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Chapter 52 - Environmental Regulation
52-1
© 2016 by
McGraw-Hill
Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in
any
manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or
part.
CHAPTER 52
ENVIRONMENTAL
REGULATION
I.
OBJECTIVES:
with which business is concerned. After reading the chapter and attending class, a student
should
be able
to:
1. Explain when an environmental impact statement must be prepared and what it must
contain
..
2. List and briefly discuss the major provisions in the Clean Air
Act.
3. Assess how government action to deal with greenhouse gas emissions and global
climate
change may affect
businesses.
4. List and briefly discuss the major provisions in the Clean Water
Act.
5. Explain why Congress passed the Oil Pollution Act of 1990 and list its major
provisions.
6. Recall the purpose of the Resource Conservation and Recovery
Act.
7. Discuss the purpose of the Comprehensive Environmental response, compensation and
Liability Act
(
"Superfund"
).
8. Identify the two statutory authorities EPA has to protect the public against unreasonable risks
presented by new and existing
chemicals
..
II. ANSWER TO
INTRODUCTORY PROBLEM
52-2
© 2016 by
McGraw-Hill
Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in
any
manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or
part.
Chapter 52 - Environmental
Regulation
III. SUGGESTIONS FOR LECTURE
PREPARATION:
A.
Introduction
1. Historical Perspective. Begin by indicating why pollution control laws have been
enacted. Point out that pollution and pollution laws have existed for centuries, although
increased affluence of our nation at that time and the increasing concern about
the
taken on global dimensions in the late 1980s and early 1990s; note also
that
business but also the cost of doing it. At the same time they can provide
business
opportunities and, in some cases,
advantages.
2. Environmental Protection Agency. Point out that EPA has the primary responsibility
at
environmental
laws. List the major environmental statutes and briefly describe them
so
number of the statutes are implemented at the state level with EPA exercising
an
pollution control laws; you might want to present examples of state and local laws.
3. The National Environmental Policy Act. Emphasize that the rationale for NEPA, and
the
consequences of particular projects or programs are considered before they
are undertaken
those projects and programs and/or ways that the environmental
impact
or ordinances that require mini-EISs to be prepared in connection as a prerequisite
to
obtaining various
permits.
Example:
Problem Case
#1.
B. Air
Pollution
1. List the major kinds of air pollution and their sources. Note that our air pollution
law
scope of the Clean Air Act, pointing out the requirement that EPA set national
ambient
standards are met. Note that the standards are designed to protect not only human
health
2. Note that the Clean Air Act contains technology requirements for both mobile
sources
such as automobiles and also new or modified stationary sources. New
sources,
52-3
© 2016 by
McGraw-Hill
Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in
any
manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or
part.
Chapter 52 - Environmental
Regulation
modifications" which required the company to comply with the standards for new
or
modified
facilities-rather
than "routine repairs or
maintenance-which
did not
require
'routine repair and maintenance' as opposed to the elements that characterize
a
"modification."
3. Indicate that the Act requires EPA to set standards to control hazardous air pollutants
and
Example: Problem Cases #2 and
3.
4. Cyberlaw in Action: Online Permitting (page 1453): Note that developments in
e-
carried out on-line and that information about permits, monitoring and
enforcement
activities may also be accessible to the
public.
5. The Global Business Environment: International Air Problems (page 1454): Note
and
discuss the two major international air problems: stratospheric ozone depletion and
the
that various sectors of the
economy-such
as the chemical industry and those that
use
industry in the case of greenhouse
gasses-face
in dealing with these issues. How
should
what
business strategy should they adopt to deal with the
threats-and opportunities-
posed by regulation of these
concerns?
refusing to regulate automobile emission of greenhouse gases under the Clean Air Act
on
the grounds that (1) the clean air Act did not authorize such regulation or (2) that even
if
authority to regulate the emission of such gasses from new motor vehicles and that
EPA
had to ground its reasons for action or inaction in the statute and not rely on
extraneous
policy reasons outside
it.
whether there is a moral obligation to avoid harm to another when the legally
prescribed
the potential for a negative public reaction and possible legal liability if you knew
about
7. Note that problems of indoor air pollution in the workplace, as well as products
that
and offers significant problems as well as opportunities for
business.
8. Briefly describe some of the problems of radiation in the environment and the nature
of
C. Water
Pollution
52-4
© 2016 by
McGraw-Hill
Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in
any
manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or
part.
Chapter 52 - Environmental
Regulation
1. Note the special importance to modern civilization of curbing water
pollution:
preventing widespread disease. Emphasize the provisions of the Clean Water Act
of
unrealistic goals such as an end to the discharge of pollutants into water by 1985.
Point
was held criminally liable. The court held that it was not necessary for the government
to
issued to the company by the
state.
Points for discussion: Discuss why the "knowledge" requirement for criminal acts
involving violations of laws designed to protect public health and safety differs from
the
should Hopkins have conducted
himself?
Should the employees have acted
differently
in this
situation?
Example: Problem Case
#4.
2. Indicate that some of the provisions of the Clean Water Act have the potential to
affect
A permit may be required from the Army Corps of Engineers before wetlands can be
Example: Problem Case
#5.
3. Indicate that special legislation deals with the protection of oceans, particularly
with
of hazardous wastes at sea has been a controversial issue addressed under
the
ocean
a matter of visible public concern in the late 1980s and early
1990s.
4. Discuss the reasons that Congress enacted the Oil Pollution Prevention,
Response,
Exxon Shipping Co. v. Baker (page 1463) In reviewing a punitive damage award
against
(1) on a 4-4 vote, left undisturbed the Ninth Circuit's affirmation of trial
court
(3) held that punitive damages were limited to a 1:1 ration of punitive damages
to
compensatory
damages.
5. Mention the Safe Drinking Water Act of 1974 as reflecting our nation's
continuing
supply
systems.
D. Hazardous Waste
Disposal
52-5
© 2016 by
McGraw-Hill
Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in
any
manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or
part.
Chapter 52 - Environmental
Regulation
1. Discuss the nature of the hazardous waste disposal problem we face in this country and
new sites--to use as illustrations for class
discussion.
dealing with existing hazardous waste generation, treatment, storage or disposal.
Note
that it prescribes extensive regulation and a significant role for
states.
(contaminated mercury) without complying with the requirements under
RCRA,
including the required
permit.
MSRs in 2000 and early 2001 with the way that it managed it beginning in late
2001.
Additional Example: Problem Case
#6.
Certification: ISO Environmental Management Standards (page 1360): For
companies
that have business operations around the world or are engaged in international trade,
the
environmental management are important considerations that can affect where, how and
with whom they can do business
abroad-and
even in the United
States.
the transport and disposal of waste to states other than where it was generated, and
the
related concerns about recycling and excess packaging--topics of considerable interest
to
business.
United States, particularly in Europe, the burden of dealing with the packaging in which
products come as well as for certain products that have come to the end of their
useful
life is imposed on the seller or manufacturer of the
product.
approach taken in the law. Review the general rules from the chapter on
non-intentional
torts and compare them to the liability provisions of
Superfund.
contaminated property was liable for the response costs incurred by the United
States
in cleaning it up and was not able to escape liability on the grounds that it was an
"innocent purchaser" who had been unaware of the problems on the property and
who
itself had not contributed to the
contamination.
as an "innocent purchaser." What are the policy considerations that led EPA
and
Example: Problem Case
#7.
52-6
© 2016 by
McGraw-Hill
Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in
any
manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or
part.
Chapter 52 - Environmental
Regulation
The
Emergency Planning and Community Right to Know Act enacted in 1986
requires,
detailing the amounts of those chemicals estimated to have been released during
the
preceding year. This information is now made available online by the
federal
and pressure to reduce those releases. The Online Research Question at the end of
this
chapter asks students to go to the web site for their state and determine from the latest
Toxic Release Inventory report who are the major releasers of toxic chemicals in
their
voluntarily reduce the amount of their
releases.
5. Ethics in Action: Environmental Standards for International Operations (page
1472):
different companies. A number of progressive U.S. based companies have taken
the
approach they will employ substantially equivalent standards when they do business
in
acted
otherwise.
6. Discuss the regulation of agricultural chemical, particularly pesticides, under the
Federal
Insecticide, Fungicide and Rodenticide Act (FIFRA) and of potentially toxic
chemicals
IV. RECOMMENDED
REFERENCES:
A. Environmental Law Handbook, Washington, Government Institutes, Inc., 21st ed., 2011.
A
complete yet concise exposition of all aspects of environmental
law.
B. Steven Ferry, Environmental Law: Explanations and Examples
(5th
edition), Aspen
(2010).
V. ANSWERS TO PROBLEMS AND PROBLEM
CASES:
685 F.2d 678 (D.C. Cir.
1982).
the requirements of the law.
US.
v. Vanguard, 29 E.R.C. 1389 (U.S.D.C. E.D.N.Y.
1988).
hazard. Once the renovation or demolition has begun, the owner's obligation to render
the
asbestos nonhazardous by proper disposal cannot be avoided simply by stopping work and
leaving the hazardous condition in place. An injunction requiring Tzavah to complete
the
Tzavah_Urban Renewal Corp., 696 F.Supp. 1013 (D. N.J.
1988).
52-7
© 2016 by
McGraw-Hill
Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in
any
manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or
part.
Chapter 52 - Environmental
Regulation
h
into the water (placing the material below the high-tide line) and came from an
identifiable
United States v. Plaza Health Laboratories,
(2nd
Cir.
1993).
Army Department, 27 E.R.C. 1008 (U.S.D.C. D.Mass.
1987).
Dean,969 F.2d 187 (61 Cir.
1992).
