Buyers and sellers of contaminated properties will want to take note of the June 3, 2019 ruling from the U.S. Bankruptcy Court for the Northern District of New York. In a 14-page opinion, Judge Cangilos-Ruiz ruled that neither a Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA) § 104(e) information request nor a National Priority Listing regarding a polychlorinated biphenyl (PCB)-contaminated section of the Black River constitute “claims” under New York law.

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Highlighting a potential shortcoming in some attempts to transfer environmental liability in bankruptcy proceedings, a federal court in New York found common law liability for environmental contamination was not covered by a release of “Environmental Law” liability. See In re: Motors Liquidation Company, et al., BANKR No.

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