Edison International and subsidiary face lawsuits over California wildfires

Investing.com -- On Wednesday, the County of Los Angeles and City of Pasadena, along with several other public entities, lodged lawsuits against Edison International (NYSE:EIX) and its subsidiary Southern California Edison (SCE). The lawsuits allege the company’s involvement in sparking one of California’s most severe wildfires.

The Eaton (NYSE:ETN) fire, a major blaze that started in early January in the foothills east of Los Angeles, burned over 14,000 acres, almost the size of Manhattan, and resulted in numerous deaths. The official cause of the major fires, including the Eaton fire, has not yet been disclosed by authorities.

Public entities involved in the lawsuits include the Los Angeles County Flood Control District, the Consolidated Fire Protection District of Los Angeles County, the City of Pasadena, and the City of Sierra Madre. The suits aim to secure compensation for damages to public resources and infrastructure caused by the fire.

Ed Diab, a founding partner of Diab Chambers who represents the public entities, stated, "The lawsuits seek to hold Southern California Edison responsible for this devastating fire and recover the critical infrastructure and taxpayer resources that the fire destroyed."

The lawsuits, similar to others the utility company has faced, cite eyewitness accounts and images showing a fire at the base of a transmission tower owned by SCE before the flames were rapidly spread by strong wind gusts.

Edison International’s shares have dropped nearly 30% since the fires began. The company has not yet responded to requests for comment.

The lawsuits indicate that while the extent of damages and losses from the Eaton Fire and its aftermath are still under evaluation, they are projected to be at least hundreds of millions of dollars.

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