Asarco LLC v. Union Pacific, et al

The issues on appeal to the Tenth Circuit in this case stem from pollution at a four-square-mile area in Denver where Debtor-ASARCO, Union Pacific Railroad Company, and Pepsi-Cola Metropolitan Bottling Company., Inc. all operated facilities. All companies allegedly contributed to the release of hazardous substances at the site. The Environmental Protection Agency brought a Comprehensive Environmental Response, Compensation and Liability Act (CERCLA) action against debtor-ASARCO which was pending when the company filed for Chapter 11 bankruptcy protection. The EPA filed proofs of claim in the bankruptcy case seeking recovery of ASARCO's portion of the cleaning expenses. ASARCO moved to settle the claims to resolve its CERCLA liabilities. ASARCO sought contribution from Union Pacific and Pepsi. The district court ruled: (1) that ASARCO's direct contribution claim was time-barred under CERCLA section 113 (42 U.S.C. ß 9613); (2) that post-bankruptcy ASARCO was not a subrogee of pre-bankruptcy ASARCO; (3) and that ASARCO could not bring a subrogation claim. ASARCO appealed all three of these rulings. Finding no reversible error, the Tenth Circuit affirmed the district court.View "Asarco LLC v. Union Pacific, et al" on Justia Law