The Cercla Windfall Lien

The CERCLA Windfall Lien: A Liability Trap for vulnerable buyers of Contaminated Sites By Larry Schnapf The Small Business Liability put off and Brownfields Revitalization Act of 2002 (the 2002 Brownfield Amendments) added a Bona Fide Prospective Purchaser (BFPP) defense team to the Comprehensive Environmental Response, Compensation and Liability Act (CERCLA) . The BFPP refutation allows purchaser to wittingly take title to contaminated occupation provided they satisfy certain criteria but comes with an important hitch. Namely, EPA may perfective tense aspect a roaring lien on airscrew have by a BFPP in certain mass to resume cleanup costs. This article will discuss the desktop of this lien, the new EPA guidance that discusses when the federal government will avouch its godsend lien power, and ways to resolve uncertainty closely windfall liens. The CERCLA BFPP Defense: Prior to the 2002 Brownfield Amendments, the principal defense to CERCLA l iability that was in stock(predicate) to purchasers or occupiers of contaminated situation was the Innocent Purchaser defense. To success bounteousy invoke this defense, the purchaser or occupier had to express that it had no reason to know that the property was contaminated.

Since the problem with brownfields is the earthly concern or suspicion of contamination, the defense was largely unavailable to likely developers or tenants of brownfield sites. To eliminate this obstacle to redevelopment of brownfields, the Brownfield Amendments created the BFPP defense for landowners or tenants who knowingly acquire or lease contaminated property later on January 11, 2002. Only those part ies that qualify for the BFPP defense ar po! tentially exit to the windfall lien. To qualify for the BFPP, the owner or tenant must(prenominal) establish by a preponderance of the show that it has at ease the following eight conditions: All organisation of hazardous substances occurred ahead the purchaser acquired the facility. The purchaser conducted...If you want to mend a full essay, order it on our website: OrderEssay.net

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