United States v. Outboard Marine Corp.

104 F.R.D. 405, 22 ERC 1124, 39 Fed. R. Serv. 2d 1376, 22 ERC (BNA) 1124, 1984 U.S. Dist. LEXIS 23972
CourtDistrict Court, N.D. Illinois
DecidedAugust 30, 1984
DocketNo. 78 C 1004
StatusPublished
Cited by15 cases

This text of 104 F.R.D. 405 (United States v. Outboard Marine Corp.) is published on Counsel Stack Legal Research, covering District Court, N.D. Illinois primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
United States v. Outboard Marine Corp., 104 F.R.D. 405, 22 ERC 1124, 39 Fed. R. Serv. 2d 1376, 22 ERC (BNA) 1124, 1984 U.S. Dist. LEXIS 23972 (N.D. Ill. 1984).

Opinion

MEMORANDUM OPINION AND ORDER

GETZENDANNER, District Judge:

This water pollution suit involves an accumulation of polychlorinated biphenyls (“PCBs”) in the Waukegan Harbor and other navigable waters adjacent to the Waukegan, Illinois facility of the Outboard Marine Corporation (“OMC”). The PCBs allegedly were discharged from OMC’s facility, and they allegedly came from PCB-bearing industrial fluids sold to OMC by Monsanto Company. The United States has sought an injunction requiring OMC and Monsanto to clean up the Waukegan Harbor. After several years of litigation, however, the United States has decided to clean the Harbor up by itself (along with intervenor the State of Illinois), intending to file another suit at a later date to recover the costs of the cleanup. The United States, joined by Illinois, now seeks dismissal of this action. OMC and Monsanto oppose dismissal, OMC asking alternatively that the case be dismissed with prejudice. As explained more fully below, the court will dismiss this action, and dismissal shall be with prejudice generally, but without prejudice to a future suit to recover the costs of cleaning up the Harbor. The court’s ruling does not constitute an endorsement of the proposed cleanup plan, but rather is based on an acknowledgment that the United States can proceed with cleanup operations without obtaining prior court approval.

I. BACKGROUND

The United States filed suit against OMC on March 17, 1978. OMC brought Monsanto in as a third-party defendant on November 16, 1978, and on July 22, 1980 the United States filed its Amended Complaint, which asserted claims directly against Monsanto. The United States’ claims against Monsanto have been dismissed, but OMC’s third-party claims remain alive, as do cross-claims which Monsanto has asserted against OMC. The State of Illinois is party to the case as intervenor, but for simplicity’s sake the court will defer discussion of Illinois’ role until the end of this opinion.

The United States’ current complaint is its Second Amended Complaint, which it filed on February 2, 1982, for the purpose of adding a count against OMC under § 106(a) of the Comprehensive Environmental Response, Compensation, and Liability Act of 1980 (“CERCLA” or “Super[408]*408fund”), 42 U.S.C. § 9606(a). The Second Amended Complaint contains seven counts, four of which have been dismissed for failure to state a claim upon which relief can be granted. Counts III (asserted against OMC) and V (asserted against Monsanto), brought under the federal common law of nuisance, were dismissed by order dated May 24, 1982. Counts VI and VII, asserting claims against Monsanto under the Illinois common law of products liability and under the Refuse Act, § 13 of the Rivers and Harbors Act of 1899, 33 U.S.C. § 407, were dismissed by order dated September 30, 1982. United States v. Outboard Marine Corporation, 549 F.Supp. 1032 (N.D.Ill.1982). The three remaining counts, Counts I, II, and IV, assert claims against OMC under the Refuse Act, under § 309 of the Clean Water Act, 33 U.S.C. § 1319, and under § 106(a) of CERCLA. The court denied OMC’s motions to dismiss these counts in two orders dated October 8, 1982. United States v. Outboard Marine Corporation, 549 F.Supp. 1036, 556 F.Supp. 54 (N.D.Ill.1982). With the exception of civil penalties sought only under Count II, all seven counts seek the same relief—a mandatory cleanup injunction primarily requiring the removal of accumulated PCBs from the Waukegan Harbor.

OMC’s motions to dismiss Counts I, II, and IV argued mainly that mandatory injunctions generally are not available to require private parties to clean up accumulated hazardous substances. The Clean Water Act and CERCLA both contain provisions under which the United States may conduct its own cleanup of hazardous substances and then sue to recover its cleanup costs. 33 U.S.C. § 1321; 42 U.S.C. §§ 9604, 9607. OMC argued that these and other provisions preclude issuance of mandatory cleanup injunctions under 33 U.S.C. § 1319(b) and 42 U.S.C. § 9606(a). OMC also argued that the 1972 amendments to the Clean Water Act preempted the issuance of injunctions to enforce the Refuse Act, 33 U.S.C. § 407, which does not explicitly authorize the granting of injunctive relief. The court rejected these arguments, holding that the requested injunctive relief is available under all three statutes. 549 F.Supp. 1035; 556 F.Supp. 54. On November 12, 1982 OMC filed a motion to reconsider the court’s orders, again arguing that injunctive relief is not available. The court informed the parties that it would give OMC’s motion serious consideration, and, in a departure from its usual practice respecting pre-trial motions, the court set the matter for oral argument. The court’s order dated February 18, 1983 formulated specific questions to be addressed during argument, all relating to the availability of (or to the standards for granting) mandatory injunctive relief under the statutes in question.

At some point along the way, the United States decided to cease its efforts to obtain a mandatory cleanup injunction, and instead to conduct its own cleanup, to be followed by a suit to recover its cleanup costs. On February 25, 1983 the United States filed what purported to be a notice under Fed.R.Civ.P. 41(a)(1)(i), dismissing Count IV, the CERCLA injunction count, without prejudice. OMC objected, and at the court’s suggestion the United States filed an alternative motion to dismiss Count IV under Fed.R.Civ.P. 41(a)(2), without waiving its claim to dismiss Count IV as of right. On March 21, 1983 the United States, joined by Illinois, moved for a stay of proceedings during the pendency of a government cleanup under § 104 of CERCLA, 42 U.S.C. § 9604. OMC and Monsanto opposed the United States’ proposal, and Monsanto filed a motion to bifurcate under Fed.R.Civ.P. 42(b), requesting an early trial of certain issues before any government cleanup. Although these motions were briefed on the understanding that the court would decide them promptly, on July 26, 1983, at the parties’ suggestion, the court stayed consideration of the motions until after the EPA issued a final version of its proposed government cleanup.

The EPA proceeded with its administrative determination, including public meetings and comment periods. On May 15, 1984 the EPA issued the final version of its report, in the form of a Record of Decision [409]*409(“ROD”) supporting its selection from among different alternative cleanup remedies.

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104 F.R.D. 405, 22 ERC 1124, 39 Fed. R. Serv. 2d 1376, 22 ERC (BNA) 1124, 1984 U.S. Dist. LEXIS 23972, Counsel Stack Legal Research, https://law.counselstack.com/opinion/united-states-v-outboard-marine-corp-ilnd-1984.