1. Topic / Legal Issue:
Topic: Environmental Law
Issue: One of Disney’s employees’s violated the environmental laws by unknowingly dumping waste into the public drainage for nearly a week. He had no idea that the water he was dumping had any chemicals. Since the employee unintentionally violated the Clean Water act, is he still liable and did he commit a felony?
2. Why does this topic apply to your workplace? Disney theme parks accumulate a great amount of waste from its customers, products and machinery. It is necessary that the employees understand the importance of discharging waste in the rightful place and the consequences of violating the strict environmental laws.
3. IRAC Analysis
Issue: Did the employee commit a felony even though he unknowingly released the polluted water in the public drains?
Rule- Violation of the Clean Water Act: The EPA can assess civil penalties (unknowingly) of up to $10,000 per day and not more than $25,000 per violation (Cite: West Law p. 834.)
Rule – Knowingly Violate the Act: Those who knowingly violate the act may be subject to criminal penalties ranging from a fine of $2,500 per day and imprisonment for up to one ear to a fine of $1 million and fifteen years’ imprisonment. Criminal penalties apply only if a violation was intentional (Cite: West Law p. 834.)
Application: The employee will have to pay the fine for violating the Clean Water Act. Since the employee unintentionally discharged pollutants in the public water system, he will have to pay the civil penalties of up to $25,000.
Conclusion: The employee did not commit a felony because he did not knowingly violate the act, thus is free from criminal penalties. However, he must pay the civil penalties for the violation.
4. Appropriate management response to the situation to limit legal liability.
5. Preventative measures that management can take to limit liability in the future. Give citations for legal rules that may limit liability.
Regulations, for the most part, specify that the best available control technology, or BACTT, be installed. The EPA issues guidelines as to what equipment meets this standard, which essentially requires the most effective pollution-control equipment available (Cite: West Law p. 834.) Existing sources are subject to timetables for installation of BACTT equipment. These sources must immediately install equipment that utilizes the best practical control technology, or BPCT (Cite: West Law p. 834.)
6. Explain the action that management can take to apply the liability limiting rules to the situation.