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Aerospace contractor Northrop Grumman has agreed to pay $75 million to resolve a class action lawsuit (Behar v. Northrop Grumman Corporation, et al.) alleging that historical operations at its former Canoga Park, California facility contaminated local soil and groundwater with hazardous industrial solvents like TCE and PCE.
Aerospace defense contractor Northrop Grumman has agreed to pay $75 million to resolve a class action lawsuit alleging that historical industrial operations contaminated soil and groundwater across parts of Southern California. The deal offers current and former homeowners in designated areas of Canoga Park and Winnetka potential cash payouts ranging from $444 up to an estimated $21,110 per eligible home.
If you own or previously owned a single-family home or townhome in the affected neighborhood boundaries, you may be eligible to submit a claim for financial compensation before the upcoming October filing deadline.
The class action litigation stems from allegations that historical operations at a former industrial facility located at 8020 Deering Avenue in Canoga Park, California, introduced toxic industrial chemicals into the local soil and groundwater. According to court records in Behar v. Northrop Grumman Corporation, et al., the contamination included volatile organic compounds such as trichloroethylene (TCE) and perchloroethylene (PCE).
Plaintiffs in the lawsuit alleged that industrial chemical plumes migrated beneath surrounding residential neighborhoods, creating environmental hazards for nearby property owners. The suit contended that the presence of these toxic chemicals depressed local real estate values and created the need for specialized vapor-intrusion mitigation systems to keep indoor air safe.
Northrop Grumman Corporation and Northrop Grumman Systems Corporation deny all allegations of legal wrongdoing and liability. The company maintains that it is not responsible for the historical contamination, arguing that there is no evidence of lost property value or active health risks in the neighborhood. Both parties chose to negotiate the $75 million settlement agreement to avoid the expense, delay, and uncertainty of taking the case to trial.
Trichloroethylene (TCE) and perchloroethylene (PCE) are industrial solvents historically used in metal degreasing, aerospace manufacturing, and dry cleaning. When these volatile chemicals seep into soil and deep underground water reservoirs, they do not break down quickly. Over time, chemical plumes can spread beneath residential streets.
In severe cases, volatile organic compounds can undergo vapor intrusion—a process where subterranean chemical gases migrate upward through soil pores and pass through foundation cracks into residential basements and crawlspaces. When environmental releases lower local property values or require homeowners to install vapor barriers, affected residents have the right to seek financial recovery under civil law.
When large corporations leave environmental legacies that threaten neighborhood stability, class action lawsuits give everyday homeowners the collective power to demand accountability and recover compensation for lost property value.
The settlement establishes a $75 million cash fund to compensate qualifying property owners. Out of this total pool, court-approved administrative costs, attorneys’ fees, and representative service awards will be deducted before the remaining net settlement fund is distributed to class members.
The class area sits in the west San Fernando Valley and is divided into three distinct geographic sub-areas (A, B, and C). Estimated payouts per eligible home depend on location and ownership status:
Sub-Area A (Approximately 789 Homes): Allocated 40% of the net settlement fund. Current homeowners in Sub-Area A can receive an estimated payout of $21,110 per eligible home.
Sub-Area B (Approximately 727 Homes): Allocated 28% of the net settlement fund. Current homeowners in Sub-Area B can receive an estimated payout of $16,037 per eligible home.
Sub-Area C (Approximately 1,778 Homes): Allocated 32% of the net settlement fund. Current homeowners in Sub-Area C can receive an estimated payout of $7,494 per eligible home.
Former Homeowners: Former owners who owned an eligible home as of July 1, 2024, but sold it before August 11, 2026, can receive a flat payment of $444 per eligible home from a dedicated $100,000 sub-fund.
If a property has multiple co-owners, the settlement administrator will issue one payment per home, which co-owners must divide among themselves.
You may be eligible to receive a cash distribution from the Northrop Grumman settlement if you meet either of the following property ownership criteria:
Current Owners: You own a single-family home or townhome located within the mapped class boundary in Canoga Park or Winnetka as of August 11, 2026.
Former Owners: You owned a single-family home or townhome within the mapped class area as of July 1, 2024, but sold the property prior to August 11, 2026.
Because eligibility is determined by specific geographic map boundaries rather than general ZIP codes, homeowners can check their address directly on the official settlement website map to confirm inclusion.
To verify your claim, you must submit acceptable documentation proving your ownership status and relevant dates.
Required proof includes:
Official property deeds, tax assessment bills, or mortgage statements establishing ownership within the class area during the qualifying dates.
A valid Social Security number or Tax Identification Number (TIN).
If filing online, the Unique Class Member ID and PIN found on the official settlement notice mailed to your address.
Failure to provide valid ownership documentation before the submission deadline may result in a rejected claim.
If you qualify for compensation, keep these critical procedural dates and deadlines in mind:
Opt-Out or Objection Deadline: Class members wishing to exclude themselves from the settlement or object to its terms must postmark their paperwork by September 25, 2026.
Claim Form Deadline: All claim forms must be submitted online or postmarked no later than October 10, 2026.
Final Approval Hearing: U.S. District Judge Hernán D. Vera will hold a final fairness hearing on November 12, 2026, to decide whether to grant final court approval to the deal.
Payment Distribution: Cash checks will be mailed to approved claimants after the court grants final approval and any potential legal appeals are fully resolved.
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