The Institute of Scrap Recycling Industries (ISRI) announced it has opened its Superfund Recycling Equity Act (SREA) Reasonable Care Compliance Program to nonmembers. The SREA Reasonable Care Compliance Program offers detailed reports on consuming facilities’ environmental compliance records. Doing such due diligence on facilities can assist recyclers with the defense of a superfund liability claim as a way of showing “reasonable care,” according to ISRI.
“Superfund liability can be expensive for recyclers if they have not done their due diligence. The cost could potentially put companies out of business,” said Robin Wiener, president of ISRI, in a statement. “The SREA Reasonable Care Compliance Program provides recyclers with publicly available compliance records on consuming facilities to aid with SREA’s due diligence requirements. ISRI decided to make the compliance program more widely available so the entire industry can access this comprehensive information that is so critical to the SREA liability defense.”
Federal superfund law can hold scrap processors and brokers liable for cleanup costs of consuming facilities’ properties if the owners are bankrupt or otherwise unable to pay for cleanup costs. Under SREA, recyclers can employ a valid defense to a claim for superfund liability if they shipped recyclable materials and conducted “reasonable care” to ensure they did not ship to facilities not in compliance with environmental laws.
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