Legal Title to Property May Not Always Result in Liability as an Owner under CERCLA

The meaning of “ownership” under the Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA) is not as straightforward as most people believe. Although liability under section 107(a)(1) is imposed upon a current “owner” or operator of a facility, CERCLA provides little guidance because it defines “owner” as “any person owning” a facility. In most cases, the issue of who owns the property or a facility is readily apparent and not controversial; however, this article discusses cases in which courts have been compelled to critically examine the specific facts of the case and state law to determine whether a particular party is an “owner” for purposes of establishing liability under CERCLA.