ELR Citation: ELR 20179
No(s). K87-372-CA4 (W.D. Mich. Feb 9, 1989)

The court holds that Michigan has adequately stated a claim under the Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA) against two corporate officials of a company allegedly liable for CERCLA response costs. Michigan alleges that one individual is the controlling stockholder and chairman of the board of the defendant corporation, and that he had the overall responsibility for the operation and management of the plant. The state alleges that the other individual is a shareholder and president of the corporation, and that he directly oversaw the daily management of the plant. The court holds that the state properly plead that defendants are liable under CERCLA §107(a) for response costs as owners and operators of the plant. Further, the case law suggests that corporate officers can be held liable under CERCLA depending on an officer's degree of knowledge, responsibility, opportunity, control, and involvement in the disposal process.

Counsel for Plaintiffs
Stanley F. Pruss, Ass't Attorney General
Environmental Protection Division
Law Bldg., Lansing MI 48913
(517) 373-1110

Counsel for Defendants
Charles M. Denton
Varnum, Riddering, Schmidt & Howlett
121 Monroe Ave. NW, Ste. 171, Grand Rapids MI 49503
(616) 459-4186

Jay E. Brant
Honigman, Miller, Schwartz & Cohn
2290 First National Bldg., Detroit MI 48226
(313) 256-7800