19 businesses, insurance company file lawsuit against ATC over substation fire

MADISON, Wis. — Nineteen Madison businesses and their insurance provider have filed a lawsuit against American Transmission Company for losses caused by an explosion and fire at an electrical substation in July 2019.

The lawsuit claims that ATC and its insurance provider failed to properly maintain an components of an electrical substation located on Blount Street, which caused the explosion and subsequent blackouts throughout the city.

According to the complaint, Society Insurance, the insurance company for the businesses, paid out $138,362.28 in claims following the incident, though the complaint does not specify how the businesses incurred the damages.

“ATC was negligent by its acts and omissions leading up to the explosion including, but not limited to, failing to maintain, inspect, repair, and/or keep Blount T4 in good condition,” the complaint reads. Blount T4 is the official name of the electrical substation where the explosion happened.

Madison Gas & Electric officials said the explosion and subsequent fires were caused by a piece of transmission equipment owned and operated by ATC.

Thousands of Madisonians were without power for hours on one of the hottest days of the summer.

The full complaint is available here.