ENVIRONMENTAL LAW IN THE CONSTRUCTION CONTEXT

1. INTRODUCTION
2. COMPREHENSIVE ENVIRONMENTAL RESPONSE, COMPENSATION AND LIABILITY ACT OF 1980
   1. An Overview of CERCLA
   2. Liability Under CERCLA
3. RESPONSE ACTION CONTRACTORS UNDER CERCLA
   1. RAC Liability Exemption
   2. Indemnification of Response Action Contractors
   3. Indemnification Guideline
4. SURETY ISSUES UNDER CERCLA
   1. Bonds Required on Federal Project
   2. Surely's Reluctance to Bond RACs
   3. Legislation Extending Indemnification to Sureties
   4. Specific Provisions of New Section 119
   5. Additional Sure1y Concerns Under CERCLA
5. LIABILITY OF HAZARDOUS WASTE CLEANUP CONTRACTORS AND SURETIES UNDER TEXAS LAW
   1. Solid Waste Disposal Act and the Liability of Contractors
   2. Surety Bonds Required
6. SPECIAL ENVIRONMENTAL CONSIDERATIONS IN CONSTRUCTION ACTIVITIES
   1. Underground Storage Tanks
   2. Asbestos-Containing Materials
   3. Stormwater Management
7. CONCLUSION
8. Attachment 1: CERCLA SURETY INDEMNIFICATION PROVISION

Abstract

Environmental law is one of the fastest growing and most dynamic areas in the practice of law. In fact, environmental law has only existed as a recognizable discipline since the early 1970's. And, while environmental regulation was once confined to the province of traditional smokestack industries, today it impacts nearly every kind of enterprise and transaction. The purpose of this presentation is to alert you to those areas where environmental issues and construction law collide.

The Nation's new found commitment to protection and enhancement of the environment presents the construction industry with opportunities as well as challenges. The explosive growth in private and publicly-funded cleanups as well as capital projects which are required to meet more stringent standards could be very lucrative for construction concerns. On the other hand, operating in the environmental area can present the uninitiated with many perils -- the foremost of which are the law's expanding notions of strict liability and the insurance industry's hesitance to cover such risks. Consequently, those construction-oriented businesses which can recognize the traps and can overcome the tangle of government regulations should fare well in the 1990's, the so-called Decade of the Environment.

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