Category: Environmental and Green Issues

Commercial Tenant Relieved of Duty to Maintain Common Areas in N.J. Appellate Division Decision

Commercial tenants in multi-tenant shopping centers can now breathe a sigh of relief as the New Jersey Appellate Division in Kandrac v. Marrazzo’s Market of Robbinsville, safeguards the boundaries of commercial tenant liability for business invitees, reiterating that a commercial tenant does not owe a duty to its patrons to maintain a common area, such as a parking lot, that the landlord is contractually obligated to maintain.

New York Court of Appeals Clarifies Relationship Between SEQRA and Brownfield Cleanup Act

On October 23, 2012, the New York Court of Appeals handed down its decision in Bronx Committee for Toxic Free Schools v. New York City School Construction Authority. In it, the Court held that the public notice procedures that the School Construction Authority followed under the New York State Brownfield Cleanup Act (BCA) did not satisfy the related, but distinct public notice and comment obligations under the State Environmental Quality Review Act (SEQRA).

NJDEP Temporarily Waives Permitting Requirements For Rebuilding Infrastructure After Sandy

On November 3, 2012, less than five days after Hurricane Sandy washed away much of the Jersey Shore and its infrastructure, NJDEP Commissioner Bob Martin signed Administrative Order No. 2012-13 (the “Order”), temporarily waiving permitting requirements for State, County and Municipal agencies seeking to rebuild after the storm. The swift action of NJDEP unleashed a storm of its own from critical environmentalists worried that the rush to rebuild the devastated areas would recreate the same vulnerabilities.

N.J. Appellate Court Clarifies That Owners of Pre-1993 Property Must Prove Due Diligence During Acquisition Under the Innocent Purchaser Defense Codified in the Spill Act

On October 29, 2012, as Hurricane Sandy began its assault on the State, a New Jersey Appellate Court in New Jersey School Developments Authority v. Marcantuone created its own “storm” in Spill Act jurisprudence by holding that purchasers of contaminated property prior to September 14, 1993, can be liable under the Spill Act if they failed to conduct due diligence prior to purchase. In reaching this conclusion, the Appellate Division held that the long-standing 2001 decision in White Oak Funding, Inc. v. Winning had been superseded, in part, by the 2001 amendments to the Spill Act (“2001 Amendments”), which had been adopted a few weeks before the White Oak decision and became effective a week after the decision.

Environmental Issues a Growing Concern for Companies

As companies in the northeast region take advantage of an improving real estate market, in the face of aggressive agency enforcement, and complex environmental programs and policies, the need for environmental counsel to assist with transactions, navigate potential pitfalls, and mitigate future liability, has become essential. In a recent article published by The Metropolitan Corporate Counsel, three new Gibbons Directors – William Hatfield, Camille Otero, and David Freeman – discuss the firm’s strategic decision to expand the practice group, the growth of the environmental law market, and how their experience can assist clients in this expanding field.

NJ Supreme Court Clarifies Nexus Standard Under Spill Act

In NJDEP v. Dimant, et al., the Department filed suit under New Jersey’s Spill Compensation and Control Act (the “Spill Act”), alleging that the defendant, Sue’s Clothes Hanger, Inc. (“Sue’s”), a dry cleaning business, was responsible for damages related to groundwater contamination on various properties in Bound Brook. The sole evidence supporting DEP’s claim for damages against Sue’s rested on a pipe that was found dripping perchloroethylene (PCE) onto a driveway in the late 1980s. The trial court judge ruled that the DEP had not sufficiently proved a nexus between the PCE dripping from Sue’s pipe in the 1980s and the groundwater contamination at issue. The plaintiffs appealed.

Gibbons Real Property & Environmental Team Members Contribute Chapter in Brownfields Publication

David A. Brooks and Paul M. Hauge, both members of the Gibbons Real Property & Environmental Department, contributed a chapter in Implementing Institutional Controls at Brownfields and Other Contaminated Sites. Edward F. McTiernan, Deputy Counsel with the New York Department of Environmental Conservation, co-authored the chapter with Mr. Brooks and Mr. Hauge.

NY Court Denies Summary Judgment in Seemingly Clear-Cut Case Under NY Navigation Law

An upstate Supreme Court Justice has denied summary judgment on liability under Section 181 of the state’s Navigation Law against a company whose predecessor owned and operated a petroleum refinery on the site for almost 60 years. The decision in One Flint Street LLC v. Exxon Mobil Corp, et al., Index No. 2011/4470 (July 18, 2012, Monroe Co. Sup. Ct.) establishes a high bar for obtaining summary judgment in Nav Law cases.

Significant Amendments to New York’s SEQRA Regulations in the Works

On July 11, the New York State Department of Environmental Conservation (NYSDEC) released the draft scope for the Generic Environmental Impact Statement (GEIS) on proposed amendments to the regulations that implement the State Environmental Quality Review Act (SEQRA). These amendments, intended to streamline the SEQRA process, would create a number of significant changes to the regulations, the first changes since 1996.

Gibbons Real Property & Environmental Department Adds David Freeman to the New York Office

David J. Freeman, formerly head of the Environmental Practice Group at the New York City office of Paul Hastings, has joined Gibbons P.C.’s New York office as a Director in the Real Property & Environmental Department. Mr. Freeman represents the buyers, sellers, and developers of properties in all environmental law areas including brownfields, due diligence, hazardous waste cleanups, and sustainability. He also litigates matters related to remediation, cost recovery, property damage, and exposure to toxic substances.