“The decision below flies in the face of the fundamental principles of due process with which a state must comply before imposing severe civil liability on a regulated party,” remarked Williams Alaska Petroleum in its petition.
State Court Battle and Fallout
Alaska initiated legal proceedings against Flint Hills Resources in 2014, alleging liability for cleanup efforts and damages linked to sulfolane release. Astonishingly, the state also held Williams Alaska Petroleum jointly liable for the same damages, setting the stage for a courtroom showdown.
Following a bench trial, a state court judge ruled that Williams Alaska Petroleum was strictly liable for the sulfolane release, ordering the company to foot 75% of cleanup costs and the city’s drinking water system expansion expenses. The judge’s decision rested on sulfolane being deemed an “imminent and substantial danger” to public health, irrespective of Alaska’s delayed classification as a hazardous substance.
Alaska Supreme Court’s Verdict
The Alaska Supreme Court upheld the state court’s findings and ruling, cementing the legal quagmire. In its November response urging the U.S. Supreme Court to reject the petition, Alaska contended that fair notice wasn’t at play, as Williams Alaska Petroleum was aware of the unlawfulness of sulfolane release.
