Supreme Court Clears Way for CERCLA Cost Recovery Actions

Suppose, under the threat of an enforcement action by an environmental agency, you spend money cleaning up a contaminated property for which you may bear some liability. Until last week’s Supreme Court decision in United States v. Atlantic Research Corp., it was uncertain whether—absent an enforcement action or lawsuit—you would be able to recover any of those costs from other potentially responsible parties under the Comprehensive Environmental Response, Compensation and Liability Act (CERCLA). Now, however, it is clear that Section 107 of CERCLA allows a potentially responsible party (PRP) under CERCLA  to recover costs from other PRPs in the absence of an enforcement or cost recovery action.