Commonwealth of Pennsylvania v. Exxon Mobil Corporation, et al.

District Court, S.D. New York·Decided July 31, 2026·No. 1:00-cv-01898·Unknown

Opinion

UNITED STATES DISTRICT COURT SOUTHERN DISTRICT OF NEW YORK --------------------------------------- X : : IN RE: Methyl Tertiary Butyl Ether : (“MTBE”) Products Liability Litigation : Master File No. : 1:00-1898 This Document Relates To: : MDL 1358 Commonwealth of Pennsylvania v. Exxon : Mobil Corporation, et al., Case No. : 14cv6228 (DLC) 1:14-cv-6228 : : OPINION AND : ORDER --------------------------------------- X APPEARANCES: For plaintiff Commonwealth of Pennsylvania: Neil F. Mara Pennsylvania Office of Attorney General 14th Fl. Strawberry Square Harrisburg, PA 17120 Yechiel Michael Twersky Daniel Berger Tyler E. Wren Berger & Montague, PC 1818 Market St Suite 3600 Philadelphia, PA 19103 Stewart L. Cohen Eric S. Pasternack Robert L. Pratter Michael Coren Cohen, Placitella & Roth 2001 Market Street, Suite 2900 Philadelphia, PA 19103 Duane Miller Tracey L. O’Reilly Molly McGinley Han Miller, Axline & Sawyer 1050 Fulton Avenue, Suite 100 Sacramento, CA 95825 For defendants Exxon Mobil Corporation, et al., and on behalf of all moving defendants:

James A. Pardo Lisa A. Gerson Krista A. Reed McDermott Will & Schulte LLP One Vanderbilt Avenue New York, New York 10017

DENISE COTE, District Judge: This case is part of a consolidated multi-district litigation (“MDL”) relating to the contamination of groundwater caused by releases of gasoline containing methyl tertiary butyl ether (“MTBE”). In this action, the Commonwealth of Pennsylvania (“Commonwealth”) alleges that the defendants, which include dozens of gasoline manufacturers, distributors, and sellers, are liable for MTBE contamination of Pennsylvania's drinking water. MDL proceedings in Phase I of this litigation concluded last year, and the 16 Focus Sites that survived summary judgment have been remanded to the Honorable Harvey Bartle III in the Eastern District of Pennsylvania for trial. Fact discovery in Phase II, which includes thousands of remaining Sites, has been ongoing since 2025 and is set to close on December 1, 2026. Arguing that rulings made on Phase I summary judgment motions can narrow the claims in Phase II, the defendants have filed a motion for summary judgment on the Commonwealth’s request for future remediation and restoration damages (hereinafter “restoration” damages) at 1,490 Sites. For the following reasons, the motion is granted in part.

Background The following facts are taken from the documents submitted in connection with this motion. They are taken in the light most favorable to the plaintiff, as the non-moving party, unless otherwise noted. MTBE was blended into gasoline from the 1980s to 2000s, at least in part to increase gas’s octane, which was meant to reduce tailpipe emissions of carbon monoxide. Gasoline containing MBTE was widely distributed in Pennsylvania for use in motor vehicles. MTBE can and did enter the environment through spills, leaks, and other releases of gasoline from various storage and delivery systems, such as underground storage tanks (“UST”) at gas stations. Compared to other

ingredients of gasoline, MTBE does not easily adhere to soil and is highly soluble in water. Once in water, MTBE dissolves easily and moves through the ground quickly. As a result, it penetrates deeply into underground aquifers; this contamination can spread underground over great distances. Once contamination occurs, MTBE is difficult to remove and can make drinking water unfit for consumption, due to its foul taste and odor and potential adverse health effects. MTBE was phased out as a gasoline additive at the federal level in 2006. I. The Commonwealth’s Response to MTBE A. The Tank Act and Act 2 Agencies of the Commonwealth knew about and analyzed the

possible impacts of releases from USTs as early as the mid- 1980s. Since 1996, Pennsylvania has required testing for MTBE at gasoline release sites, and it adopted a statewide health standard for the concentration of MTBE in groundwater in 1997. Pennsylvania enacted the Storage Tank and Spill Prevention Act (“Tank Act”) in 1989 to address chemical releases from storage tanks. 35 Pa. Cons. Stat. § 6021.102. Under that law, the Pennsylvania Department of Environmental Protection (“DEP”) may order “corrective action” to address a release or possible release. Id. § 6021.1302(a). “Corrective actions” may include measures to assess, mitigate, or remedy releases and their

effects on public health and the environment. Id. § 6021.103. DEP regulations set forth a “Corrective Action Process” for owners and operators of storage tanks, and other “responsible” parties, to follow. 25 Pa. Code. § 245.301 - 245.314. That process includes investigating and reporting suspected releases, taking interim remedial actions, replacing affected water supplies, determining and reporting the need for further remediation, and submitting a “remedial action plan.” Id. § 245.304-311. Depending on the extent of a release, the responsible party “shall” use soil survey techniques to

determine the “horizontal and vertical extent” of soil and groundwater contamination. Id. § 245.309(c)(9)-(10). Also as part of this process, the responsible party selects a remediation standard that will be used as a benchmark for corrective action. Id. §§ 245.310(a)(26); 245.311(a). Available standards are found in the Land Recycling and Environmental Remediation Standards Act (“Act 2”). Id. § 245.1; see 35 Pa. Cons. Stat. § 6026.301(a) (listing remediation standards). Once the DEP reviews and approves the remedial action plan, 25 Pa. Code. § 245.311(c), the responsible party implements it, and, upon completion, submits a remedial action completion

report (“RACR”) to the DEP. Id. § 245.312-245.313. The RACR must demonstrate that the remedial actions have achieved the selected remediation standard. Id. § 245.313(b). The DEP then reviews the RACR and approves or disapproves it. Id. § 245.313(c). At the end of this process, the Commonwealth expects the responsible party to abandon groundwater monitoring wells by filling them with a sealant such as cement or grout.1 0F For the purposes of this litigation, a Site for which this process has not ended is considered “Open”. II. This Lawsuit The Commonwealth initiated this case in Pennsylvania state court on June 19, 2014. It was removed to the United States District Court for the Eastern District of Pennsylvania on July 17. On July 30, the United States Judicial Panel on Multidistrict Litigation (“Panel”) transferred the case to this District for pretrial proceedings pursuant to 28 U.S.C. § 1407. On November 6, 2015, the Commonwealth filed its second amended complaint (“SAC”). The Commonwealth’s remaining claim is for negligence. The Commonwealth seeks essentially two types of damages. It seeks to recover USTIF costs,2 which are easily quantifiable. 1F The SAC also seeks to recover the costs of future testing of

1 One DEP manual explains that “Unsealed or improperly sealed wells may threaten public health and safety, and the quality of the groundwater resources. Therefore, the proper abandonment (decommissioning) of a well is a critical final step in its service life.”

2 An Underground Storage Tank Indemnification Fund (“USTIF”) helps Site owners cover the costs of cleaning up contaminated soil and groundwater. See In re Methyl Tertiary Butyl Ether, No. 14CV6228 (DLC), 2025 WL 1658427, at *2 (S.D.N.Y. June 11, 2025). “potentially affected groundwater for the presence of MTBE” as well as future “treatment and remediation of all groundwater containing detectable levels of MTBE until restored to non-

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

Commonwealth of Pennsylvania v. Exxon Mobil Corporation, et al., (S.D.N.Y. 2026).

Commonwealth of Pennsylvania v. Exxon Mobil Corporation, et al. (Commonwealth of Pennsylvania v. Exxon Mobil Corporation, et al.) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

Related

Secrest v. Merck, Sharp & Dohme Corp.
707 F.3d 189 (Second Circuit, 2013)
Kazatsky v. King David Memorial Park, Inc.
527 A.2d 988 (Supreme Court of Pennsylvania, 1987)
Brewington, S. v. Phila. Sch. Dist., Aplt.
199 A.3d 348 (Supreme Court of Pennsylvania, 2018)
Choi v. Tower Rsch. Cap. LLC
2 F.4th 10 (Second Circuit, 2021)
Walters v. UPMC Presbyterian Shadyside
187 A.3d 214 (Supreme Court of Pennsylvania, 2018)
Claire Hickey v. University of Pittsburgh
81 F.4th 301 (Third Circuit, 2023)
Moll v. Telesector
94 F.4th 218 (Second Circuit, 2024)
Indem. Ins. Co. of N. Am. v. Unitrans Int'l Corp.
98 F.4th 73 (Second Circuit, 2024)