On December 21, 2016, the U.S. Environmental Protection Agency finalized amendments to its Risk Management Program (RMP). The EPA Administrator, Gina McCarthy, signed the final rule but it has not yet been published in the Federal Register.

Background

The Accidental Release Prevention regulations under section 112(r) of the Clean Air Act, also called the Risk Management Program regulations, require covered facilities to develop and implement a risk management program and coordinate with state and local officials. Approximately 12,500 facilities are covered by the RMP and will be affected by the revised rule. These facilities include petroleum refineries, large chemical manufacturers, water and waste treatment systems, chemical and petroleum wholesalers and terminals, food manufacturers, packing plants and other cold storage facilities with ammonia refrigeration systems, and some gas plants.

In November 2015, the Madison County Circuit Court denied a motion by Ford Motor Company (“Ford”) to dismiss an asbestos case for lack of personal jurisdiction. The court found that Ford’s “substantial” business activities in the State of Illinois were such that it was at home in the state and subject to the court’s jurisdiction. Jeffs v. Anco Insulations, Inc. et al., No. 15-L-533 (Cir. Ct. Mad. Co. 2015). In February, the Fifth District Appellate Court issued an order denying Ford’s petition for leave to appeal the Circuit Court’s decision pursuant to Supreme Court Rule 306. A few months later, the Illinois Supreme Court granted Ford’s motion for a supervisory order with the Illinois Supreme Court under Rule 383, and ordered the Fifth District to hear the appeal. On December 14, the Fifth District heard oral arguments in the appeal of the Madison County Circuit Court’s decision in Jeffs v. Ford Motor Co., Case No. 5-15-0529. The panel during oral argument included Justice Richard Goldenhersh, Justice James Moore, and Justice Thomas Welch.

December 13, 2016
New Developments
Auto Manufacturers Partner with Nauto to Improve Driverless Car Technology
By Shannon Peters

One of the main obstacles to the autonomous vehicle industry is “infrastructure,” but not in the sense typically associated with the term. Since autonomous vehicles come in all shapes, sizes, and powertrain types (gasoline, electric, and hybrid),

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Today, OSHA published a new final rule on slip, trip and fall hazardsin general industry. The rule, which runs a stunning 518 pages in the Federal Register, is titled “Walking-Working Surfaces and Personal Protective Equipment (Fall Protection Systems).” The final rule takes effect January 17, 2017, ending a long-running rulemaking that last involved a proposed rule in 2010 and comments and hearing through 2011. By OSHA’s estimate, the rule will cover “112 million workers at seven million worksites.”

The United States Consumer Product Safety Commission (“CPSC”) continues to seek significant civil penalties from companies that fail to “immediately” report potential product safety problems in a timely fashion. The newest installment in this trend occurred when CPSC announced a $4.5 million civil penalty against PetSmart. CPSC stated that, between 2011 and 2014, “PetSmart received at least 19 reports of fish bowls cracking, breaking, or shattering during normal use, resulting in serious injuries to consumers in at least 12 cases.” However, CPSC went on to say that the company failed to “immediately notify CPSC of the defect or risk posed by the fish bowls.”  Moreover, CPSC claims that the company “failed to identify the correct amount and distribution dates of the fish bowls” during the initial recall of the product.

Under Federal law, once a reporting requirement arises under the Consumer Product Safety Act, it must be reported to CPSC “immediately” or within 24 hours of discovery.

The product originally sold in stores for approximately $20.

November 8, 2016
New Developments
Does Talc Cause Cancer? Scientific Evidence in the Courtroom
By Alan Hoffman

This year juries returned verdicts totaling nearly $200 million in three Missouri cases claiming that ovarian cancers is caused by using talcum powder products. By contrast, in September a New Jersey Superior Court excluded expert opinions offered to

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The Miscellaneous Tariff Bill (MTB) offers importers the opportunity to eliminate or reduce duties assessed on imported raw materials and intermediate products that are not produced in the United States or are unavailable domestically. The MTB’s goal is to aid U.S. manufacturers by reducing duties on inputs (raw materials, parts, etc.), thereby cutting domestic production costs and increasing the competitiveness of U.S. manufacturers. However, MTB duty benefits have also been granted to imported finished goods. For example, the last MTB granted duty benefits to certain shopping bags, basketballs and sports footwear. Duty savings for U.S. manufacturers under the MTB are anticipated to exceed $700 million annually. Interested importers should not miss the December 12, 2016, deadline to take advantage of these cost savings opportunities.

Last week, OSHA published its new “Recommended Practices for Safety and Health Programs,” which advises employers to establish comprehensive internal safety and health programs and provides extensive guidelines and resources for doing so. In releasing the updated recommendations, OSHA argues that employers adopting such programs could reduce injuries and illnesses and promote sustainability.

The United States Securities and Exchange Commission (“SEC”) is reviewing sustainability. On April 13, 2016 the SEC issued a “Concept Release” seeking public comments on 340 topics relating to business and financial disclosure requirements for publicly-traded companies under Regulation S-K. See 81 Fed. Reg. 23916 (April 22, 2016) (“CR”). Several topics addressed the disclosure of company information relating to sustainability and public policy issues. Such issues, including climate change, resource scarcity, corporate social responsibility (“CSR”), and good corporate citizenship, are often referred to generically as environmental, social, and governance (“ESG”) concerns.  C.R., p. 206. The concepts of CSR and ESG overlap greatly if not entirely, and precise definitions of these terms are lacking. In this article, the terms “sustainability” and “ESG” will be used interchangeably in the context of corporate reporting. Many of the largest companies in the U.S. voluntarily publish annual sustainability reports and/or website ESG content. At issue is to what extent ESG reporting by publicly-traded companies should be required by SEC regulations.