Legal Question in Civil Litigation in California

On January 24, 2008 a propane company had let my house propane tank run dry. This was a breach of my contract with them, in that they were to maintain and top off my tank each month which would prevent it from ever running dry. (They were about a week late on this occasion). They came out the next day and filled my tank. Due to the tank having ran dry the propane company was obligated to "bleed" the gas lines of air prior to re-igniting all the appliances, including the water heater. They were also obligated to check all lines and fittings for any leaks prior to leaving the location. This was "evidently" done and then they left.

Three days later my house was totally destroyed in a fire which started at the water heater, at the gas fitting where the lines would have been bled by the company tech! On the day of the fire, and several subsequent occasions, I notified the propane company of the fire and the total loss of my home. I also advised them that their propane tank (and it's near-full content of propane....about 90% of what they had delivered) was still at the burn site. Of course they denied any responsibility for the fire, but that's another story which is still in limbo.

I had no intention of re-building at that site. I had relocated but soon received a bill from the propane company for the 'total amount of propane' they had delivered. I immediately called them and told them that I would pay for the amount of propane I had "possibly" used in the three days prior to the fire but they can retrieve their tank and the remaining propane. They advised me that they do NOT credit the amount of propane left in any tank retrieved by their company. I told them that I would not accept this and again told them that I will pay for whatever amount was "used" in those three days.

Nothing more was said and then about a month later the tank was suddenly gone. I had not been notified by the company prior to the tank's removal or given a chance to have the propane removed from the tank. Nevertheless, another bill was sent by the propane company demanding the total amount. I again called them. They acknowleged that they had retrieved the tank and that it was nearly full of propane but again stated that they would not credit the amount of propane and that I owed them the full amount. I repeated my offer but they refused, as did I.

As of this date (9-13-09) I had not heard anything more from the company but I just found that the propane company had filed a mechanical lien on my new home for the total amount of propane delivered.

How would you suggest I handle this?


Asked on 9/13/09, 9:25 am

1 Answer from Attorneys

Just to be clear, did the propane company file a mechanics lien on the new construction for the propane delivered to the old location? If so, it sounds like you have a slander of title and possibly an abuse of process action against the propane company. I would start, however, with a complaint to the PUC. Also, have you tendered the propane company's claim to your fire insurance carrier? The non-refundable loss of the propane may be part of your covered loss for the fire.

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Answered on 9/14/09, 2:43 am


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