United States v. Atlantic Richfield
This case involves a CERCLA cost recovery suit brought by the United States and the State of Texas against numerous companies for hazardous substance releases at the Sikes Disposal Pits Site in Harris County, Texas. The Sikes site, an unpermitted waste disposal facility, caused widespread soil and water contamination, leading to a major EPA-led remedial action completed in 1995, costing over $125 million. Defendants moved for summary judgment, arguing the action was time-barred under CERCLA's six-year statute of limitations, claiming "physical on-site construction of the remedial action" commenced before the critical date of October 1, 1990. The Court, applying a four-part test, determined that preliminary activities like fencing, air monitoring, site clearing, and temporary road/trailer placement did not constitute the "initiation of physical on-site construction of the remedial action" because they were either removal actions, too preliminary, or not directly tied to the core remedy of incineration. Consequently, the Court DENIED the Defendants' motions for summary judgment and GRANTED the Plaintiffs' cross-motion, ruling that the statute of limitations was not triggered before October 1, 1990.