Section 25548.2 Of Chapter 6.96. Hazardous Materials Liability Of Lenders And Fiduciaries From California Health And Safety Code >> Division 20. >> Chapter 6.96.
25548.2
. (a) (1) Except as provided in Sections 25548.4 and
25548.5, a person, by reason of acting in the capacity of a lender,
shall not be liable under any state or local statute, regulation, or
ordinance to the extent of either of the following:
(A) To the extent that the statute, regulation, or ordinance
requires the person to take a removal or remedial action, pay a
penalty, fine, imposition, or assessment, or to forfeit the property
specified in paragraph (2), and that liability arises from the
release or threatened release of hazardous materials, at, from, or in
connection with the property.
(B) To the extent that the statute, regulation, or ordinance
authorizes damages arising from the release or threatened release of
hazardous materials, at, from, or in connection with the property
specified in paragraph (2).
(2) The exemption from liability provided by paragraph (1) shall
apply to the following property:
(A) Property in which the lender maintains indicia of ownership
primarily to protect a security interest.
(B) Property that was acquired by the lender through foreclosure
or its equivalent.
(C) Property that is owned, leased, possessed, or used by a person
who is obligated to the lender under a loan or obligation and in
which the lender holds no security interest.
(b) A lender who did not participate in the management of the
property prior to foreclosure or its equivalent may sell, re-lease
property held pursuant to a finance lease, whether by a new finance
lease or by substitution of the lessee, liquidate, maintain business
activities, wind up operations, undertake any response action under
Section 107(d)(1) of the Comprehensive Environmental Response
Compensation and Liability Act of 1980 (42 U.S.C. Sec. 9607(d)(1))
and take measures to preserve, protect, or prepare the property prior
to sale or other disposition. The lender may conduct those
activities without voiding the exemption set forth in subdivision
(a), subject to the requirements of subdivision (a) of Section
25548.5. However, the lender may be liable for damages, as defined by
this chapter, that occur as a result of the lender's gross
negligence or willful misconduct in the lender's performance of a
response action under Section 107(d)(1) of the Comprehensive
Environmental Response Compensation and Liability Act of 1980 (42
U.S.C. Sec. 9607(d)(1).