South Bend - Litigation Settlement - South Bend Corridor Pollution

[DEEPNHOCK]

http://insurancenewsnet.com/article.aspx?id=373789&type=newswires

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City reaches confidential settlement in Studebaker property case [South Bend Tribune, Ind.]

February 28, 2013

By Erin Blasko, South Bend Tribune, Ind.

McClatchy-Tribune Information Services

Feb. 28--SOUTH BEND -- The Redevelopment Commission on Thursday approved a confidential settlement between the city and Cooper Industries LLC, the successor to the Studebaker Corp., concerning environmental contamination at the former Studebaker Corp. property south of downtown.
Under the terms of the agreement, Cooper, based in Houston, Texas, and its insurers will pay the city an undisclosed amount of money that
Ann Kolata, a senior redevelopment specialist with the city's Department of Community Investment, described as "substantial."
Admitting that it was unusual, Kolata requested commissioners sign the request without seeing it, noting, "It was a significant point in negotiations with the insurance companies that they don't want people to know what they've agreed to."
Even the city's legal fees related to the case are confidential under the agreement, interim City Attorney
Aladean DeRose told The Tribune later in the day.
The city previously settled seven other cases involving property in the same area once owned by Oliver Plow Works, Kolata said. One of those cases involved Allied Products, which operated on parts of the former Studebaker and Oliver properties. The settlements were confidential; no dollar amounts were disclosed.
Kolata said Thursday a verbal agreement had been reached in relation to an eighth case involving the former Oliver property. She said she expects to return to the commission with a final draft of that agreement in the coming weeks.
The total dollar amount of all nine settlements likely will be disclosed at some point in the future, Kolata said.
The city sued Studebaker in 2003 seeking compensation for clean-up costs at the company's 104-acre former property south of downtown, bounded by the Norfolk Southern railroad tracks on the north, Broadway Street on the south, Franklin Street on the east and Prairie Avenue on the west.
Cooper, Studebaker's corporate successor, later replaced Studebaker as the defendant in the case.
According to Kolata, the contamination at the former Studebaker site was typical given its historic use."During the demolition of the buildings we took out underground storage tanks, we took out transformers, we took out asbestos, we took out lead in switches, we took out contaminated soil, we conducted groundwater investigations," she said.

[JBOYLE]

For a second, I was concerened the city was going after us....after all, Studebaker made a mess, and we own Studebakers.

People have been sued for a lot less.

[showbizkid]

There are parts of the law I will never understand.

[8E45E]

Damn!! Maybe DETROIT can balance their budget by doing the same!!!!

Craig

[Chris_Dresbach]

I saw this on the news last night. I'll tell you what, I'm glad I'm not a lawyer because I'm confused! The people the city went after and sued technically owned the rights to Studebaker, but never produced a car in the South Bend plants but since they own the rights they are therefore found responsible but the City of South Bend owned the buildings and property basically by default. I'd like to see the fine print of this. Did they go after Studebaker-Worthington, or later owners of the buildings like Allied, Cummins, and South Bend Lathe? All it says in the article is that Cooper owned the rights, but who is that?

[BobPalma]

Damn!! Maybe DETROIT can balance their budget by doing the same!!!! Craig

Now that's funny, Craig! (Have you been reading the new Detroit book I advised a week ago?) BP

[8E45E]

Now that's funny, Craig! (Have you been reading the new Detroit book I advised a week ago?) BP

Yes, Bob, I bought it exactly a week ago!! I'm about 3/4" of the way through it now. It is an intersting side of the current situation as you stated; the author too young to remember the prosperity Detroit once enjoyed. (As he stated on page 11)

Not only did I take your advice and buy a project supercharged Hawk, but I also took your advice and bought a BOOK!!

Craig

[8E45E]

Now that's funny, Craig!

Think of what Detroit can gain by launching lawsuits that force these companies who simply 'walked away' from their responisbilities of returning the property back to was it was before they developed it. (Fisher Body Plant #21 comes to mind) This would include demolishing, site clean-up, AND soil redemption to turn it back to arable farmland since no one in their right mind acually wants to LIVE there!!

Craig

[BobPalma]

Think of what Detroit can gain by launching lawsuits that force these companies who simply 'walked away' from their responsibilities of returning the property to was it was before they developed it. (Fisher Body Plant #21 comes to mind.) This would include demolishing, site clean-up, AND soil redemption to turn it back to arable farmland since no one in their right mind acually wants to LIVE there!! Craig

Well, Craig, as you are seeing in the Detroit book, that's exactly what's being done with much of the land that used to be neighborhoods! BP

[Welcome]

I saw this on the news last night. I'll tell you what, I'm glad I'm not a lawyer because I'm confused! The people the city went after and sued technically owned the rights to Studebaker, but never produced a car in the South Bend plants but since they own the rights they are therefore found responsible but the City of South Bend owned the buildings and property basically by default. I'd like to see the fine print of this. Did they go after Studebaker-Worthington, or later owners of the buildings like Allied, Cummins, and South Bend Lathe? All it says in the article is that Cooper owned the rights, but who is that?

Just as strange ...the neighboring City of Mishawaka, Indiana still holds AMERICAN MOTOR’s feet to the fire for the chromium contamination left behind by Rockwell-Standard Corporation's bumper (stamping & chroming) division plant. American Motor’s AM General Division bought the plant back in 1972 from Rockwell-Standard Corporation, but somehow the EPA & the City got AMC on the hook for it …go figure!!!

[Bill Pressler]

Maybe Detroit can go after Cooper to clean up the old Packard plant too...surviving part of the Corporation, you know.

I don't know how I feel about this all. I mean, of course it's good money is being received to clean up, but it's not like Cooper had anything to do with the mess. Oh well.

[BobPalma]

If you think this is bad, think of the smaller scale in virtually every small town in America: The corner one or two-island, two-bay gas station.

There are thousands of them in small towns, closed and abandoned, often eyesores but sitting on nice corner lots, rendered all but worthless because the tanks are still in the ground. No potential buyer wants the remediation responsibilties for which they will suddenly become responsible if they buy the property.

So there they sit, contributing to downtown blight in smaller communities that need all the help they can muster to stay alive. BP

[Corvanti]

what "bugged" me the most about this was: "Kolata requested commissioners sign the request without seeing it, noting, "It was a significant point in negotiations with the insurance companies that they don't want people to know what they've agreed to."
Even the city's legal fees related to the case are confidential under the agreement, interim City Attorney"...

sound familiar? seems to be even worse than: "we have to pass the bill so that you can find out what is in it"!!!

re: the small corner gas station - before the "financial crisis" occurred, many of the commercial corner lots here in town had their tanks taken out and buildings razed. up went a CVS, Walgreens or Rite Aid - some intersections have 2 or all 3 of the stores now!

i'm curious, who paid for the "hazardous" removal? the former/current owner/lessee of the properties? or some EPA "fund"? that would mean we all did!

[8E45E]

Well, Craig, as you are seeing in the Detroit book, that's exactly what's being done with much of the land that used to be neighborhoods! BP

I was thinking of arable farmland; for produce that can be grown and sold at a real Farmers' Market; not the kind sold from the Ice Cream truck in Detroit!

Craig

[Corvanti]

I was thinking of arable farmland; for produce that can be grown and sold at a real Farmers' Market; not the kind sold from the Ice Cream truck in Detroit!Craig

either way, the farmers will probably be fully armed, or a high fence with constantine (razor) wire surrounding the fields!

it's really sad what's going on there!