of the Tunnel that may in other circumstances be ministerial actions. The majority opinion then imposes liability in a limited amount for damages for negligent operation and maintenance of a nuisance and unlimited injunctive relief for a nuisance, regardless of whether the negligently created nuisance is a result of discretionary action or a failure to fulfill a ministerial duty.
ERRATUM II. (¶¶ 66 to 86, infra)
¶ 149. A CONTINUED BAIT-AND-SWITCH. After promising to adhere to City of Milwaukee, the majority opinion contravenes City of Milwaukee in a second way: It repeatedly relies on cases explicitly called into doubt by City of Milwaukee22 and asserts (sometimes in slightly different language) that “there is no discretion as to maintaining the [sewer system] so as not to cause injury.”
¶ 150. Some cases upon which the majority opinion depends were decided before Holytz and the enactment of
ERRATUM III. (¶¶ 87 to 99, infra)
¶ 151. EQUITABLE CLAIM:
¶ 152. Espousing an ordinary and reasonable interpretation of the phrase “the amount recoverable by any person for any damages . . . in any action founded on tort” in
¶ 153. The majority opinion is oblivious to the extreme irony in limiting monetary damages to $50,000 for public policy reasons while requiring government entities to pay as much as it takes to abate a nuisance.
¶ 154. The majority opinion‘s interpretation of
ERRATUM IV. (¶¶ 100 to 132, infra)
¶ 155. EQUITABLE CLAIM CONTINUED:
¶ 156. Clearly Bostco‘s request for injunctive relief in this tort action is encompassed in “any suit.” It is labeled a claim and is a “claim” that fits within the statutory phrase “all claims.”
¶ 157.
¶ 158. The majority opinion offers no statute (or precedent) excluding injunctive relief from
¶ 159. The majority opinion enables a court to order abatement of a private nuisance at unlimited cost, thereby eviscerating the text and legislatively enacted protection of the taxpayer and the public purse.
ERRATUM V. (¶¶ 133 to 152, infra)
¶ 160. EQUITABLE CLAIM: MANY UNANSWERED QUESTIONS. The majority opinion fails to discuss injunctive relief in any meaningful manner. The
ERRATUM VI. (¶¶ 153 to 158)
¶ 161. UNFUNDED MANDATE; CONTRARY TO PUBLIC POLICY. The majority opinion expands government liability and increases costs for government entities and taxpayers. This results in an unfunded mandate on government entities. Increased government liability is contrary to recent legislative expressions of state policy that reduce government liability and reduce potential recovery for tort victims. The majority opinion is marching in the opposite direction from the legislature.
¶ 162. On consideration of these serious errata, I dissent.
I
¶ 163. I agree with the majority opinion that the proper negligence, nuisance, liability, and immunity analyses rest upon City of Milwaukee. Majority op., ¶ 3.
¶ 164. The negligent creation and known existence of a nuisance are alone insufficient to impose liability on a municipal entity. As City of Milwaukee instructs, once a property owner proves the existence of a nuisance and notice to the entity, the owner must also prove that the underlying tortious conduct giving rise to the nuisance constitutes actionable negligence.32
¶ 165. Once actionable negligence is established, the next step under City of Milwaukee is to determine the nature of the municipal entity‘s negligent acts in order to determine whether the entity is liable or immune. As City of Milwaukee explained: “[A] municipality may be immune from nuisance suits depending on the nature of the tortious acts giving rise to the nuisance. A municipality is immune from suit for nuisance if the nuisance is predicated on negligent acts that are discretionary in nature.”33
¶ 166. City of Milwaukee further explained that “[d]ecisions concerning the adoption, design, and implementation of a public works system are discretionary, legislative decisions for which a municipality enjoys immunity.”34 Thus, if the nuisance in the present case is predicated on negligent “[d]ecisions concerning the adoption, design and implementation of” the Deep Tun-
¶ 167. In contrast, if the nuisance is predicated on a negligent act in performing a ministerial duty to operate or maintain the Deep Tunnel that caused the nuisance, then the District is liable.36
¶ 168. In City of Milwaukee, the City‘s water main was obviously neither designed nor constructed to leak. All agreed that the water main leaked and then ruptured, causing damage to MMSD‘s sewer. MMSD in that case did not allege that the City was negligent in failing to repair the main after it ruptured. MMSD alleged that the City was negligent and created a nuisance by failing to monitor and inspect the system to detect leaks, and by failing to repair the main before it ruptured. The question before the Supreme Court was whether the City had a ministerial duty to act while the water main was leaking before the main ruptured.37
¶ 169. At no time in City of Milwaukee did this court decide that the City had a ministerial duty to abate a nuisance merely because it had notice of the nuisance. The court decided only that the City may be
¶ 170. The majority opinion (at ¶¶ 41, 51) recasts City of Milwaukee to state that once the District had notice that it had negligently created a private nuisance that caused damage, it had a ministerial duty to abate the nuisance. According to the majority opinion, “[O]nce the municipal entity makes the decision to install, the entity is under a subsequent ministerial duty to main-tain the system or structure in a safe and working order.” Majority op., ¶ 51 (footnote omitted).
¶ 172. Allstate teaches that the District may have a ministerial duty to operate and maintain the Deep Tunnel functioning in its original, intended state. The ministerial duty to operate and maintain the Tunnel does not, however, require making improvements to the Tunnel, even if an improvement is necessary to avoid harm.42
¶ 173. The problem in the present case is that no one examines the District‘s acts. No one—not Bostco, not the witnesses, not the jury, not the circuit court, not the court of appeals, and not the majority opinion—identifies the District‘s allegedly negligent acts that caused the nuisance or characterizes the negligent acts
¶ 174. Bostco‘s complaint broadly alleges that two District actions led to the continuing private nuisance: 1) the District‘s negligent design and construction of the Tunnel; and 2) the District‘s failure to exercise ordinary care in the inspection, repair, maintenance, and operation of the Tunnel.
¶ 175. The record does not identify any District actions that are not related to design and construction.
¶ 176. The jury in the present case was never instructed to identify which negligent conduct caused the nuisance. The jury was not asked to determine whether the negligent conduct was related to the District‘s design and construction of the Tunnel or to the District‘s maintenance and operation of the Tunnel unrelated to the design and its implementation. The jury was thus not instructed about or asked about disaggregating the District‘s negligent legislative acts and the harm caused thereby and the District‘s negligent non-legislative acts and the harm caused thereby.43
¶ 178. The majority opinion does not attempt to do so, although, as I have explained, this distinction is crucial under City of Milwaukee.
¶ 179. City of Milwaukee clearly instructs that “the proper inquiry is to examine the character of the underlying tortious acts,”44 because “liability depends upon the existence of underlying tortious acts that cause the harm.”45 The Restatement (Second) of Torts illustrates this point as follows:
[F]or a nuisance to exist there must be harm to another or the invasion of an interest, but there need not be liability for it. If the conduct of the defendant is not a kind that subjects him to liability . . . the nuisance exists, but he is not liable for it.46
¶ 180. As City of Milwaukee made clear:
[I]t is incorrect to speak of nuisance “as itself a type of liability-forming conduct . . . .”47
Focusing the immunity analysis on the character of the tortious acts underlying the nuisance is important for two reasons. First, . . . liability for nuisance is itself dependent upon whether the underlying tortious conduct is actionable. Second, and more importantly,
Wis. Stat. § 893.80(4) does not immunize municipalities for certain results; rather, immunity is provided for certain acts.48
¶ 181. Indeed, in contrast to its other statements, the majority opinion itself recognizes that “when a plaintiff seeks equitable or injunctive relief against a municipal entity, a court must first answer the threshold question of whether immunity applies. If a court concludes that the actions the plaintiff is seeking to stop through a suit in equity are legislative, quasi-legislative, judicial or quasi-judicial, then the suit must be dismissed because the governmental entity is protected by immunity.” Majority op., ¶ 66; see also id., ¶ 64.
¶ 182. In sum, the majority opinion cannot use the District‘s alleged negligent design or construction of the Tunnel in determining the District‘s liability, because those actions would be protected by immunity. The majority has not pointed to any of the District‘s alleged negligent operation and maintenance of the Tunnel that is not in compliance with the manner in which the Tunnel was designed. The Tunnel is not broken; it is functioning in compliance with the “plan adopted,” as it was designed to function. Therefore, to create liability, the majority opinion must assert that the District negligently maintained a private nuisance,48
¶ 183. The majority opinion ignores the clear directive in City of Milwaukee that “[a] municipality is immune from suit for nuisance if the nuisance is predicated on negligent acts that are discretionary in nature.”49 The majority opinion bends that clear rule to hold that the maintenance of a nuisance itself is the act which is not discretionary in nature. According to the majority opinion, no longer is the act (that creates the result) the basis for liability, but rather the result (the nuisance) creates liability no matter what act caused that result.50
¶ 184. To repeat, neither Bostco nor the majority opinion has alleged that the Tunnel is malfunctioning. If the Deep Tunnel is functioning as designed, in compliance with the “plan adopted” and it is not broken, then, according to City of Milwaukee and Allstate (and Welch & Anhalt), the District does not have a ministerial duty to repair it.
II
¶ 185. The second erratum is a continuation of the majority opinion‘s bait-and-switch approach to City of Milwaukee and precedent. After promising to adhere to City of Milwaukee, the majority opinion contravenes
¶ 186. The majority opinion repeatedly asserts (sometimes in slightly different language) the proposition that “there is no discretion as to maintaining the [sewer system] so as not to cause injury.”51 In doing so, the majority opinion depends in large part for this refrain on cases that have been called into doubt by subsequent case law, especially City of Milwaukee. In City of Milwaukee, this court explicitly cast doubt on case law preceding Holytz and the enactment of
¶ 187. The majority opinion repeatedly refers to Winchell v. City of Waukesha, 110 Wis. 101, 85 N.W. 668 (1901). Majority op., ¶¶ 4 n.4, 35 n.18, 69, 95 n.38. This court decided Winchell in 1901, more than 60 years before Holytz and the enactment of
¶ 188. Even Holytz itself called into question all of the case law that came before it and gave credence to the idea that any court decision published before June 5, 1962, relating to government immunity is suspect.58 Holytz aimed to change the law that was in the court‘s view “knee-deep in legal esoterica: e.g., governmental function v. proprietary function; relationship of governor to governed,” and had “resulted in some highly artificial judicial distinctions.”59
¶ 189. Although the majority opinion relies on Winchell, it spends even more time and space on Costas v. City of Fond du Lac, 24 Wis. 2d 409, 129 N.W.2d 217 (1964). Majority op., ¶¶ 31, 33, 35, 41 n.21, 64, 70. Even though Costas was decided in 1964—post-Holytz and post-
¶ 190. Costas relied heavily on Winchell and overturned an observation made in Hasslinger v. Village of Hartland, 234 Wis. 201, 207, 290 N.W. 647 (1940), that if the sewage treatment plant was built according to
¶ 191. With regard to Costas, City of Milwaukee noted that “the holdings in Allstate Ins. Co. v. Metropolitan Sewerage Commission, 80 Wis. 2d 10, 15, 258 N.W.2d 148 (1977), and Lange v. Town of Norway, 77 Wis. 2d 313, 318, 321, 253 N.W.2d 240 (1977), effectively overruled, sub silencio,” the language in Costas that a city has no immunity for the “plan adopted” for a public works system.62 Costas has limited shelf-life and relevancy for the present case.
¶ 192. The majority opinion then discusses Hillcrest, Menick, and Welch. These cases are not good law standing for the proposition for which the majority opinion cites them, namely that the “creation and maintenance of private nuisances are simply not recognized as legislative acts subject to protection under sec. 893.80(4).”63
¶ 193. The majority opinion cites Hillcrest, the first in the series of storm sewer decisions by the court of appeals, to support its view that municipal entities are not shielded from liability for maintaining a private nuisance. The allegation was that the system discharged water that damaged the complainant‘s land. Citing and quoting Winchell and Costas, the court of appeals concluded that “[t]he creation and maintenance
¶ 194. In another sewer case, Menick, the sewer system flooded the complainant‘s basement. Relying on Hillcrest, the Menick court concluded that “[t]he actions of the City in operating and maintaining the sewer system do not fall within the immunity provision of
¶ 195. The majority opinion then cites Welch, another overflowing sewer case. The majority opinion cites Welch as supporting the following: “This duty to abate arises from the longstanding rule that generally municipal entities are not shielded from liability for maintaining a private nuisance.” Majority op., ¶ 34. In contrast, the court of appeals stated in Welch that there was no private nuisance in that case (as the majority opinion admits in footnote 20); that the city was not liable because the evidence was that the sewer system was in working order, functioning as planned; and that the municipal government was immune for the discretionary act of poor design.66
¶ 196. The court of appeals further explained in Welch that the verb “maintain” means “to keep in a state of repair.”67 There, as here, “it is undisputed” that the sewer system was working as designed. Thus, according to Welch, “there was no required pipe ‘maintenance.‘”68
¶ 197. Hillcrest, Menick, and Welch comprise a set of court of appeals decisions based on Winchell, Costas,
¶ 198. Although language isolated from the full opinions in Winchell, Hillcrest, Menick, and Welch can be made to support the majority opinion, these cases do not buttress the majority opinion‘s stance. The language and the cases are suspect.
¶ 199. In City of Milwaukee, Justice Wilcox, writing for the six-person majority, called into doubt the validity of the explanations for government immunity or liability in the majority opinion‘s favorite court of appeals decisions as follows:
Several court of appeals decisions... have applied the immunity statute to a variety of nuisance claims involving sanitary and storm sewers and have utilized conflicting rationales to reach results that are not entirely consistent. See, e.g., Welch v. City of Appleton, 2003 WI App 133, 265 Wis. 2d 688, 666 N.W.2d 511; Anhalt v. Cities and Vills. Mut. Ins. Co., 2001 WI App 271, 249 Wis. 2d 62, 637 N.W.2d 422; Menick v. City of Menasha, 200 Wis. 2d 737, 547 N.W.2d 778 (Ct. App. 1996); Hillcrest Golf & Country Club v. City of Altoona, 135 Wis. 2d 431, 400 N.W.2d 493 (Ct. App. 1986) [hereinafter Hillcrest].
To the extent these decisions have created confusion in the area of municipal immunity for nuisances, such confusion is a result of three factors. First, some decisions have continued to rely on immunity jurisprudence that predated Holytz and
§ 893.80(4) . See, e.g., Hillcrest, 135 Wis. 2d at 438-41, 400 N.W.2d 493. Second, some decisions employ separate analyses for negligence and nuisances grounded in negligence. See, e.g., Welch, 265 Wis. 2d 688, ¶¶ 8-13, 666 N.W.2d 511.Third, some decisions fail to stress that a municipality is liable for its negligent acts only if those acts are performed pursuant to a ministerial duty. See, e.g., Anhalt, 249 Wis. 2d 62, ¶ 26, 637 N.W.2d 422. Focusing the immunity analysis on the character of the tortious acts underlying the nuisance is important for two reasons. First, as discussed supra, liability for nuisance is itself dependent upon whether the underlying tortious conduct is actionable. Second, and more importantly,
Wis. Stat. 893.80(4) does not immunize municipalities for certain results; rather, immunity is provided for certain acts.
City of Milwaukee, 277 Wis. 2d 635, ¶ 59 n.17.70
¶ 200. Although City of Milwaukee casts a significant shadow on these cases as “utiliz[ing] conflicting rationales to reach results that are not entirely consis-
¶ 201. The majority opinion points to no authority aside from the out-of-context language in this small subset of court of appeals decisions that appears to state that a municipal entity has a general ministerial duty to operate and maintain a sewer system in a safe condition for neighboring property owners.
¶ 202. Indeed, the majority opinion at ¶ 41 n.21 dismisses a more recent 2001 court of appeals storm sewer case, Anhalt v. Cities & Villages Mutual Insurance Co., 2001 WI App 271, 249 Wis. 2d 62, 637 N.W.2d 422,72 that is on point here and undercuts Winchell, Costas, Hillcrest, Menick, and Welch, the cases the majority opinion highlights. In Anhalt, yet one more sewer system case, residents claimed destruction to their real property from flooding. The thrust of the residents’ complaint was that the city negligently designed, planned, and implemented an inadequate sewer system that caused a private nuisance. The court of appeals reviewed Winchell, Hillcrest, and Menick, the “prominent cases that apply the law of nuisance to hold municipalities liable for damages resulting from the operation of sewage systems.”73
¶ 203. The court of appeals declared in Anhalt that no authority exists imposing a positive duty on a municipal entity to keep its sewer system current with developing needs or to remedy an untenable situation.74 Anhalt adheres to Allstate, and holds that “the acts of designing, planning and implementing a sewer system
¶ 204. Anhalt, a 2001 court of appeals decision, was followed by Welch in 2003, and although the two cases “utilized conflicting rationales,” they reached the same conclusion: A municipal entity is immune from suit for injuries arising from the design, planning, and implementation of a sewer system. The older court of appeals decisions that reached a different conclusion, Hillcrest (1986) and Menick (1996), are the basis for the majority opinion, which refuses to make the slightest admission that the most recent decisions directly contradict its holding.
¶ 205. Eight years ago in City of Milwaukee and shortly before that in Physicians Plus, this court labored to synthesize the case law on negligence, nuisance, and government immunity and liability. Today, the majority opinion ignores that guidance and reinvigorates and propels repudiated precedent to reach a result that neither
III
¶ 206. I come to the third erratum—the majority opinion‘s interpretation of the statutory cap on damages in
¶ 207.
Except as provided in this subsection, the amount recoverable by any person for any damages, injuries or death in any action founded on tort against any... political corporation, governmental subdivision or agency thereof and against their officers, officials, agents or employees for acts done in their official capacity or in the course of their agency or employment, whether proceeded against jointly or severally, shall not exceed $50,000... (emphasis added).
¶ 208. The majority opinion (at ¶¶ 54-58) concludes that although the statutory cap on damages, injuries, or death applies to monetary damages in a tort action, the statutory cap does not similarly extend to a court order directing a municipality to abate a nuisance founded on tort for which it is liable.
¶ 209. The majority opinion reaches its unreasonable and absurd result by not adhering to the basic rules of statutory interpretation.
¶ 210. The majority opinion‘s reasoning turns on the words “the amount recoverable by any person” in
¶ 211. The majority opinion fails to acknowledge that insofar as a complainant and a government entity are concerned, in many instances there is no substantial difference between monetary damages awarded to the complaining party so that it can remedy its injury and injunctive relief directing a government entity to remedy the complaining party‘s injury.77 In either event, the complainant benefits and gets the relief it sought, and the government entity must expend funds.
¶ 212. I conclude that the phrase “the amount recoverable by any person for any damages” in its ordinary and reasonable meaning includes monetary damages and equitable, injunctive relief against a municipal entity in any action founded on tort.
¶ 213. My reading of this phrase is bolstered by the legislative policy underlying
¶ 214. The justification for limitations on the
¶ 215. As this court explained in Sambs v. City of Brookfield, 97 Wis. 2d 356, 293 N.W.2d 504 (1980), “The legislature‘s goal after Holytz was to delineate the liability to which governmental units would be exposed as a result of Holytz, to reduce the financial strain, and to enable the governmental units to plan for the risk of such liability.”81
¶ 216. The court of appeals got it right:
The “‘notion that [the legislature] would limit liability... with respect to one remedy while allowing the sky to be the limit with respect to another for the same violation strains credulity‘” (citation omitted).
From the standpoint of the public treasury, there is little difference in practice between a monetary damage award given to a plaintiff to remedy its harm and an injunction order requiring the defendant to abate the harm.82
¶ 217. We are required to read statutes so that no part is rendered meaningless or superfluous and so that the statute is not rendered unreasonable or absurd. The majority opinion renders the statutory damage cap in the statute meaningless and superfluous, unreasonable, and absurd to a significant extent by granting unlimited injunctive relief.83
¶ 218. For the reasons set forth, I conclude that the
IV
¶ 219. I now turn to the majority opinion‘s erroneous interpretation of
¶ 220. Subsection (4) is broadly worded: “[N]or may any suit be brought against such corporation, subdivision or agency or volunteer fire company or against its officers, officials, agents or employees for acts done in the exercise of legislative, quasi-legislative, judicial or quasi-judicial functions” (emphasis added).84 Subsection (4) bars “any suit” against any governmental subdivision for acts done in the exercise of legislative, quasi-legislative, judicial, or quasi-judicial functions. Subsection (4) applies to Bostco‘s lawsuit.
¶ 221. The Court explained in Willow Creek Ranch, L.L.C. v. Town of Shelby, 2000 WI 56, 235 Wis. 2d 409, 611 N.W.2d 693, that the term “any suit” includes injunctive relief based on tort:
The “any suit” language contained in the immunity statute, however, does not limit suits to money damages in tort but also encompasses injunctive relief based in tort. This interpretation furthers the policy rationales underlying tort immunity that officials not be “unduly hampered or intimidated in the discharge of their functions by threat of lawsuit or personal liability.”85
¶ 222. Permitting Bostco to get relief for a negligence claim through the back door by bringing a suit for injunctive relief for a nuisance (based on negligence) “contravenes the government immunity policy of this State set forth in
¶ 223. Subsection (5) is also very broadly worded: “[T]he provisions and limitations of this section [893.80] shall be exclusive and shall apply to all claims against... a governmental subdivision” (emphasis added).
¶ 224.
Except as provided in this subsection, the provisions and limitations of this section shall be exclusive and shall apply to all claims against a volunteer fire company organized under ch. 213, political corporation, governmental subdivision or agency or against any officer, official, agent or employee thereof for acts done in an official capacity or the course of his or her agency or employment. When rights or remedies are provided by any other statute against any political corporation, governmental subdivision or agency or any officer, official, agent or employee thereof for injury, damage or death, such statute shall apply and the limitations in sub. (3) shall be inapplicable.
¶ 225. Two sentences comprise subsection (5). I shall examine each in turn.
¶ 226. The plain language of the first sentence of
¶ 227. The majority opinion curiously skips over the word “exclusive” and the phrase “shall apply to all claims.” Instead the majority opinion reasons that
¶ 228. Clearly a request for injunctive relief founded on tort is a claim that fits within the statutory phrase in
¶ 229. Section 893.80 is not silent about injunctive relief in tort claims, as the majority opinion proclaims. Subsection (4) addresses “any suit” and subsection (5) addresses “all claims” against a government entity. The words “any suit,” “exclusive,” and “all claims” are all-encompassing. The only reasonable interpretation is that a claim for injunctive relief founded on tort is within the all-inclusive scope of the words “any suit” and “all claims” and that
¶ 230. In pursuing its myth of silence in regard to equitable relief under
¶ 231. Harkness held that subsection (4) of
¶ 232. Reviewing the Harkness precedent in DNR v. City of Waukesha, the Supreme Court stated, “[W]e now hold that sec. 893.80 applies to all causes of action, not just those in tort and not just those for money damages. We therefore overrule... Harkness... to the extent [it] hold[s] that sec. 893.80(1) applies only to tort claims and claims for money damages.”87
¶ 233. Because Harkness based its interpretation of subsection (4) on case law relating to subsection (1),
¶ 234. Johnson v. City of Edgerton, 207 Wis. 2d 343, 558 N.W.2d 653 (Ct. App. 1996), got it right, as explained by Willow Creek. The narrow issue presented in Johnson was whether the complainants were permitted to seek injunctive relief based on their claim of negligence against the city. After reviewing the Harkness and DNR cases, the court of appeals concluded, as limited by Willow Creek, “that the official immunity provisions of
¶ 235. The Harkness case has been relegated to the waste bin of history. The majority opinion‘s reliance on Harkness is misplaced.
¶ 236. I now turn to the second sentence of
¶ 237. The majority opinion seems to assert that
¶ 238.
Any person owning or claiming an interest in real property may bring an action claiming physical injury to, or interference with, the property or the person‘s interest therein; the action may be to redress past injury, to restrain further injury, to abate the source of injury, or for other appropriate relief.
¶ 239. Section 844.17(1) explains that a defendant in a
¶ 240. The majority opinion reasons as follows: Chapter 844 contemplates that a body politic, such as the District, may be a defendant in an action brought by an owner of property to redress injury caused by the District‘s negligent maintenance of a private nuisance and to abate the source of injury. Thus, according to the majority opinion,
¶ 241. This reasoning is faulty.
¶ 242. First, Chapter 844 is a remedial and procedural statute; it does not create liability. Chapter 844
¶ 243. The substantive basis of Bostco‘s claim is not
¶ 244. Second, the majority opinion is inconsistent when it applies Chapter 844 to authorize injunctive relief free of
¶ 245. Chapter 844 governs both injunctive relief and monetary damages for physical injury to or interference with real property. If the majority opinion is correct that Chapter 844 trumps the cap in
¶ 246. Third, in its reliance on Chapter 844, the
¶ 247. When the legislature wants to create a specific statute that trumps
¶ 248. In Morris,91 a statute, then-Wis. Stat. § 81.15 (1991–92), entitled “Damages caused by high-
way defects; liability of town and county,” was specific to highway damages and specific to the liability of the town and county. The statute created a right to recover from a government entity for want of repairs of a highway.92 Section 81.15 explicitly imposed liability on a government entity for certain conduct and limited the amount recoverable; it explicitly applied the procedures under
¶ 249. This court concluded that
¶ 250. Unlike the specific statute in Morris creating government liability for particular acts,
¶ 251. In sum,
V
¶ 252. The fifth erratum relates to the majority‘s discussion of—or rather its failure to discuss in any meaningful way—injunctive relief. The majority opinion says that injunctive relief may be ordered in excess of the statutory caps, no dollar limits. The End! The majority opinion offers no analysis or directions to the circuit court about injunctive relief and leaves unanswered numerous questions. Let me offer several comments.
¶ 253. First: When a court exercises its discretion in granting an equitable remedy, it “should pay particular regard for the public consequences in employing the extraordinary remedy of injunction.”98 “Where an important public interest would be prejudiced, the reasons for denying the injunction may be compelling.”99 An injunction against maintaining a nuisance should not be granted where “the inconveniences and hardships caused outweigh the benefits.” McKinnon v. Benedict, 38 Wis. 2d 607, 616-17, 157 N.W.2d 665 (1968) (citing Maitland v. Twin City Aviation Corp., 254 Wis. 541, 549, 37 N.W.2d 74 (1949)).100
¶ 254.
¶ 255. Nor does the majority opinion pay any regard to the public consequences of injunctive relief in the present case or the weighing of hardships and inconveniences.
¶ 256. Second: Ordinarily, if injunctive relief would cause substantial harm to a defendant, the injunction should be denied when monetary damages are available to the complainant.102 In the present case, the circuit court and the majority opinion conclude that the monetary damages available to Bostco are insuffi-
¶ 257. Both the circuit court and the majority opinion defy the legislative determination that the government has rendered itself immune from liability in excess of the statutory amount. As the court held in Sambs, “whatever the monetary limitation on recovery, the amount will seem arbitrary because it is based on imponderables, [but] the legislature, not the court, must select the figure.”103 Stanhope echoes the same point: The “monetary limitation is one which the legislature determines balancing the ideal of equal justice and need for fiscal security.”104
¶ 258. The balancing of damages, liability, and immunity with regard to a government entity is for the legislature, not the courts. Unless a constitutional violation exists, the court should respect the legislature‘s decisions about what amount constitutes adequate monetary relief against a government entity and about the important public policy of protecting the fisc.105
The mere fact that a judgment for damages is not as adequate relief from the point of view of the plaintiff as an injunction would be is not wholly determinative of
5 Restatement of Property § 528 cmt. f at 3188 (1944), cited in part by McKinnon v. Benedict, 38 Wis. 2d 607, 618-19, 157 N.W.2d 665 (1968).
¶ 259. Third: Although the jury verdict plays a very minor role in the present case in the appellate courts, the jury verdict is instructive on the issue of injunctive relief. In its answer to a special verdict question, the jury concluded that the nuisance could be abated by reasonable means and at a reasonable cost. The jury was not asked what the reasonable means or costs were and was not instructed on this special verdict question.106 The majority opinion does not reveal whether this jury finding of reasonableness is binding on the circuit court in exercising its discretion in an equity matter.
¶ 260. At trial, Bostco‘s experts testified that abatement could be accomplished by lining the Tunnel or by installing a system of groundwater monitoring and recharge wells. Majority op., ¶ 16 n.10. The only evidence regarding the cost of abatement was a $10 million estimate proposed by one of Bostco‘s experts.107
¶ 261. The injunctive relief, which might cost $10 million, appears out of sync with the monetary damages.
¶ 262. Furthermore, although the majority opinion (¶ 31) adopts the concept that the law of negligence applies to the nuisance in the present case, it is silent about whether the contributory negligence the jury attributed to Bostco reduces any equitable relief founded on tort and negligence.
¶ 263. Case law instructs that all the usual rules and defenses to negligence apply to nuisance claims predicated on negligence.108 One of those defenses is contributory negligence.109 Does Bostco have to pay 30% of the cost of abatement?
¶ 264. Fourth: What is a reasonable sum that the District should be required to expend on abatement under these circumstances? An analysis of the injunctive relief ordered shines light once more on the glaring short-sightedness of the majority opinion. Its statutory
¶ 265. Fifth: There is a legitimate question about whether and how the majority opinion‘s order that the District “abate the nuisance” is to be framed and enforced.
¶ 266. The majority opinion explains at one point that “the means whereby [a] nuisance is to be abated is left to the direction of the defendant tortfeasor.” Majority op., ¶ 33. Nevertheless, the majority opinion sends the issue back to the circuit court to establish the method of abatement.
¶ 267. Courts, however, “traditionally have been reluctant to enjoin as a public nuisance activities which have been considered and specifically authorized by the government.”112 The same principle should apply to a private nuisance. Moreover, the United States Supreme Court recently commented on the relative competence of courts and agencies to solve technical problems as follows: An “expert agency is surely better equipped to do the job than individual [trial] judges issuing ad hoc, case-by-case injunctions.” Am. Elec. Power Co. v. Connecticut, 131 S. Ct. 2527, 2539 (2011).113
¶ 268. The Deep Tunnel is a municipal improvement project that is regulated by an agency with expertise—the DNR—pursuant to state and federal law. The DNR is not a party in the present case, but the District submitted two affidavits from DNR employees to the circuit court. According to the affidavits, any changes to the Tunnel must be undertaken in compliance with DNR regulations, the Federal Clean Water Act, and other applicable law. The affidavits indicate that the DNR had no intention of approving the concrete lining that Bostco and the circuit court sought.
¶ 269. Abatement may also require a study of the environmental impact, costs, and benefits of both concrete lining and alternatives to lining, and other matters regulated by state and federal law.
¶ 270. The ultimate unanswered question is whether this court, or the circuit court, or the DNR, an independent agency that is not a party to this action, governs abatement.
¶ 271. The injunction remedy adopted by the majority opinion leaves more questions than answers. Litigation may abound.
VI
¶ 272. The final erratum: The majority opinion imposes an unfunded mandate on government entities and is contrary to legislative policy. The legitimate legislative concerns of protecting the fisc, ensuring funds are available to pay for essential services, and keeping property taxes at reasonable rates are undermined by the majority opinion.
¶ 274. Government entities are struggling to fund essential services without overburdening the tax base. State aid to government subdivisions has been reduced. The legislature has constrained the ability of government entities to raise funds by imposing levy limits.
¶ 275. Without question, the majority opinion expands government liability and increases expenses for government entities and taxpayers. This expansion of government liability, this increase in the expenditures of government entities, and this increase in costs to taxpayers are contrary to recent legislative expressions of state policy: One, reduce government liability, and two, reduce recovery for tort victims.
¶ 276. The legislature has always been less zealous in abrogating government immunity than the courts.114 The majority opinion repeats the oft-quoted, poorly understood line from Holytz that says “the rule is liability—the exception is immunity.” Majority op., ¶ 50. The legislature never codified the mantra that “the rule is liability.” The 1963 statute the legislature enacted in response to Holytz does not direct that “the rule is liability—the exception is immunity.” Rather, the legislature rendered government entities immune for broadly enumerated acts. And the legislature severely
¶ 277. Of late, the legislature has been decreasing and eliminating tort liability for government entities and decreasing the recovery of tort victims.115 The majority opinion is marching in the opposite direction from the legislature.
****
¶ 278. This court attempted to synthesize the law on negligence, nuisance, liability, and immunity in City of Milwaukee. The majority opinion retreats from City of Milwaukee and confuses the law instead of developing the law in a clear manner.
¶ 279. Because of the numerous errata in the majority opinion (many of which I do not enumerate), I dissent.
¶ 280. I am authorized to state that Justice ANN WALSH BRADLEY joins this opinion.
Notes
Id. at 506-07. I agree that Bostco forfeited its inverse condemnation claim and that Bostco substantially complied with the Notice of Claim requirements. See majority op., ¶¶ 7-8.How fat is too fat? Who is too fat to be licensed to get behind the wheel and drive an automobile? Plaintiff alleges that the 320-pound driver of the auto in which he was a passenger was so fat that she should not have been granted a probationary license to drive an automobile, even though she passed the road test portion of the examination.
At what point on the scales does an overweight person suffer a physical disability that prevents him or her from exercising reasonable control over a motor vehicle? The plaintiff answers that the duty to determine when corpulency becomes disabling is on the road test examiner at the time a road test is administered. The plaintiff sues the defendant examiner for breaching a duty owed to the plaintiff passenger when he passed Jeannine M. Yingling in the road test portion of her examination.
To enable the various public bodies to make financial arrangements to meet the new liability implicit in this holding, the effective date of the abolition of the rule of governmental immunity for torts shall be July 15, 1962. See sec. 66.18, Stats., regarding liability insurance for both the state and municipalities. The new rule shall not apply to torts occurring before July 15, 1962. However, for the reasons set forth in the supplemental opinion in Kojis v. Doctors Hospital (1961), 12 Wis. 2d 367, 373, 374, 107 N.W.2d 131, 292, this decision shall apply to the case at bar.
ANSWER: “Yes.” Kierstyn v. Racine Unified Sch. Dist., 228 Wis. 2d 81, 85, 95, 596 N.W.2d 417 (1999). See majority op., ¶¶ 3, 4, 43, 67, 71, 72.
ANSWER: “Yes.” Lodl v. Progressive N. Ins. Co., 2002 WI 71, ¶¶ 11, 31, 253 Wis. 2d 323, 646 N.W.2d 314. Some of the other decisions the District made include: the route of the Tunnel beneath the City, the Tunnel‘s length (19.4 miles) and diameter (varying between 17 and 32 feet), the Tunnel‘s depth (300 feet below ground), and the Tunnel‘s capacity (405 million gallons of water).
A stipulation during litigation between the District and the Department of Natural Resources in 1986 permitted the District to line only portions of the Tunnel. The District‘s current permit from the DNR requires the Tunnel to have a positive inward gradient, that is, to allow water to flow into the Tunnel in order to prevent the possible exfiltration of wastewater.
In City of Milwaukee, the court referred to these types of design decisions as “legislative” functions. See City of Milwaukee,
ANSWER: “Yes.” See Indus. Indem. Co. v. Alaska, 669 P.2d 561, 563 (Alaska 1983); Doe v. Arizona, 24 P.3d 1269, 1271 (Ariz. 2001) (en banc); Steed v. Dep‘t of Consumer Affairs, 138 Cal. Rptr. 3d 519, 528 (Ct. App. 2012); Cooper v. Hollis, 600 P.2d 109, 111 (Colo. Ct. App. 1979); Dep‘t of Transp. v. Neilson, 419 So. 2d 1071, 1077-78 (Fla. 1982); Julius Rothschild & Co. v. Hawaii, 655 P.2d 877, 880-81 (Haw. 1982) (per curiam); Jones v. City of St. Maries, 727 P.2d 1161, 1163-64 (Idaho 1986); Peavler v. Bd. of Comm‘rs of Monroe Cnty., 528 N.E.2d 40, 45 (Ind. 1988); Fowler v. Roberts, 556 So. 2d 1, 15 (La. 1989); Jorgensen v. Dep‘t of Transp., 969 A.2d 912, 917 (Me. 2009); Whitney v. City of Worcester, 366 N.E.2d 1210, 1216 (Mass. 1977); Ross v. Consumers Power Co., 363 N.W.2d 641, 647 (Mich. 1984) (per curiam); Conlin v. City of Saint Paul, 605 N.W.2d 396, 400 (Minn. 2000); Jasa v. Douglas Cnty., 510 N.W.2d 281, 288 (Neb. 1994); Schoff v. City of Somersworth, 630 A.2d 783, 787 (N.H. 1993); Costa v. Josey, 415 A.2d 337, 341-43 (N.J. 1980); Enghauser Mfg. Co. v. Eriksson Eng‘g Ltd., 451 N.E.2d 228, 232 (Ohio 1983), superseded by Ohio‘s Political Subdivision Tort Liability Act,
Id. We acknowledge that, following Holytz v. City of Milwaukee, 17 Wis. 2d 26, 115 N.W.2d 618 (1962), Winchell‘s statement that “it matters not whether such nuisance results from ... the plan adopted” has been abrogated byThe great weight of authority, American and English, supports the view that legislative authority to install a sewer system carries no implication of authority to create or maintain a nuisance, and that it matters not whether such nuisance results from negligence or from the plan adopted. If such nuisance be created, the same remedies may be invoked as if the perpetrator were an individual.
Decisions concerning the adoption, design, and implementation of a public works system are discretionary, legislative decisions for which a municipality enjoys immunity. Thus, the City is immune from suit relating to its decisions regarding the adoption of a waterworks system, the selection of the specific type of pipe, the placement of the pipe in the ground, and the continued existence of such pipe.
See also id., ¶¶ 90-91.Having reviewed the record, we determine that the facts of the present case are not sufficiently developed for us to determine whether the City was under a ministerial duty to repair the leaking main prior to its break on December 9, 1999. . . . [W]e cannot conclude whether [the City‘s] duty to repair the leaking main with reasonable care before it broke was “absolute, certain and imperative,” or whether the City‘s decision not to repair the main before the break was discretionary. As such, we cannot determine whether the City is entitled to governmental immunity under
§ 893.80(4) based on the record before us (internal citations omitted).
Before a sewer system can be “maintained” in a proper state of repair, the system must first be “created.” At times, the majority opinion alludes to the fact that the District has “created and maintained a nuisance,” while at other times, the majority opinion simply concludes that the District has “maintained a nuisance.” See also ¶ 77, infra.
This case is unlike Physicians Plus, where an act of nature created, caused, or resulted in a nuisance—a tree hanging over and obstructing a stop sign. In the present case, the Tunnel is a man-made object created by the District, the existence of which has resulted in a nuisance. The majority opinion repeatedly asserts that the District “maintains” the nuisance or “keeps [the Tunnel] in that state.”
There are, however, contradictory statements scattered in the majority opinion. See, for example, majority op., ¶ 66, requiring a court to determine first whether immunity applies to the actions that caused the nuisance the plaintiff is asking to
Except as provided in this subsection, the amount recoverable by any person for any damages, injuries or death in any action founded on tort against any . . . political corporation, governmental subdivision or agency thereof and against their officers, offi-
cials, agents or employees for acts done in their official capacity or in the course of their agency or employment, whether proceeded against jointly or severally, shall not exceed $50,000. . . .
City of Milwaukee makes clear that some of these discretionary, immune decisions include “decisions regarding the adoption of a waterworks system, the selection of the specific type of pipe, the placement of the pipe in the ground, and the continued existence of such pipe.” City of Milwaukee, 277 Wis. 2d 635, ¶ 9. Applying these principles to this case, some of the District‘s discretionary decisions, which are immune from suit, include decisions regarding the adoption of a Deep Tunnel system, the selection of the specific type of Tunnel system, the placement of the Tunnel in the ground, and the continued existence of the Tunnel.
A reading of the entire opinion reveals that notice was a threshold issue but was not dispositive. City of Milwaukee clearly states that the next question to be addressed by the circuit court was whether the act was discretionary. City of Milwaukee never stated that if the city had notice, a general ministerial duty to stop the leaking would necessarily follow.
A concurring opinion by Justice Prosser in City of Milwaukee demonstrates that this court did not remand to the circuit court just for the purpose of determining whether the City was on notice that the water main was leaking. Justice Prosser stated that “this formulation [in the City of Milwaukee of discretionary and ministerial actions] is so narrow that it appears to decide the case.” City of Milwaukee, 277 Wis. 2d 635, ¶ 95 (Prosser, J., concurring) (internal citations omitted).
Butler v. Advance Drainage Systems, Inc., 2005 WI App 108, ¶ 40, 282 Wis. 2d 776, 698 N.W.2d 117, quotes City of Milwaukee and states that the first step in a negligent nuisance action is to determine whether a nuisance is present; the second step is to determine the underlying tortious conduct; and the third step is to decide whether the defendant‘s conduct “is ‘otherwise actionable under the rules governing liability for negligent conduct.‘”
The District is specifically required by law to project, plan, design, construct, maintain and operate the sewerage system including the collection, transmission and disposal of storm water and groundwater.
As I [the circuit court judge] told you earlier, the planning, design and construction of the tunnel are not issues in this case.
The claims in this case involve claims for negligence based on the operation, maintenance and inspection of the tunnel on or after August 7, 1992. Evidence of events prior to August 7, 1992, was admitted and may be considered by you insofar as it bears on the knowledge of the parties and actions of the parties after August 7, 1992.
An accompanying footnote at ¶ 59 n.18 in City of Milwaukee reads: “Thus, the court of appeals in the instant case misstated the law when it concluded that
Welch v. City of Appleton, 2003 WI App 133, 265 Wis. 2d 688, 666 N.W.2d 511, and Anhalt v. Cities and Vills. Mut. Ins. Co., 2001 WI App 271, 249 Wis. 2d 62, 637 N.W.2d 422 were among those [cases] expressly noted by the [supreme] court in Milwaukee Metro. Sewerage as applying the immunity statute (because all involved municipalities) “utilizing conflicting rationales to reach results that are not entirely consistent.” 277 Wis. 2d 635, ¶ 59 n.17, 691 N.W.2d 658. Welch, the court observed, erred in employing a separate analysis for negligence and nuisances grounded in negligence, and Anhalt “fail[ed] to stress that a municipality is liable for its negligent acts only if those acts are performed pursuant to a ministerial duty.” Id. To the extent that either Welch or Anhalt support the proposition that a nuisance claim need not be grounded either in intentional conduct or in otherwise actionable negligence, they are no longer good law on that point after Milwaukee Metro. Sewerage.
The concerns over the expenditure of both time and resources apply with equal force to actions seeking injunctive relief as they do to actions for money damages. We recognize, however, that the suits must be based in tort to garner the protection of immunity consistent with the statute.
For comments indicating that provisions and limits in
No suit may be brought against any volunteer fire company organized under ch. 213, political corporation, governmental subdivision or any agency thereof for the intentional torts of its officers, officials, agents or employees nor may any suit be brought against such corporation, subdivision or agency or volunteer fire company or against its officers, officials, agents or employees for acts done in the exercise of legislative, quasi-legislative, judicial or quasi-judicial functions.
In 2011, the legislature enacted 2011 Wis. Act 132, which removed language holding government entities liable for highway defects. Now
Courts are not equipped or empowered to make investigations into the financial resources of various public bodies in Wisconsin; the coverage, policy limits and cost of available liability insurance; or the number of victims of governmental tortfeasors and a profile of the losses they have suffered. Information derived from such investigation must necessarily precede any reasoned evaluation of either a limitation on recovery or a requirement of purchase of insurance.
