LOS ANGELES, CA — Businessman and philanthropist Austin Beutner Tuesday announced he has filed a lawsuit against Chubb, alleging the insurer failed to property investigate, pay for and remediate extensive toxic contamination of the family's Pacific Palisades home in the aftermath of the January 2025 fires.
Beutner said that his case is one of many, in which families are being misled and allowed back into their fire-damaged or contaminated homes. He warned that failure to properly address and remediate properties can lead to a public health crisis.
On Monday, attorneys for Beutner and his wife, Virgina, filed a lawsuit in Los Angeles County Superior Court against their insurer, Chubb, as well as the insurer's subsidiary, Bankers Standard Insurance Company, which had issued the family's policy, and two environmental consulting firms Chubb hired.
Beutner and his family are being represented by the Texas-based Raizner Lee Law Firm, whose attorneys tout successful claims against the largest insurance companies in the world on both residential and commercial property insurance cases, according to firm's website.
A representative for Chubb did not immediately respond to a request for comment.
In their lawsuit, the Beutner family alleged Chubb breached their contract and of professional negligence for refusing to pay for a full cleanup of lead and other toxins. The family is seeking to compel Chubb to honor their insurance policy, follow California state laws and restore their property to its pre-fire condition.
According to the lawsuit, three independent environmental consulting firms retained by the family - APEX, AAA, and AIS - found extraordinarily high levels of the suite of heavy metals commonly referred to as CAM 17, as well as lithium, throughout the property.
Reports cited in the demand identified lead levels of 9,574 micrograms per square foot in wall cavities, nearly 1,000 times the level California deems safe on the floor of a residence. Investigators concluded that the contamination was caused by the fire and that the home is not safe for occupancy and must "be taken to the studs and rebuilt."
"This is about more than just my family. Tens of thousands of people are being exposed to toxins, including known carcinogens, because insurance companies like Chubb are trying to keep the problem under wraps until the statute of limitations for claims by some policyholders expires," Beutner said in a statement.
The family further alleged that Chubb did not adhere to state laws, which requires comprehensive testing for known by-products of an urban wildfire, such as CAM17, metals and lithium, and did not test concealed spaces such as attics and wall cavities.
Additionally, the family alleged that Chubb knowingly relied on consultants who either lacked the qualifications to assess human health risk or performed no independent testing for contaminants.
The Beutners also allege Chubb proposed a series of inadequate remediation plans: first cleaning only visible surfaces; then refinishing interior surfaces while later proposing to remediate only about half the rooms despite documented contamination throughout the home.
Despite acknowledging the damage, Chubb refuses to do anything to fix the roof or exterior of the property, claiming, "it is not habitable space, according to the family.
For Beutner, the case raises broader concerns for thousands of residents returning to homes that remained standing after the fires,. Smoke, ash, soot, and combustion by-products including lead, lithium, and other hazardous substances from fires can be carried into living spaces and concealed building cavities.
Beutner contends that meaningful testing, a scientifically supported remediation plan, and post-remediation clearance testing are necessary before a contaminated home can safely be occupied.
"Elected officials, at the local, and state levels, should mandate comprehensive testing of all affected buildings, including tests for CAM 17 metals and lithium, and ensure proper remediation is conducted if any contaminants are found," Beutner said in a statement. "All of this should be paid for by the insurance companies. California law requires them to properly assess the damage, including testing for CAM17 metals and lithium, and fix any problems that are found."
Beutner was the younger partner at Blackstone Group, and then later co- founded the investment bank Evercore. In 2010, then-L.A. Mayor Antonio Villaraigosa appointed Beutner as the first deputy mayor of Los Angeles, with oversight of 12 city agencies. In 2014, Beutner became publisher and CEO of the Los Angeles Times.
In 2018, the LAUSD Board of Education named Beutner as LAUSD superintendent. He later stepped down in 2021.
Beutner had run for L.A. mayor earlier this year, but withdrew following the death of his daughter.
City News Service
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