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In a major environmental enforcement victory, Domtar Industries LLC has agreed to clean up a composting site and pay $1.15 million to settle allegations it illegally dumped PFAS-contaminated paper sludge, Michigan Attorney General Dana Nessel announced Wednesday.

The agreement, filed as a consent decree in St. Clair County Circuit Court, requires the paper product manufacturer to remove hazardous sludge from the Port Huron site and cover future remediation costs tied to the contamination. The case stems from allegations that Domtar knowingly misrepresented the safety of its waste, securing composting permissions under false pretenses.

PFAS and Paper: A Toxic Combination

PFAS—short for per- and polyfluoroalkyl substances—are synthetic chemicals found in a wide range of industrial applications, including grease-resistant paper products. Nicknamed "forever chemicals" due to their persistence in the environment and the human body, PFAS have been linked to cancer, hormonal disruptions, and other serious health issues.

According to the lawsuit filed in December 2022, Domtar falsely certified its paper sludge as PFAS-free when applying for composting approval. In reality, the sludge allegedly contained PFAS from the company’s grease-resistant paper manufacturing operations, making its way into a Port Huron composting site.

"This settlement is another step in the right direction," said AG Nessel. "Our PFAS litigation project is aimed at bringing relief to communities exposed to this contamination—and holding polluters accountable."