Olin
’s perchlorate contamination has not damaged home prices or
caused severe emotional distress, a federal jury decided Friday.
That means four San Martin residents who sought compensation for
their economic losses and punitive damages will receive nothing
from the company, though their attorney vowe
d Friday to press ahead with other outstanding claims.
Olin’s perchlorate contamination has not damaged home prices or caused severe emotional distress, a federal jury decided Friday.

That means four San Martin residents who sought compensation for their economic losses and punitive damages will receive nothing from the company, though their attorney vowed Friday to press ahead with other outstanding claims.

“It’s not completely up to me, but I would like to keep fighting,” Colin Pearce said. “There’s still a public health issue down there. There are a lot of people still affected.”

The jury needed just one day to decide that the Olin Corp. is not legally responsible for any hardships the San Martin residents have suffered since the contamination was revealed in 2003, even though the company admits it dumped perchlorate into the ground for decades.

“I think the message was that they felt Olin did something wrong but weren’t sure how the law really applied. That’s my sense of what they said,” Pearce said after speaking with members of the jury. “They seemed sympathetic to our clients’ position.”

Pearce, of the San Francisco firm Duane Morris, represents a total of 120 clients with claims against Olin. The four San Martin homeowners in this case claimed the 10-mile perchlorate plume south of Olin’s former Morgan Hill road-flare plant ruined their property values and their home lives.

The case was believed to be the first in the nation to test whether companies can be held responsible for contaminating groundwater with perchlorate. Another group of 160 plaintiffs, with different representation, is on the verge of settling with Olin.

Pearce said the result of this trial might have been different if he had been allowed to present evidence of perchlorate’s potential health effects. It has been shown to inhibit thyroid function.

Olin attorney Tom Carney said his client was delighted with the verdict.

“We think it’s significant because there are 100 other claims out there,” he said. “This shows Olin behaved appropriately.”

Matt King covers Santa Clara County for The Times. He can be reached at 847-7240 or

ma****@gi************.com











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