ELR Citation: ELR 20553
No(s). 84-0159-BG(CS) (W.D. Ky. Aug 1, 1989)

The court holds that a chemical distributing company and its managing shareholder are liable under §107 of the Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA) for the goverrnment's cleanup costs at a hazardous waste site in Kentucky. An investigation of a pond near the chemical company's facility revealed that contaminants in the pond coincided with chemicals used at the company's facility. The court, in granting summary judgment for the government, found that6 the chemical company and its managing shareholder were aware that the government's CERCLA, the chemical company's plant constituted a "facility." Moreover, there had been a "release" or "threatened release" of a hazardous substance. The court holds that the managing shareholder, who admitted that he inspected the company's warehouse and drums daily, personally supervised employees on chemical handling and transferring, and retained the discretion to fire employees for failure to comply with his instructions, fits CERCLA's definition of an "owner or operator" and is liable for cleanup costs. The evidence that the managing shareholder presented in opposition to the government creates no material issue of fact that would rebut the government's scientific evidence and preclude granting summary judgment.

Counsel for Plaintiff
Anna C. Thode
Land and Natural Resources Division
U.S. Department of Justice, Washington DC 20530
(202) 622-1197

Counsel Pro Se
Wendell Capps
1503 Officer's Row, Vancouver WA 98661