$3M Alsol Cleanup Suit Not Barred By Ch. 11, EPA Says

Law360, New York (July 9, 2013, 5:49 PM EDT) -- The U.S. Environmental Protection Agency sought a New Jersey federal judge's nod on Monday to proceed with its $3 million Superfund cleanup suit against the bankrupt Alsol Corp., saying the action does not fall under the automatic stay provision in Chapter 11 bankruptcy protection.

The EPA cited precedent in the Third Circuit from 1988 and 2008, which held that enforcement actions under the Comprehensive Environmental Response, Compensation and Liability Act qualify for the Chapter 11 stay provision's exception for government bodies exercising their regulatory authorities.

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Case Information

Case Title

UNITED STATES OF AMERICA v. ALSOL CORPORATION et al


Case Number

2:13-cv-00380

Court

New Jersey

Nature of Suit

Environmental Matters

Judge

Katharine S. Hayden

Date Filed

January 18, 2013

Companies

Government Agencies

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