Justia North Carolina Supreme Court Opinion Summaries

The Supreme Court affirmed the decision of the administrative law judge (ALJ) from the Office of Administrative Hearings affirming the decision of the North Carolina Department of Environmental Quality, Division of Water Resources (Division) to issue a National Pollutant Discharge Elimination System Permit to Martin Marietta Materials, Inc., holding that there was no error in the proceedings below.The permit at issue allowed Martin Marietta to discharge twelve million gallons of mining wastewater per day from Vanceboro Quarry into Blounts Creek tributaries. The ALJ affirmed the issuance of the permit. The superior court reversed, concluding that the Division failed to ensure "reasonable compliance with the biological integrity standard." The court of appeals reversed, concluding that the permit was properly and validly issued in accordance with the applicable regulations. The Supreme Court affirmed, holding that the ALJ properly made findings of fact and properly applied those facts to a correct interpretation of the regulatory plain language. View "Sound Rivers, Inc. v. N.C. Dep't of Environmental Quality" on Justia Law

The Supreme Court held that the Due Process Clause allows North Carolina courts to exercise personal jurisdiction over companies that received millions of dollars in assets by E.I. DuPont de Nemours and Company (Old DuPont) when the company, facing liability for releasing harmful chemicals into the North Carolina environment over a period of decades, underwent a significant corporate reorganization.North Carolina brought an action against Old DuPont and its corporate successors, asserting negligence, trespass, public nuisance, fraud, and fraudulent transfer related to Old DuPont's use of harmful chemicals at its Fayetteville Works plant and its subsequent reorganization to avoid liability. At issue was whether the Due Process Clause permits jurisdiction to be exercised over a corporate successor when the predecessor is subject to jurisdiction in the forum and state law subjects the successor to liability. The Supreme Court affirmed the business court's denial of Defendants' motion to dismiss, holding that personal jurisdiction could be established through the imputation analysis for all of the State's claims arising out of or related to Old DuPont's activities in North Carolina. View "State ex rel. Stein v. E.I. DuPont de Nemours & Co" on Justia Law

In this complaint seeking to have the Attorney General preliminarily and permanently enjoined from distributing monies received pursuant to an agreement between the Attorney General and Smithfield Foods, Inc. and several of its subsidiaries regarding the operation of hog farms to any recipient other than the Civil Penalty and Forfeiture Fund, the Supreme Court held that the payments contemplated by the agreement did not constitute penalties for purposes of N.C. Const. art. IX, 7.In their complaint, Plaintiffs argued that payments made pursuant to the agreement constituted penalties under article IX, section 7 and that the Attorney General lacked the authority to enter into the agreement. The trial court entered summary judgment in favor of the Attorney General, concluding that even if Smithfield and its subsidiaries had entered into the agreement in hope of avoiding future penalties, the payments made under the agreement were not penalties, forfeitures or fines collected for any breach of the penal laws of the State. The court of appeals reversed, concluding that genuine issues of material fact existed precluding summary judgment. The Supreme Court reversed, holding that the payments contemplated by the agreement did not constitute penalties for purposes of article IX, section 7. View "New Hanover County Board of Education v. Stein" on Justia Law

Petitioners filed a request that the North Carolina Environmental Management Commission issue a declaratory ruling clarifying the application of the Commission’s groundwater protection rules to coal ash lagoons. After the Commission issued its declaratory ruling, Petitioners sought judicial review, claiming that the Commission had misconstrued the applicable regulations and erred in failing to construe the applicable regulations in the manner contended for by Petitioners in their original request for declaratory relief. The trial court determined that portions of the Commission’s decision were plainly erroneous and inconsistent with the regulations and reversed the Commission’s decision with respect to Petitioners’ second request for a declaratory ruling. The Supreme Court vacated the trial court’s order and remanded to the trial court with instructions to dismiss Petitioners’ appeal from the Commission’s declaratory ruling on mootness grounds, holding that the General Assembly’s enactment of Chapter 122 of the 2014 North Carolina Session Laws supersedes the rule at issue in this appeal with respect to coal ash lagoons located at facilities with active permits. Remanded. View "Cape Fear River Watch v. N.C. Envtl. Mgmt. Comm’n" on Justia Law

Plaintiff sold a parcel of land adjacent to a golf club to New South Properties (New South) for development as a residential community. New South hired Hunter Construction Group (Hunter) to prepare the parcel for construction. Hunter built erosion control structures and devices, including a silt collection basin. However, a dam Hunter constructed to form the silt collection basin ruptured, causing mud, water, and debris to flood the golf course. As a result of the damage to the golf course, Plaintiffs filed an action against New South, Apple Creek and Hunter, alleging negligence, nuisance, trespass, and violations of the Sedimentation Pollution Control Act (SPCA). The trial court granted summary judgment to Defendants on the SPCA claim. Plaintiffs appealed and withdrew their appeal against all defendants except Hunter. The court of appeals affirmed. Without considering the merits of Plaintiffs' appeal, the Supreme Court affirmed as modified, holding that because Hunter was never cited for a violation for section 113A-66 of the SPCA, Plaintiffs did not have standing to bring a civil action against Hunter pursuant to section 113A-66. View "Applewood Props., LLC v. New S. Props., LLC" on Justia Law