EPA v. Mercury Marine

Case summary

This case addresses violations of the Clean Air Act (CAA) by Mercury Marine, a division of the Brunswick Corporation of Lake Forest, Illinois. Mercury Marine imports and sells a variety of marine outboard, inboard, and sterndrive and jet drive engines. On April 11, 2014 Mercury Marine received a customer inquiry regarding the emission control information label on a recently installed engine manufactured by Mercury Marine. The emission control information label stated that the engine was for export only. A subsequent internal investigation followed revealing that 52 engines were purchased from the close-out list, and 49 of these engines were sold to ultimate purchasers in the United States. These engines are subject to the CAA certification requirements. These engines were not certified because they did not conform to the EPA engine emission standards. The subject engines remained in production for the 2013 model year for export only sales. C.F.R. ? 1068.30. The EPA was notified of the violation in a disclosure letter on April 29th, 2014. Model year 2013 marine spark-ignition propulsion engines are generally governed by 40 C.F.R. Parts 1045 and 1068. 40 C.F.R. ? 1045.1. Starting with model year 2010, all outboard engines must satisfy air pollutant emission standards in 40 C.F.R. ? 1045.103. These exhaust emission standards impose limits on emissions of hydrocarbon and oxides of nitrogen, and carbon monoxide. A person may not sell, offer for sale, introduce or deliver into commerce in the United States or import into the United States any outboard and personal watercraft engine unless it is covered by a Certificate of Conformity (COC) and has the required label or is otherwise exempt from the prohibition on importing uncertified outboard engines. 40 C.F.R. ?? 1045.605, 1045.101(a)(1). A COC covers only those engines which conform in all material respects with the engine tested for and described in the COC application. 40 C.F.R. ?? 1068.101(a)(1)(i), 1068.103(a). Uncertified engines may be exempt for export only if they will not be placed into service in the United States. 40 C.F.R. ? 1068.230(a). The engines are no longer exempt if they are ?sold or offered for sale to an ultimate purchaser in the United States.? 40 C.F.R. ? 1068.230(b). The violations involve Mercury Marine?s sale of 49 uncertified marine spark-ignition outboard and personal watercraft engines. For the 2013 model year, Mercury Marine built and sold 52 spark-ignition outboard and passenger watercraft engines. The engines were originally certified in model year 2012 under engine family CM9XM03.02CO. The subject engines were not certified for model year 2013. As part of the settlement, Mercury Marine paid a civil penalty of $92,000 to the U.S. Treasury. This penalty reflects a 75 percent reduction to the gravity component of what would otherwise have been the appropriate penalty in this matter had Mercury Marine not disclosed the violations described above in satisfaction of conditions (2) through (9) of EPA's Audit Policy. Incentives for Self-Policing: Discovery, Disclosure, Correction and Prevention of Violation, 65 Fed. Reg. 19,618, 19,625-26 (April 11, 2000).

Defendants (1)

• Mercury Marine, division of Brunswick CorporationNamed in complaintNamed in settlement

Facilities (1)

• MERCURY MARINE

  1 NORTH FIELD COURT, LAKE FOREST, IL, 60045

  Registry ID: 110064838779

Statutes cited

• CAA 213 — Non-road Engines & Vehicles

Enforcement conclusions (1)

• Mercury Marineentered 2015-07-27

  Primary law: CAA

  Federal penalty: $92,000

Timeline (4 milestones)

• 2015-07-27Final Order Issued
• 2015-07-27Complaint Filed/Proposed Order
• 2015-08-05Enforcement Action Closed
• 2015-09-14Enforcement Action Data Entered