Contact: Keith P. McManus; Bressler, Amery & Ross, P.C. (New Jersey, USA)
In an opinion issued on August 23, 2013, the Appellate Division of the Superior Court of New Jersey appears to have settled a long-outstanding and important question of law concerning the applicability of a statute of limitation to private contribution actions brought pursuant to the New Jersey Spill Compensation and Control Act (“Spill Act”).
In Morristown Associates v. Grant Oil, et al. (Docket No. A-0313-11T3), plaintiff alleged that the defendants were liable for environmental contamination resulting from leaking fill pipes that served an underground storage tank (“UST”) at its property. The defendants had allegedly delivered heating oil to the property between 1988 and 2003. Plaintiff filed its complaint on July 31, 2006 seeking recovery in contribution under the Spill Act from the defendants for costs incurred in cleaning up the contamination.
The defendants argued that a six-year limitations period should apply to the Spill Act contribution claims. The trial court agreed and granted certain of the defendants’ motions for summary judgment, holding that any contamination events that occurred earlier than six years before the filing of the complaint were time barred. The plaintiff appealed the trial court’s decision.