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DOJ Proposes CERCLA Settlement With Congoleum, Liberty Mutual for $449K

The DOJ published notice of a proposed Settlement Agreement under CERCLA between the United States (on behalf of EPA) and Congoleum Corporation (n/k/a CC Oldco Corporation), Liberty Mutual Insurance Company, and the Liquidation Trust for Old Congoleum. The settlement grants the United States an allowed claim of $423,169.50 for the Henderson Road Superfund Site in Montgomery County, Pennsylvania, and an allowed claim of $26,154.91 for the Spectron, Inc. Superfund Site in Cecil County, Maryland. Liberty Mutual will pay the combined $449,324.41 in full. In exchange, the United States covenants not to sue Old Congoleum or the Liquidation Trust for claims under CERCLA Sections 106 and 107, and agrees not to seek insurance proceeds from Liberty Mutual for environmental claims at these sites. A 30-day public comment period is now open.

AmTrust v. Liberty Mutual - NJ App. Div. Affirms Dismissal, Sanctions Counsel $1,000

The New Jersey Superior Court Appellate Division affirmed dismissal of AmTrust North America's subrogation claim against Liberty Mutual and Ohio Underwriting Managers, modifying the dismissal from with prejudice to without prejudice, and remanding for entry of the corrected order. The court declined to reach the substantive subrogation question because AmTrust failed to name the correct party (Ohio Security Insurance Company issued the policy, not Ohio Underwriting Managers) and failed to include the policy in the appendix. The appellate division further imposed $1,000 sanctions on plaintiff's counsel for citing four non-existent cases in the merits brief, which opposing counsel flagged and counsel failed to correct.