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Appeal by Plaintiffs Plaintiffs appealed the district court's apportionment, but the Court of Appeals affirmed the district court's decision. In their holding,the Court of Appeals specifically held that the"liability cap on municipal liability is rationally related to the legitimate government objective of insuring fiscal stability to meet and carry out the manifold responsibilities of government."Thus,the tort cap is constitutional. The St. Paul Gas Explosion Case(In Re: Maria Avenue Natural Gas Explosion, 1999 WL 417345)(Minn.App. 1999) On July 22, 1993, a City of St. Paul public works crew was working at the corner of Third and Maria Avenue and struck a gas line. The city notified the gas company and began evacuating residents. Approximately 20 minutes later, an explosion occurred and three people were killed and several others were seriously injured. Additionally, several buildings were destroyed. The Plaintiff sued the city and argued that the statutory tort caps were unconstitutional. The city moved for summary judgment,which was granted by the district court. The Minnesota Court of Appeals affirmed the district court's grant of summary judgment to the city. The court held that the application of the "rational basis"test to the tort liability limits has a legitimate purpose of maintaining a municipality's fiscal integrity and that the legislature could have reasonably believed that the enactment of the liability caps would promote this legitimate purpose. The court also rejected Plaintiff's argument that the statutory tort limits were unconstitutional because the legislature had prospectively raised the caps during the course of the litigation. The court held that, `By simply adjusting the tort limits,the legislature has continued to examine the opposing policies of making victims of municipal torts whole while balancing the municipal fiscal integrity." Conclusion Your League Resource Notwithstanding these unique defenses(immunities)and tort damage caps available to cities, every city should Questions regarding this attempt to actively prevent and limit potential lawsuits by information? Contact Brian Gaviglio, utilizing loss control and risk management methods, and Litigation Management Attorney at should vigorously investigate and be prepared to defend (651)281-1200 or(800)925-1122. these cases when they arise. Brian Gaviglio 03/10 9