{"id":41548,"date":"2022-03-22T19:03:16","date_gmt":"2022-03-23T01:03:16","guid":{"rendered":"https:\/\/dh.durangoherald.com\/tj\/dsng-to-settle-civil-lawsuit-filed-by-local-landowners-businesses\/"},"modified":"2026-03-31T09:01:41","modified_gmt":"2026-03-31T09:01:41","slug":"dsng-to-settle-civil-lawsuit-filed-by-local-landowners-businesses","status":"publish","type":"post","link":"https:\/\/dh.durangoherald.com\/tj\/dsng-to-settle-civil-lawsuit-filed-by-local-landowners-businesses\/","title":{"rendered":"D&SNG to settle civil lawsuit filed by local landowners, businesses"},"content":{"rendered":"\n

\"Tripp
Tripp Creek flooded near homes July 25, 2018, after heavy rain fell over the 416 Fire burn scar. High temperatures and rapid snow melt have the potential to cause flooding from the 416 Fire burn scar this spring.<\/span>Jerry McBride\/Durango Herald file<\/span><\/figcaption><\/figure>\n<\/p>

Durango & Silverton Narrow Gauge Railroad and its parent company American Heritage Railways have agreed to a settlement with La Plata and San Juan county homeowners and business owners for impacts resulting from the 416 Fire.<\/p>\n

\u201cAll I can say regarding our clients\u2019 settlement is the matter is settled,\u201d said Anthony Savastano of Durango law firm Duthie Savastano and Brungard, who represents many of those who sued the train.<\/p>\n

John Harper, chief operating officer of American Heritage Railways, confirmed the parties have reached a tentative agreement.<\/p>\n

\u201cThere\u2019s only a one or two line items remaining until more information on that can be released,\u201d he said. \u201cI\u2019m expecting within the next seven to 14 days it should be public knowledge.\u201d<\/p>\n

Details of the agreement have not yet been released and the settlement has not yet been submitted to the court, according to 6th Judicial District records.<\/p>\n

Neither Savastano nor Harper could confirm financial compensation or other details of the agreement.<\/p>\n

In the most recent complaint filed in May 2020, about 40 homeowners and business owners accused the railroad of missteps and negligence that led to the 416 Fire and damages to their properties and businesses. The lawsuit cited damages from smoke, mudslides and flooding, but also indirect damages, including lost business.<\/p>\n

The lawsuit was set for trial in August 2022 after 6th Judicial District Judge Suzanne Carlson delayed the trial to avoid conflict with ongoing negotiations between the federal government and D&SNG in a separate lawsuit.<\/p>\n

In filings, attorneys for the homeowners and business owners argued that a coal-powered locomotive ignited the approximately 54,000-acre fire north of Durango on June 1, 2018.<\/p>\n

\"Mike
Mike Glowac looks at storm clouds while checking out the flooding and debris that flowed around his house July 25 along U.S. Highway 550, after heavy rain fell over the 416 Fire burn area north of Durango. (Jerry McBride\/Durango Herald file)<\/span>Jerry McBride\/Durango Herald<\/span><\/figcaption><\/figure>\n
\"April
April Fry walks through her living room July 25, 2018, with her daughter Abby, 4, at Animas Village Apartments after flood water came through the front door and left several inches of mud and debris. The flood was a result of runoff from the 416 Fire burn scar. (Jerry McBride\/Durango Herald file)<\/span>du1-i-syn<\/span><\/figcaption><\/figure>\n<\/p>

The lawyers filed their case against the train relying on Colorado\u2019s Railroad Statute, which says railroad companies operating their \u201cline of road\u201d with Colorado are liable for all damages from fires caused by the railroad operations.<\/p>\n

\u201cNationally renowned forest fire investigation experts retained by the Plaintiffs have conducted extensive investigation of the site to determine the area of origin of the 416 Fire and its cause,\u201d according to the plaintiff\u2019s amended complaint. \u201c\u2026 It is the unqualified opinion of these fire experts that the cause of the 416 Fire was one or more hot coal particles that came from the exhausts stack of the coal-fired steam Train.\u201d<\/p>\n

After a federal investigation, the Forest Service also concluded that a cinder from the smokestack of one of D&SNG\u2019s coal-burning locomotives ignited the blaze.<\/p>\n

The civil settlement comes on the heels of an agreement announced Monday<\/a> between D&SNG, American Heritage Railways and the U.S. Attorney\u2019s Office for the District of Colorado in which the railroad will pay $20 million and adopt more stringent wildfire cautions.<\/p>\n

Negotiations in the civil lawsuit were delayed because of discussions between the government and the train in the federal lawsuits, Savastano said.<\/p>\n

\u201cWe were waiting on a somewhat interrelated federal case,\u201d he said. \u201cThe consent decree (filed Monday) was a big part of what we were waiting on.\u201d<\/p>\n

\"Firefighters
Firefighters work to extinguish a spot fire started in June 2018 by the 416 Fire east of U.S. Highway 550 north of Shalona Hill toward the Rockwood subdivision. Durango & Silverton Narrow Gauge Railroad and its parent company, American Heritage Railways, have agreed to a settlement with La Plata and San Juan county homeowners and business owners for damages resulting from the 416 Fire. (Jerry McBride\/Durango Herald file)<\/span>du1-i-syn<\/span><\/figcaption><\/figure>\n<\/p>

As a part of the settlement between the federal government and the train, D&SNG must modify its operations to reduce wildfire risk, including complying with an Industrial Fire Restrictions Plan, which will limit the railroad\u2019s operations when fire risk is elevated and will prohibit coal-fired locomotives when fire risk is extreme.<\/p>\n

D&SNG has already converted five of its eight steam locomotives from coal to 100% recycled oil and purchased four new diesel trains for its summer operations to further limit the chances of wildfires, according to a company news release Monday.<\/p>\n

Those precautions included in the federal government\u2019s agreement with the train were also a priority for the homeowners and business owners represented in the local lawsuit.<\/p>\n

\u201cI think that was always a part of what we were hoping would be part of the outcome here,\u201d Savastano said.<\/p>\n

After more than three years of litigation, he said he was satisfied with the agreement.<\/p>\n

\u201cThis has been a difficult, trying case for everybody involved,\u201d he said. \u201cIt\u2019s taken a lot of courage and dedication from our clients and legal teams to get to this point. Duthie Savastano and Brungard along with our colleagues Burg Simpson are really happy to have been able to serve and help our clients with these complex issues. We are proud to have been able to lead the litigation and play a part in creating a safer Durango.\u201d<\/p>\n

ahannon@durangoherald.com<\/a><\/em><\/p>\n","protected":false},"excerpt":{"rendered":"

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