Green Groups Reach Deal With Owens Corning in Global-Warming Suit
By RITA CICERO, Andrews Publications Staff Writer
Environmental groups have settled their lawsuit against Owens Corning Corp. over allegations that the company's Oregon plant is emitting greenhouse gases. The settlement came after a magistrate in the case found that the Northwest Environmental Defense Center, the Sierra Club and the Oregon Center for Environmental Health had standing to sue.
The issue of standing is a key battle in nearly all environmental cases, according to a statement by the OCEH. According to the group, the parties reached an agreement under which Owens Corning will resolve the plaintiffs' claims for declaratory and injunctive relief, civil penalties, and attorney fees. The settlement calls for Owens Corning to donate $250,000 to Oregon public schools to fund two environment-friendly classroom projects and $50,000 to the green group Energy Options to fund its public-education and outreach work involving alternative energy sources. The company also will pay $250,000 for the plaintiffs' attorney fees and costs. Under the settlement, Owens Corning denied it violated the Clean Air Act but has agreed to not use a greenhouse gas called HCFC-142b in its manufacturing facilities in Oregon. The case began when the company started building a polystyrene-foam-insulation plant in Gresham, Ore., without having obtained a preconstruction permit as required under the Clean Air Act. The three groups filed a citizen suit against Owens Corning under the Clean Air Act in the U.S. District Court for the District of Oregon, arguing that the Gresham facility had the potential to emit various greenhouse gases, including HCFC-142b. The gas is used to blow bubbles into polystyrene. The plaintiffs alleged a link between greenhouse gas emissions from the plant and global warming. They also argued that the emissions would harm environmental resources in Oregon used or enjoyed by their members. Owens Corning moved to dismiss the complaint on the grounds that the plaintiffs lacked standing. An association has standing to sue on behalf of its members when the members would otherwise have standing to sue in their own right. The member must demonstrate that he or she has suffered or will suffer an "injury in fact" and that there is a link between the injury and the conduct complained of. Magistrate Judge John Jelderks found that the plaintiffs satisfied the standing requirement. He said the plaintiffs need not show that global warming will be cured if they prevail in this action. Judge Jelderks rejected Owens Corning's argument that if the groups have standing to bring this lawsuit, so would "a woman with lupus in Perth, Australia, and a man living in Ulan Bator, Mongolia." Since the plaintiffs in this case live near the Gresham facility they would be impacted by the emissions, the judge said. Judge Jelderks determined that the issue in this case was simply whether the courts will enforce the congressional mandate contained in the Clean Air Act and its enabling regulations.
Northwest Environmental Defense Center et al. v. Owens Corning Corp., No. 04-1727, stipulated order of dismissal entered (D. Or. June 8, 2006). Environmental Litigation Reporter Volume 26, Issue 23 06/15/2006
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