legal liability framework liability for environmental cleanup of contaminated properties under both...

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LEGAL LIABILITY FRAMEWORK Liability for environmental cleanup of contaminated properties under both CERCLA or MTCA falls on: 1. Current owners and operators without regard to fault; 2. Prior owners or operators but only if they owned or operated the site during the disposal or release of hazardous substances; 3. Transporters of hazardous substances who transport to a disposal facility; 4. Arrangers of transportation to a disposal facility; and 5. Generators of hazardous waste (MTCA only) In addition, depending on the circumstances, environmental liabilities may be imposed through common law claims such as nuisance, trespass and negligence. Parties are free to contractually allocate environmental liabilities in whatever way they wish. However:

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Page 1: LEGAL LIABILITY FRAMEWORK Liability for environmental cleanup of contaminated properties under both CERCLA or MTCA falls on: 1. Current owners and operators

LEGAL LIABILITY FRAMEWORK Liability for environmental cleanup of contaminated properties under both CERCLA or MTCA   falls on:

1. Current owners and operators without regard to fault;2. Prior owners or operators but only if they owned or operated the site during the disposal or release of hazardous substances;3. Transporters of hazardous substances who transport to a disposal facility;4. Arrangers of transportation to a disposal facility; and5. Generators of hazardous waste (MTCA only)

In addition, depending on the circumstances, environmental liabilities may beimposed through common law claims such as nuisance, trespass and negligence.

Parties are free to contractually allocate environmental liabilities in whatever way theywish.  However:

Page 2: LEGAL LIABILITY FRAMEWORK Liability for environmental cleanup of contaminated properties under both CERCLA or MTCA falls on: 1. Current owners and operators

In addition, depending on the circumstances, environmental liabilities may beimposed through common law claims such as nuisance, trespass and negligence.

Parties are free to contractually allocate environmental liabilities in whatever way theywish.  However:1. Contractual allocations are only binding on the parties to 

the contract and do not affect the rights or claims of third parties or regulatory agencies; and  2. A contractual allocation is only as strong as the financial position of the party responsible.

Page 3: LEGAL LIABILITY FRAMEWORK Liability for environmental cleanup of contaminated properties under both CERCLA or MTCA falls on: 1. Current owners and operators

1.“Do It Yourself” – Independent Remedial Actions.  See, e.g. WAC 173-340-300.2.Voluntary cleanup program (“VCP”).  Generally applicable to “simple” sites.  NFA letter.3.Agreed Orders and Orders on Consent.  Ecology or EPA agrees not to take further action if you are complying with the Order, but no other protections.4.Consent Decree.  Covenant not to sue and third party protections.

CLEANUP PROCESS OPTIONS