ELR Citation: ELR 21318
No(s). 90 C 2204 (N.D. Ill. Apr 3, 1991)

The court holds that an Illinois corporation dissolved more than 15 years ago cannot compel its former insurer to defend it in a cost recovery action brought by the Environmental Protection Agency under the Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA). Federal Rule of Civil Procedure 17(b) provides that the capacity of a corporation to sue or be sued is determined by the law under which it was organized. Under Illinois corporate law, an action may not be brought by or against a corporation more than five years after it is dissolved. The court finds no authority that would permit the dissolved corporation to maintain a suit under CERCLA long after it has been dissolved.

Counsel for Plaintiff
Thomas T. Stepanich
33 N. County, Ste. 500, Waukegan IL 60085
(708) 623-1010

Counsel for Defendant
William G. Stone
200 W. Madison, Ste. 3670, Chicago IL 60606
(312) 853-6100