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A jury in Portland, Oregon awarded approximately $62 million in compensation to be paid by PacifiCorp to nine survivors of the fires that swept across Oregon during the Labor Day 2020 storm. We were co-lead counsel for the plaintiffs at the trial. The verdict, which included more than $6 million in economic and $56 million in non-economic damages, translates to an award of more than $84 million after doubling economic damages and applying a punitive damages multiplier. This verdict is the first trial exclusively about survivors’ damages after our historic class action trial verdict last year, where we proved PacifiCorp liable to the entire class for causing the fires. It is the second jury verdict awarding damages to class members and maintains a trajectory which, according to PacifiCorp, represents more than $25 billion in total damages to the class.
This trial concerned only the amount of money PacifiCorp owes each survivor. In Spring 2023, a Portland jury determined that PacifiCorp was liable to an entire class of people for causing the Labor Day fires. The Spring 2023 jury, after a seven-week trial, found that PacifiCorp acted negligently, grossly negligently, recklessly, and willfully. The jury also awarded punitive damages. That verdict paved the way to what could be hundreds of trials to determine the damages PacifiCorp owes to every class member.
RECENT NEWS
This case is a certified issues class action arising from the 2020 Labor Day fires in Oregon. Former Oregon Governor Kate Brown described the fires as possibly the greatest loss of life and property from wildfire in Oregon’s history. The four fires—Santiam Canyon, South Obenchain, Echo Mountain Complex (which includes the Echo Mountain and Kimberling Fires), and 242 Fire (Two-four-two)—destroyed over one thousand structures, burned over 100,000 acres, and displaced more than 10,000 Oregonians. The fires were entirely preventable.
On behalf of our clients and the entire class, we proved during a two-month jury trial in Spring 2023 that PacifiCorp, a massive investor-owned electric utility that is part of the Berkshire Hathaway conglomerate and does business in Oregon as Pacific Power, caused the destruction by leaving power lines and other equipment energized during extremely dangerous fire conditions, re-energizing damaged power lines without inspecting them, and not keeping trees and brush away from power lines. PacifiCorp knew the fire danger was extreme and was even warned by the Governor’s office on Labor Day. This is believed to be the first major utility-caused fire case to go to trial in three decades.
The jury returned a verdict in favor of Plaintiffs and the entire class, including finding PacifiCorp was grossly negligent and acted recklessly and willfully. The jury also found PacifiCorp liable for punitive damages. The jury awarded economic, noneconomic, and punitive damages on average of approximately $5 million to each of the 17 named-plaintiffs. The total awards across the entire class could be in the many billions of dollars. According to PacifiCorp, there are approximately 5,000 class members.
You can see an excerpt of part of our closing argument here:
RECENT NEWS:
In collaboration with our Hawai’i (Starn O’Toole Marcus & Fisher) and Washington (Keller Rohrback L.L.P.) partners, Stoll Berne is working on behalf of people and businesses impacted by the Maui fires in August 2023.
During a forecasted windstorm, when the fire danger was extreme, the power company on Maui left its power lines energized. The power lines ignited several fires and caused massive devastation to Lahaina and other communities.
If you were affected by the Maui fires and would like to learn more, please visit our Maui Fire Assistance page for more information.
Stoll Berne attorneys Tim DeJong, Keith Ketterling and Lydia Anderson-Dana represented a prominent Northwest law firm in the defense of a purported class action seeking to recover against the law firm for securities sold by its former client. The case presents novel issues concerning securities sold for a decade after the attorney-client relationship ended.
Stoll Berne attorneys Tim DeJong, Steve Larson, and Elizabeth Bailey Kinsman are co-lead counsel for the investors in a massive, $1 billion securities class action against the perpetrators of an alleged Ponzi scheme and those who aided and abetted it. The case is pending in the U.S. District Court for the Western District of Texas. All motions to dismiss filed by defendants were dismissed.
Stoll Berne attorneys Tim DeJong and Emily Johnson represented a class of investors in securities seller Portland Development Group Investments, LLC. The investors alleged that the seller falsely inflated its financial statements that were published in its offering documents, and that the seller’s accounting firm, lawyers, and others were liable for aiding and assisting the securities sales. A settlement of $2.5 million was approved by the Multnomah County Circuit Court.
Stoll Berne attorney Tim DeJong represented the plaintiff taxpayer in an estate tax malpractice suit against an accounting firm for negligence in the late filing of an estate tax return. A settlement was reached prior to trial and plaintiff recovered 88% of her tax liability.
Stoll Berne attorneys Steve Berman and Keith Ketterling, acting as special assistant attorneys general, defended a constitutional challenge to Oregon’s eviction ban. In response to the COVID-19 pandemic and devastating wildfires, the Oregon legislature enacted a law that temporarily prevented landlords from evicting tenants for non-payment of rent. The law ensured that Oregonians would not lose their homes during the economic downturn. It also helped prevent displacement during a time when the public was safest remaining at home. On behalf of the State of Oregon, and Governor Brown, Stoll Berne moved to dismiss the case. The motion was granted in February 2022, and a final judgement was entered in the State’s favor.
Stoll Berne attorneys Steve Berman and Keith Ketterling, acting as special assistant attorneys general, defended a constitutional challenge to Oregon’s foreclosure ban. In response to the COVID-19 pandemic, the Oregon legislature enacted a law that temporarily prevented lenders from foreclosing on borrowers or charging fees to borrowers for late payments. On behalf of the State of Oregon, Oregon’s Attorney General and Oregon’s Department of Consumer and Business Affairs, Stoll Berne moved to dismiss the case. That motion was granted in February 2022, and a final judgment was entered in the State’s favor.
Cody Berne represented a mortgage lending company in a quiet title action filed in Jackson County Circuit Court. The plaintiffs sought to quiet title in a residential property located in Medford, Oregon, and named the mortgage lending company in the lawsuit, even though the company had no interest in the property. Stoll Berne prepared a disclaimer of interest, and the mortgage lending company was dismissed for want of prosecution.
Cody Berne represented a foreign corporation in a dispute involving goods that were manufactured for use in the energy industry. A third-party allegedly hacked into the email system of a parts manufacturer and redirected a payment for a specially manufactured part. The dispute involved the Uniform Commercial Code (“UCC”), including Oregon statutes modeled after the UCC that apply to contracts for the sale of goods and funds transfers. Legal issues included personal jurisdiction over a foreign corporation, as well as when the UCC displaces the common law, known as UCC displacement.
Cody Berne represented a retired couple with claims against a Registered Investment Adviser and Investment Adviser Representatives arising from losses in managed retirement accounts caused by the advisers’ unsuitable trading strategy. The unsuitable trades included put and call options contracts.
Stoll Berne attorney Andy Davis represented Menashe Properties in its acquisition of Heritage Square, a high-profile office campus located just west of the Galleria shopping mall in the north suburbs of Dallas, Texas. Heritage Square is comprised of approximately 370,000 square feet of space within two high rise office buildings. The property includes a site for additional development. Heritage Square represents the first Dallas acquisition for Menashe Properties. Andy handled all legal aspects of this transaction.
Stoll Berne, led by attorneys Keith Dubanevich, Tim DeJong, and Lydia Anderson-Dana was appointed co-lead counsel along with Bernstein Litowitz Berger & Grossmann LLP (BLB&G) on behalf of lead plaintiff the State of Oregon by and through the Oregon State Treasurer and the Oregon Public Employee Retirement Board, on behalf of the Oregon Public Employee Retirement Fund (Oregon) in a securities class action against CenturyLink, Inc. and certain of its senior executives. The case involved claims pursuant to Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 arising out of false and misleading statements concerning the Company’s fraudulent billing practices from March 1, 2013 through July 12, 2017 (the Class Period).
During the Class Period, CenturyLink made a series of false and misleading statements, including that: its employees were subject to a strict code of ethics; that its sales and customer services personnel “promote[d] sales of services that [met] the needs of [CenturyLink’s] customers”; and that its “customers value[d] the convenience and price discounts associated with receiving multiple services through a single company.” The Company also reported strong revenue growth and sales, and represented that its financial condition was strong and growing.
In truth, CenturyLink incentivized unethical and unlawful behavior, including by allowing CenturyLink employees to add services, lines, and accounts for customers without their permission, resulting in millions of dollars in unauthorized charges to CenturyLink customers. Further, contrary to CenturyLink’s representations, the Company’s revenues and earnings growth were simply unsustainable because they were dependent upon improper and illegal conduct that subjected the Company to heightened regulatory scrutiny, governmental action, and significant fines and sanctions that could severely curtail its business.
Investors learned the true facts about the Company’s business practices and financial condition through a series of corrective disclosures. First, on June 16, 2017, Bloomberg reported that a former CenturyLink employee filed a whistleblower lawsuit alleging that she was wrongfully terminated after notifying CenturyLink’s CEO about the Company’s improper sales practices, including secretly billing millions of dollars of unauthorized charges to CenturyLink customers. On June 19, 2017, Bloomberg reported that a consumer class action lawsuit against the Company had been filed on behalf of CenturyLink customers seeking up to billions of dollars in damages in connection with CenturyLink’s unlawful billing practices. Then, on July 12, 2017, the Minnesota Attorney General announced that it had filed a lawsuit against CenturyLink alleging violations of state consumer protection laws after a year-long investigation which provided extensive detail concerning CenturyLink’s billing misconduct. These revelations resulted in sharp declines in the prices of CenturyLink’s securities, causing investors to incur substantial losses.
In the wake of these disclosures, on June 21, 2017, the first of several securities class actions was filed against the Company. On October 20, 2017, Magistrate Judge H. L. Perez-Montes of the Western District of Louisiana consolidated the related securities class actions and appointed Oregon as Lead Plaintiff, and Stoll Berne and BLB&G as Co-Lead Counsel.
In February 2018, the Judicial Panel on Multidistrict Litigation transferred the consolidated actions to the District of Minnesota before the Honorable Michael J. Davis. On April 20, 2018, Judge Davis consolidated a subsequently-filed securities class action against CenturyLink under Oregon’s leadership. On June 25, 2018, Oregon filed a consolidated securities class action complaint. In July 2019, Judge Davis denied Defendants’ motion to dismiss. On September 14, 2020, Judge Davis certified the proposed class, appointed Oregon class representative, and appointed Stoll Berne class counsel along with Bernstein Litowitz. In November 2020, the parties reached a tentative settlement, including settlement amount of $55,000,000 in cash. The Court approved the settlement in July 2021, and claims currently are being processed.
RECENT NEWS
September 15, 2020, Bloomberg Law: CenturyLink Investors Get Class Status in Overbilling Litigation
Setpember 15, 2020, Retuers: CenturyLink Shareholders in ‘Cramming’ Lawsuit Can Proceed as Class
| COURT: | United States District Court for the District of Minnesota |
| CASE NUMBER: | 3:17-md-02795-MJD-KMM (MDL); 0:18-cv-00296-MJD-KMM (Securities) |
| JUDGE: | U.S.D.J. Michael J. Davis.; U.S.M.J. Katherine M. Menendez |
| CLASS PERIOD: | 03/01/2013 – 07/12/2017 |
| CASE CONTACTS: | Timothy DeJong, Keith Dubanevich, Lydia Anderson-Dana |
Stoll Berne attorney Cody Berne represented a Registered Investment Adviser (RIA) and an Investment Adviser Representative (IAR) in a dispute about the sale of a book of business and an RIA.
| Stoll Berne attorney Andy Davis represented Menashe Properties purchased the 105,000 square foot Vancouver Village Shopping Center. Andy represented Menashe Properties in all aspects of the acquisition and financing of this property. |
Stoll Berne attorney Andy Davis served as lead counsel in connection with the $113 million acquisition of the 300,000 square foot historic Medical Dental Building in Seattle, Washington. The deal came upon the heels of Menashe Properties sale of the Creekside at Centerpoint in Kent, Washington. An IRS section 1031 exchange aided in deferring capital gains from the Creekside sale as part of this acquisition. Andy helped the client in all legal aspects of the purchase and financing of this acquisition.
Stoll Berne attorney Andy Davis served as lead counsel in connection with the $39 million sale of the 225,000 square foot Creekside at Centerpoint in Kent, Washington. Originally purchased three years earlier, it was Menashe Properties first acquisition outside the Portland metro region. Andy helped the client in all legal aspects of the disposition of this property.
Stoll Berne shareholder Josh Ross represented four different victims of a fraud perpetrated by a Spokane-area broker. Ross helped his clients recover over $450,000 in stolen investments.
