Texas City Disaster - Legal Case

Legal Case

Hundreds of lawsuits were filed as a result of the disaster. Many of them were combined into Elizabeth Dalehite, et al. v. United States, under the recently enacted Federal Tort Claims Act (FTCA). On April 13, 1950, the district court found the United States responsible for a litany of negligent acts of omission and commission by 168 named agencies and their representatives in the manufacture, packaging, and labeling of ammonium nitrate, further compounded by errors in transport, storage, loading, fire prevention, and fire suppression, all of which led to the explosions and the subsequent carnage. On June 10, 1952, the U.S. Fifth Circuit Court of Appeals overturned this decision, finding that the United States maintained the right to exercise its own "discretion" in vital national matters. The Supreme Court affirmed that decision (346 U.S. 15, June 8, 1953), in a 4-to-3 opinion, noting that the district court had no jurisdiction under the federal statute to find the U.S. government liable for "negligent planning decisions" which were properly delegated to various departments and agencies. In short, the FTCA clearly exempts "failure to exercise or perform a discretionary function or duty", and the court found that all of the alleged acts in this case were discretionary in nature.

In its dissent, the three justices argued that, under the FTCA, "Congress has defined the tort liability of the government as analogous to that of a private person," i.e., when carrying out duties unrelated to governing. In this case, "a policy adopted in the exercise of an immune discretion was carried out carelessly by those in charge of detail," and that a private person would certainly be held liable for such acts. It should also be noted that a private person is held to a higher standard of care when carrying out "inherently dangerous" acts such as transportation and storage of explosives.

According to Melvin Belli in his book Ready for the Plaintiff! (1965), Congress acted to provide some compensation after the courts refused to do so. The Dalehite decision was eventually "appealed" to Congress, where relief was granted by means of legislation (Public Law 378, 69 Stat. 707 (1955)). When the last claim had been processed in 1957, 1,394 awards, totaling nearly $17,000,000, had been made.