A United States Federal Court has granted Bovis Lend Lease, the City of New York and 50 other defendants “limited immunity” to claims brought on by emergency services personnel and other workers at the World Trade Centre following September 11.
Yesterday, Judge Hellerstein of the US Federal Court held that “the Defendants are benefited by limited immunity, limited according to time and activity”. However, the Court denied the defendants’ motion, concluding that such issues are “fact-intensive” questions, which are “unsuitable for resolution by motion”.
Judge Hellerstein stated that the Court would need to assess further evidence before it could determine the extent to which the immunity laws are applicable to the claims.
The court action began on June 08, 2006 when emergency services personnel and other workers at the WTC alleged personal injuries and other damages.
Bovis Lend Lease was appointed by the US Government to clean-up the WTC site following the events of September 11, 2001.
The immunity motion was heard by Judge Alvin K Hellerstein of the United States Federal Court for the Southern District of New York on 22 and 26 June 2006.
The immunity motion was brought on the basis that the defendants responded to a civic emergency and in that context should be immune from liability under applicable US laws.
Yesterday, Bovis Lend Lease said it is in the process of considering the decision and its implications with its US lawyers.
“However, Bovis Lend Lease is pleased that the Court has recognised that the State and Federal statutes that provide immunity do protect the defendants against suit even though, as the Court held, “the precise scope and extent of the immunity varies according to date, place and activity”.
“For now, Judge Hellerstein’s decision means that claims by workers involved in the clean-up are likely to continue against the more than 50 defendants,” the group said in a statement.
Judge Hellerstein’s decision makes no finding of liability in relation to Bovis Lend Lease or any of the defendants.
As stated in the 8 June 2006 release, the litigation is at a very early stage.
To establish any liability on the part of Bovis Lend Lease, the claimants must prove that Bovis Lend Lease owed them a duty of care, breached that duty and that their injuries were caused by the conduct of Bovis Lend Lease.
The litigation will therefore need to proceed through a number of stages before any liability can attach to Bovis Lend Lease.
As with all litigation, to the extent that the claimants are able to establish liability against Bovis Lend Lease, it is not possible or appropriate at this stage to quantify what that liability may or may not be or whether or not that liability will be entirely covered by insurance.
Bovis Lend Lease is one of the beneficiaries of the $US1 billion captive insurance policy established by the US Congress to protect the City of New York and its contractors against liabilities that may arise out of the WTC site clean-up. Bovis Lend Lease also has the benefit of other relevant insurance.
The Federal Court for the Southern District of New York has set down a timetable and procedural guidelines, which must be followed by the plaintiffs if their claims are to continue.
To date, approximately 1,900 plaintiffs have complied with the Court’s guidelines. This number is expected to increase because the number of plaintiffs who originally brought claims naming Bovis Lend Lease in the WTC litigation was approximately 10,000.
Bovis Lend Lease continues to monitor any progress towards US legislative intervention, which may assist in resolving the claims.
Lend Lease will advise the market of any material developments in either the litigation or any US legislative initiatives.
By Kathryn O’Meara
