ELR Citation: 42 ELR 20216
No(s). 11-CV-252-GKF-PJC (N.D. Okla. Oct 12, 2012) (Cleary, J.)

A district court held that the bar to transfer of CERCLA liability applies to contribution claims brought between and among third parties, not just the U.S. government. CERCLA §107(e)(1) provides that "no indemnification, hold harmless, or similar agreement or conveyance shall be effective to transfer from the owner or operator of any vessel or facility or from any person who may be liable for a release or threat of release under this section, to any other person the liability imposed under this section." It also states that "nothing in this subsection shall bar any agreement to insure, hold harmless, or indemnify a party to such agreement for any liability under this section." A number of courts have noted the apparent conflict between these two sentences, but the majority have interpreted the provision as allowing apportionment of CERCLA damages pursuant to indemnification agreements while barring transfer of the underlying statutory liability. The court ruled that while generally it is the government seeking to enforce the statute, the provision applies to third parties as well.