United States v. Tzavah Urban Renewal Corp.

696 F. Supp. 1013, 19 Envtl. L. Rep. (Envtl. Law Inst.) 20, 1988 U.S. Dist. LEXIS 11349
CourtDistrict Court, D. New Jersey
DecidedOctober 11, 1988
DocketCiv. A. 88-3647
StatusPublished
Cited by14 cases

This text of 696 F. Supp. 1013 (United States v. Tzavah Urban Renewal Corp.) 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
United States v. Tzavah Urban Renewal Corp., 696 F. Supp. 1013, 19 Envtl. L. Rep. (Envtl. Law Inst.) 20, 1988 U.S. Dist. LEXIS 11349 (D.N.J. 1988).

Opinion

OPINION AND ORDER

LECHNER, District Judge.

The Government has made an application on behalf of the Environmental Protection Agency (“EPA”) for a preliminary injunction to abate a serious health hazard posed by dry asbestos, a known carcinogen and the cause of a debilitating lung disease, asbestosis. Defendants Tzavah Urban Renewal Corporation (“Tzavah”), Pinros/Gar Datsun Investments (“Pinros”), Henry Roth (“Roth”), Sol Mayer (“Mayer”) and Harry Hampel (“Hampel”) (collectively, “defendants”) own and/or operate a building located at 16 Park Place, Newark, New Jersey, formerly known as the Old Military Park Hotel. Defendants purchased the hotel from the city of Newark in August of 1986 and commenced renovation the following year. On October 16, 1987, defendants were contacted by the EPA and advised that the building was contaminated with asbestos and that the renovation work was being conducted in violation of the Clean Air Act and federal work practice standards for asbestos.

Over the past year, the EPA has repeatedly ordered defendants to comply with these regulations. The Government alleges that the defendants’ response has been inadequate and now requests that the court enjoin defendants to secure the facility, to properly collect and dispose of the friable asbestos containing material present on site, and to comply with the requirements of federal law and the administrative compliance orders previously issued to defendants. Although defendants have accelerated efforts to meet EPA’s concerns in recent weeks, their failure to comply fully and do so in a timely fashion warrants the exercise of the court’s equity powers. For the reasons discussed below, *1015 the Government’s motion for a preliminary injunction is granted.

Facts

The history of this case exemplifies the difficulties often encountered in the enforcement of environmental regulation. Defendants Mayer t/a Pinros and Roth purchased the Old Military Park Hotel, located at 16 Park Place, Newark, New Jersey, from the city of Newark for $250,000 in August of 1986. Hampel Affidavit, ¶ 3. Although Mayer and Roth were given an opportunity to inspect the facility before bidding, the city did not inform prospective buyers that the hotel was permeated with asbestos containing materials (“ACM”). 1 Hampel Affidavit, U 47. When defendants bought the building, it was in great disrepair and had been uninhabited for many years. The proposed renovation of the hotel was considered to be an urban renewal project. In order to qualify for the tax abatement offered such projects, the owners created Tzavah, an urban renewal corporation. 2 Hampel Affidavit, If 7.

In June of 1987, defendants engaged Creer Industrial Corporation to “gut” the hotel at a cost of $300,000. While this work was going on, Jose Rodriguez (“Rodriguez”), an EPA inspector, conducted an investigation of the site and concluded that the hotel was contaminated with asbestos. Rodriguez observed Creer employees throwing asbestos laced objects out of the windows of the building and noted an uncovered refuse pile next to the hotel which also contained ACM.

The workers were not wetting the debris before heaving it out of the windows; the refuse pile was also dry. 3 As a result, asbestos dust was being released into the air. Rodriguez Affidavit, II 6. Though the hotel is located in a commercial district, there are private homes situated nearby. Fitzpatrick Affidavit, H 5, Exhibit 3. An active garage stands to the right of the building, a government office to the left, and a municipal park across the street. The only fence surrounding the facility was' broken and hence passers-by could easily gain access to the contaminated hotel. Concerned with the danger to public health posed by the asbestos, Rodriguez immediately pursued his investigation.

Rodriguez tested five samples taken from the facility and found they all contained friable asbestos. 4 Renovation of buildings contaminated with asbestos is regulated by Section 112 of the Clean Air Act (the “Act”), 42 U.S.C. § 7412 and the National Emission Standard for Hazardous Air Pollutants (“NESHAP”), 40 C.F.R. Part 61, Subpart M. These regulations require owners and/or operators of facilities containing ACM to notify the EPA before commencing with renovation and/or demolition, 40 C.F.R. § 61.146, and prescribe various procedures for storage and removal of the asbestos. Tzavah failed to provide this notice. Rodriguez determined that the hotel contained approximately 9500 linear feet and 2500 square feet of ACM in the building. Rodriguez Affidavit, If 6b.

Apparently, defendants did not learn of Rodriguez’ visit until October 16. Hampel Affidavit, If 13. Defendants subsequently ordered Creer to stop work at the hotel and hired the Environmental Monitoring and Consulting Associates (“EMCA”), a testing laboratory, to conduct an independent analysis of the premises. Hampel Affidavit, If 18. There is some confusion regarding the timing and substance of Rodriguez’ ensuing communications with the defendants. (Compare Rodriguez Second Affidavit, UK 3-5 and Hampel Affidavit, 111116-18.) According to Rodriguez, he spoke with de *1016 fendant Hampel on October 16, 1987 and told him that there were probably numerous, serious asbestos violations at the hotel and that Tzavah must comply with the EPA asbestos regulations at 40 C.F.R. Part 61, Subpart M. Rodriguez states: “It was my understanding that [Hampel] would read the asbestos regulations and comply with them fully.” Rodriguez Second Affidavit, 11 6.

Hampel recalls that this conversation took place on October 29 and that Rodriguez merely informed him that any additional removal would have to be carried out by an approved asbestos removal contractor. Hampel Affidavit, 1117. That day, Hampel wrote Rodriguez, advising him that all work at 16 Park Place had ceased, EMCA had been retained, efforts were being made to retain an engineer knowledgeable in asbestos removal and a certified contractor would be hired to remove the asbestos and ACM upon receipt of the test results. Hampel Affidavit, H 18, Exhibit D. Defendants received their test results confirming the presence of asbestos in the hotel on November 9, 1987. Hampel Affidavit, H 19, Exhibit E. However, no efforts were made toward removing the asbestos until July of 1988.

On December 9, 1987, EPA issued Tza-vah Compliance Order Index No. 70234, mandating compliance with 40 C.F.R. Part 61, Subpart M during all renovations and/or demolitions in which friable asbestos is present. Rodriguez Affidavit, II8, Exhibit 4. In letters, dated December 23, 1987 and January 28, 1988, Tzavah assured EPA that it was proceeding to remedy the violations and to comply with the asbestos NESHAP regulations and EPA’s order.

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Bluebook (online)
696 F. Supp. 1013, 19 Envtl. L. Rep. (Envtl. Law Inst.) 20, 1988 U.S. Dist. LEXIS 11349, Counsel Stack Legal Research, https://law.counselstack.com/opinion/united-states-v-tzavah-urban-renewal-corp-njd-1988.