Articles

Claims Against Railroads Survive Arranger Liability Rule

[September 1, 2009]

The U.S. Supreme Court's recent narrowing of superfund arranger liability does not shield a company from liability for arranging for the disposal of hazardous substances via the public sewer system, a federal district court held July 7 (Frontier Communications Corp. v. Barrett Paving Materials Inc., D. Me., No. 07-113, 7/7/09). Two railroad companies argued they cannot be held liable for arranging for the disposal of coal, tar, and other waste into a Maine river because of the Supreme Court's newly scaled-back definition of arranger liability. But the U.S. District Court for the District of Maine held that the allegations against the companies go far beyond a party's mere knowledge of leaks and spills of hazardous substances--the alleged acts of disposal for which the high court rejected the application of arranger liability in Burlington Northern & Santa Fe Railway Co. v. United States, 129 S. Ct. 1870, 68 ERC 1161 (2009) (18 EDDG 37, 5/21/09).  To read more download the full article above.