Basf Catalysts LLC v. United States

479 F. Supp. 2d 214, 37 Envtl. L. Rep. (Envtl. Law Inst.) 20084, 2007 U.S. Dist. LEXIS 21712, 2007 WL 925682
CourtDistrict Court, D. Massachusetts
DecidedMarch 26, 2007
DocketCivil Action 05-11241-JLT
StatusPublished
Cited by3 cases

This text of 479 F. Supp. 2d 214 (Basf Catalysts LLC v. United States) is published on Counsel Stack Legal Research, covering District Court, D. Massachusetts primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Basf Catalysts LLC v. United States, 479 F. Supp. 2d 214, 37 Envtl. L. Rep. (Envtl. Law Inst.) 20084, 2007 U.S. Dist. LEXIS 21712, 2007 WL 925682 (D. Mass. 2007).

Opinion

*216 MEMORANDUM

TAURO, District Judge.

Plaintiff, BASF Catalysts LLC, previously Engelhard Corporation, is suing Defendants, agencies and officials of the United States of America, to obtain compensation for environmental cleanup costs incurred by the Plaintiff at its Plainville, Massachusetts, facility.

Background

Plaintiff alleges the following facts: Throughout the 1950s and 1960s, Plaintiff contracted with Defendant United States Department of Defense for nuclear fuel fabrication and development services, all of which were completed at the Plaintiffs Plainville facility. During the entire period that Plaintiff manufactured nuclear fuel at the Plainville facility, the United States, through the Atomic Energy Commission, held title to the nuclear materials. The United States, in fact, allegedly still retains ownership of the radioactive materials dispersed at the Plainville facility.

Similarly, contracts between Plaintiff and the United States Mint required the United States to supply Plaintiff with government-owned materials used in the Plainville coinage and coin stock manufacturing operations. As part of these operations, Plaintiff engaged in various activities which led to unintentional spills and releases resulting in the pollution of the Plainsville site with radionuclides, trichlo-roethylene, heavy metals, and other pollutants.

Since the 1980’s, Plaintiff has been cleaning up hazardous substances at the Plainville facility. Initially Plaintiff undertook these cleanup activities voluntarily. On August 27, 1993, Plaintiff signed a Consent Order with the Environmental Protection Agency (“EPA”) under the § 3008 corrective action program of the Resource Conservation and Recovery Act of 1976 (“RCRA”). 1 This Consent Order took effect on September 9, 1993. It requires Plaintiff to investigate and remedy past releases of hazardous waste at the Plain-ville facility, regardless of when the release occurred.

After signing this agreement, Plaintiff followed through on its promises and was never subject to any further enforcement action, including any action under the Comprehensive Environmental Response, Compensation, and Liability Act of 1980 (“CERCLA”). Through December 2004, Plaintiff has spent in excess of $15 million implementing the cleanup at the Plainville facility and has purchased five nearby homes at cost of $971,000. Plaintiff alleges in the Complaint that these expenditures are “necessary costs of response ... consistent with the national contingency plan,” within the meaning of Section 107(a)(4)(B) of CERCLA.

On June 13, 2005, almost twelve years after signing the Consent Order, Plaintiff filed this action which charges that the United States, through its ownership of processed materials and manufacturing contracts with Plaintiff, significantly contributed to contamination at the Plainville facility and, therefore, is liable for cleanup costs under various statutory and common law theories. Now before the court are cross-motions which address two carefully defined legal issues which control whether Plaintiff can recover contribution, as defined by § 113(f)(3)(B) of CERCLA.

Standard of Review

Through cross-motions, the parties have isolated two questions of law for the court. Plaintiff styles its motion as a Motion for Declaratory and Summary Judgment. Defendants have entitled their filing a Mo *217 tion for Judgment on the Pleadings on Plaintiff’s Fourth Cause of Action.

To resolve the legal issues presented here, the court will largely rely on the facts as presented in the Complaint, and which are not disputed by the Defendants for the purposes of these motions. Parties have also attached two exhibits to their motions, including the Consent Order and certain tolling agreements. As the court will rely on these documents, and as the Parties have had “reasonable opportunity to present all material made pertinent” to the issues presented, it is appropriate for the court to convert Defendants’ motion into a Motion for Summary Judgment on Count IV. 2 The court takes this procedural step only so that it may properly cite to the documents in evidence. The court’s ruling does not limit Defendants’ right to challenge the factual allegations in the Complaint during the litigation of the remaining counts in this case.

Summary Judgment is appropriate when there is no genuine dispute of material fact and the moving party is entitled to judgement as a matter of law. 3 Because the only disputes in this case are about the legal ramifications of various documents, this case is ripe for the court to declare its rulings on the disputed matters of law and to issue Summary Judgment on Count IV. Discussion

Plaintiff seeks contribution from the United States for its equitable share of costs incurred by Plaintiff in cleaning up its site in Plainville. CERCLA § 113(f)(3)(B) provides that a party “who has resolved its liability to the United States or a State for some or all of a response action or for some or all of the costs of such action in an administrative or judicially approved settlement may seek contribution” from another potentially responsible party (“PRP”) for an equitable share of those costs. 4 Here Plaintiff argues that its RCRA settlement with the EPA is an administrative settlement within the meaning of § 113. Defendants disagree and further argue in the alternative that the applicable statute of limitations bars any action Plaintiff may have. 5

I. The RCRA Consent Order is not an administrative settlement within the meaning of CERCLA

RCRA requires that hazardous waste disposal site operators receive permits from the EPA. 6 As part of this permitting process, the EPA may require that the applicant take certain corrective measures. 7 In 1993, Plaintiff, in settlement of its permit dispute with the EPA, entered into a Consent Order where it agreed to take certain remedial measures at its Plainsville site. 8 Defendants assert two grounds as to why this Consent Order is not an administratively approved settlement within the meaning of CERCLA § 113(f)(3)(B).

A. Plaintiff may have acted on a common liability

Defendants maintain that the Consent Order imposes liability only on Plaintiff, which was engaged in the administrative process of seeking a license, and not *218 on the Defendants who were allegedly partially responsible for the original contamination. Section 113(f)(3)(b) does implicitly require that the triggering settlement resolve a party’s share of liability for a joint or common liability. 9

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Appleton Papers Inc. v. George A. Whiting Paper Co.
776 F. Supp. 2d 857 (E.D. Wisconsin, 2011)
Hobart Corp. v. Waste Management of Ohio, Inc.
840 F. Supp. 2d 1013 (S.D. Ohio, 2011)

Cite This Page — Counsel Stack

Bluebook (online)
479 F. Supp. 2d 214, 37 Envtl. L. Rep. (Envtl. Law Inst.) 20084, 2007 U.S. Dist. LEXIS 21712, 2007 WL 925682, Counsel Stack Legal Research, https://law.counselstack.com/opinion/basf-catalysts-llc-v-united-states-mad-2007.