Oregon Appellate Ruling Could Jeopardize $1B in Wildfire Victim Damages

The court found a jury instruction error in a case against utility PacifiCorp over the devastating 2020 Oregon wildfires.

Apr. 8, 2026 at 11:22pm

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A photorealistic studio still-life image featuring a stack of legal documents, a gavel, and a burnt matchstick on a clean, monochromatic background, conceptually representing the complex legal battles and financial impacts surrounding the Oregon wildfire case.The legal aftermath of the devastating 2020 Oregon wildfires continues, as a court ruling could jeopardize over $1 billion in damages awarded to victims.Gates Today

An Oregon appeals court has sided with utility company PacifiCorp in a ruling that could jeopardize over $1 billion in damages awarded to victims of the state's devastating 2020 wildfires. The court found that a jury instruction given during a 2023 trial was legally erroneous, and has sent the class-action case back to a lower court for further proceedings.

Why it matters

The 2020 Labor Day weekend fires in Oregon were among the worst natural disasters in the state's history, killing 11 people and destroying thousands of homes. The appeals court ruling could significantly impact the ability of wildfire victims to recover damages from PacifiCorp, which has been found liable for negligently failing to cut power despite warnings from fire officials.

The details

The Oregon Court of Appeals ruled that the trial court erred in instructing the jury that evidence presented at trial regarding four different wildfires could be applied to all class members. The judges noted that the class included owners of over 2,000 parcels of property damaged by fires that were 'separated by well over a hundred miles.' The court found this instruction was 'legally erroneous' and 'prejudicial to PacifiCorp.'

  • The 2020 Labor Day weekend fires occurred in September 2020.
  • A 2023 trial found PacifiCorp liable and ordered it to pay over $1 billion in damages to a class of property owners.
  • The Oregon Court of Appeals issued its ruling on April 8, 2026, sending the case back to a lower court.

The players

PacifiCorp

A utility company that was found liable for negligently failing to cut power despite warnings from fire officials, leading to the devastating 2020 Oregon wildfires.

Oregon Court of Appeals

The state appellate court that ruled the jury instruction in the PacifiCorp case was legally erroneous, reversing the lower court's decision and sending the case back for further proceedings.

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What they’re saying

“There are no winners in wildfire; however, the Court's decision supports PacifiCorp's longstanding belief that this process was prejudicial and not appropriate for managing wildfire litigation.”

— PacifiCorp

“In fact, the Court rejected PacifiCorp's efforts to win this appeal on the merits. Instead, what the court addressed was a single jury instruction, charting several paths forward — including fixing that instruction and trying the case again.”

— Lead counsel for the plaintiffs

What’s next

More than 1,000 class members have cases set for trial in 2026 and 2027, and it remains unclear how the case will move forward following the appellate court's ruling.

The takeaway

This case highlights the ongoing legal battles between utility companies and wildfire victims, as well as the challenges in managing large-scale class-action lawsuits stemming from natural disasters. The appeals court's decision could significantly impact the ability of Oregon wildfire victims to recover damages, underscoring the complex and high-stakes nature of these types of cases.