AVONDALE INDUSTRIES, INC. v. TRAVELERS INDEM. CO.

No. 999, Docket 89-7035.

887 F.2d 1200 (1989)

AVONDALE INDUSTRIES, INCORPORATED and Ogden Corporation, Plaintiffs-Appellees, v. The TRAVELERS INDEMNITY COMPANY, Defendant-Third-Party Plaintiff-Appellant, v. COMMERCIAL UNION INSURANCE COMPANY, Highlands Insurance Company, American Motorists Insurance Company, and National Union Fire Insurance Company, Third-Party Defendants-Appellees.

United States Court of Appeals, Second Circuit.

Decided October 18, 1989.


Attorney(s) appearing for the Case

Barry R. Ostrager, New York City (Seth A. Ribner, Michael Bailey, Brian G. Hart, Simpson Thacher & Bartlett, New York City, George A. McKeon, Gen. Counsel, Thomas L. Forsyth, Kathleen M. Hannon, Hartford, Conn., of counsel), for defendant-third-party plaintiff-appellant, Travelers Indem. Co.

Hugh N. Fryer, New York City (Edward M. Joyce, John P. Gasior, Fryer, Ross & Gowen, New York City, of counsel), for plaintiffs-appellees, Avondale Industries, Inc. and Ogden Corp.

Richard S. Feldman, Uniondale, N.Y. (Emily H. Levin, Rivkin, Radler, Dunne & Bayh, Uniondale, N.Y., of counsel), for third-party defendant-appellee, Commercial Union Ins. Co.

Patrick J. Dwyer, New York City (Heidell, Pittoni, Murphy & Bach, New York City, of counsel), filed a brief for third-party defendant-appellee, Highlands Ins. Co.

James M. Sweet, Philadelphia, Pa. (Timothy C. Russell, Jane R. Coleman, Paul McDonald, Drinker Biddle & Reath, Philadelphia, Pa., of counsel), filed a brief for third-party defendant-appellee, American Motorists Ins. Co.

Thomas W. Brunner, Washington, D.C. (James M. Johnstone, Frederick S. Ansell, Wiley, Rein & Fielding, Washington, D.C., of counsel), filed a brief for Ins. Environmental Litigation Ass'n as amicus curiae.

James M. Sweet, Philadelphia, Pa. (Timothy C. Russell, Thomas S. Schaufelberger, Jane R. Coleman, Drinker Biddle & Reath, Philadelphia, Pa., of counsel), filed a brief for American Motorists Ins. Co. as amicus curiae.

Robert N. Sayler, Washington, D.C. (William F. Greaney, Eric C. Bosset, Laura L. Sardo, Steven G. Bradbury, Covington & Burling, Washington, D.C., of counsel), filed a brief for Chemical Mfrs. Ass'n, CIBA-GEIGY Corp., E.I. Du Pont De Nemours & Co., Intern. Business Machines Corp., Procter & Gamble Co. and Richardson-Vicks, Inc. as amici curiae.

Before NEWMAN, CARDAMONE and WINTER, Circuit Judges.


CARDAMONE, Circuit Judge:

Millions of tons of hazardous waste generated yearly are stored, deposited, recycled or dumped, and eventually escape infusing lakes, streams and underground waters; this toxic material finally comes into contact with unprotected people who are its victims. When its source is identified, the question becomes who is to clean it up and who is to pay for the damages it caused. According to a recent study by the Rand Corporation, in the last...

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