United States v. Marine Shale Processors

81 F.3d 1361 (1996)

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United States v. Marine Shale Processors

United States Court of Appeals for the Fifth Circuit
81 F.3d 1361 (1996)

  • Written by Tammy Boggs, JD

Facts

For decades, Southern Wood Piedmont Company (SWP) treated wood with chemical preservatives, leaving behind acres of contaminated soil. In 1985, SWP closed its facilities. SWP sought to avoid environmental regulation by recycling its contaminated soil into a product that would be covered by a regulatory exemption. The exemption, known as the product rule, was promulgated by the Environmental Protection Agency (EPA) under the Resource Conservation and Recovery Act (RCRA). SWP contracted with Martin Shale Processors (MSP) (defendant) to process SWP’s contaminated soil into a product. Using a thermal-treatment process, MSP purported to be a legitimate recycler of hazardous waste. The United States (plaintiff) initiated an action, alleging that MSP’s product, supposedly reclaiming SWP’s hazardous waste, did not qualify for a recycling exemption. The district court entered a judgment declaring that material produced by MSP from SWP’s material was exempt from regulation, despite a jury’s inability to resolve several factual questions related to the legitimacy of MSP’s recycling process. The United States appealed.

Rule of Law

Issue

Holding and Reasoning (Higginbotham, J.)

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