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ARTICLE · 23 NOVEMBER 2013

CERCLA’s Broad Sweep Of Liability For Owners

Some decisions are valuable not because they make new law but because they reaffirm well known principles of law.

United StatesEnvironment

Some decisions are valuable not because they make new law but because they reaffirm well known principles of law. City of Banning v. Dureau is one such decision.  There, a federal district court in California ruled that an owner of real property was strictly liable under CERCLA for the release of hazardous substances on her property and could not escape CERCLA liability by arguing that she was ignorant of the conditions giving rise to the release.   

Specifically, the owner had leased her property to an automotive shop.  When the tenant left the property, it apparently left drums of waste oil, which were turned over several years later by one of the homeless people who inhabited the property, causing over a million dollar cleanup.  Although the owner claimed to come within the innocent landowner defense in Section 107(b) of CERCLA, the court rejected that defense, holding that the owner had not exercised due care.  According to the court, the owner knew that the

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