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Environmental law

Supreme Court Rules Ecuadoreans Can Sue Chevron in Canada

The Canada Supreme Court has ruled that Ecuadoreans can sue Chevron and its Canadian subsidiary within that country to enforece a $9.5 billion judgment in Ecuador, The Globe and Mail's Sean Fine reports. Fine notes that the ruling weakens the corporate veil between a corporate parent and its subsidiary and "has major implications for Canadian multinational companies whose business activities raise environmental or human-rights concerns around the globe."

Environmental Groups Seek to Contain Fallout From Supreme Court's Mercury Ruling

Now that the U.S. Supreme Court has struck down the Environmental Protection Agency's power plant regulations, environmental groups say that the decision was narrow and temporary, The Washington Post's Steven Overly report.

The court ruled that the EPA should have considered the financial burden on power plant operators when crafting the regulations of emissions of mercury by power plants. The case has been remanded to the U.S. Court of Appeals for the D.C. Circuit for further litigation. Overly notes that the D.C. Circuit could put the regulations on pause while the EPA conducts the analysis of the regulatory costs, but advocates note the regulation was not thrown out entirely.

Overly also notes that many power plants have already installed equipment to curb their emissions of mercury.

 

WV High Court Protects Some Academic Records From Public Access

While West Virginia does not have an academic-freedom exemption to its public records law, that state's high court has ruled that documents that are "internal memoranda" from a university researcher's examination of the impact of mountaintop-removal mining on public health are exempt from disclosure.

The Charleston Gazette's Ken Ward Jr. reports that Alpha Natural Resources' efforts to get West Virginia University to release research documents would expose the predecisional, deliberative "'decision-making process in such a way as to hinder candid discussion' by university faculty and 'undermine WVU’s ability to perform its operations.'" The court was examining the exemption for internal governmental communications reflecting a "'public body's deliberative, decision-making process."'

Researcher Michael Hendryx has found that people living near mountaintop removal face increased risks of premature death, cancer and birth defects.

Indigenous Leaders Break with Lawyer Over Pollution Retrial

Indigenous leaders from the Ecuadorean Amazon have split with their American lawyer on having their pollution case against Chevron retried in the United States, Courthouse News' Adam Klasfeld reports: "Ecuador's rainforest residents have been defending a multibillion-dollar judgment against Chevron from the oil giant's counteroffensive on three continents that label the verdict an extortionate 'shakedown.'"

The U.S. Court of Appeals for the Second Circuit is considering whether to affirm a finding that the $9.8 billion verdict rendered in Ecuador against Chevron was procured through corrupt means. Chevron opposed a suggestion by one of the Second Circuit judges during oral argument that the case be returned to New York, while attorneys representing the indigenous leaders' original counsel were amenable to it. Now, apparently some of the Ecuadorian plaintiffs oppose that idea.

Ruling Against Tiered Water Rates Leaves Drought-Stricken California Scrambling

After an appellate court ruled that cities can't charge more for water than the cost of providing it, California water districts have been left scrambling on how to curb heavy water usage during a time of drought, the Los Angeles Times' Matt Stevens reports: "Now, agencies must prove that the high water rates for heavy users are not meant as punishment but actually reflect the cost of delivering the extra water."

The problem is that many California water districts have the biggest users pay much more than users that save water, and they now have to show a "'clear nexus'" between operating costs and price, Stevens reports.

In the underlying case, San Juan Capistrano's water rates were challenged as arbitrary and unconstitutional.

Key Events Loom in Chevron Ecuadorian Pollution Case

There are two key events slated for April 20 in the legal controversy between plaintiffs lawyer Steven Donziger and Chevron, which argues that Donziger used fraud to win a $9.5 billion environmental-pollution judgment in Ecuador, The Litigation Daily's Michael D. Goldhaber reports. An arbitration panel is going to hear a three-week trial on the merits of Chevron's claims under international law that Ecuador violated its treaty obligation to let foreign investors enforce their rights by colluding with Donziger. On the same day as the arbitration panel is supposed to start, the U.S. Court of Appeals for the Second Circuit is going to hear arguments that the litigation "amounted to a racketeering enterprise, and that Donziger and his clients committed multiple frauds on the Ecuadorean court." The Second Circuit also is going to consider if the American racketeering statute can support a worldwide injunction.

Keystone XL Case Heard by Nebraska Supreme Court

The Nebraska Supreme Court heard oral arguments today over a constitutional challenge to the Keystone XL pipeline, the Journal Star reports.

The issues in the case include:

* whether a 2012 statute giving the governor authority to approve the route can be upheld; 

* whether three landowners have standing to challenge the law because their properties are near or would have been near the path of the pipeline route;

* whether the pipeline is a common carrier that only the state legislature and the Nebraska Public Service Commission are allowed to regulate and whether the legislation violated the state constitution "by allowing TransCanada, the company developing the Keystone XL pipeline, to bypass the state’s Public Service Commission and have its route reviewed by the Nebraska Department of Environmental Quality and approved by Gov. Dave Heineman," the Journal Star also reports.

BP Will Face Up to $17 Bil. in Fines Over Gulf Oil Spill

A federal judge has ruled that BP acted with gross negligence and wilful misconduct regarding the massive oil spill in the Gulf of Mexico four years ago, the Washington Post reports. That means the energy company could face fines up to $17 billion for Clean Water Act fines.

U.S. District Judge Carl Barbier ruled that BP was 67 percent at fault for the spill, drilling rig owner and operator Transocean was 30 percent at fault and oil services giant Halliburton was 3 percent at fault.

Transocean already settled its liability for $1.4 billion. This week, Halliburton agreed to spend $1.1 billion to settle claims against it, including claims for punitive damages brought by the commercial fishing industry, the Wall Street Journal reports. While Halliburton was not found grossly negligent by the judge, the settlement ensured Halliburton avoided the risk of higher damages if it had been.

In the next two parts of the government's court case against BP, the second part will determine the size of the spill and the third part will determine the final amount of the Clean Water Act and punitive fines, the Post also reports.

Post Office's Modernization Efforts Clash With Preservation and Environmental Protection Laws

Submitted by Amaris Elliott-Engel on Sat, 07/05/2014 - 10:28

A lawsuit over a historical post office in my local community of Stamford, Connecticut, exemplifies the clash between the United States Postal Service's efforts to modernize and downsize its facilities and laws meant to protect America's historical heritage and the local environment. I wrote about the dispute for the Connecticut Law Tribune

 In the early 1900s, federal buildings tended to be monumental—beautifully designed and built with high-quality construction materials so they would last. One hundred years later, the result is an inventory of historic post offices that are often larger than the U.S. Postal Service requires due to the declining volume of mail and increased automation.

Federal court litigation over the Stamford Main Post Office, built in 1916, is just the latest example of how the USPS's modernization efforts are putting the quasi-public agency in conflict with laws meant to preserve history and protect the environment.

The postal service closed the building last September and is transferring it functions to other postal facilities in the city. The USPS wants to sell the building to the Cappelli Organization for $4.3 million. The White Plains, N.Y., developer wants to demolish part of the post office and erect two 20-story luxury apartment towers behind the building.

A group of plaintiffs went to court on the day the developer and the postal service were ready to close the deal, arguing that the "postal service seeks to pass title to a developer without obtaining from it sufficient protections for the historically and culturally important features of the property."

The plaintiffs are the National Post Office Collaborate, a nonprofit formed two years ago to fight to preserve the historic post office in Berkeley, Calif., and now fighting to preserve historic post offices nationally; the Stamford-based Center for Art and Mindfulness, which tried unsuccessfully to buy the building as an arts center; and Stamford resident Kaysay Abrha.

Jacquelyn McCormick, executive director of the collaborate, said since her group and the other plaintiffs filed their lawsuit last fall, the postal service has not closed any post offices elsewhere in the country. The legal dispute over the Stamford building could be a test case for how the postal service handles the disposition of its historically significant properties, she said.

Historical post offices in Derby and New London are also for sale, according to a congressional report from the Advisory Council on Historical Preservation published earlier this year.

The USPS' "intention is to use their quasi-public status … and turn their back on it when it suits them," McCormick said.

The Stamford Main Post Office, which has been on the National Register of Historic Places for almost 30 years, is set on a pink granite base. Granite steps lead to a terrace bordered by two wings of the building. The plaza has two bronze-and-glass lantern fixtures. The interior has high ceilings and the lobby floor is trimmed in pink and white marble.

The plaintiffs challenging the plan argue that the "building is a spectacular example of American-Italianate architecture and represents a piece of American history from a bygone era."

Despite the historical features, the defendants claim the post office, also known as the Atlantic Street Station, is in poor condition and poses health risks from falling plaster, lead paint, mold and a lack of hot running water. A deal reached with a previous private bidder was scuttled, in part because of costs related to removing asbestos and lead paint, according to the USPS.

The USPS argued in court papers that it has no money available to fix the building, as it has already borrowed the $10 billion maximum available to it for capital expenditures nationwide.

The plaintiffs argue that the USPS only gave two days notice that the post office would be closed. The plaintiffs also argued that the USPS failed to follow Section 106 of the National Historic Preservation Act, which requires federal agencies to consider the effect of selling historic properties. Further, the plaintiffs alleged the USPS failed to conduct an environmental assessment or obtain an environmental impact statement as required under the National Environmental Policy Act. That federal law requires agencies to consider the effect of major federal actions on the "quality of the human environment."

Last October, U.S. District Judge Janet Bond Arterton granted a preliminary injunction barring the sale of the property on the grounds that the post office's compliance with the environmental review law was deficient.

The USPS categorically excludes from the environmental review process any sale or real property that "does not involve an increase in volumes, concentrations, or discharge rates of wastes, air emissions, or water effluents." But Arterton expressed skepticism that the construction of two high-rise apartment buildings would have the same impact on the neighborhood environment as the day-to-day operations of a post office that has already been built.

"At oral argument, USPS was unable to point to any evidence in the record showing that USPS specifically considered Cappelli's plans to develop two high-rise residential apartment buildings at the site," Arterton wrote. "The only evidence of USPS's consideration of the categorical exclusion was a simple unelaborated 'yes' response on a checkbox form completed over two years prior to the contemplated action."

Arterton noted the USPS' difficult financial circumstances, including a mandate to pay $5.5 billion into a health fund for future retirees. However, the judge said, the USPS cannot evade compliance with the environmental review law just because compliance is time-consuming or inconvenient.

David Friedman and Kristen Zaehringer, of Murtha Cullina in Stamford, and Barry Trilling, of the Trilling Environmental Law Firm in Fairfield, are representing the plaintiffs.

The U.S. Postal Service is represented by the U.S. Attorney's Office for Connecticut and the U.S. Department of Justice's Environmental & Natural Resources Division. One of the attorneys involved, Assistant U.S. Attorney Ann Nevins, based in Bridgeport, declined to comment on the pending litigation.

The case in Stamford also could test the contours of the public trust doctrine, a principle which holds that certain resources are preserved for public use and that the government is required to maintain them for the public's reasonable use.

In this case, the plaintiffs argued that while the USPS actively manages its post offices, the public retains the superior right of collective ownership of those buildings. The postal service says the plaintiffs are misinterpreting the law.

The federal lawyers said the U.S. Supreme Court has held that the public trust doctrine is a creature of state law and applies only to the states in some dealings with private parties.

Oral arguments were held in May on the public trust doctrine claim and another claim. No ruling has been issued yet.

EPA Sets Rule Aiming to Cut Carbon Emissions By 30% By 2030

The Environmental Protection Agency has proposed a draft rule to regulate the carbon-dioxide emissions from fossil fuel-fired power plants, the Wall Street Journal reports. The mandate would require plants to cut their emissions by 30 percent by 2030. EPA is taking comment on the measure as well as another measure that would result in an estimated reduction of carbon emissions by 24 percent in 2025.

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