Rhode Island High Court Rejects State’s Public Nuisance Claim

Also Addresses Issue Of State Use Of Private Lawyers Retained Under Contingent Fee Arrangements

In an 81-page opinion, the Rhode Island Supreme Court overturned a verdict that would have required paint manufacturers to pay an estimated $2.4 billion to clean up lead paint from contaminated homes under a public nuisance theory. State v. Lead Industries Association Inc. et al., slip op. 04-63 (July 1, 2008). The court, in its 4-0 decision, overturned a 2006 jury verdict that held three former lead pigment producers, Sherwin-Williams, NL Industries and Millennium Holdings, liable for creating a public nuisance by manufacturing and selling a toxic product over 30 years ago, and then covering up the health risks. In addition, the court promulgated guidelines on the use by the State's Attorney General of private lawyers retained under contingent fee agreements.