Homeowners: Steel plant pollution ruins property

Corporation agrees to regular testing as part of payout plan

This class-action lawsuit, filed on behalf of residents living near the Great Lakes Works steel plant in the cities of Ecorse and River Rouge, near Detroit, alleged the plant's pollution control equipment was broken. It resulted in large amounts of metallic flakes being discharged into the air and settling on homeowners' property in the form of fine dust. In addition, residents had complained for years of seeing large plumes of orange smoke constantly filling the air near the plant.

Defendant United States Steel Company (U.S. Steel) had purchased the plant in May 2003 from National Steel Corp., which sold all of its holdings when the company filed for bankruptcy.

Air-quality tests by the Michigan Department of Environmental Quality and the city of River Rouge found excessive levels of manganese emissions both before and after the U.S. Steel acquisition of the 1,100-acre plant. The plaintiffs explained that manganese causes neurological disruption and symptoms similar to those associated with Parkinson's disease.

In 2005, U.S. Steel agreed to pay a fine of nearly $1 million and to install and upgrade air pollution controls at the plant. By the time it was done, air emissions returned to normal levels, and were no longer deemed a nuisance.

The plaintiffs - 20,000 people living in 8,400 homes - sought compensation for the time they were forced to endure the emissions. The suit was a real-property action and alleged that the emissions constituted a nuisance in that they significantly interfered with the residents' use and enjoyment of their property.

U.S. Steel agreed to settle the matter for $4.45 million. It allowed for anyone who lived in Ecorse or River Rouge or owned residential property in either city from May 20, 2003, until Sept. 19, 2008, to be eligible for a $300 payout.

As part of the agreement, U.S. Steel agreed to an ongoing program to detect, correct and prevent air pollution violations at the facility. U.S. Steel also must conduct regular testing to prove that it is following the terms of the agreement.

Type of action: Environmental tort class action

Type of injuries: Property damage, air pollution, nuisance

Name of case: Stanley, et al., v. United States Steel Corporation

Court/Case no./Date: U.S. District Court, Eastern District; 04-74654; Sept. 8, 2008

Name of judge: Avern Cohn

Settlement amount: $4.45 million

Most helpful experts: Rick Harding, Ph.D.

Insurance carrier: Self-insured

Attorneys for plaintiff: Jason J. Thompson, Peter W. Macuga II, Steven D. Liddle

Attorney for defendant: Withheld

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