Man Wins $5.2 Million in Suit Against Shell Oil

A jury has awarded a Sacramento man $5.2 million in damages from Shell Oil Co. because the company tried to stop him from publicizing the possible health hazards of plastic pipe marketed by Shell.

The Superior Court jury Tuesday awarded $175,000 in general damages, $22,000 in lawyer’s fees and $5 million in punitive damages to Raymond Leonardini, who charged Shell with malicious prosecution and abuse of process.

The jury ruled that Shell’s unsuccessful federal court suit in 1981 against Leonardini was an effort to intimidate him and others from revealing a test that concluded that the polybutylene pipes may be a health hazard.

“We are disappointed in the jury’s verdict and do not feel it accurately reflects the evidence presented to the jury, nor do we feel it is a proper application of California law,” a spokesman said at Shell’s Houston headquarters. “We are considering appealing the verdict.”

Laboratory Testing

When Leonardini raised the question about the safety of the pipes, he was a member of the California Building Standards Commission and was a lawyer for California Pipes Trade, a group of plumbing and pipe fitters.

He submitted the pipes to the California Analytical Laboratories for testing, and the results showed that they contained the cancer-causing compound DEHP.

Shell had already received approval to use the pipes from several city governments, including San Jose and Santa Barbara, where they are still used.

Settlement Reached

Shell’s suit against Leonardini and the California Analytical Laboratories contended that Shell’s own tests showed no evidence of DEHP.

The suit was dismissed in 1982 when Shell reached a settlement with the laboratory, which admitted no error.

Leonardini said Shell also offered him a settlement, but he refused it because he said the company had refused to publish the reports about the pipes’ hazards.