City of San Diego v. United States Gypsum Co.

A city sues various defendants for damages stemming from installation of asbestos in its buildings. The statute of limitations for injury to city’s real property is three years. (Code Civ. Proc., § 338, subd. (b).) The statute of limitations begins to run when city suffers an appreciable and actual harm.

Here we hold, among other things, appreciable harm is not limited to the existence of an actual health hazard. As pleaded, the city’s knowledge of deterioration to its buildings caused by asbestos constitutes the infliction of an appreciable harm that begins the statute of limitations running.

Plaintiff City of San Diego appeals a judgment in favor of defendants, are manufacturers and distributors of asbestos-containing building materials. The trial court’s ruling was based upon the three-year statute of limitations of Code of Civil Procedure section 338, subdivision (b), and a failure to state a cause of action for nuisance and equitable indemnification. We affirm.

Facts

On May 25, 1988, plaintiff City of San Diego (City) brought an action against 31 defendants who manufactured, distributed or otherwise were involved with asbestos-containing building materials. City…