Avoid Five common mistakes in contract environmental clauses
By Tom Mounteer
Buyers want to leave responsibility for historic waste disposal with sellers, or sellers want to have buyers expressly assume that responsibility.
The parties want their agreement to be allencompassing with respect to the apportionment of environmental liabilities between them and extinguish common law or statutory causes of actions that might otherwise exist.
They want to define the extent of the cleanup obligations of the party who has assumed those obligations and assure those obligations remain only with that party.
They want to define how long their contractual remedies remain viable.
While contract language divvying up environmental liability has generally improved, there are five common mistakes that are still frequently seen.
This article was originally published in Commercial Investment Real Estate, the magazine of the CCIM Insititute.