Settlement Amount:
$9,000,000
The settlement included satisfaction of the medical lien, medical
trust funds, educational funds during the period of time in which
the minor will achieve the ages of 19, 20 and 21. (Monthly money
fund cash payments approximating $9 million of tax free periodic
payments.)

Case Name:
LOFIETT GAMBRELL, A MINOR v. CHEVRON USA, INC., STANDARD
OIL OF CALIFORNIA, MICHAEL EARL HAGGERTY, ANGELIA WALKER AND
WINSTON GAMBLE

Case Number:
Los Angeles Superior Court Case No. C 295809

Plaintiff:
Lofiett Gambrell, a minor

Defendants:
Chevron USA, Inc.; Standard Oil of California, Michael
Earl Haggerty, Angelia Walker, Winston Gamble

Facts and Background:
On August 9, 1979, Lofiett Gambrell was present on the premises
of Winston Gamble’s Chevron Station located at 481 Manchester
Avenue in the Watts section of Los Angeles, California. At
approximately 5:30 p.m., Winston Gamble, the lessee of the
Chevron station and Michael Haggerty and Angelia Walker,
employees of the Gamble station, were present at the premises.
Defendant Walker was completing filling an automobile with
gasoline and turned toward the 14-year old Gambrell, soaking his
entire clothing with gasoline. Defendant Walker stated, "we’ll
fix your ass." Defendant Haggarty took matches from his pocket
and began laughing, striking and throwing lit matches at the boy.
One of the three or four matches thrown ignited the boy’s
clothing and he became a ball of flame. Lofiett Gambrell fell to
the ground, trying to put the fire out on his body. Haggarty
began rolling the boy around on the ground trying to put the fire
out as well. A bystander, Hazel Stanley, ran over and threw water
on the boy, putting the fire out.

The plaintiff was taken by ambulance to the Emergency Room at
Torrance Memorial Hospital and was admitted to the Burn Unit in
critical condition and remained there for approximately two
months. He received treatment and underwent numerous surgeries
for third degree burns over large portions of his body and
inhalation injuries.

When Lofiett was released from the hospital, he spent an extended
period of time at Rancho Los Amigos Rehabilitation Center.

Plaintiff’s Contentions:
The gas station on which the injuries occurred was leased to
Winston Gamble by Chevron, Inc. Therefore, the pivotal issue
concerning liability addressed itself to the lessor’s liability
for negligent or intentional acts of the lessee or the lessee’s
employees. Plaintiff contended that Chevron and Standard Oil were
liable for negligently leasing the premises to Winston Gamble and
the negligent supervision of the lessee by Standard and Chevron
in regard to safety on the premises. Other factors were also
the basis of plaintiff’s contentions.

Defendant’s Contentions:
The insurance carriers for the defendants filed a declaratory
relief action contending that there was no coverage under the
terms of the insurance policy because the actions giving rise to
the injury were engaged in with "intent to cause bodily injury or
property damage" and were therefore excluded under those sections
of the insurance policy which excluded coverage for any
intentional acts resulting in personal injury. The insurance
carrier further contended in the declaratory relief action that
there was no responsibility for actions seeking punitive damage
recovery.

Damages:
Plaintiff suffered third degree burns over 30% of his body.