3M outlines defense strategy against Australia’s $2bn lawsuit — ABC News Australia
US chemical company 3M has outlined its defense strategy in the Federal Court of Australia in a case brought by the federal government seeking $2 billion. The government is seeking to recover costs related to contamination by per- and polyfluoroalkyl substances (PFAS) at 28 Australian Defence Force bases and surrounding areas, ABC News Australia reports.
The lawsuit, which the government has called the largest legal action ever brought by Australia, concerns aqueous film-forming foam (AFFF) used for firefighting. The Commonwealth of Australia alleges that 3M manufactured and sold the product until 2003, despite allegedly knowing about the dangers of its chemical components since 1979. In its 1,600-page statement of claim, the government cites 310 internal company documents and says the use of AFFF resulted in significant soil and water contamination, including drinking water.
Defense position
3M representative Phillip Solomon told the court that the company would file its defense on December 11. According to him, 3M will contest claims of public nuisance, a requirement by Victoria’s Environment Protection Authority, and an allegation of misleading conduct. The defense also plans to distinguish between the liability of the overseas manufacturer and the local distributor of 3M products.
The Australian government argues that the company caused a public nuisance by interfering with the use of the environment and access to water free from contaminants. In response, 3M said such claims could not be made in this case. The company also questions the extent of potential liability after site cleanups.
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Costs and representative bases
The $2 billion claimed by the government includes $214 million in costs for investigations, cleanup and ongoing monitoring, as well as $367 million for settlements of five class actions against the state.
Australian authorities propose considering six representative bases — Wagga, Tindal, Townsville, Oakey, Edinburgh and East Sale — taking into account different types of contamination, terrain, soils and cross-contamination. 3M insists that the proceedings should focus on one of the 28 bases. The next case management hearing has been scheduled for December 1.
After the lawsuit was announced in May, a 3M representative said the company had never manufactured PFAS in Australia and had stopped selling the disputed products about two decades earlier. At the same time, documents indicate that Australia’s Department of Defence did not fully replace 3M foam until July 2012.
