North Carolina § 106-702 - Limitations on private nuisance actions against agricultural and forestry operations.

§ 106-702. Limitations on private nuisance actions against agricultural and forestry operations.

The compensatory damages that may be awarded to a plaintiff for a private nuisance action where the alleged nuisance emanated from an agricultural or forestry operation shall be as follows: If the nuisance is a permanent nuisance, compensatory damages shall be measured by the reduction in the fair market value of the plaintiff's property caused by the nuisance, but not to exceed the fair market value of the property. If the nuisance is a temporary nuisance, compensatory damages shall be limited to the diminution of the fair rental value of the plaintiff's property caused by the nuisance. A plaintiff may not recover punitive damages for a private nuisance action where the alleged nuisance emanated from an agricultural or forestry operation that has not been subject to a criminal conviction or a civil enforcement action taken by a State or federal environmental regulatory agency pursuant to a notice of violation for the conduct alleged to be the source of the nuisance within the three years prior to the first act on which the nuisance action is based. If any plaintiff or plaintiff's successor in interest brings a subsequent private nuisance action against any agricultural or forestry operation, the combined recovery from all such actions shall not exceed the fair market value of the property at issue. This limitation applies regardless of whether the subsequent action or actions were brought against a different defendant than the preceding action or actions. This Article applies to any private nuisance claim brought against any party based on that party's contractual or business relationship with an agricultural or forestry operation. This Article does not apply to any cause of action brought against an agricultural or forestry operation for negligence, trespass, personal injury, strict liability, or other cause of action for tort liability other than nuisance, nor does this Article prohibit or limit any request for injunctive relief that is otherwise available. History (2017-11, s. 1; 2018-113, s. 10(b); 2018-142, s. 14.) Editor's Note. - Session Laws 2017-11, s. 2(a), made this section effective May 11, 2017, and applicable to causes of action commenced or brought on or after that date. Session Laws 2017-11, s. 2(b), is a severability clause. Session Laws 2018-113, s. 10(c), made the amendment of this section by Session Laws 2018-113, s. 10(b), effective June 27, 2018, and applicable to causes of action commenced on or after that date. Session Laws 2018-113 provides in its preamble: "Whereas, frivolous nuisance lawsuits threaten the very existence of farming in North Carolina; and "Whereas, in response to the long-standing threat to agriculture, in 1979 the General Assembly enacted the State's first effort to statutorily protect the ability of farms and forestry operations to continue to operate as surrounding development encroached; and "Whereas, following the 1979 enactment, at least three succeeding General Assemblies in 1992, 2013, and 2017 tried to perfect a statutory framework that broadly fosters a cooperative relationship between farms and forestry operations and their neighbors across North Carolina; and "Whereas, recently a federal trial court incorrectly and narrowly interpreted the North Carolina Right to Farm Act in a way that contradicts the intent of the General Assembly and effectively renders the Act toothless in offering meaningful protection to long-established North Carolina farms and forestry operations; and "Whereas, regrettably, the General Assembly is again forced to make plain its intent that existing farms and forestry operations in North Carolina that are operating in good faith be shielded from nuisance lawsuits filed long after the operations become established; Now, therefore," Sessions Laws 2018-113, s. 16(a), is a severability clause. Effect of Amendments. - Session Laws 2018-113, s. 10(b), added subsection (a1); and substituted "that is" for "or punitive damages that are" near the end of subsection (d). For effective date and applicability, see editor's note. Session Laws 2018-142, s. 14, effective December 15, 2018, in subsection (b), substituted "the property at issue" for "his or her property" following "fair market value"; and in subsection (c), substituted "applies" for "shall apply" following "This Article." §§ 106-703 through 106-705: Reserved for future codification purposes.