University:
Indiana University Bloomington
Course:
Financial and Managerial Accounting: Information for Decisions - John J. Wild
Academic year:

2024
Views:

212

Pages:

2
Author:

bratrochanter

Analysis of Environmental Law Scenarios 6. Gale Dean and RCRA Violations     Scenario: Gale Dean, production manager at GMF, was convicted of violating RCRA by knowingly storing and disposing of hazardous wastes without a permit. Dean argues that he was not the facility owner and that the materials were not hazardous because of how they were stored. Key Issues: 1. Does RCRA liability extend to non-owners like managers? 2. Does the method of storage affect whether materials are considered hazardous? Analysis: o RCRA criminalizes knowing violations of hazardous waste storage or disposal regulations, not limited to owners. As a manager, Dean directed waste handling and had the requisite knowledge of the hazardous nature of materials, as evidenced by the Material Safety Data Sheets (MSDS) and his admission of familiarity with RCRA. o The method of storage or disposal does not negate the hazardous classification if the waste meets the statutory definition, which was demonstrated here. Conclusion: Dean's arguments lack merit. His managerial role and actions directly contributed to violations, affirming his liability under RCRA. 7. General Electric’s Cleanup Cost Recovery    Scenario: General Electric (GE) acquired a site where Royal McBee Corporation had previously dumped hazardous cyanide waste. Decades later, EPA required GE to clean the site under CERCLA. GE seeks to recover cleanup costs from Litton Business Systems, the successor to Royal McBee. Key Issue: Can GE recover cleanup costs from Litton under CERCLA's provisions for past owners or operators? Analysis: o CERCLA establishes strict liability for parties responsible for hazardous waste disposal. This includes those who owned or operated a facility at the time of disposal. o Royal McBee’s direct role in dumping cyanide-based waste creates a liability chain that extends to its successor, Litton, assuming Litton retains responsibility for Royal McBee’s liabilities under corporate law. GE's claim is consistent with CERCLA's intent to hold all responsible parties accountable for remediation costs. Conclusion: GE is entitled to recover its cleanup costs from Litton, as Litton is legally linked to Royal McBee’s liability under CERCLA. o  Online Toxics Release Inventory (TRI) Data  Research Task: Locate TRI data for the user's state and identify major contributors to toxic releases into air and water. o TRI data is accessible on the EPA website (www.epa.gov/tri) or specific state environmental agency portals. Users can query reports by year, facility, chemical, and type of release (air, water, land). Key Environmental Law Takeaways 1. RCRA: Liability extends to any person knowingly involved in improper hazardous waste handling, not just facility owners. 2. CERCLA (Superfund): Liability applies retroactively to parties responsible for waste disposal, including corporate successors. 3. TRI Data: Public access to toxic release data fosters transparency and accountability, enabling citizens and businesses to monitor environmental impacts. Ethical Implications Businesses must consider their role in environmental stewardship, especially in handling hazardous materials, to prevent legal liability and protect public health.