College Park Holdings, LLC v. Racetrac Petroleum, Inc.

239 F. Supp. 2d 1322, 55 ERC (BNA) 1877, 2002 U.S. Dist. LEXIS 25002, 2002 WL 31926397
CourtDistrict Court, N.D. Georgia
DecidedOctober 16, 2002
Docket1:01-cv-01128
StatusPublished
Cited by11 cases

This text of 239 F. Supp. 2d 1322 (College Park Holdings, LLC v. Racetrac Petroleum, Inc.) is published on Counsel Stack Legal Research, covering District Court, N.D. Georgia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
College Park Holdings, LLC v. Racetrac Petroleum, Inc., 239 F. Supp. 2d 1322, 55 ERC (BNA) 1877, 2002 U.S. Dist. LEXIS 25002, 2002 WL 31926397 (N.D. Ga. 2002).

Opinion

ORDER

MARTIN, District Judge.

This action, alleging violations of various federal and state environmental laws, is before the court on: (1) RaceTrac Petroleum, Inc.’s motion for leave to file motion to dismiss or, in the alternative, to stay action [Doc. Nos. 79-1, 79-2, & 79-3]; (2) Race-Trac Petroleum, Inc.’s motion for leave to file motion to dismiss count one of plaintiff’s amended complaint [Doc. Nos. 80-1 & 80-2]; (3) RaceTrac Petroleum, Inc.’s motion for leave to file motion for judgment *1325 on the pleadings [Doc. No. 84-1]; and (4) Merchant Investment Group, Inc.’s motion to extend time to answer third-party complaint [Doc. No. 77-1].

I. Factual and Procedural Background

Between August 1980 and December 1998, RaceTrac Petroleum, Inc. (“Race-Trac”) owned real property in College Park, Georgia on which it operated a gasoline service station known as RaceTrac #279 (the “Service Station Property”). The Service Station Property contained four 12,000 gallon underground storage tanks (“USTs”). Plaintiff College Park Holdings, LLC (“CPH”) currently owns real property adjacent to the Service Station Property on which an unaffiliated entity operates a Radisson Hotel (the “Hotel Property”).

The events leading to this litigation began in 1992. At that time, RaceTrac performed several environmental assessments of the Service Station Property. Thereafter, in 1993, RaceTrac notified the Georgia Environmental Protection Division (“EPD”) that a release had occurred from its USTs. As a result, EPD undertook an inspection of the Service Station Property, and RaceTrac began to monitor and repair its UST system. CPH then inspected its own property, discovering the presence of benzene and other petroleum contaminants.

Concluding that RaceTrac was the most probable source of the groundwater contamination on the Hotel Property, in September 1996, CPH’s legal counsel sent RaceTrac a letter, alleging a “suspected release from the RaceTrac facility.” By letter dated November 12, 1996, EPD notified RaceTrac that the agency had “become aware of a suspected release of petroleum from an UST” at the Service Station Property. Since that time, Race-Trac, at EPD’s request, has performed various environmental investigative and remedial activities with respect to the UST system. These activities include RaceTrac’s submission to EPD of a Corrective Action Plan-Part A (“CAP-Part A”) and closure of a diesel UST.

In March 1999, CPH undertook another environmental investigation at the Hotel Property. During this investigation, CPH found free-phase petroleum product in the groundwater on the Hotel Property. On April 28, 1999, CPH informed EPD and Camden Oil Company, the operator of the Service Station Property at the time, of this discovery. RaceTrac was informed of this discovery in August 1999 by EPD. The agency alleged that RaceTrac was responsible for the free product and directed RaceTrac to submit another Corrective Action Plan (“CAP-Part B”) by October 8, 1999.

After receiving this directive, RaceTrac attempted to obtain access to the Hotel Property in order to perform the environmental inspection requested by EPD. However, CPH denied RaceTrac access to the Hotel Property. Because of this access denial, RaceTrac did not submit the CAP-Part B until August 15, 2001. Although required to do so by EPD, this submission did not address any free product present on the Hotel Property. During this time, EPD issued RaceTrac two violation notices for failure to follow EPD directives.

Also during this time, on March 28, 2001, CPH sent a letter to RaceTrac providing notice of its intent to sue under the federal Resource Conservation and Recovery Act (“RCRA”). The correspondence provided that, after the expiration of sixty days, CPH intended to file a citizen suit claim against RaceTrac under 42 U.S.C. § 6972(a)(1)(A). The notice letter premised the RCRA litigation on alleged violations of Georgia’s underground storage tank management regulations. Despite *1326 the sixty-day delay period required by RCRA after CPH’s notice, on May 3, 2001, CPH filed suit alleging six causes of action under Georgia law. On June 7, 2001, after the expiration of sixty days, CPH amended its complaint, adding a claim under the citizen suit provision of RCRA.

Meanwhile, EPD continued to correspond with RaceTrac regarding the UST system and RaceTrac’s remedial efforts. Finally, in October 2001, EPD approved RaceTrac’s CAP-Part B. However, after additional discussions between the parties, EPD requested further remediation by RaceTrac. Being unable to reach an agreement about the appropriate course of action, EPD issued a formal administrative order to RaceTrac on September 16, 2002. In this order, EPD alleged violations of the Georgia Underground Storage Tank Act and accompanying regulations. Ga. Code Ann. §§ 12-13-1, et seq. (2001). •EPD also directed RaceTrac to conduct remedial activities. Believing that EPD’s order is unwarranted, RaceTrac filed an administrative appeal of the order.

In addition to EPD’s actions, the litigation between CPH and RaceTrac is set for a bench trial on October 22, 2002. Faced with defending this litigation at the same time as appealing EPD’s administrative order, RaceTrac filed two motions to dismiss this litigation 1 [Doc. Nos. 79-2 & 80-2] and a motion for judgment on the pleadings [Doc. No. 84-1]. The court now considers these motions.

II. RaceTrac’s Motion to Dismiss or, in the Alternative, to Stay Action

As its first argument, RaceTrac asserts that the court should exercise its discretion under the primary jurisdiction and Bur-ford abstention doctrines and refrain from adjudicating CPH’s citizen suit claim under 42 U.S.C. § 6972(a)(1)(A). RaceTrac believes that such abstention is warranted in light of EPD’s September 16, 2002 administrative order and RaceTrac’s subsequent appeal of that order. According to RaceTrac, abstention is proper because: (1) the court is being called upon to decide factual issues not within the conventional experience of judges; (2) RaceTrac could be subjected to conflicting orders of the court and EPD; (3) relevant EPD proceedings have been initiated; (4) EPD has diligently attempted to resolve the issues raised by CPH’s RCRA claim; (5) the suit involves difficult problems of state law bearing on policies of substantial public import; and (6) exercise of federal jurisdiction in this action would disrupt state efforts to establish a coherent policy regarding UST regulation.

A. Burford Abstention and Primary Jurisdiction Doctrines

The Supreme Court first articulated the Burford abstention doctrine in Bur-ford v. Sun Oil Co., 319 U.S. 315, 63 S.Ct. 1098, 87 L.Ed. 1424 (1943).

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

Related

Haynes v. Kohl's Dep't Stores, Inc.
391 F. Supp. 3d 1128 (S.D. Florida, 2018)
Sierra Club v. Chesapeake Operating, LLC
248 F. Supp. 3d 1194 (W.D. Oklahoma, 2017)
Laclede Gas Company v. St. Charles County
713 F.3d 413 (Eighth Circuit, 2013)
Adkins v. VIM Recycling, Inc.
644 F.3d 483 (Seventh Circuit, 2011)
Hernandez v. ESSO STANDARD OIL CO.(PUERTO RICO)
571 F. Supp. 2d 305 (D. Puerto Rico, 2008)
Walker v. Teledyne Wah Chang
423 F. Supp. 2d 647 (S.D. Texas, 2003)

Cite This Page — Counsel Stack

Bluebook (online)
239 F. Supp. 2d 1322, 55 ERC (BNA) 1877, 2002 U.S. Dist. LEXIS 25002, 2002 WL 31926397, Counsel Stack Legal Research, https://law.counselstack.com/opinion/college-park-holdings-llc-v-racetrac-petroleum-inc-gand-2002.