EPA v. NATIONAL LACQUER AND PAINT COMPANY (CERCLA)

Case summary

7/16/2015: Defendant William Lerch and plaintiff the US have filed an agreed motion to approve the settlement between them. The US originally filed this suit against Lerch, Stephen Pedi, and the Capital Tax Corporation in an attempt to recover response costs under CERCLA. On 8/1/2007, the Court ruled that defendants Lerch and Capital Tax were jointly and severally liable to the US in the amount of $2,681,337.79. Six weeks later, on 9/18/07, the Court entered a CD, pursuant to which defendant Pedi agreed to pay the US $330,000.00. This reduced the amount for which Lerch and Capital Tax were jointly and severally liable. The same day, the Court entered final judgment against Lerch and Capital Tax, jointly and severally, in the amount of $2,351,337.79. In addition, Lerch was liable for a civil fine of $220,100.00 and a penalty of $23,100.00 The parties agree that the amount Lerch currently owes on the judgment is $2,199,791.53. The parties, who have already engaged in significant post judgment enforcement proceedings, have agreed to settle for $350,000.00. Lerch and the government ask the Court to approve their settlement, which would mean Lerch would not be liable for contribution with respect to matters in the settlement. THIS REFERRAL REQUESTS THAT THE CIVIL ACTION BE TAKEN TO RECOVER COSTS INCURRED AND TO BE INCURRED WHILE PERFORMING A TIME CRITICAL REMOVAL ACTION AT THE SITE AS WELL AS RECOVERING PENALTIES OF PUNITIVE DAMAGES FROM THE DEFENDANTS FOR VIOLATION OF A UNILATERAL ADMINISTRATIVE ORDER ISSUED TO THEM PURSUANT TO SECTION 106 OF CERCLA. SEE 05-2003-0434 AND 05-2003-0443 FOR DETAILS ON THE UNILATERAL ADMINISTRATIVE ORDERS

Defendants (4)

• CAPITAL TAX CORPORATIONNamed in complaintNamed in settlement
• STEVEN J. PEDINamed in complaintNamed in settlement
• WILLIAM LERCHNamed in complaintNamed in settlement
• MERVYN DUKATTNamed in settlement

Facilities (1)

• NATIONAL LACQUER & PAINT CO

  7415 S GREEN ST, CHICAGO, IL, 60621

  Registry ID: 110071102067

Statutes cited

• CERCLA 107A — Cost Recovery
• CERCLA 106A — Imminent & Substantial Endangerment Order

Enforcement conclusions (3)

• NATIONAL LACQUER AND PAINT COMPANY (CERCLA)entered 2013-01-11

  Primary law: CERCLA

• NATIONAL LACQUER AND PAINT COMPANY (CERCLA)entered 2015-07-16

  Primary law: CERCLA

• NATIONAL LACQUER AND PAINT COMPANY (CERCLA)entered 2007-09-18

  Primary law: CERCLA

Timeline (6 milestones)

• 2003-11-05Referred To Dept Of Justice
• 2004-03-09Enforcement Action Data Entered
• 2004-06-21Complaint Filed With Court
• 2012-09-14Supplemental Referral-Other
• 2015-07-16Final Order Entered
• 2015-07-16Final Order Lodged