Environmental Updates in Brief

C&G Review
Fall 2005

Federal appeals court in Pennsylvania holds company officer vicariously liable for illegal disposal of hazardous waste. The president and CEO of a supplier of dry cleaning products, who had knowledge of special requirements for hazardous waste disposal, directed his employee to remove warehouse materials, including hundreds of chemical containers. The court agreed with the government that the officer had the prerequisite “willful blindness” in directing the disposal and could therefore be convicted of aiding and abetting the disposal of hazardous waste at an unpermitted landfill.

EPA issues new “All Appropriate Inquiry” Rule. On November 1, 2005, the United States Environmental Protection Agency issued its long-awaited regulation establishing the criteria required for Phase I site assessments to secure protection from Superfund liability under the innocent landowner, bona fide prospective purchaser and contiguous landowner defenses. Compliance with the new ASTM Standard E1527-05 (for Phase Is), issued November 21st, will constitute compliance with the rule. Estimates for the increased cost of Phase I investigations as a result of the rule range from $52 to a few hundred dollars.