Update on Recent Inverse Condemnation Case
Earlier this year, we reported on the decision in Ridgewater Associates, Inc. v. Dublin San Ramon Services District. There, the Court of Appeal rejected an inverse condemnation claim by a purchaser of a property that suffered water intrusion damage caused by an adjacent waste water treatment facility.
The court held that the seller's failure to assign the inverse condemnation claim to the buyer, coupled with the fact that the buyer was "compensated" for any damages through payment of a reduced purchase price, left the buyer with no standing to sue in inverse condemnation.
The buyer sought review by the California Supreme Court, and while the Court denied the Petition, it did issue an order depublishing the Ridgewater opinion. Thus, while the buyer is still out of luck, the case no longer has any precedential value, meaning it cannot be cited by parties to any other lawsuit, except in very narrow circumstances.
