4th Circ. Weighs In On Bona Fide Purchaser Defense
May 15, 2013, 12:42 PM EDT
Law360, New York (May 15, 2013, 12:42 PM EDT) -- On April 4, 2013, the Fourth Circuit issued a ruling in PCS Nitrogen Inc. v. Ashley II of Charleston that, among other things, may limit the availability of the bona fide prospective purchaser (BFPP) defense that Congress added to the Comprehensive Environmental Response, Compensation and Liability Act in the Small Business Liability Relief and Brownfields Revitalization Act.
This is the first time that a federal appellate court has ruled on the limits and boundaries of the BFPP defense. Congress added the BFPP exception “to promote the...