Splendorio v. Bilray Demolition Co., Inc.
1996 WL 520000, 682 A.2d 461, 1996 R.I. LEXIS 229 (1996)
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Rule of Law:
Strict liability for abnormally dangerous activities applies to the activity itself, not merely dangerous materials, and requires consideration of factors like risk, foreseeability, and community value. Negligence requires a foreseeable legal duty of care and direct causation, which can be broken by an unforeseeable and illegal superseding act of a third party.
Facts:
- On September 2, 1988, Certified Engineering and Testing Co., Inc. (Certified) contracted with the Providence Housing Authority (PHA) to inspect three buildings in Hartford Park for asbestos prior to their scheduled demolition.
- Certified discovered asbestos in the buildings, developed an abatement plan, and after D. Dixon Donovan Co. removed the asbestos, Certified inspected again and issued a certification that no asbestos remained.
- The PHA then contracted with Bilray Demolition Co., Inc. (Bilray) to demolish the buildings, with the contract and state law (§ 23-18.9-5) requiring Bilray to transport the demolition debris to a licensed solid waste facility.
- Bilray, in violation of its contract and state law, transported some of the asbestos-containing demolition debris to its own wrecking yard in Johnston, intending to crush and resell it as fill.
- In 1990, during an inspection under a different contract at Hartford Park, Certified discovered asbestos in other buildings, prompting it to reexamine the debris from the original three buildings at both the demolition site and Bilray’s wrecking yard.
- A small amount of asbestos was found in the debris at both locations; the debris was then moistened to prevent fiber dispersal, and the debris from Bilray’s wrecking yard was transported to a special waste facility in Indiana.
- Frances M. and Anthony J. Splendorio (the Splendorios) live in the vicinity of Bilray’s wrecking yard in Johnston.
- The Splendorios allege that the potential release of asbestos diminished their property value, citing an affidavit from a neighboring realtor, Robert Colieci, who stated that property values in the area had decreased and properties were difficult to sell due to asbestos concerns.
Procedural Posture:
- Frances M. and Anthony J. Splendorio filed a civil action in Rhode Island Superior Court (trial court) against Bilray Demolition Co., Inc., Certified Engineering and Testing Co., Inc., and R & T Realty, Inc., alleging absolute liability and negligence (filed as a class-action complaint, but never certified).
- Certified Engineering and Testing Co., Inc. moved for summary judgment on the absolute liability and negligence counts.
- The trial justice granted summary judgment in favor of Certified Engineering and Testing Co., Inc., finding no cause of action, no absolute liability under existing precedent (Rose v. Socony-Vacuum Corp.), and no negligence because Certified owed no legal duty due to the unforeseeability of harm.
- The Splendorios appealed the summary judgment ruling to the Rhode Island Supreme Court (Splendorios as appellants, Certified as appellee).
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Issue:
Does a company that inspects for and certifies asbestos removal owe a duty of strict liability or negligence to nearby homeowners for diminution of property value when a third-party contractor, in violation of law and contract, illegally disposes of asbestos-containing demolition debris near the homeowners' property?
Opinions:
Majority - Bourcier, Justice
No, Certified Engineering and Testing Co., Inc. is not strictly liable nor negligent to the Splendorios for the alleged diminution in property value. The court affirmed the trial justice's grant of summary judgment for Certified. While the court explicitly overruled Rose v. Socony-Vacuum Corp. as being inconsistent with present conditions and no longer applicable, it found that Certified's activities did not constitute an "abnormally dangerous activity" under the Restatement (Second) of Torts § 520. Strict liability applies to dangerous activities that cannot be made safe by reasonable care, not merely to dangerous materials. Certified's inspection and certification work was performed safely, with reasonable care, and served the valuable community function of reducing health risks associated with asbestos. Furthermore, Certified was not negligent because it owed no legal duty to the Splendorios; it was not reasonably foreseeable that Bilray Demolition Co., Inc. would act illegally and in breach of contract by transporting asbestos-containing debris to its private wrecking yard. Bilray's unforeseeable and unlawful actions constituted a superseding cause, breaking the chain of proximate causation between Certified's actions and the Splendorios' alleged damages.
Analysis:
This case is a landmark decision in Rhode Island, fundamentally altering its approach to strict liability by explicitly overruling the outdated Rose v. Socony-Vacuum Corp. precedent. It formally adopts the Restatement (Second) of Torts § 520 factors, clarifying that strict liability for abnormally dangerous activities focuses on the inherent nature of the activity itself and whether its risks can be mitigated by reasonable care, rather than solely on the dangerousness of the materials involved. For negligence claims, the ruling underscores the importance of foreseeability in establishing a legal duty and reinforces the doctrine that an unforeseeable and illegal intervening act by a third party can serve as a superseding cause, thereby breaking the chain of proximate causation and insulating an initial actor from liability. This provides crucial guidance for environmental tort cases and disputes involving complex multi-party actions.
