Opinion ID: 213952
Heading Depth: 3
Heading Rank: 2

Heading: Subsequent Action

Text: As an alternative to arguing its water supply system claim is an initial removal action subject to § 113(g)(2)(A), the City contends its claim constitutes a subsequent action within the meaning of the flush language of § 113(g)(2), subject to a three-year statute of limitation that has not yet begun to run. Section 113(g)(2) provides in relevant part: A subsequent action or actions under section [107] of this title for further response costs at the vessel or facility may be maintained at any time during the response action, but must be commenced no later than 3 years after the date of completion of all response action. The City argues the action against Dravo in United States v. Dravo Corp., No. 8:01 CV500 (D. Neb. filed Sept. 27, 2001), including the City's counterclaims for contribution, serves as the initial action for purposes of § 113(g)(2). More specifically, the City asserts not only that its § 113 contribution claims constitute an initial action under § 107, but also that, even in the absence of a prior claim against Dravo, the City may rely on the government's initial action against Dravo under § 107 to obtain the benefit of the longer limitation period for subsequent actions. In the City's view, there is no requirement the plaintiff be the same in the initial and subsequent actions, so any prior § 107 claim against the same defendant qualifies as an initial action regardless of the plaintiff. Both arguments are without merit. We agree with the district court that the City's previously filed counterclaims against Dravo for declaratory judgment and contribution under § 113(f) do not constitute an initial action to recover response costs under § 107(a). Section 113(g)(2) refers to initial and subsequent actions to recover costs specifically under § 107, not contribution claims under § 113(g). In addition, as Dravo points out, § 113(g)(2)(A) and (B) each set forth a specific limitation period that applies to initial actions. Section 113(g)(3) sets forth a separate limitation period for contribution claims. Allowing a contribution claim to serve as the initial action under § 113(g)(2) would impermissibly subject the action to two different limitation periods. The City's contention conflicts with the express language and the overall scheme of CERCLA. We likewise reject the City's unsupported contention that any prior § 107 claim against the same defendant, regardless of the plaintiff, qualifies as an initial action. Permitting any subsequent plaintiff to obtain the benefit of the longer limitation period for subsequent actions as the City proposes would largely write the limitations restriction for initial actions out of the statute because many response actions will be ongoing for decades. United States v. Navistar Int'l Transp. Corp., 152 F.3d 702, 710 (7th Cir.1998) (rejecting the government's assertion § 113(g)(2) does not require the same defendant in the initial action and the subsequent action). The City's partial relocation of wells and mains already stretches back more than twenty-five years and is expected to continue into the foreseeable future. Like the defendant in Navistar, under the City's proposed rule, Dravo could be subject to new private-party claims for decades. See id. We decline to adopt a definition of subsequent action that would discourage the timely filing of cost-recovery actions and frustrate Congress's intent to assure that evidence concerning liability and response costs i[s] fresh . . . and to provide some measure of finality to affected responsible parties. Id. at 707 & n. 7 (quoting H.R.Rep. No. 99-253 pt. 1, at 138 (1985), reprinted in 1986 U.S.C.C.A.N. 2835, 2920) (internal quotation marks omitted).