OXNARD : Settlement Revealed in Dunes Toxics Case

Oxnard Dunes residents, who had sought as much as $100 million to compensate them for homes built atop a toxic dump, received a total of only $306,000 in a 1993 settlement with the city of Oxnard, according to court records unsealed Monday.

Still, the 175 residents fared better with the city than did the five remaining plaintiffs, who took their case against the developer before a jury a year later. In February, a Ventura County jury awarded damages to only one homeowner, but those have yet to be determined.

Before backing out of the seven-year lawsuit, Oxnard put $1.3 million toward attorneys’ fees, said Oxnard City Atty. Gary Gillig.

“You decide whether it’s worth rolling the dice and whether it’s worth paying all the attorney fees,” Gillig said. “We decided we would not roll the dice and walk away from the game.”

The homeowners filed suit in 1987, two years after learning that their homes had been built on land once used to dump oil-field waste. State health officials found no dangerous level of contaminants, but residents said the publicity had ruined property values in the subdivision off Harbor Boulevard.

Gillig said attorneys were leery that Dunes plaintiffs would sue for decreased property values and emotional distress.

As it was, the jury agreed with the homeowners that the developer, Oxnard Shores Co., had been negligent in selling them the property. But, except for one case, the panel ruled that the developer’s negligence had not damaged property values.

All of the other homeowners settled with the developer before the trial began. Court records on that settlement remain sealed.

In the Oxnard case, $80,000 of the $306,000 settlement was paid by insurance companies, Gillig said. The bulk of the legal fees were also covered, although the city is now suing Hartford Insurance Co. for further payments.