Seventh Circuit Refuses to Expand CERCLA

Score one for the good guys — that is, if you occasionally root for insurance companies.  ESBC was running a business model predicated on charging insureds and insurers thousands of dollars for post-accident environmental cleanups, based on the contention that CERCLA applies and pre-empts state laws (such as Indiana’s) capping recovery costs for Fire Departments responding to accidents and fires.  When the insurance companies declined to pay these claims, ESBC sued.  The District Court refused to expand CERCLA beyond its intended scope at the expense of automobile and homeowners’ insurers and granted the insurance companies’ Motion to Dismiss.  The Seventh Circuit has now affirmed that decision in Emergency Services Billing Corp., Inc. v. Allstate Ins. Co.

About Curtis T. Jones

Curtis Jones (CUJO) is a Partner in the Appellate, Litigation and Insurance Groups at Bose McKinney & Evans LLP (BME). ~Before joining BME, I served for two years as a judicial law clerk for the Honorable Theodore (Ted) R. Boehm in the Supreme Court of Indiana. Since 2006, I have worked extensively on a number of complex business and commercial litigation matters and have handled numerous appeals in the Indiana Appellate Courts and Seventh Circuit. I have also assisted insurers, wholesalers, agents, brokers and insureds in the insurance industry analyze, litigate and/or resolve coverage issues.~ For more information about Curtis T. Jones:
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