Carneys Point Township v. E.I. Dupont De Nemours and Company

New Jersey Superior Court Appellate Division·Decided December 2, 2025·No. A-2427-24·Unpublished

Opinion

NOT FOR PUBLICATION WITHOUT THE APPROVAL OF THE APPELLATE DIVISION This opinion shall not "constitute precedent or be binding upon any court ." Although it is posted on the internet, this opinion is binding only on the parties in the case and its use in other cases is limited . R. 1:36-3.

SUPERIOR COURT OF NEW JERSEY APPELLATE DIVISION

DOCKET NO. A-2427-24

CARNEYS POINT TOWNSHIP, Plaintiff-Respondent,

v.

E.I. DUPONT DE NEMOURS AND COMPANY, SHERYL A. TELFORD, THE CHEMOURS COMPANY, AND THE CHEMOURS COMPANY FC, LLC,

Defendants-Appellants.

Submitted October 28, 2025 – Decided December 2, 2025 Before Judges Sumners and Susswein.

On appeal from an interlocutory order of the Superior Court of New Jersey, Law Division, Salem County, Docket No. L-0251-16.

Ballard Spahr, LLP, attorneys for appellants E.I.

DuPont de Nemours and Company, Inc., and Sheryl A.

Telford (David Haworth and Casey G. Watkins, on the briefs).

Norris McLaughlin, PA, attorneys for appellants The Chemours Company and The Chemours Company FC, LLC (Kimbrilee M. Weber and Margaret Raymond-

Flood, on the briefs).

Meyner and Landis, LLP, attorneys for respondent (Albert I. Telsey, on the brief).

PER CURIAM This appeal arises from a lawsuit brought by plaintiff Carney's Point Township alleging the unlawful discharge of more than 100 million pounds of hazardous waste into the environment. Defendants E.I. DuPont, De Nemours and Company (DuPont); Sheryl A. Telford; the Chemours Company; and the Chemours Company FC, LLC appeal a November 5, 2024 Law Division order denying their motion for summary judgment. Defendants contend Carney's Point Township lacks standing to bring suit under the New Jersey Environmental Rights Act (ERA). Defendants also contend the trial court erred in denying their motion for summary judgment dismissal because there is no genuine issue of material fact in dispute. After reviewing the record in light of the governing legal principles, we affirm.

I.

We discern the following procedural history and pertinent facts from the record. In December 2016 plaintiff filed a complaint against DuPont and

A-2427-24

Telford alleging violations of New Jersey environmental statutes, including the Industrial Site Recovery Act (ISRA), N.J.S.A. 13:1K-6 to -14. The complaint asserts standing pursuant to the ERA. Plaintiff alleges that DuPont discharged over 100 million pounds of hazardous waste into the environment surrounding the Chambers Works site. Plaintiff's expert calculated that the cleanup and remediation costs will exceed $1 billion.

Plaintiff's complaint further alleges that in 2014 and 2015, DuPont began a series of corporate transfers of its businesses and properties, including the Chambers Works site, to the Chemours Company and its subsidiaries, including Chemours FC, LLC. Plaintiff alleges that these transfers, or "spinoffs," triggered ISRA, which requires owners and operators of industrial property or businesses in New Jersey to clean up all hazardous substances and wastes they discharged into the environment prior to: (1) transferring the real property of the industrial establishment; (2) transferring the stock and non-real property assets of the industrial business; or (3) executing a merger agreement, among other triggers. Plaintiff alleges that DuPont failed to either remediate the Chambers Works site and the surrounding areas or, in the alternative, post the remediation funding source (RFS) prescribed by ISRA, which would allow

A-2427-24

municipalities to petition the DEP to use that money to complete cleanup if remediation was not completed before the property transfer.

Plaintiff's complaint also alleges that Telford, Director of the DuPont Corporate Remediation Group during the period at issue, deliberately deceived the DEP to undermine ISRA. Plaintiff seeks individual statutory penalties against Telford.

On July 31, 2017, plaintiff filed an amended complaint, adding an additional cause of action under ISRA and a new claim under the Site Remediation Reform Act (SRRA), N.J.S.A. 58:10C-1 to -29. On November 2, 2017, plaintiff filed a second amended complaint adding the Chemours Company and the Chemours Company FC, LLC as defendants. Plaintiff's second amended complaint alleged that the deed transfer of the Chambers Works site and the transfer of Chemours Stock to DuPont shareholders violated ISRA.

On July 9, 2018, plaintiff moved for partial summary judgment on count one relating to ISRA. On August 8, 2018, the trial court 1 granted partial summary judgment as to liability on count one, finding that the January 23, 2015 deed transfer of the Chamers Works site from DuPont to the Chemours Company

1 The 2018 partial summary judgment was issued by a different judge than the 2024 summary judgment motion on appeal in the matter before us. References to the trial court in this section of the opinion refer to the 2018 trial judge.

A-2427-24

FC, LLC triggered compliance with ISRA. The trial court found that defendants failed to comply with ISRA and its applicable regulations in that they (1) did not file the requisite documents with the New Jersey Department of Environmental Protection (DEP); (2) failed to remediate the site and surrounding impacted areas; (3) did not prepare or file a remediation cost review setting forth the remediation funding source (RFS); and (4) failed to post the necessary RFS.

Defendants moved for reconsideration of the partial summary judgment order on September 13, 2019. Defendants maintain that the motion for reconsideration of the 2018 partial summary judgment order has yet to be heard or decided.

In January 2017, plaintiff wrote to the DEP Commissioner to inform him of its lawsuit. In March 2017, plaintiff petitioned DEP to demand public participation pursuant to SRRA. DEP and EPA representatives held a meeting with Carney's Point Township representatives on May 12, 2017, at which plaintiff's representatives told DEP that the Township wanted "a seat at the table to participate in the remediation at the site and the RFS."

On May 18, 2017, the Carney's Point mayor wrote to the Bureau Chief of the DEP requesting information about DEP's enforcement activities at the site.

A-2427-24

DEP responded by letter dated July 24, 2017, advising the mayor that the EPA will "remain as lead for corrective action" at the site, and DEP "will continue to provide technical support." 2 In 2019, DEP sued defendants and the 3M Company alleging violations of the Spill Compensation and Control Act, N.J.S.A. 58:10-23.11 to -23.24 (the Spill Act); the Water Pollution Control Act, N.J.S.A. 58:10A-1 to -20 (the WPCA); ISRA, and New Jersey common law. The case was subsequently removed to federal court. NJDEP v. E. I. du Pont de Nemours and Company, et al., Case No. 1:19-cv-14766-RMB-JBC.3 DEP's third amended complaint was filed on July 25, 2024, and remains active. 4 In this case, defendants filed a motion for summary judgment on September 8, 2022, seeking dismissal of plaintiff's second amended complaint in its entirety. Pursuant to a series of consent case management orders, the parties agreed to pursue mediation prior to the summary judgment motion being

2 The record indicates that the EPA has been involved in the site for decades, issuing a Hazardous and Solid Waste permit in 1988. 3 We note that Telford is not a defendant in the federal action.

4 Plaintiff's request to intervene in the federal case was denied by order and opinion dated November 19, 2024. NJDEP v. E.I. du Pont de Nemours and Company, et al., Case No. 1:19-cv-14766-RMB-JBC, Dkt. No. 396.

A-2427-24

heard. The 2024 trial court 5 issued a case management order on May 21, 2024, directing defendants to renew their summary judgment and reconsideration motions, which would be returnable on September 13, 2024.

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