United States v. Fleet Factors Corp.
Court of Appeals for the Eleventh Circuit · 1990-05-29 · cited 64×
The case involved the United States seeking to recover costs for cleaning up hazardous waste at a bankrupt textile facility from Fleet Factors Corporation, which held a security interest in the facility. Fleet appealed the district court's denial of its motion for summary judgment, arguing it was exempt from liability under CERCLA as a holder of a security interest. The Eleventh Circuit affirmed the denial, holding that material factual questions remained regarding whether Fleet's activities at the facility constituted participation in management sufficient to impose operator liability under CERCLA. The court reasoned that the secured creditor exemption is narrow and does not protect lenders who actively involve themselves in the facility's operations, including decisions affecting hazardous waste disposal.