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RSR Corp. v. Commercial Metals Co.

RSR Corp. v. Commercial Metals Co.

United States Court of Appeals for the Sixth Circuit

April 23, 2007, Argued; July 18, 2007, Decided; July 18, 2007, Filed

File Name: 07a0268p.06

No. 06-3840

Opinion

 [*553]  [***1]   SUTTON, Circuit Judge. More than three years after signing a consent decree with the United States to pay for the environmental remediation of a contaminated industrial site in Arcanum, Ohio, RSR Corporation filed this lawsuit seeking contribution for the clean-up costs from Commercial Metals Company. Because the district court properly determined that RSR filed this contribution action after the three-year limitations period, see 42 U.S.C. § 9613(g)(3), we affirm.

From 1966 through 1982, Harold Shane reprocessed car, truck and industrial batteries at a facility  [**2] in Arcanum, Ohio. Shane received the batteries from several suppliers, including RSR and Commercial Metals. Toxic byproducts of the facility's activities included battery acid and a "lead  [***2]  oxide sludge[]," both of which seeped into the ground and eventually threatened local water supplies. JA 256.

In 1983, the EPA placed Shane's facility on the National Priority List, and the federal agency began cleaning up the site. See Amendment to National Oil and Hazardous Substance Contingency Plan; National Priorities List, 48 Fed. Reg. 40,658, 40,670 (Sept. 8, 1983) (codified at 40 C.F.R. pt. 300, app'x B). In 1989, the United States filed a lawsuit against Shane under the Comprehensive Environmental Response, Compensation and Liability Act (CERCLA) seeking "to recover response costs incurred by the United States" in cleaning up the site. JA 253; see 42 U.S.C. § 9607(a) ("[T]he owner and operator of . . . a facility . . . shall be liable for . . . all costs of removal or remedial action incurred by the United States Government . . . .").

 [*554]  Over the next nine years, the scope of the litigation expanded to include other potentially responsible parties. RSR entered the litigation as a fourth-party  [**3] defendant in November 1993. See 42 U.S.C. § 9607(a) ("[A]ny person who . . . arranged . . . for disposal or treatment . . . of hazardous substances . . . at any facility . . . shall be liable for . . . all costs of removal or remedial action incurred by the United States Government . . . ."). As the burgeoning litigation proceeded, the United States continued to clean up the site, eventually incurring more than $2,700,000 in response costs.

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496 F.3d 552 *; 2007 U.S. App. LEXIS 16991 **; 2007 FED App. 0268P (6th Cir.) ***; 37 ELR 20179; 64 ERC (BNA) 1961

RSR CORPORATION, Plaintiff-Appellant, v. COMMERCIAL METALS CO., Defendant-Appellee.

Subsequent History: Rehearing denied by, Rehearing, en banc, denied by RSR Corp. v. Commercial Metals Co., 2007 U.S. App. LEXIS 25162 (6th Cir. Ohio, Oct. 19, 2007)

Prior History:  [**1] Appeal from the United States District Court for the Southern District of Ohio at Dayton. No. 89-00383. Walter H. Rice, District Judge.

RSR Corp. v. Commer. Metals, Inc., 494 F. Supp. 2d 690, 2006 U.S. Dist. LEXIS 96473 (S.D. Ohio, 2006)

CORE TERMS

settlement, costs, damages, statute of limitations, consent decree, response costs, limitations period, cleanup, site, three-year, cost recovery, de minimis, administrative order, remedial action, district court, initial action, trigger, potentially responsible party, recovery of costs, parties, three year, cost-recovery, reimbursement, co-defendants, cleaning, date of judgment, remediation, hazardous, refers, responsible party

Environmental Law, Hazardous Wastes & Toxic Substances, CERCLA & Superfund, General Overview, Enforcement, Cleanup Costs, Cost Recovery Actions, Governments, Legislation, Statute of Limitations, Time Limitations, Contribution Actions, Settlements