Hinfin Realty Corp. v. Pittston Company

206 F.R.D. 350 (E.D.N.Y. 2002)

Facts

Ps sued D to recover damages they suffered as a result of an oil spill that occurred on their property during a time when the facilities for the receipt and distribution of 'No. 6 fuel oil' were allegedly owned, maintained, and repaired by D. They served D with a copy of the summons and complaint on August 8, 2000. D filed its answer on October 11, 2000. On February 1, 2001, Ps served an amended complaint. On February 5, 2001, an initial discovery scheduling conference was held. On March 12, 2001, D filed its answer to the amended complaint. D included thirteen affirmative defenses in its answer. The eighth affirmative defense was a defense and counterclaim. On March 29, 2001, Ps filed their reply to the counterclaims and denied the allegations. Virtually no discovery occurred. D moved to stay in that there was a pending state court proceeding; the motion was denied. D made discovery demands. P’s president, Donald Death, became ill and died. D offered evidence it was not a proper defendant. Ps then tried to negotiate with D over a dismissal without prejudice to determine if D was a proper plaintiff. Eventually, Ps moved under 41(a)(2) for a voluntary dismissal without prejudice. D opposed the motion on grounds it would be prejudiced, or D should be awarded attorney fees and costs totaling more than $135,000. During oral argument, Ps informed the Court that the parallel state court action has been discontinued without prejudice pursuant to an agreement between the parties.