Dec 21, 2024

Oregon Energy Company PacifiCorp Found Liable in 2020 Wildfires Lawsuit

by Nadia El-Yaouti | Jun 20, 2023
PacifiCorp's Penstock Substation, an energy facility linked to the liability ruling in wildfires. Photo Source: A substation owned by PacifiCorp is shown in this file photo. (Amelia Templeton via OPB.org)

An Oregon jury has found PacifiCorp liable for causing Oregon wildfires that ravaged parts of the state during Labor Day weekend in 2020.

The decision came on June 12th in the Multnomah County Circuit Court, where jurors ruled that the energy provider had played a major role in causing wildfires that ripped through the state in September 2020. Fires they were accused of being responsible for include the Santiam Canyon Fire, the Echo Mountain Complex Fire, the South Obenchain Fire, and others.

PacifiCorp is the state's second-largest electrical utility and has been found to have had a substantial role in the forest fires. Deliberations which lasted only 2 days resulted in a verdict that will require the electric utility to pay over $73 million to a total of 17 plaintiffs. Punitive damages have not been assessed in the case, but after jurors deliberate them, the verdict could go up. In addition to the multi-million dollar settlement, the jury found that a broader class of what could potentially be thousands of other victims could bring forward a case against the energy company in the future.

The 17 plaintiffs who brought the case argued that the company’s negligence led to losses as well as emotional suffering caused by the fires. One plaintiff, Rachelle McMaster, lost her home to the Echo Mountain Complex fire and is one of the thousands of other victims who were impacted by severe losses.

The lawsuit accused the utility company of failing to take proper maintenance and safety steps to help mitigate safety concerns like wildfires. The lawsuit explained, “Despite being warned of extremely critical fire conditions, defendants left their power lines energized,” the complaint reads. “Powerlines ignited massive, deadly, and destructive fires that raced down the canyons, igniting and destroying homes, businesses, and schools.”

The 17 plaintiffs who were represented in the case accused the company, which is owned by holding company Berkshire Hathaway, of failing to consider weather reports and other warnings that severe weather such as dry conditions and a major wind storm could ignite uncontrollable wildfires. In arguing their case, the plaintiffs brought forward 911 calls, internal documents from PacifiCorp, testimony from wildlife experts, and victim testimony to support their claims. Ultimately, the jury came to a nearly unanimous decision in favor of the plaintiffs.

During the trial, lawyers for PacifiCorp explained that the company had to weigh whether or not to turn off the electric power to residents and how it could pose a danger to customers throughout the state. PacifiCorp lawyers also structured their case to show how the company has been a leader in wildlife mitigation. Additionally, In some of the fires, the company tried to point to previous fires as being the catalyst for the destruction that would later come. Lawyers pointed to the nearby Beachie Creek Fire and explained that this fire was the primary cause of the Santiam Canyon fires that started weeks prior.

Despite their defense, the jurors found that the company was liable for damages in five of the six elements that were argued for. Included in that liability was gross negligence and recklessness.

Following the verdict, PacifiCorp shared that it would plan to appeal the judgment. The company also issued a statement that explained “Escalating climate change, challenging state and federal forest management, and population growth in the wildland-urban interface are substantial factors contributing to growing wildfire risk. These systemic issues affect all Oregonians and are larger than any single utility.”

According to a 2022 report from the Oregon Department of Transportation and Oregon Debris Management Task Force, the 2020 Labor Day wildfires burned over 1.2 million acres. Over 5,000 homes and businesses were destroyed and nine individuals were killed. As of June 30, 2022, it cost the state roughly $355 million to remove leftover hazardous household waste, ash, debris, and dangerous trees.

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Nadia El-Yaouti
Nadia El-Yaouti
Nadia El-Yaouti is a postgraduate from James Madison University, where she studied English and Education. Residing in Central Virginia with her husband and two young daughters, she balances her workaholic tendencies with a passion for travel, exploring the world with her family.

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