Lender & Successor Liability for Hazardous Waste Cleanup (State Legislative Report (Denver, Colo.)) by Suzanne Pysher

Cover of: Lender & Successor Liability for Hazardous Waste Cleanup (State Legislative Report (Denver, Colo.)) | Suzanne Pysher

Published by National Conference of State Legislatures .

Written in English

Read online


  • Environmental,
  • Legal Reference / Law Profession

Book details

The Physical Object
Number of Pages18
ID Numbers
Open LibraryOL12022834M
ISBN 101555163831
ISBN 109781555163839

Download Lender & Successor Liability for Hazardous Waste Cleanup (State Legislative Report (Denver, Colo.))

Sation and Liability Act of (CERCLA)' to stem the menace of aban-doned hazardous waste sites. CERCLA creates legal and administrative procedures for the prevention and cleanup of hazardous chemical releases, and provides a fund (the "Superfund") to finance cleanup costs.' CongressAuthor: Kathleen Paravola.

Hazardous Waste Cleanup, Liability, and Litigation A Comprehensive Guide to Superfund Law. by Valerie M. Fogleman. This practical and comprehensive guide to Superfund law examines the EPA's program for cleaning up sites contaminated by hazardous waste, the Agency's enforcement and settlement procedures, Superfund litigation, notification and reporting requirements.

Get this from a library. Avoiding liability for hazardous waste: RCRA, CERCLA, and related corporate law issues. [Jeffrey C Fort; Susan M Franzetti; Lynda L Brothers; Bureau of National Affairs (Arlington, Va.)] -- " provides a thorough overview of the two statutory and regulatory systems through which federal law imposes substantial responsibilities relating to the management of.

For a more balanced discussion of the issue, see Note, When a Security Becomes a Liability: Claims Against Lenders in Hazardous Waste Cleanup, 38 HASTINGSL.J.

The U.S. District Court for the District of Delaware recently applied common law principles to decide whether "successor" corporations were liable under CERCLA for acts.

Process for Cleanup of Hazardous Waste Sites In March ofan innovative, citizen-mandated toxic waste cleanup law went into effect in Washington, changing the way hazardous waste sites in this state are cleaned up.

Passed by voters as Initiat this law is known as the Model Toxics Control Act, chapter D RCW. Under section (e) of CERCLA, EPA is authorized to seek information involving sites containing hazardous substances. Early in the cleanup process, EPA conducts a search to find all of the PRPs.

EPA looks for evidence to determine liability by matching wastes found at the site with parties that may have contributed wastes to the site. The liability protections are intended to promote the cleanup and redevelopment of blighted contaminated properties. The law establishes a process for eligible property owners to obtain immunities, conduct a site assessment, and implement a response action as necessary, to ensure that the property can be reused or redeveloped.

• CERCLA hazardous substances versus RCRA solid/hazardousCERCLA hazardous substances versus RCRA solid/hazardous waste • Past owner/operators • Response cost recoveryResponse cost recovery • Injunctive relief • Liability threshholds • ARARs • Off-site Disposal • Implementation of cleanup (owner/operator v.

PRPs) Water Act (33 U.S.C. § et seq.), the Federal Clean Air Act (42 U.S.C. § et seq.), and any and all applicable California and/or Federal statutes, laws and regulations regarding Hazardous Materials, as amended or restated from time to time including any successor thereto, and any regulations promulgated pursuant thereto “Environmental Proceedings” means any proceedings, hearings or.

cleanup plans approved by ADEM are subject to public participation and comment. See ADEM Admin. Code. A major advantage of participation in the Brownfields Program is the liability protections for contamination occurring prior to purchase and cleanup if cleanup is completed with ADEM oversight.

See ADEM Admin. Code. Avoiding liability for hazardous waste: RCRA, CERCLA, and related corporate law issues. and regulatory systems through which federal law imposes substantial responsibilities relating to the management of hazardous waste and the cleanup of contaminated sites.

Compensation, and Liability Act -- Liability of officers and employees. environmental liability for secured creditors for the cleanup of contaminated property.

The following questions and answers focus on conditional liability protections from “owner or operator” liability under CERCLA. This document supersedes the April “CERCLA Lender Liability.

that the state has stricter laws governing lender liability for contaminated properties. Exterior of the former Construction Machinery Company site. An EPA Hazardous Substance Cleanup Grant helped address contamination at this site, where buildings were neglected after the company closed in the s.

Further information. gency cleanup of a hazardous waste spill or leak How-ever, the use of these funds is restricted to containing, ing successor liability in hazardous waste cases lies in the wealth of case law concerning common-law nuisances The following analysis surveys the law on this topic across the United States.

Specific attention is then. transportation of a hazardous substance to the site from which the release has occurred or may occur; or 4. Any person who transported a hazardous substance to a site from which a release or threatened release occurs. There is strict, joint and several liability among the responsible parties.

This means that cleanup liability is imposed on. corporations, lenders and insurers require scrutiny to see the legal landscape we live in.

The reason for the review of case law is that the statutes are given life by their interpretation by the courts; the current state of liability derives from the hazardous waste legislation and legal precedent. Finding a Qualified Hazardous Waste Removal Company. It is important that your hazardous waste vendor is licensed and reputable and has experience in the hazardous waste removal process.

Hiring the right company helps avoid additional liability. Improper disposal and management of the hazardous waste removal process on your property could lead. Government recovery of cost of hazardous waste removal under Comprehensive Environmental Response, Compensation, and Liability Act (42 U.S.C.A.

§§ et seq.). 86 A.L.R. Fed. 2d (Originally published in ). LENDER LIABILITY FOR HAZARDOUS WASTE endangerment"12 to public health exists, the government has two op­ tions. It may conduct the cleanup itself and seek reimbursement from "responsible parties,"13 or seek to have the responsible parties under­ take the remedial action.

14 Potentially responsible parties may be lia­. Environmental Liability (see also CERCLA, Lender Liability and Superfund) The Impact of "Superfund" and Other Environmental Statutes on Commercial Lending and Investment Activities Margaret Murphy, 41(4): –63 (Aug. ) Recent developments in environmental law could profoundly affect commercial financing transactions and other investment activities.

Compensation, and Liability Act (CERCLA or Superfund) 1 has been a prim ary force in shaping these agenda. CERCLA, through a scheme of strict, joint and several liability,2 strives to "cleanup" hazardous waste sites while placing the costs of such remedial efforts on.

The suit alleged that T N was liable, pursuant to {section} (a) of the Comprehensive Environmental Response, Compensation and Liability Act of (CERCLA), 42 U.S.C. {section}for costs incurred by the EPA in responding to a release or threatened release of a hazardous substance at a waste disposal site in Ambler, Pennsylvania.

Lender Liability. With respect to lender liability for property where there is a release, MERLA provides that a mortgagee is not a responsible party solely because the mortgagee becomes an owner of real property through foreclosure or by receipt of the deed to the mortgaged property in lieu of foreclosure.

Minn. Stat. § B, subd. 6(a). Lenders had initially believed that their liability concerns were addressed in a EPA regulation that defined the framework for lender liability. Much to their dismay, lenders were once again in a state of limbo after a federal Circuit Court vacated EPA’s “lender liability rule” in Uncertain of environmental liability risks, lenders.

Monsanto Co., F.2d(4th Cir. ) ("The plain language of section (a)(2) extends liability to owners of waste facilities regardless of their degree of participation in the subsequent disposal of hazardous waste.") Courts have extended owner liability to include tenants that have control over the site.

U.S. In addition to funding hazardous waste reduction and minimization activities, the fees also must be used to enforce the bans set forth in Section (4), (5), and (6). HISTORY: Act No. Section 4; Act No. Part II Section 18C. SECTION Hazardous Waste Contingency Fund: reports, fees, and administration of fund.

MYTH 2: Leasing on a contaminated property always leads to lender liability. In the early s, the concern that lenders would become liable for contaminated property in which they held security interests crippled commercial lending in some business sectors.

Congress has since created a safe harbor from federal cleanup liability for secured. By way of background, courts have long held that The Comprehensive Environmental Response, Compensation and Liability Act (CERCLA) is a remedial environmental statute that should be interpreted broadly to place the cost of swift and effective response to hazardous waste sites on those responsible for creating or maintaining the hazardous condition.

(e) Limited liabilityLiability under the provisions of section shall not apply to municipal waste transporters for that portion of municipal waste which is defined as household hazardous waste under section of the act of J (P.L, No), known as the Municipal Waste Planning, Recycling and Waste Reduction Act, and.

Four broad categories of PRPs may be liable for hazardous waste site cleanup costs: * A successor corporation through merger or consolidation. The defaulting borrower not only may be liable for a past-due note but also contingently liable for an environmental cleanup; the lender is essentially left with an unsecured loan in default.

The interplay between environmental laws such as CERCLA and the US Bankruptcy Code (the “Code”) is complex because the laws have opposing goals. The Code is designed to give companies a “fresh start” while environmental laws often look backwards under their “polluter must pay” framework.

Thus, if environmental issues are not adequately addressed in a Bankruptcy and. The most recent decision in Flake er-Bridgeport Int’l, Inc., U.S. Dist. LEXIS (M.D. Tenn., Mar. 23, ) is just another chapter in this long-running environmental saga involving a successor liability, bankruptcy, toxic tort and environmental justice issues along with a piece of American automotive well-traveled case began in a Tennessee county court in 1.

Lender exemption. (a) For purposes of this title no lender shall incur any liability from any statutory claims of the state as an owner or operator of a site, or a person responsible for the disposal of a hazardous waste at such site, provided such lender, without participating in the management of such site, holds indicia of ownership primarily to protect the lender's security interest in.

doned hazardous waste sites, Congress enacted the Comprehensive Environmental Response, Compensation, and Liability Act in CERCLA provided a five-year, $ billion Superfund program to subsidize the cleanup of hazardous waste sites that pose an immediate danger to the public health or the environment.'".

Section of Title 42 of the United States Code provides that CERCLA liability attaches to four classes of persons with some limits. A current owner or operator of a facility and a person who owned or operated the facility at the time a hazardous waste was disposed of is liable for clean up.

This article traces the development of lender liability for hazardous waste cleanup costs under the Comprehensive Environmental Response, Compensation, and Liability Act of (CERCLA) as amended by the Superfund Amendments and reauthorization Act of (SARA).

The major issues faced by lenders under CERCLA are the extent to which a secured. Lender Liability for a Borrower's Unpaid Payroll Taxes Larry A. Makel and James C. Chadwick, 43(2): –48 (Feb. ) The time for a lender to take steps to protect itself against personal liability for a borrower's payroll taxes is not after the Internal Revenue Service is pursuing the lender because the borrower has gone bankrupt.

24, articles and books. Periodicals we believe that the imposition of cleanup liability on lenders is counterproductive to long-term environmental goals and we support the objectives of H.R. and S to limit lender liability for cleanup costs under CERCLA. Lending institutions are at risk for hazardous waste liability.

and operators of hazardous waste sites to liability for clean-up costs. 5 A purchaser must now consider environmental waste problems from the outset in order to avoid liability under CERCLA.

6 In view of the potential costs imposed by CERCLA, this Com-ment first addresses corporate successor liability in general, and then. nected to the waste. Ultimately, in imposing clean up liability "the issue is one of fundamental fairness.

" 2 7 2. The Common Law Approach Under the common law, a rule developed that in an asset purchase a successor corporation was not liable for the actions of its predecessor.2 An. In some circumstances, even abandoning the property may not relieve the bankruptcy estate from liability for cleanup costs.

See Drabkin, Moorman, and Kirsch, Bankruptcy and the Cleanup of Hazardous Waste: Caveat Creditor, 15 ELR().

8. U.S.16 ELR (). 9. Id. at16 ELR at 42 U.S.C. § (C) The department shall charge for and retain all monies collected as oversight costs. The South Carolina Hazardous Waste Contingency Fund must be reimbursed for any funds expended from this fund pursuant to Section (D) Public participation procedures for a voluntary cleanup contract entered into by a responsible party shall follow the.private parties to contractually allocate hazardous waste liability.

See e.g., Mardan, F2d at ; Jones-Hamilton Co. v. Beazer Materials & Services, Inc., F2d (9th Cir ). • Oregon trial courts will enforce contracts that unambiguously allocate hazardous waste cleanup.

The trial court in Perlatti enforced the Purchase Agreement.

70371 views Tuesday, November 24, 2020