A major insurance company has filed a lawsuit against an aircraft maintenance business and its owner, alleging negligence that led to a catastrophic crash. Berkshire Hathaway Homestate Companies filed the complaint in the Superior Court of California, County of Santa Clara, on July 22, 2024, naming Nik’s Aircraft, LLC and its owner Niknam Nickravesh as defendants.
The case centers around an incident involving a 1980 Piper PA-32R-301 Saratoga aircraft owned by Green Valley Construction. According to the complaint, Ryan Hogan, an employee of Green Valley Construction and the designated pilot representative for Berkshire Hathaway Homestate Companies, brought the aircraft to Reid-Hillview Airport in San Jose for routine maintenance and an annual inspection in March 2022. The maintenance was carried out by Nik’s Aircraft, LLC under the supervision of Niknam Nickravesh.
Berkshire Hathaway alleges that during this maintenance period, which included tasks such as engine overhaul and fuel pump replacement, Nik’s Aircraft conducted a ground engine test run at full throttle for 45-60 minutes. This extensive testing allegedly depleted the aircraft's fuel reserves to dangerously low levels. The plaintiff asserts that an aircraft cannot be deemed airworthy without adequate fuel and claims that this oversight was a substantial factor leading to the crash.
On July 22, 2022, Ryan Hogan attempted to take off in the newly serviced aircraft from Reid-Hillview Airport. Shortly after takeoff, the plane experienced a partial loss of power and crashed back to the ground. As a result of this crash, Hogan sustained significant injuries which led to substantial economic damages for Berkshire Hathaway due to workers' compensation benefits paid out on his behalf.
The complaint accuses Nik’s Aircraft and Nicknam Nickravesh of negligence under California Labor Code §§ 3852 et seq., asserting that their failure to ensure adequate fuel levels rendered the aircraft unairworthy and directly caused Hogan's injuries. Berkshire Hathaway claims it has already paid over $251,731.98 in workers' compensation benefits and anticipates further costs exceeding $500,000 due to ongoing medical expenses and disability benefits.
Berkshire Hathaway is seeking reimbursement for all workers' compensation benefits paid or expected to be paid on behalf of Ryan Hogan. They are also asking for additional payments made up until the satisfaction of judgment according to proof per Labor Code §3857. The plaintiff seeks recovery for all other expenditures in accordance with Labor Code §3862, court costs, prejudgment interest as allowed by law, and any other relief deemed proper by the court.
The case is being handled by attorney Johnathon La from Goldberg Segalla LLP. The presiding judge is yet unnamed but will be part of the Superior Court of California in Santa Clara County under Case No. 24CV443609.