Judge OKs $5-Million Settlement in Claim Against Lockheed

Ending nearly four years of litigation, a Burbank judge on Friday approved a $5-million settlement between Lockheed Martin Corp. and more than 300 Burbank residents who claim they got sick from the company’s release of toxins into the air, soil and ground water.

In approving the settlement, Los Angeles County Superior Court Judge Carl J. West said the amount may not be as large as the plaintiffs had expected when they sued in 1996. But, he said, it is “a reasonable and fair settlement,” given the lack of definitive scientific evidence and the potentially insurmountable procedural hurdles for many of the remaining plaintiffs.

Despite the settlements, Lockheed Martin has never admitted that the chemicals, including hexavalent chromium, or chromium 6, that were released into the environment over six decades of manufacturing in Burbank harmed anyone.

Plaintiffs lawyer Thomas G. Foley Jr. said he still doesn’t know how much money each of his clients will receive from the aerospace company. But a source close to the case said the payouts could average as little as $3,000 per claim after legal costs and lawyers’ fees.

The latest settlement is significantly less than the $60 million that Lockheed Martin paid in a secret agreement with 1,357 Burbank residents in 1996.

Two plaintiffs, unhappy with the amount, asked to be excluded from the settlement so they can pursue their legal claims against Lockheed Martin on their own. West said he was inclined to reject the requests and would make his decision next week.

In a separate case, Lockheed Martin previously paid $33 million to plant workers who allege they were sickened by exposure to hazardous solvents and metals used in the manufacturing of thousands of airplanes, including the Stealth F-117A, at the defense contractor’s Burbank facilities.

The most recent settlement will include about 200 claims awaiting trial in state court in Burbank, plus the 140 claims dismissed earlier this year because of inadequate scientific evidence linking the residents’ illnesses to exposure to Lockheed Martin’s toxic releases.

Besides the lack of scientific proof, many of the remaining claims against Lockheed Martin were expected to be dismissed by West because they were filed in court too late, violating the one-year statute of limitations.

In the end, Foley advised his clients to accept Lockheed’s settlement offer. “I think it’s in their best interest,” he said.

After Friday’s hearing, Gail E. Rymer, a spokeswoman for Lockheed Martin, was pleased with the outcome. “We feel that the system works,” she said.

Meanwhile, Lynnell Murray-Madrid was one of the two plaintiffs who asked West on Friday to allow them to pursue medical claims against Lockheed Martin on their own.

She said the settlement is not in her best interest or that of her sister, Erin Baker.

“Our illnesses are directly linked to those chemicals, we lived near Lockheed our entire lifetime, and most of all, we want to see that Lockheed Martin is held accountable for their actions,” she told the judge.

West said he was inclined to include Murray-Madrid and Baker in the $5-million settlement and dismiss their claims.

The judge said when the sisters hired Foley to represent them, they authorized him to settle the case on their behalf.

In addition, West said, their effort to remove Foley as their attorney, just days before the settlement was reached, was filed with the court too late.