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Lewis M. NeMoyer, U. Martin J. Littlefield, of counsel , Buffalo, NY, for plaintiff U. Oliver Koppell, Atty. Eugene Martin-Leff, Robert E. Hernan, C. Michael Bryce and H. Truitt, Steven K. Yablonski and Anthony L.
Young, Cynthia J. Morris and Mary F. Brydges, Jr. Hewitt and James P. Between and , the site was used by Hooker as a landfill for toxic chemical wastes from its Niagara Falls plant. In , the Company transferred the site to the City of Niagara Falls School Board "School Board" or "Board" , and an elementary school was built in the central section the next year.
A State Health Emergency was declared in when a noticeable quantity of the chemical residues began surfacing and seeping into neighboring homes. The case was bifurcated into two phases: Phase I to determine the liability of all parties and the principles of contribution or indemnification; and Phase II to determine the nature and amount of the remedy.
United States v. The State's claim for punitive damages, based upon OCC's creation of a public nuisance at Love Canal in allegedly reckless disregard of the health, safety, and property of the local residents, as well as various counterclaims and cross-claims, remained for trial, which began on October 24, Testimony was heard through June 25, , and the parties made closing arguments on January 7, January 29, February 11, and February 12, The following decision pertains solely to the punitive damages claim.
The balance of the issues covered by the Phase I trial will be addressed separately in future orders. The State claims that OCC is liable for punitive damages for Hooker's activities and omissions regarding the method of waste disposal at Love Canal, the site's transfer to the School Board in , and a subsequent failure to respond adequately to the problems and potential hazards which arose once Hooker relinquished control of the Canal area.