Class Action Lawsuit Filed Over Calif. Oil Spill

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Earlier this month, a class action lawsuit was filed against Plains All American Pipeline LP over an oil spill caused by a leak in the Santa Barbara Pipeline that occurred in May.

The lead plaintiff, a local clothing store owned by California resident Erica Dahl, alleges in the class action lawsuit that the oil spill hurt local businesses like hers by affecting tourism. The plaintiff argues that Plains Pipeline should be held responsible for their losses because its alleged negligence in managing the pipeline caused harm to tourism in the area.

The California oil spill class action lawsuit stems from a rupture in the Santa Barbara pipeline that caused 100,000 gallons of crude oil to spill into Refugio State Beach. The plaintiff alleges in the oil spill class action lawsuit that the timing was especially harmful to businesses preparing for the Memorial Day weekend influx of tourism. According to the class action lawsuit, because the oil spill caused fishing to shut down and closed popular beaches, tourists changed their plans and did not come to the area and patronize the plaintiff’s store and other area businesses that depend on tourism.

“The full scope and extent of the contamination plume, both on and off shore, likely will not be adequately defined and delineated for some time, causing these on and off shore restrictions to remain in effect and continue to negatively impact the local economy,” the plaintiff writes in the California oil spill class action lawsuit.

According to the class action lawsuit, over 6 million people visit the Santa Barbara coast each year and spend at least $4 million. The California oil spill class action lawsuit alleges that the tourist trade supports about 12,000 jobs and at least $46 million in tax revenue. The plaintiff alleges that the oil spill caused an immediate decline in business, claiming that her May earnings were 20 to 25 percent lower than her earnings in May 2014, and that other businesses saw their Memorial Day weekend revenues dropped by 50 percent or more.

The class action lawsuit’s proposed Class Members include any Santa Barbara County businesses that rely on tourism, including restaurants, bars, wineries and those involved in retail, hospitality or outdoor recreation. The plaintiff seeks damages and an injunction against Plains Pipeline from operating without adequate safety and response measures, including an automatic shut off valve.

A class action lawsuit was also filed by an urchin fisherman against Plains Pipeline over the spill. That California oil spill class action lawsuit makes similar allegations but instead looks to represent a Class including anyone who makes a living from harvesting marine life in county waters and any businesses dependent on coastal and marine resources that have lost profits as a result of the spill.

The lead plaintiff is represented by Abbas Kazerounian, S. Mohammad Kazerouni and Matthew M. Loker of the Kazerouni Law Group APC and Joshua B. Swigart of Hyde & Swigart.

The California Oil Spill Class Action Lawsuit is Savvy of Boulder LLC v. Plains All American Pipeline LP, Case No. 2:15-cv-04440, in the U.S. District Court for the Central District of California.