Lenox Inc. v. Reuben Smith Rubbish Removal

91 F. Supp. 2d 743, 30 Envtl. L. Rep. (Envtl. Law Inst.) 20454, 50 ERC (BNA) 2110, 2000 U.S. Dist. LEXIS 4484, 2000 WL 352469
CourtDistrict Court, D. New Jersey
DecidedApril 4, 2000
DocketCivil Action 97-5065 (JEI)
StatusPublished
Cited by7 cases

This text of 91 F. Supp. 2d 743 (Lenox Inc. v. Reuben Smith Rubbish Removal) is published on Counsel Stack Legal Research, covering District Court, D. New Jersey primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Lenox Inc. v. Reuben Smith Rubbish Removal, 91 F. Supp. 2d 743, 30 Envtl. L. Rep. (Envtl. Law Inst.) 20454, 50 ERC (BNA) 2110, 2000 U.S. Dist. LEXIS 4484, 2000 WL 352469 (D.N.J. 2000).

Opinion

OPINION

IRENAS, District Judge.

This matter appears before the Court upon defendant Douglas Keefe’s motion for summary judgment. For the reasons set forth below, this motion is granted in part and denied in part.

I.

This action revolves around the environmental contamination of the Delilah Landfill Superfund Site in Egg Harbor Township, New Jersey (“the Site”). Plaintiffs in this action seek contribution for the costs of the ongoing remediation of the Site. Defendant is the Site’s current owner.

Defendant purchased the Delilah Landfill in January of 1981. In 1982, the United States Environmental Protection Agency (“EPA”) conducted a preliminary assessment of the Landfill which indicated that it may have impacted groundwater quality in the surrounding areas. (Second Am. Compl., ¶ 98). On October 4, 1984, the Site was listed on the National Priorities List. (Id. at ¶ 99). Subsequently, the EPA authorized the New Jersey Department of Environmental Protection (“NJDEP”) to assume control of the Site’s remediation. (Id.)

In 1985, the NJDEP conducted an investigation of the Site and discovered a host of hazardous substances present in the soil and groundwater. 1 (Id. at ¶ 101). Based upon these findings, the NJDEP issued a Record of Decision (“ROD”) which proposed a remedy for the Site including, inter alia, installation of a landfill cap. (Id. at ¶ 102). On or about November 7, 1992, the NJDEP issued a Directive to remedy the site to several parties including the present plaintiffs. (Id. at ¶ 103). In or around October of 1994, the NJDEP entered an Administrative Consent Order (“ACO”) in which the present plaintiffs agreed to create a “soil cap” at the site. (Id. at ¶ 107). Plaintiffs currently estimate *746 that the total cost of the investigation and remediation of the Site will be $6,979,846. 2 (Id. at ¶ 110).

In their Amended Complaint, plaintiffs seek contribution from Keefe under § 113(f) of the Comprehensive Environmental Response, Compensation, and Liability Act of 1980 (“CERCLA”), as amended by the Superfund Amendments and Reauthorization Act of 1986, 42 U.S.C. § 9613(f), and under the New Jersey Spill Act, N.J.S.A. 58:10-23.11g.e.(l). Plaintiffs also seek treble damages under the Spill Act, § 58:10-23.11f.a.(3), and assert common law claims for unjust enrichment and the creation of a constructive trust. Keefe moves for summary judgment as to all claims. Keefe argues, on equitable grounds, that because he did not own the Site at the time the majority of the hazardous substances were deposited, he should not be held liable for its cleanup. Furthermore, he argues that he has a good faith defense to plaintiffs’ claim for treble damages and that plaintiffs’ claim for $1.5 million in past oversight costs should be dismissed as speculative. Keefe also argues that this is not an appropriate case for the creation of a constructive trust because he was not unjustly enriched by plaintiffs’ remediation of the Site. The Court will consider each issue in turn.

II.

“[Sjummary judgment is proper ‘if the pleadings, depositions, answers to interrogatories, and admissions on file, together with the affidavits, if any, show that there is no genuine issue as to any material fact and that the moving party is entitled to a judgment as a matter of law.’” Celotex Corp. v. Catrett, 477 U.S. 317, 322, 106 S.Ct. 2548, 91 L.Ed.2d 265 (1986) (quoting Fed.R.Civ.P. 56(c)).

In deciding a motion for summary judgment, the Court must construe the facts and inferences in a light most favorable to the non-moving party. Pollock v. American Tel. & Tel. Long Lines, 794 F.2d 860, 864 (3d Cir.1986). The role of the court is not “to weigh the evidence and determine the truth of the matter, but to determine whether there is a genuine issue for trial.” Anderson v. Liberty Lobby, Inc., 477 U.S. 242, 249, 106 S.Ct. 2505, 91 L.Ed.2d 202 (1986).

III.

Under CERCLA, a private party who has incurred “response costs” for environmental cleanup may seek contribution from any person who is liable or potentially liable for depositing the hazardous wastes. 42 U.S.C. § 9613(f). In order to recover under § 9613(f), plaintiff must first show that defendant is liable under CERCLA § 107(a), 42 U.S.C. § 9607(a). If plaintiff succeeds in establishing defendant’s liability under § 107(a), the Court then may apportion defendant’s share of liability in an equitable manner. U.S. v. Compaction Sys. Corp., 88 F.Supp.2d 339, 354 (D.N.J. 2000).

To establish defendant’s liability under § 107(a), plaintiff must show: (1) that the site in question is a “facility” as defined by CERCLA; (2) the defendant is a “responsible person” as defined by CERCLA; (3) there was a release of hazardous substances; and (4) such release has required the plaintiffs to incur response costs. New Jersey Turnpike Auth. v. PPG Indus. Inc., 16 F.Supp.2d 460, 467 (D.N.J.1998).

In the present motion, Keefe does not dispute that plaintiffs have established each of the elements of their prima facie case under § 107(a). 3 Nor does Keefe as *747 sert one of the defenses to liability potentially available under 42 U.S.C. § 9607(b). Rather, Keefe asks this Court to enter summary judgment on his behalf because, even if he were found liable under § 107(a), as a matter of equity he should not be made to bear any of plaintiffs’ response costs.

42 U.S.C. § 9613(f)(1) provides that in allocating contribution costs among liable parties, the Court may consider “such equitable factors as the court determines are appropriate.” Although CERCLA itself provides no precise list of equitable factors for the Court’s consideration, several courts have looked to the so-called “Gore factors” for guidance. American Cyanamid Co. v. Nascolite Corp., No. Civ.A. 92-CV-3394, 1995 WL 934871, at *6-7 (D.N.J. March 31, 1995). The “Gore factors” were proposed as an amendment to CERCLA in 1980 by then Congressman A1 Gore. Although the amendment was not passed, New Jersey courts have used the Gore factors to aid in the equitable allocation of contribution costs. (Id.). The Gore factors include:

1.

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

Related

Cite This Page — Counsel Stack

Bluebook (online)
91 F. Supp. 2d 743, 30 Envtl. L. Rep. (Envtl. Law Inst.) 20454, 50 ERC (BNA) 2110, 2000 U.S. Dist. LEXIS 4484, 2000 WL 352469, Counsel Stack Legal Research, https://law.counselstack.com/opinion/lenox-inc-v-reuben-smith-rubbish-removal-njd-2000.