James purchased an abandoned lot. When he started to develop the land, he discovered several underground storage tanks containing hazardous waste buried on the site. He claims the seller, Richard, is liable to him for the cost of removing the tanks
Richard claims he owned the lot for 20 years and never knew of the underground tanks. Richard argues he purchased the land from Thomas and that Thomas or his heirs are liable for the cost of removing the underground tanks. Explain whether Richard is liable to James. Does Thomas or do his heirs have any liability to James or Richard?
Richard, as the seller of the land, is liable to James for the cost of removing the storage tanks containing the hazardous waste. Under the Comprehensive Environmental Response, Compensation, and Liability Act, usually referred to as the Superfund Act, anyone who has ever owned a site where hazardous waste is found is liable for the cost of the cleanup. It is irrelevant whether the owner knew of the existence of the waste.
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Thomas, if still living, is also liable to either Richards or James. Only if Thomas's heirs have ever owned the land, or if there had been a contract that created potential liability for the heirs, would they be liable for the cost of cleanup.
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