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Potential Environmental and Regulatory Liabilities at Breweries

Friday, August 16, 2013

The benefits of owning and operating a craft brewery are exciting.  Unfortunately, many times owners of craft brewers quickly find out the environmental and regulatory liabilities that can put a dent in their wallet.

We’ve outlined the most common environmental and regulatory exposures encountered at breweries and similar alcoholic beverage plants below.  Many of these exposures can easily be prevented or mitigated through a solid brewery insurance program:

  • Environmental problems remaining from previous use of property by chemical processing plants
  • Environmental contamination of the subject facility via groundwater migration from neighboring facilities.
  • Acidic and caustic wastewater discharges causing potential impairment to off-site wastewater treatment plants.
  • Old corroded sewers may leak acidic and caustic wastewaters into soils and groundwater.
  • Active and abandoned leaking underground storage tanks.
  • Inadequate chlorine storage systems and handling procedures.
  • Use of chlorine gas or chlorine compounds which, without proper maintenance and emergency response planning, may cause sudden impairment. 
  • Bulk quantities of chlorine from rail car storage which increases the potential for sudden releases.
  • Improper hazardous materials storage and handling practices.
  • Lack of information on raw material use and storage.
  • Chronic complaints regarding offensive odors resulting in civil action suits and potential fines.

This is not an exhaustive list of environmental exposures. It represents the most common environmental exposures for this industry.

Material posted on this website is for informational purposes only and does not constitute a legal opinion or medical advice. Contact your legal representative or medical professional for information specific to your legal or medical needs.

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