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1 1 (June 16, 2021)

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Supreme Court Clarifies CERCLA Provisions
for Recouping Cleanup Costs
June 16, 2021
On May 24, 2021, the Supreme Court issued an opinion in Guam v. United States that could expand the
ability to recover cleanup costs under the Comprehensive Environmental Response, Compensation, and
Liability Act (CERCLA). CERCLA, the Superfund statute, provides two avenues for lawsuits to recoup
costs for the cleanup of contaminated sites. The Guam decision clarified the relationship between these
separate CERCLA provisions.
This Sidebar explains CERCLA's framework for parties to recoup cleanup costs, discusses the Guam
decision, and considers the implications of the decision. As discussed below, the Court's ruling allows the
Territory of Guam to proceed with its cost-recovery claim against the United States for costs associated
with cleaning up the Ordot Dump. More broadly, the ruling could expand parties' ability to recover
cleanup costs, particularly from federal agencies that bear some responsibility for contaminating a given
site. It could also alter the scope and timing of settlement negotiations to resolve liability under CERCLA
and other environmental statutes.
Background on CERCLA
Congress enacted CERCLA to clean up the release of hazardous substances, pollutants, or contaminants
across the United States and to hold the parties connected to those sites responsible for cleanup costs.
CERCLA provides that potentially responsible parties (PRPs) may be compelled to perform or pay for
the cleanup of contaminated sites. The statute includes two provisions that allow parties that incur cleanup
costs to recoup all or part of their costs from PRPs: cost-recovery actions under Section 107(a)(4)(B), and
contribution actions under Section 113(f). A federal agency may face liability under either provision if its
connection to a site renders it a PRP.
First, Section 107(a)(4)(B) of CERCLA allows any person to sue a PRP to recover any other necessary
costs of response that that person has incurred. These lawsuits are known as cost-recovery actions.
Cost-recovery actions under Section 107(a) are subject to a six-year statute of limitations, which begins
upon the initiation of the remedial action (typically a long-term, permanent remedy for the contaminated
site).
Congressional Research Service
https://crsreports.congress.gov
LSB10609
CRS Legal Sidebar
Prepared for Members and
Committees of Congress

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