brownfields legal issues and cost recovery claims€¦ · allows subsequent ust owners recovery...
TRANSCRIPT
©2013 Kahn, Dees, Donovan & Kahn, LLP | 501 Main St., Suite 305, Evansville, IN 47708 | (812) 423-3183 | www.KDDK.com
BROWNFIELDS LEGAL ISSUES AND COST RECOVERY CLAIMS
Presented by: Mike Schopmeyer and Monica Edwards
September 26, 2013
©2013 Kahn, Dees, Donovan & Kahn, LLP | 501 Main St., Suite 305, Evansville, IN 47708 | (812) 423-3183 | www.KDDK.com ©2013 Kahn, Dees, Donovan & Kahn, LLP | 501 Main St., Suite 305, Evansville, IN 47708 | www.KDDK.com | (812) 423-3183
RECOVERY RIGHTS FOR REMEDIATING CONTAMINATED SITES
BROWNFIELDS LEGAL ISSUES AND COST RECOVERY CLAIMS 2 September 26, 2013
©2013 Kahn, Dees, Donovan & Kahn, LLP | 501 Main St., Suite 305, Evansville, IN 47708 | (812) 423-3183 | www.KDDK.com
RECOVERY RIGHTS FOR REMEDIATING CONTAMINATED SITES
Underground Storage Tank (“UST”) Act I.C. 13-23-13-1, et.seq. (1987)
Allows subsequent UST owners recovery against prior UST owners for remediation costs, including court costs and attorney fees, and if UST’s are properly registered, after $35,000 deductible, recovery can be made against state’s Excess Liability Fund (ELF).
BROWNFIELDS LEGAL ISSUES AND COST RECOVERY CLAIMS 3 September 26, 2013
©2013 Kahn, Dees, Donovan & Kahn, LLP | 501 Main St., Suite 305, Evansville, IN 47708 | (812) 423-3183 | www.KDDK.com
RECOVERY RIGHTS FOR REMEDIATING CONTAMINATED SITES
Environmental Legal Actions I.C. 13-30-9-1, et.seq. (1997)
Provides, like UST Act, another statutory means for subsequent landowners to recover from prior landowners using “private prosecutorial” enforcement actions covering a broader range of contaminants than UST Act.
Brownfield Act I.C. 13-25-5-8.5, et.seq. (1997)
Creates the mechanisms for streamlining the methods and thus costs of cleanups, along with grants and other financial incentives for owners.
BROWNFIELDS LEGAL ISSUES AND COST RECOVERY CLAIMS 4 September 26, 2013
©2013 Kahn, Dees, Donovan & Kahn, LLP | 501 Main St., Suite 305, Evansville, IN 47708 | (812) 423-3183 | www.KDDK.com
RECOVERY RIGHTS FOR REMEDIATING CONTAMINATED SITES
American States Insurance Co. v. Kiger 662 N. E. 2d 945 (1996)
Enables recovery for contamination clean-ups against old CGL occurrence-based policies.
Shell Oil Co. v. Meyer 705 N.E. 2d 962 (1998)
Establishes, in interpreting the UST Act, the right to broadly recover costs and attorney fees, and finds subsequent landowner need not remediate first before filing suit.
BROWNFIELDS LEGAL ISSUES AND COST RECOVERY CLAIMS 5 September 26, 2013
©2013 Kahn, Dees, Donovan & Kahn, LLP | 501 Main St., Suite 305, Evansville, IN 47708 | (812) 423-3183 | www.KDDK.com
RECOVERY RIGHTS FOR REMEDIATING CONTAMINATED SITES
Allstate Insurance Co. v. Dana Corp 759 N.E. 2d 1049 (2001)
Expands Kiger in finding that among several CGL carriers identified during a period of contamination, any one carrier can be held jointly & severally liable, thus freeing property owners from prolonged liability allocation battles.
State Auto Mut. Ins. Co. v. Flexdar, Inc. 2012 Ind. LEXIS 47 (2012)
Affirms Kiger decision and ability to recover costs for contamination clean-ups against more recent CGL occurrence-based policies.
BROWNFIELDS LEGAL ISSUES AND COST RECOVERY CLAIMS 6 September 26, 2013
©2013 Kahn, Dees, Donovan & Kahn, LLP | 501 Main St., Suite 305, Evansville, IN 47708 | (812) 423-3183 | www.KDDK.com ©2013 Kahn, Dees, Donovan & Kahn, LLP | 501 Main St., Suite 305, Evansville, IN 47708 | www.KDDK.com | (812) 423-3183
NEW ASTM E 1527 STANDARD FOR PHASE I ENVIRONMENTAL SITE ASSESSMENT (ESA)
BROWNFIELDS LEGAL ISSUES AND COST RECOVERY CLAIMS 7 September 26, 2013
©2013 Kahn, Dees, Donovan & Kahn, LLP | 501 Main St., Suite 305, Evansville, IN 47708 | (812) 423-3183 | www.KDDK.com
NEW ASTM E 1527 STANDARD FOR PHASE I ENVIRONMENTAL SITE ASSESSMENT (ESA)
Environmental due diligence
History of ASTM E 1527 standard
8
1990s
ASTM E 1527 developed to define “good commercial and customary practice” for conducting all appropriate inquiry (AAI)
2002 2005/2006 2013
Brownfields Law cites ASTM E 1527 as the interim standard for conducting AAI
EPA AAI Regulation references to ASTM E 1527 for conducting AAI
ASTM E 1527-13 update underway
BROWNFIELDS LEGAL ISSUES AND COST RECOVERY CLAIMS September 26, 2013
©2013 Kahn, Dees, Donovan & Kahn, LLP | 501 Main St., Suite 305, Evansville, IN 47708 | (812) 423-3183 | www.KDDK.com
NEW ASTM E 1527 STANDARD FOR PHASE I ENVIRONMENTAL SITE ASSESSMENT (ESA)
Proposed changes in ASTM E 1527-13
• Recognized environmental condition.
• Vapor assessment.
• Regulatory file review.
9 BROWNFIELDS LEGAL ISSUES AND COST RECOVERY CLAIMS September 26, 2013
©2013 Kahn, Dees, Donovan & Kahn, LLP | 501 Main St., Suite 305, Evansville, IN 47708 | (812) 423-3183 | www.KDDK.com
NEW ASTM E 1527 STANDARD FOR PHASE I ENVIRONMENTAL SITE ASSESSMENT (ESA)
Vapor Assessment
• New standard specifically indicates that potential for vapor migration must be assessed as part of Phase I ESA.
• May involve the need to obtain site access agreements to test indoor air quality at neighboring properties.
10
Image Source: http://www.epa.gov/oswer/vaporintrusion/basic.html
BROWNFIELDS LEGAL ISSUES AND COST RECOVERY CLAIMS September 26, 2013
©2013 Kahn, Dees, Donovan & Kahn, LLP | 501 Main St., Suite 305, Evansville, IN 47708 | (812) 423-3183 | www.KDDK.com
NEW ASTM E 1527 STANDARD FOR PHASE I ENVIRONMENTAL SITE ASSESSMENT (ESA)
Assess Before You Proceed
• To seek the protections of the Brownfields Amendments, a Phase I ESA must be performed prior to proceeding with any property purchase sale or lease.
• It is imperative that the environmental professional performing the Phase I ESA be familiar with the new ASTM E 1527 Standard.
11 BROWNFIELDS LEGAL ISSUES AND COST RECOVERY CLAIMS September 26, 2013
©2013 Kahn, Dees, Donovan & Kahn, LLP | 501 Main St., Suite 305, Evansville, IN 47708 | (812) 423-3183 | www.KDDK.com ©2013 Kahn, Dees, Donovan & Kahn, LLP | 501 Main St., Suite 305, Evansville, IN 47708 | www.KDDK.com | (812) 423-3183
QUESTIONS?
BROWNFIELDS LEGAL ISSUES AND COST RECOVERY CLAIMS 12 September 26, 2013
©2013 Kahn, Dees, Donovan & Kahn, LLP | 501 Main St., Suite 305, Evansville, IN 47708 | (812) 423-3183 | www.KDDK.com ©2013 Kahn, Dees, Donovan & Kahn, LLP | 501 Main St., Suite 305, Evansville, IN 47708 | www.KDDK.com | (812) 423-3183
MIKE SCHOPMEYER Co-Managing Partner [email protected]
MONICA E. EDWARDS Partner [email protected]
BROWNFIELDS LEGAL ISSUES AND COST RECOVERY CLAIMS 13
THANK YOU!
September 26, 2013
©2013 Kahn, Dees, Donovan & Kahn, LLP | 501 Main St., Suite 305, Evansville, IN 47708 | (812) 423-3183 | www.KDDK.com
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