CACI No. 3903G. Loss of Use of Real Property (Economic Damage)

Judicial Council of California Civil Jury Instructions (2024 edition)

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3903G . Loss of Use of Real Property (Economic Damage)

[ Insert number , e.g., “7.” ] The loss of use of [ name of plaintiff ]’ s [ insert

identification of r eal pr operty ].

T o recover damages for the loss of use, [ name of plaintiff ] must prove [the

reasonable cost to r ent similar pr operty for the time when

[he/she/ nonbinary pr onoun /it] could not use [his/her/ nonbinary pr onoun /its]

own property/ [or] the benefits obtained by [ name of defendant ] because

of [his/her/ nonbinary pr onoun /its] wrongful occupation]. [If ther e is

evidence of both, [ name of plaintiff ] is entitled to the greater of the two

[Benefits obtained may include [ name of defendant ]’ s profits if they ar e

directly linked to the wr ongful occupation.]

New September 2003; Revised April 2008

Directions for Use

Use this instruction along with CACI No. 3903F , Damage to Real Property

(Economic Damage) . Include the optional last paragraph if plaintif f claims that the

measure of damages is the benefits obtained by the defendant and that these include

the defendant’ s profits obtained because of the tortious conduct.

This instruction may be used if the general measure of damages under CACI No.

3903F will be the cost of repair rather than diminution in value. (See Erlich v .

Menezes (1999) 21 Cal.4th 543, 555 [87 Cal.Rptr .2d 886, 981 P .2d 978].)

If the jury determines that the cost of repair is not reasonable, it is not clear whether

loss-of-use damages are recoverable. The rule has been that when real property has

been damaged so that it cannot be restored, damages for loss of use may not be

recovered. ( Ferrar o v . Southern California Gas Co. (1980) 102 Cal.App.3d 33,

50-51 [162 Cal.Rptr . 238].) But in 1992, the Legislature amended Civil Code

section 3334 to allow for “benefits obtained” as an alternative to rental value as a

measure of damages for loss of use. The legislative intent was to deter polluters

from dumping toxic material on land of little value. (See Starrh & Starr h Cotton

Gr owers v . Aera Ener gy LLC (2007) 153 Cal.App.4th 583, 603 [63 Cal.Rptr .3d

165].) In Starrh & Starr h Cotton Gr owers, the court indicated that it was extremely

unlikely in that case that the cost of repair could be considered to be reasonable, but

also allowed the jury to consider awarding the defendant’ s profits as “benefits

obtained.” ( Id. at pp. 598-606.) The court did not limit the jury’ s right to award

profits as damages only if it found the cost of repair to be reasonable. And it seems

that if the court believed there was such a limitation, it would have expressly said

so. The legislative objective would not be achieved if one could pollute land to the

point that it could not reasonably be restored and also not be required to pay for the

benefits obtained. Therefore, it seems most likely that this limitation on loss-of-use

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damages no longer applies in light of the 1992 amendment and its legislative

This instruction is not intended for cases in which the plaintif f is a landlord seeking

to recover compensation for lost rents. A more appropriate instruction for that

situation is CACI No. 3903N, Lost Pr ofits (Economic Damage) .

Sources and Authority

• Damages for Wrongful Occupation of Real Property . Civil Code section 3334.

• “[T]he general measure of damages where injury to property is capable of being

repaired is the reasonable cost of repair together with the value of lost use

during the period of injury .” ( Erlich, supra, 21 Cal.4th at p.555, internal citation

• “There is no question that when cost of restoration is the correct measure of

damages for injury to real property , compensation for loss of use . . . would be

appropriate.” ( Ferrar o, supra, 102 Cal.App.3d at p 51.)

• “There is nothing in Civil Code section 3334 or its legislative history to suggest

that the phrase ‘benefits obtained’ should be read narrowly . T o the contrary , the

intent of the Legislature was to eliminate any economic incentive to trespass as a

means of waste disposal. (Sen. Com. on Judiciary , com. on Assem. Bill No.

2663 (1991-1992 Reg. Sess.) for June 23, 1992, hearing, p. 2.) If the Legislature

had wanted to limit the phrase ‘benefits obtained’ to costs avoided, it could

easily have done so. [¶] Further , this interpretation is consistent with the

fundamental rule that the prime consideration in interpreting a statute is to

achieve the objective of the statute. As we have indicated, the evil to be

prevented by the 1992 amendments is identified in the legislative history - to

prevent any economic advantage for polluters resulting from the wrongful

dumping on another ’ s land.” ( Starrh & Starrh Cotton Gr owers, supra, 153

Cal.App.4th at p. 604, original italics, internal citation omitted,)

• “T rial courts in trespass actions have historically been given great flexibility to

award damages that fit the particular facts of the case. [Defendant] has admitted

that it chose the challenged method for disposing of produced water because it

was the least expensive alternative and maximized its profits. In light of these

factors, we conclude that the term ‘benefits obtained’ may include profits

enjoyed by [defendant] that are directly linked to the wrongful trespass.” ( Starrh

& Starrh Cotton Gr owers, supra, 153 Cal.App.4th at p. 604, internal citations

• Restatement Second of T orts section 931 provides:

If one is entitled to a judgment for the detention of, or for preventing the use of,

land or chattels, the damages include compensation for

(a) the value of the use during the period of detention or prevention

or the value of the use of or the amount paid for a substitute, and

(b) harm to the subject matter or other harm of which the detention

CACI No. 3903G DAMAGES

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is the legal cause.

Secondary Sources

6 W itkin, Summary of California Law (1 1th ed. 2017) T orts, § 1913

California Real Property Remedies Practice (Cont.Ed.Bar) Damages for Injury to

Real Property , § 1 1.5

4 Levy et al., California T orts, Ch. 52, Medical Expenses and Economic Loss ,

§ 52.36 (Matthew Bender)

15 California Forms of Pleading and Practice, Ch. 177, Damages , § 177.44

(Matthew Bender)

California Civil Practice: T orts § 5:19 (Thomson Reuters)

DAMAGES CACI No. 3903G

Page last reviewed May 2024

Kathryn Robb

Kathryn Robb, National Director of the Children’s Justice Campaign at Enough Abuse, discusses Vice President Kamala Harris’s unusual mention of child sexual abuse during her Democratic National Convention speech and its broader implications for addressing this issue in America.

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