Jensen v. General Electric Co.Jensen v. General Electric Co.
Lead Opinion
OPINION OF THE COURT
The phrase "injury to property” in the date of discovery Statute of Limitations,
I.
From 1958 to 1969, defendant General Electric disposed of hazardous waste from its Fort Edward-Hudson Falls plant at the Moreau Site. Defendant Albert J. Smaldone, Sr. and Sons, Inc. purchased the Moreau Site in 1970. In 1980, G.E. entered into a consent order with the New York State Department of Environmental Conservation to investigate environmental impacts and to undertake remediation at seven inactive hazardous waste sites, including the Moreau Site. G.E. entered into a similar consent order with the United States Environmental Protection Agency in 1983.
In 1984, G.E. contacted plaintiff Perkett and obtained her permission to place a cluster of monitoring wells on her nearby property. In November of 1984, G.E. published the "Moreau Site Status Report to the Public” (Moreau Report),
Between 1984 and 1985, G.E. installed a groundwater cutoff or slurry wall to vertically enclose the original disposal pit at the Moreau Site. In 1986, plaintiff Perkett and plaintiff Jensen took title to the affected property as joint tenants. On September 9, 1986, G.E. sent plaintiff Jensen extensive technical data on the affected property and enclosed a map on which plaintiffs’ property was outlined in black ink, and a copy of the December 5, 1984 letter which had been sent to plaintiff Perkett. G.E. also notified plaintiff Jensen that well sites 10 and 22 on his property showed contamination.
Four years later, in June of 1990, plaintiffs commenced this action, alleging that the hazardous wastes deposited by G.E. had contaminated, and continued to contaminate, the plaintiffs’ property. Plaintiffs sought compensatоry and punitive damages, as well as an injunction "prohibiting the continued release of chemicals into the environment.”
Defendants moved to dismiss- the complaint on the basis that the injury was discovered more than three years before the commencement of the suit and that the action was time-barred by
II.
This case turns on the application and interpretation of
"Notwithstanding the provisions ofsection 214 , the three year period within which an action to recover damages for personal injury or injury to property caused by the latent effects of exposure to any substance or combination of substances, in any form, upon or within the body or upon or within property must be commenced shall be computed from the date of discovery of the injury by the plaintiff or from the date when through the exercise of reasonable diligence such injury should have been discovered by the plaintiff, whichever is earlier” (CPLR 214 -c [2] [emphasis added]).
Clarity and certainty of expression control when courts construe statutes. As to the very statute at issue, this Court has stated in another context:
"CPLR 214 -c is a remedial statute and such statutes should be liberally construed to effectuate their aims’ * * * [and] must be given a meaning consistent with the words chosen by the Legislature —those words define the scope of the remedy that the Legislature deemed appropriate” (Enright v Lilly & Co.,77 NY2d 377 , 385, n 1, cert denied — US —,112 S Ct 197 [emphasis added]).
By its terms,
Furthermore, we discern no evidence in explicit words, legislative history or manifest intent that the Legislature chose to exempt continuing nuisance and continuing trespass actions from the comprehensive scope and language of this intensely negotiated legislation. To be sure, this breakthrough legislation was enacted to open otherwise closed courthouse doors and to replace the common-law-developed rule, which
The statute was enacted to "provide relief to injured New Yorkers whose claims would otherwise be dismissed for untimeliness simply because they were unaware of the latent injuries until after thе limitation period had expired” (Mem of Senator R. B. Stafford, reprinted in 1986 NY Legis Ann, at 287). As Governor Cuomo emphasized in his Approval Memorandum, attending the signing of this long-awaited legislation:
"[CPLR 214 -c (2)] remedies a fundamental injustice in the laws of our State which has deprived persons suffering from exposure to toxic or harmful substances from having an opportunity to present their case in court. That injustice results from an archaic rule which commences the three year time period for suit on the date that an exposure occurs. The rule fails to recognize that the adverse effects of many of these toxic substances do not manifest themselves until many years after the exposure takes place * * * This bill * * * repeals that archaic rule and replaces it with a fair and simple rule which permits a person to discover his or her injury bеfore the statutory time period for suit begins to run” (1986 NY Legis Ann, at 288 [emphasis added]).
The Bill Jacket provides this additional contemporaneous perspective from the Attorney-General:
"[The statute] makes several significant changes in the law applicable to personal injury, property damage and wrongful death actions [by creating] a discovery rule for New York’s statute of limitations in such cases where the injury, damage or death is caused by the latent effects of exposure to substances” (Mem to Governor, in Governor’s Bill Jacket to L 1986, ch 682 [emphasis added]).
This perspective helps to buttress the view that the Legislature knew that it was altering the accrual date for all prop
A bit of history may also hеlp to put matters in better perspective and clearer light. Prior to the enactment of
"[T]he invasion would be seen as a series of invasions, each one giving rise to a new claim or cause of action. Res judicata doctrines might require the plaintiff to sue on all those accrued when suit is brought or to be barred, but as to damages occurred after suit or judgment, new claims could be brought up until such time as the new harms became permanent. And, in parallel reasoning, the statute of limitations might have run on claims that accrue [three] years earlier, but not on claims accruing within the last [three] years. The fact that a nuisance or trespass continues over a period of time does not prevent the application of these 'continuing trespass’ rules, so long as the invasion is not a permanent one” (1 Dobbs, Remedies § 5.11 [1], at 822 [2d ed 1993]).
Thus, it was a "well-settled principle * * * that continuous injuries to real estate caused by the maintenance of a nuisance * * * create separate causes of action barred only by the running of the statute against the successive trespasses” (Galway v Metropolitan El. Ry. Co.,
We respectfully disagree with the views in the two dissenting opinions that accept plaintiffs’ plea that this rule and its common-law rationale are somehow unaffected by
The Legislature presumably also understood that its dramatic new rule of accrual, expressed as governing property damage actions due to the latent effects of exposure from any substance, was displacing the rationale for the common-law exception. It expressed no exception or qualification for continuing wrongs because none was necessary or intended. To have done so might also have required a fuller list to avoid the statutory construction maxim that the inclusion of one item is the exclusion of others. We therefore respectfully disagree with the dissent that the Legislature’s failure to explicitly recite continuing wrongs as within the general language of this statute is somehow fatal to the general sweep of the enactment (dissenting opn, Smith, J., at 93; see, McKinney’s Cons Laws of NY, Book 1, Statutes § 114 ["(W)here the Legislature in enacting a statute utilized general terms, and did not, either expressly or by implication, limit their operation, the courts will not impose any limitation”]). We also find some beneficial instruction in the statutory construction axiom that teaches:
" ’[A] general law may, and frequently does, originate in some particular case or class of cases which is in the mind of the legislature at the time, but, so long as it is expressed in general language, the courts cannot, in the absence of express restrictions, limit its application to those cases, but must apply it to all cases that come within its terms and its general purpose and policy’ ” (Matter of Di Brizzi,303 NY 206 , 214; People ex rel. McClelland v Roberts,148 NY 360 , 368; McKinnev’s Cons Laws of NY, Book 1, Statutes § 114, at 239).
The comprehensive, balanced, new rule gave injured parties three years from discovery to bring suit for injuries — three years that they never beforе had. Although under the common-law rule in the prediscovery statute era such actions continued to accrue each day, that portion of damages for injuries sustained more than three years prior also became continuously barred each day. The discovery rule, applied to continuing wrongs, allows plaintiffs who do not sit on their newly granted rights to sue for all damages incurred since the wrong began. Without the statutory discovery remedy, plaintiffs would have been left to damages actually incurred within three years of the plaintiffs’ action. The discovery rule, thus, provides enhanced protections for plaintiffs by allowing them —if they act timely — to recover for all injuries regardless of the lapse of time between the exposure and the discovery. Defendants’ and societal interests are also protected, since defendants are not left potentially liable in perpetuity. The statute thus serves a substantial public policy that traditionally benefits all society by creating some measure of repose (see generally, e.g.,
"Determining when limitations begin to run requires a balancing of policy considerations * * * On one side of the scale are the interests of injured parties. Unquestionably, a Statute of Limitations can have a severe impact on their rights when, for instance, an injury is not discovered until years later. The Legislature has acted to ameliorate the rule in such cases in recent years (see,CPLR 214 -c). Conversely, defendants are entitled to a fаir opportunity to defend claims against them before their ability to do so has deteriorated * * * But under the rule proposed by plaintiffs in this case, a plaintiff would have the power to put off the running of the Statute of Limitations indefinitely” (Snyder v Town Insulation,81 NY2d, at 435 , supra [citations omitted]).
Thus, contrary to one of the dissent’s viewpoints (dissenting
The majority, of course, agrees with the dissents that the statute is remedial. However, the generalization of the statute’s motivating thrust surely does not proclaim an all-or-nothing victory for one side only, of a long-standing, complex, sociеtal-jurisprudential imbalance. A remedial banner does not decide the case and precise issue before us, because the devil is, as always, in the details. The Court’s obligation is to be guided by the detailed words of the statute, and despite the disquisition in Judge Hancock’s dissenting articulation, no one should be sidetracked by its mischaracterizations of the central analysis by which the case is decided.
We conclude, therefore, that the reasonable interpretation of the present statute, from the Legislature’s words and actions, is that it intended no continuing-wrong exception to its new comprehensive, across-the-board rules. As Professor Siegel commented with respect to Glod v Morrill Press Div. of Engraph (
Notably, this Court’s decision in 509 Sixth Ave. Corp. v New York City Tr. Auth. (
It is undisputed that the plaintiffs were aware of the injury to their property as early as 1986, four years before the commencement of this action. Thus, their causes of action for damages stemming from continuing trespass and continuing nuisance could have been and should have been timely brought. Since they were not, they are time-barred by
It should not be overlooked that this conclusion, will encourage timely action with ample time allowances by injured parties with knowledge of their injuries. This inducement is fair to everyone and benefits everyone proportionately. It discourages people from sitting on their rights and inhibiting early intervention and remediation, factors neutralizing or displacing the concern about some occasional anticipatory estimation of damages (see, dissenting opn, Smith, J., at 96). Finally, distinctions between the originating wrongful act and the continuing, perhaps perpetual, adverse consequences of the wrongful act add weight to our construction of the statute at issue as having an opener keyed to discovery and a complementary three-year-closer to provide some repose as part of its legislatively balanced equation (Snyder v Town Insulation,
III.
By like plain language,
Again, some history, albeit quite antiquated, may help. The doctrine of continuing wrongs originated in the English Equity Courts. The obscurity of the origin of equity jurisdiction in the Court of Chancery, from which American equity jurisdiction emanates, highlights the troubled history of the continuing wrongs theory (1 Story, Commentaries on Equity Jurisprudence as Administered in England and America §§ 38, 39, 41, 44, 45, at 42, 45-46, 49-50 [Lyon 14th ed 1918]). History and origin aside, however, we have been well taught that equity jurisdiction, was the judicial response to the "rigidity of the Common Law and its defective state” (Potter, History of Equity and Its Courts, at 40 [1931]). Thus, the "injunctive remedy is [ ] justified upon the ground that the remedy at law is inadequate” (Fiera, Particular Actions and Proceedings: Equitable Actions, at 168 [1929]). The long lesson of history thus reaches and serves the modern dilemma of this case, whеre causes of action for damages at law are placed in repose under
It is well settled that "[i]f the trespass is of a continuous or constantly recurring nature, a proper case for the granting of an injunction is shown” (Fiera, op. cit., at 168). Furthermore, it has long been recognized that:
"The most fertile field in tort for the injunction is nuisance. It is first necessary to remind ourselves that this jurisdiction is concurrent, not exclusive; equity comes to the help of the law in cases where the law would ultimately have to award damages, but that remedy would be inadequate. It does not, however, call an act a nuisance which would not receive this appellation from law; there is, as Kindersley, V.C., put it in Soltau v DeHeld, 'no such thing as an equitable nuisance’ ” (Hanbury, Modern Equity, at 604 [4th ed 1946] [emphasis in original]).
Since by its terms the discovery rule of
Accordingly, the order of the Appellate Division should be modified, with costs to defendants, by reversing that part of the order which reinstated the plaintiffs’ causes of action for property damages stemming from conduct characterized for the purposes of the pleading and appeal as continuing trespass and continuing nuisance; as so modified the order should be affirmed, the case remitted to Supreme Court for such further proceedings as may be appropriate and the certified question answered in the affirmative.
Smith, J. (dissenting). The sole issue before this Court is whether
I
Plaintiffs commenced this action to recover damages and injunctive relief due to the alleged permanent hazardous waste contamination of their property. They base their claims on the following undisputed facts. From 1958 to 1969, the Fort Edward-Hudson Falls plant of defendant General Electric (GE) disposed of wastes by dumping them at a location designated as the Moreau site. In 1970, defendant Albert J. Smaldone, Sr. and Sons, Inc. purchased the site. In September 1980, GE entered into a consent order with the New York State Department of Environmental Conservation to investigate and undertake remedial action at seven inactive hazardous waste disposal sites. In 1983, pursuant to that consent order, GE began constructing a containment system, consisting of a containment wall that extended approximately 100 feet below the ground, at the Moreau site. Before the containment system was completed, investigations revealed that contaminants from the site were migrating southward. In November 1983, pursuant to an administrative order of the Federal Environ
Plaintiff Edith Perkett owned рroperty near the Moreau site. During the contamination investigation, plaintiff permitted GE to install monitoring wells on her property. In December 1984, GE advised plaintiff that her property was contaminated. On July 21, 1986, Perkett and her son, plaintiff Eric Jensen, took title to the property as joint tenants with right of survivorship. In September 1986, GE informed Jensen that their property was contaminated.
Plaintiffs brought this action in June 1990, seeking compensatory damages because of the continuing contamination of their property.
Supreme Court granted the motion and cross motion to dismiss, finding that plaintiffs’ action was time-barred because they discovered the injury to their property more than three years before they commenced the action. The Appellate Division modified, on the law, by reversing so much of Supreme Court’s order as granted the motions to dismiss the causes of action in continuing trespass and continuing nuisance, denied the motions regarding said causes of action, and, as so modified, affirmed (
"Did this court err as a matter of law in modifying the order of the Supreme Court by reversing so much thereof as granted the motions to dismiss the causes of action in continuing trespass andcontinuing nuisance, denying the motions regarding said causes of action and, as so modified, affirming the order?”
II
Pursuant to
"Notwithstanding the provisions ofsection 214 , the three year period within which an action to recover damages for personal injury or injury to property caused by the latent effects of exposure to any substance or combination of substanсes, in any form, upon or within the body or upon or within property must be commenced shall be computed from the date of discovery of the injury by the plaintiff or from the date when through the exercise of reasonable diligence such injury should have been discovered by the plaintiff, whichever is earlier.”
The plain language of
Generally, with respect to latent personal injury or property damage, a judicially created "accrual” or "last exposure” rule applies to preclude plaintiffs who suffer those injuries from commencing actions after the running of the applicable Statute of Limitations. Pursuant to that rule, the date of accrual of latent injury tort actions, which commences the running of the three-year Statute of Limitations (
A common-law exception to the last exposure rule permits plaintiffs who suffer continuous personal injury or property damage to commence successive causes of action reflecting each wrong. Under this common-law principle, "trespassers upon real property effected [sic] by an unlawful structure or nuisance, are continuous in their nature and give successive causes of action from time to time, as the injuries are perpetrated” (Galway v Metropolitan El. Ry. Co.,
It is settled that the rules of "common law [are] never abrogated by implication * * *[, but, rather,] must be held no further changed than the clear import of the language used in a statute absolutely requires” (McKinney’s Cons Laws of NY, Book 1, Statutes § 301 [b]). Thus, absent an unequivocal expression of the will of the Legislature to abrogate the common-law actions for continuing trespass and continuing nuisance, there is no sound basis for concluding that "the reasonable interpretation of [
The legislative history of
In Arbegast v Board of Educ. (
Applying the same analysis to this case compels the conclusion that actions based upon continuing trespass and continu
Ill
The declaration by the majority that
The nature of the relief accorded by the statute — i.e., the cause of action commencing with discovery of the injury no matter how far removed from the date when the wrong was initially inflicted — demonstrates that the Legislature’s overriding intention was to afford a remedy for the injury irrespective of the length of time that has elapsed from the initial wrong and, in that context, concerns with "repose” are at variance with the legislative intent in enacting
In the absence of an unequivocal expression of the legislative will to cause this result, we should hold that the common-law actions for continuing trespass and continuing nuisance have been unaltered by
Notes
Plaintiff Perkett is now deceased.
Dissenting Opinion
(dissenting). I join in Judge Smith’s dissenting opinion and would affirm the unanimous decision of the Appellate Division, Third Department (see, Jensen v General Elec. Co.,
That the Legislature could not have contemplated that
The wording of the statute and the legislative history clearly show that in the phrase "an action to recover damages” (
Excising the prayer for damages and treating it separately from the equitable relief, of course, cannot transform an action in equity into a law "action to recover damages” of the sort contemplated by
By not dismissing the complaint, the majority affirms that plaintiffs have a viable cause of action for relief based on the alleged wrongful conduct. Plaintiffs, the majority agrees, may ask an equity court to grant an injunction or to abate the nuisance. But the court sitting in equity is precluded from granting whatever ancillary damages are necessary in order to give the complete relief that equity may require. This curtailment of the power of an equity court conflicts directly with the time-honored maxim that once "a court of equity has jurisdiction of a cause it has the power to dispose of all the matters at issue and grant complete relief’ (Ferguson v Village of Hamburg,
The majority’s decision to truncate the prayer for relief and
There are other difficulties with the majority’s holding that
There is, moreover, another problem. If plaintiffs should prevail in their equity action, does the majority’s construction of
For the reasons stated in Judge Smith’s dissenting opinion and in view of the several complications and unanswered
Chief Judge Kaye and Judges Titone and Sullivan* concur with Judge Bellacosa; Judge Smith dissents in part and votes to affirm in an opinion in which Judges Hancock, Jr., and Ellerin
Order modified, with costs to defendants, and case remitted to Supreme Court, Saratoga County, for further proceedings in accordance with the opinion herein and, as so modified, affirmed, and certified question answered in the affirmative.
Designated pursuant to