Environmental Issues In Business Transactions

Hunton Andrews Kurth LLP assists clients in identifying and managing environmental compliance and liability risks related to the development or transfer of commercial properties and industrial facilities and related business transactions. Whether we are representing buyers, sellers, developers, bondholders, investors, issuers, lenders or underwriters, our lawyers thoroughly analyze the environmental implications of each transaction and develop creative solutions to resolve environmental concerns, drawing on decades of substantive experience advising clients across industries on the full range of environmental laws.

Our lawyers lead diligence efforts, often directing the work of technical consultants, to identify environmental risks, including potential liability for site cleanup or regulatory non-compliance. Because our transaction lawyers also regularly practice in substantive areas of environmental law, including litigation of cost recovery or regulatory enforcement actions and environmental compliance counseling, we know the relevant legal requirements and understand the practical implications of environmental issues that may arise. We help clients identify and satisfy environmental regulatory requirements necessary to consummate the transaction, including permitting and associated environmental reviews under NEPA and similar state laws. Additionally, we help develop and implement environmental risk mitigation strategies, including contractual allocations and indemnities, environmental insurance, and brownfield programs. We act as problem solvers to ensure that environmental issues do not become obstacles to completing the transaction.

We also handle post-closing matters, such as management of contractual risk allocation mechanisms or litigation to enforce contractual indemnities or defending regulatory permits and approvals under environmental laws. Where appropriate, we can call upon lawyers in other firm practices who will bring special knowledge and experience to bear, such as our firm’s top-rated insurance practitioners to pursue recoveries under historical insurance policies or our litigators experienced in defending toxic tort claims.

Our transactional practice has deep experience and exceptional capabilities in the energy sector, including oil and gas production, midstream storage and logistics, and refinery operations, as well as the full range of power generation, including coal, gas, oil, wind, solar and biofuels. We represent major oil companies in the formation of joint ventures to acquire and operate oil pipeline facilities across several states. A significant component of our transactional practice relates to initial public offerings and master limited partnership and associated matters. We also represent investment firms in the acquisition of existing power plants and represent major utilities in permitting and development of dedicated facilities at customer plant sites to generate steam and electricity.

We are equally adept in handling clean energy and sustainability initiatives. We routinely advise clients regarding greenhouse gas, recycling, and renewable energy credits. We played a leading role in the implementation of a voluntary aluminum recycling collective for industry players. In recent years, our transactional practice has been deeply involved in the development of numerous renewable energy projects where the firm regularly represents tax equity investors. This work includes the assessment and management of risks arising from potential impacts to protected wildlife species as a result of project construction and operation. Over the past several years, we have handled transactions involving dozens of renewable energy projects located in California, Colorado, Illinois, Iowa, Kansas, Michigan, Minnesota, Nebraska, New Mexico, Nevada, North Dakota, Oklahoma and Texas.