Alumina, Inc. is an aluminum maker based in the USA. Alumina is being accused of illegally dumping waste into Lake Dira and causing an environmental damage approximately five years ago. The EPA required Alumina to comply with an environmental clean-up which was considered “corrected” at time of the next environmental audit. Despite the efforts of Alumina to correct the situation they are receiving negative press and resident, Kelly Bates, is accusing Alumina of negligence for her 10-year old daughter’s leukemia. The following is a plan to recognize and minimize torts and regulate risk identified and managed through preventive, detective and corrective measures.
Recognizing and Minimizing Tort and Regulatory Risk
To first identify common torts and regulatory risks in a company, the company must have knowledge in federal and state laws. Appointing a legal team or an individual council to maintain and regulate current changes in the laws will be a corrective measure and benefit to the company. This will resolve any form of non-compliant actions made by the company and prevent future failure to comply with state and federal laws.
A tort is defined as a civil wrong; action by another that results in damages that are recoverable (Jennings, 2006, Chapter 10). In the case of Alumina the tort which is at hand is negligence. Negligence is conduct of omission or neglect that results in damages (Jennings, 2006, Chapter 10). The disposal of effluents into Lake Dira five years ago is the action in question. The Environmental Protection Agency (EPA) conducts a compliance evaluation inspection in which the levels of polycyclic aromatic hydrocarbons (PAH) were found to be higher than the prescribed limit. A preventative measure would be to do individual analysis of the water/air in and around the affected areas. These tests would be conducted by Alumina and recorded for future use involving the quality of water and air. Once the EPA has...