Scarinci Hollenbeck, LLC, LLCScarinci Hollenbeck, LLC, LLC

Firm Insights

NJ Appellate Court Considers Violation of Underground Facility Protection Act

Author: Scarinci Hollenbeck, LLC

Date: March 2, 2018

Key Contacts

Back

Violation of New Jersey’s Underground Facility Protection Act Not Necessarily Proximate Cause of Damage to Underground Plant

A New Jersey appellate court has determined that a violation of the One-Call markout requirements imposed by the Underground Facility Protection Act, N.J.S.A. 48:2-73 to -91 (“UFPA”), as well as the implementing regulations of the Board of Public Utilities, N.J.A.C. 14:2-1.1 to -6.10, does not automatically subject the violator to liability for damage to underground plant.

Violation of New Jersey’s Underground Facility Protection Act Not Necessarily Proximate Cause of Damage to Underground Plant
Photo courtesy of Matthew Schwartz (Unsplash.com)

The UFPA imposes various requirements upon persons seeking to excavate in New Jersey, including at the outset an obligation to notify the One-Call system of an intent to excavate. On receipt of such a notice, the One-Call system notifies the owners of underground utility plant in the area of the proposed excavation, requiring such owners to “mark out” their plant, thus enabling the excavator to avoid such plant when performing work. Under the One-Call program, the excavator is provided with a window within which work must begin; it may not start earlier than the start date and must begin no later than a subsequent “Start-By” date.

In the instant matter, having been notified of proposed excavation by the defendant, J.F. Kiely Construction Co. (“Kiely”), Verizon New Jersey, Inc. (“Verizon”) marked out its plant in Egg Harbor Township, where the construction was occurring. The One-Call center advised Kiely that construction must begin no later than August 31, 2011. Kiely began construction, but not until September 7, 2011, one week past the deadline. In the course of excavation, Kiely damaged Verizon’s plant.

Verizon moved for summary judgment on the grounds that there was no genuine dispute as to material facts and that Kiely’s failure to abide by the Start-By date constituted negligence, resulting in liability to Verizon for damages. The trial court agreed and entered judgment for Verizon.

On appeal, the court held that Kiely’s failure to adhere to the markout requirements in terms of commencing construction by the Start-By date constituted evidence of negligence but that it did not conclusively establish negligence, nor that Kiely’s actions were the proximate cause of Verizon’s damage. Rather, the Appellate Court noted a factual dispute as to whether Verizon’s plant had been properly marked out; the court reasoned that if it had not been properly marked out, Verizon’s plant might have been damaged by Kiely even if Kiely had begun excavation within the designated window. In other words, the court held, Kiely’s actions may have constituted a technical violation of the UFPA, constituting prima facie evidence of negligence, but whether Kiely’s actions were the proximate cause of Verizon’s harm was a question for trial.

The appellate court also determined that there had been no evidence at the trial of the amount of damage sustained by Verizon and that both questions, i.e., whether Kiely’s actions proximately caused Verizon’s damage and, if so, to what extent, should be addressed on remand of the matter to the trial court.

View a PDF of the full Opinion here.

Do you have any questions? Would you like to discuss the matter further? If so, please contact me, Dennis Linken, at 201-806-3364.

No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.

Scarinci Hollenbeck, LLC, LLC

Related Posts

See all
How to Dissolve a Corporation in New Jersey: A Step-by-Step Guide post image

How to Dissolve a Corporation in New Jersey: A Step-by-Step Guide

Closing your business can be a difficult and challenging task. For corporations, the process includes formal approval of the dissolution, winding up operations, resolving tax liabilities, and filing all required paperwork. Whether you need to understand how to dissolve a corporation in New York or New Jersey, it’s imperative to take all of the proper […]

Author: Christopher D. Warren

Link to post with title - "How to Dissolve a Corporation in New Jersey: A Step-by-Step Guide"
Gross Lease vs. Net Lease: Understanding the Key Differences post image

Gross Lease vs. Net Lease: Understanding the Key Differences

Commercial leases can take a variety of forms, which is often confusing for both landlords and tenants. Understanding the different types, especially the gross lease structure, is important when selecting the lease that best suits your needs. One key distinction between lease types is how rent is calculated and paid. This article addresses the two […]

Author: Robert L. Baker, Jr.

Link to post with title - "Gross Lease vs. Net Lease: Understanding the Key Differences"
What to Do If You Are Impacted by a Retailer Bankruptcy Part 2 post image

What to Do If You Are Impacted by a Retailer Bankruptcy Part 2

Over the past year, brick-and-mortar stores have closed their doors at a record pace. Fluctuating consumer preferences, the rise of online shopping platforms, and ongoing economic uncertainty continue to put pressure on the retail industry. When a retailer seeks bankruptcy protection, a myriad of other businesses are often impacted. Whether you are a supplier, customer, […]

Author: Brian D. Spector

Link to post with title - "What to Do If You Are Impacted by a Retailer Bankruptcy Part 2"
The Current Administration's Proposals for the Financial Services and Banking Industries Will Affect Your Business post image

The Current Administration's Proposals for the Financial Services and Banking Industries Will Affect Your Business

Since his inauguration two months ago, Donald Trump’s administration and the Congress it controls have indicated important upcoming policy changes. These changes will impact financial services policies and priorities. The changes will particularly affect cryptocurrency, as well as banking rules and regulations. Key Regulatory Changes in Cryptocurrency For example, in the burgeoning cryptocurrency business environment, […]

Author: Dan Brecher

Link to post with title - "The Current Administration's Proposals for the Financial Services and Banking Industries Will Affect Your Business"
Tips for Commercial Landlords Impacted by Wave of Retailer Bankruptcies Part 1 post image

Tips for Commercial Landlords Impacted by Wave of Retailer Bankruptcies Part 1

The retail sector has experienced a wave of bankruptcy filings over the last year. Brick-and-mortar businesses in financial distress include big-name brands like Big Lots, Party City, The Container Store, and Vitamin Shoppe. When large retailers seek bankruptcy protection, they are not the only businesses impacted. Landlords can be particularly hard hit. While commercial landlords […]

Author: Brian D. Spector

Link to post with title - "Tips for Commercial Landlords Impacted by Wave of Retailer Bankruptcies Part 1"

No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.

Sign up to get the latest from our attorneys!

Explore What Matters Most to You.

Consider subscribing to our Firm Insights mailing list by clicking the button below so you can keep up to date with the firm`s latest articles covering various legal topics.

Stay informed and inspired with the latest updates, insights, and events from Scarinci Hollenbeck. Our resource library provides valuable content across a range of categories to keep you connected and ahead of the curve.

Let`s get in touch!

* The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.

Sign up to get the latest from the Scarinci Hollenbeck, LLC attorneys!

Please select a category(s) below: