Niecko v. Emro Marketing Company
United States District Court for the Eastern District of Michigan
769 F. Supp. 973 (1991)
The Nieckos (plaintiffs) bought Michigan property from Emro Marketing Company (defendant) that, due to its former use as a gas station, was contaminated with hydrocarbons requiring state-mandated cleanup; the sale contract stated the Nieckos had inspected the property, accepted it as-is, and assumed liability for any contamination-related damages. After spending $140,000 cleaning up the site, the Nieckos sued Emro, arguing state law did not permit Emro to contractually offload its cleanup liability onto them.
Whether a real estate seller can transfer its statutory liability for hazardous-substance contamination cleanup to the purchaser through contractual language in the sale agreement.