Asked by Amber Glenn on May 16, 2024

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ChemMix Company is a subsidiary of Diversified Industries Inc. ChemMix operates a hazardous waste disposal site. Electrical Supply Corporation is one of many parties who generate waste disposed of at the site. ChemMix borrows money from First State Bank, which takes over the site when ChemMix goes bankrupt. The Environmental Protection Agency discovers a leak at the site. Can any of these private parties be forced to pay for the clean up? If so, who?

Hazardous Waste Disposal

The process of safely disposing materials that are dangerous to human health or the environment in compliance with regulatory standards.

Environmental Protection Agency

A government agency responsible for the regulation and enforcement of laws aimed at protecting the environment.

  • Discern the effects of non-adherence to environmental laws and guidelines, including financial sanctions, prohibitive orders, and culpability.
  • Analyze the role of various entities (corporations, government bodies, banks) in managing hazardous waste and their responsibilities under environmental laws.
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LM
Lesley MartinezMay 22, 2024
Final Answer :
Any of the private parties mentioned in the question can be required to pay the entire cost for the clean up of the site.
Under the Comprehensive Environmental Response, Compensation and Liability Act (CERCLA), potentially responsible parties on whom such costs may be imposed include persons who generated wastes disposed of at the site (Electrical Supply)and persons who owned or operated the site at the time of the disposal (ChemMix). ChemMix's parent Diversified Industries may also be liable, as may First State Bank and any other lender who actually participates in managing a hazardous waste disposal site that requires a clean up.