Wildfires often have a human origin. People set off fireworks, start campfires out in the woods and otherwise create scenarios in which wildfires may develop and spread rapidly. Occasionally, all signs point to businesses being responsible for major wildfires.
The Eaton wildfire that started on January 7, 2025, has led to intense scrutiny of a Los Angeles-area utilities company. The Department of Justice recently announced that Southern California Edison caused the fire and began a lawsuit against the company. This is on the heels of Los Angeles County also taking legal action against the company and its subsidiary to cover damages and response expenses.
Do individuals affected by this fire also have the right to take legal action?
Facts about the Eaton fire
The Eaton Fire burned 14,021 acres before its containment. All of that land was within Los Angeles County. At least 19 people died during the 24 days when the fire spread across the area, and more than 9,000 buildings were destroyed.
The alleged cause of the fire was potentially untrimmed trees making contact with electrical transmission lines. The investigation process so far has seen the removal of transmission towers from Eaton Canyon that may have contributed to the fire. Southern California Edison has announced a Wildfire Recovery Compensation Program, but details are not yet available.
Insurance companies are also under scrutiny based on how they responded to the fires. For example, the California Insurance Commissioner has begun investigating State Farm over allegations of claim delays and unfair denials of claims related to smoke contamination and hazardous materials.
What rights do homeowners have?
There are already multiple lawsuits underway, including lawsuits brought by local school districts and insurance companies. There are also many individual homeowners considering legal action.
Those affected by the fires may be able to participate in a mass tort brought against Southern California Edison for the negligent maintenance of infrastructure. Such lawsuits could potentially result in compensation for the long-term financial impact of the Eaton Fire.
Those battling with their insurance companies may also have the right to take legal action. State and federal laws allow for litigation in cases involving bad faith insurance practices, such as denying valid claims by policyholders, offering inappropriately low settlements or delaying claim payout.
Exploring the option of participating in a mass tort or an individual lawsuit could help homeowners and others impacted by the Eaton fire recover their losses. Successful litigation could help people offset their losses and rebuild their lives after this devastating, preventable fire.