Posts tagged "Casella"

Casella Waste Systems, Inc., et al. v. Steadfast Insurance Company (Lawyers Weekly No. 09-008-17)

COMMONWEALTH OF MASSACHUSETTS SUFFOLK, ss. SUPERIOR COURT CIVIL ACTION No. 2016-2521 BLS 1 CASELLA WASTE SYSTEMS, INC. et al1 vs. STEADFAST INSURANCE COMPANY MEMORANDUM AND ORDER ON STEADFAST INSURANCE COMPANY’S MOTION FOR SUMMARY JUDGMENT This is an insurance coverage dispute between a company engaged in the landfill business and its insurer. The insurer, defendant Steadfast Insurance Company, issued a policy called Z Choice Pollution Liability (the “Policy”) to plaintiff, Casella Waste Systems, Inc., naming Casella and its subsidiary, Southbridge Recycling & Disposal Park, Inc. (“SRDP”), as insureds. The Policy covers claims made against the insureds during the Policy period of April 30, 2015 to June 15, 2016. Following notification by Casella in October 2015 to the Massachusetts Department of Environmental Protection (“DEP”) of the detection of pollution flowing from Casella’s property to neighboring property, a claim by DEP, as defined in the Policy, arose. Casella sought insurance coverage for the claim. Steadfast denied coverage. Casella sued for breach of contract, violation of G.L. c. 93A and for a declaration of coverage. Steadfast now moves for a summary judgment declaring there is no coverage under the Policy. For the reasons described below, summary judgment must be denied because there are material issues of fact that 1 Southbridge Recycling & Disposal Park, Inc. 1 are genuinely in dispute. BACKGROUND The following facts are taken from the parties’ Statement of Undisputed Material Facts and Responses Thereto (“SUMF”), supplemented by documents and affidavits in the summary judgment record. The coverage at issue under the Policy is what was provided under Coverage C: Cleanup Costs – New Pollution Event. Under Coverage C, Steadfast is obligated to pay “cleanup costs” to the extent resulting from a “new pollution event” that migrates beyond the boundaries of a “covered location” if that “new pollution event” is first “discovered” during the policy period. The obligation to pay includes “cleanup costs” that the insured is legally obligated to pay resulting from a third-party “claim.” The Policy also contains an exclusion from coverage for a “known pollution event.” The words in quotes are defined terms in the Policy. Casella seeks to be reimbursed and indemnified by Steadfast for all past and future cleanup costs incurred on account of a claim by DEP. There is no dispute that (i) Casella incurred cleanup costs, as defined, (ii) arising from migration of pollution from a covered property, as defined, and (iii) Casella received and reported to Steadfast a claim, as defined, coming from DEP. The dispute between the parties that is the crux of this lawsuit is whether the DEP claim resulted from a “new pollution event” that first commenced in the Policy period and was not known by Casella prior to the commencement […]

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Posted by Massachusetts Legal Resources - October 4, 2017 at 1:11 am

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