# ASC 410-30-05: Asset Retirement and Environmental Obligations — Environmental Obligations — 05 Overview and Background Source: FASB Accounting Standards Codification, Basic View [Read online](https://asc.understandingaccounting.org/asc/410/30/#05-overview-and-background) Study and research edition. Verify current requirements with the official source. Summaries, enrichment, and tags are machine-generated study aids. Paragraph html preserves source markup; snippet is abbreviated. Pending content is not necessarily effective. Tables and mathematical or amendment markup are retained as HTML where Markdown would lose structure. Source downloaded (UTC): 2026-09-10T00:21:23.089Z to 2026-09-10T00:21:23.089Z Record version: sha256:0edc0595583a8e1792e0eb84d011be33e332a855c860149fe3e3eb623efe2e71 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 410-30-05: 05 Overview and Background [Read section](https://asc.understandingaccounting.org/asc/410/30/#05-overview-and-background) SEC content: no ##### [410-30-05-1](https://asc.understandingaccounting.org/asc/410/30/#410-30-05-1) Pending content: no Source downloaded (UTC): 2026-09-10T00:21:23.089Z to 2026-09-10T00:21:23.089Z Record version: sha256:a07b87042b4450d1200ca536ba904f6301378cb6a349771e094f08ed8d0ca395 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. This Subtopic provides guidance on accounting for environmental remediation liabilities and is written in the context of operations taking place in the United States; however, the accounting guidance is applicable to all the operations of the reporting entity. ##### [410-30-05-2](https://asc.understandingaccounting.org/asc/410/30/#410-30-05-2) Pending content: no Source downloaded (UTC): 2026-09-10T00:21:23.089Z to 2026-09-10T00:21:23.089Z Record version: sha256:597e2a9375469f214508e832fd94239cfff221dd8c399df3d63986e6c7fd0460 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The objective of this Overview and Background Section is to provide an overview of important environmental laws and regulations. It is intended to be nonauthoritative. The summary of legal matters contained in this Section represents an understanding of the legal requirements and practices at the time that these environmental laws were initially enacted. Any references to the various laws, rules, regulations established by others shall not be considered definitive interpretations of such laws, rules, and regulations for any purpose. Laws, rules and regulations may change over time and the standard Financial Accounting Standards Board (FASB) process will not update the Codification for such changes. The FASB assumes no responsibility for the accuracy of the legal guidance included here. Therefore, users must evaluate the current laws, rules, and regulations. ##### [410-30-05-3](https://asc.understandingaccounting.org/asc/410/30/#410-30-05-3) Pending content: no Source downloaded (UTC): 2026-09-10T00:21:23.089Z to 2026-09-10T00:21:23.089Z Record version: sha256:7c384ba806054589636b1250546c9e7ed04d82800fa18b505f0195b81fd84ca0 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Although this Section focuses on both state and federal U. S. laws and regulations, environmental considerations are also important for foreign operations. Environmental laws and regulations in many countries are similar to U. S. laws. The legal and regulatory climates in other countries are evolving. Regardless of whether the host countries' environmental laws are as stringent as those in the United States, entities can often be held liable for environmental damages under a variety of nonenvironmental statutes and broad legal theories. ##### [410-30-05-4](https://asc.understandingaccounting.org/asc/410/30/#410-30-05-4) Pending content: no Source downloaded (UTC): 2026-09-10T00:21:23.089Z to 2026-09-10T00:21:23.089Z Record version: sha256:5e9f0c49cf97894a1d859ac9ea4eacdace37a9ba57ef8ff373a937c2b2927e80 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. This Section is organized as follows: 1. a Environmental remediation liability laws 2. b Laws intended to control or prevent pollution 3. c Other federal statutes 4. d Potentially responsible parties 5. e Strict liability 6. f Joint and several liability 7. g Mitigation of strict, joint and several, and retroactive liability 8. h Costs associated with remediation 9. i Environmental loss contingencies. #### Environmental Remediation Liability Laws ##### [410-30-05-5](https://asc.understandingaccounting.org/asc/410/30/#410-30-05-5) Pending content: no Source downloaded (UTC): 2026-09-10T00:21:23.089Z to 2026-09-10T00:21:23.089Z Record version: sha256:ca6e60aaf56b8f07f83a4cd3cfd13a825d0c704e5232787a241b8e6230fe36a9 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The first kind of environmental law, environmental remediation liability laws, includes individual statutes as well as response provisions in other statutes. The most important of these are the Comprehensive Environmental Response, Compensation, and Liability Act of 1980, as amended by the Superfund Amendments and the Reauthorization Act of 1986, which together are referred to as Superfund, and the [corrective action](https://asc.understandingaccounting.org/glossary/c/#corrective-action "Related to the Resource Conservation and Recovery Act of 1976: action to remedy releases from hazardous waste management units, or any other sources of releases at or from a treatment, storage, or disposal facility.") provisions of the Resource Conservation and Recovery Act of 1976. Under Superfund's current broad liability provisions, the U.S. Environmental Protection Agency may order liable parties to remediate sites or use Superfund money to remediate them and then seek to recover its costs and additional damages. Similarly, under the corrective action provisions of the Resource Conservation and Recovery Act of 1976, the Environmental Protection Agency may order "facilities that treat, store, or dispose of hazardous waste" to clean up releases of [hazardous waste constituents](https://asc.understandingaccounting.org/glossary/h/#hazardous-waste-constituent "A constituent that caused the waste to be listed as a hazardous waste under the Resource Conservation and Recovery Act of 1976 40 CFR Part 261 Subpart D.") associated with past or ongoing practices. ##### [410-30-05-6](https://asc.understandingaccounting.org/asc/410/30/#410-30-05-6) Pending content: no Source downloaded (UTC): 2026-09-10T00:21:23.089Z to 2026-09-10T00:21:23.089Z Record version: sha256:434f42370bbd3b2bb412abdadb337951b517f7b073d983c351db109d6f840b1b Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Congress enacted the Comprehensive Environmental Response, Compensation, and Liability Act of 1980 in 1980 to facilitate the remediation of abandoned waste sites. The Comprehensive Environmental Response, Compensation, and Liability Act established a program to identify sites where hazardous substances have been or might be released into the environment; to ensure that they are remediated by responsible parties or the government; to compensate the United States, states, municipalities, and tribes for damages to [natural resources](https://asc.understandingaccounting.org/glossary/n/#natural-resources "Under the Comprehensive Environmental Response, Compensation, and Liability Act of 1980, natural resources are defined as land, fish, wildlife, biota, air, water, groundwater, drinking water supplies, and other such resources belonging to, managed or held in trust by, or otherwise controlled by the United States, state or local governments, foreign governments, or Indian tribes."); and to create a procedure for claims against responsible parties by parties who have cleaned up sites or spent money to restore natural resources. ##### [410-30-05-7](https://asc.understandingaccounting.org/asc/410/30/#410-30-05-7) Pending content: no Source downloaded (UTC): 2026-09-10T00:21:23.089Z to 2026-09-10T00:21:23.089Z Record version: sha256:0cb3c860444aa2d0c24bc05e6b5264c5eba07a3e088773906fc3d5064296e901 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The Resource Conservation and Recovery Act provides comprehensive federal regulation of [hazardous wastes](https://asc.understandingaccounting.org/glossary/h/#hazardous-waste "Related to Resource Conservation and Recovery Act of 1976: a waste, or combination of wastes, that because of its quantity, concentration, toxicity, corrosiveness, mutagenicity or inflammability, or physical, chemical, or infectious characteristics may cause, or significantly contribute to, an increase in mortality or an increase in serious irreversible, or incapacitating reversible illness or pose a substantial present or potential hazard to human health or the environment when improperly treated, stored, transported, or disposed of, or otherwise managed. Technically, those wastes that are regulated under the Resource Conservation and Recovery Act of 1976 40 CFR Part 261 are considered to be hazardous wastes.") from point of generation to final [disposal](https://asc.understandingaccounting.org/glossary/d/#disposal "Related to the Comprehensive Environmental Response, Compensation, and Liability Act of 1980 and the Resource Conservation and Recovery Act of 1976: under the Resource Conservation and Recovery Act of 1976, the discharge, deposit, injection, dumping, spilling, leaking, or placing of any solid waste or hazardous waste into or on any land or water so that such solid waste or hazardous waste or any constituent thereof may enter the environment or be emitted into the air or discharged into any waters, including groundwaters. Similarly under the Comprehensive Environmental Response, Compensation, and Liability Act of 1980 with regard to hazardous substances."). All generators of hazardous waste, transporters of hazardous waste, and owners and operators of hazardous waste treatment, storage, or disposal facilities must comply with the applicable requirements of the statute. Many states have also enacted laws that are similar to the federal statutes. Furthermore, under certain federal statutes, such as the Resource Conservation and Recovery Act of 1976, states are allowed to promulgate regulations to implement federal programs as long as the state law is at least as stringent as the federal law. In most such cases, states are free to enact more stringent provisions. #### Laws Intended to Control or Prevent Pollution ##### [410-30-05-8](https://asc.understandingaccounting.org/asc/410/30/#410-30-05-8) Pending content: no Source downloaded (UTC): 2026-09-10T00:21:23.089Z to 2026-09-10T00:21:23.089Z Record version: sha256:1ac574ef2d311bb05fbb01aa51c61ec7a0302b5c717bd025c7aaf1a1a545b30d Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Environmental laws of the second kind are intended to control or prevent pollution and are directed at identifying or regulating pollution sources or reducing emissions or discharges of pollutants. There are many statutes that regulate sources of pollution, including the pollution control provisions of the Resource Conservation and Recovery Act of 1976 (solid and hazardous wastes), the Clean Water Act (discharge of pollutants into the waters of the United States and to publicly owned treatment works), and the Clean Air Act (emission of pollutants into the atmosphere). Other examples are the Emergency Planning and Community Right-to-Know Act and the Pollution Prevention Act of 1990. ##### [410-30-05-9](https://asc.understandingaccounting.org/asc/410/30/#410-30-05-9) Pending content: no Source downloaded (UTC): 2026-09-10T00:21:23.089Z to 2026-09-10T00:21:23.089Z Record version: sha256:11cd82c39f1a0909d6f6ff161e10bbba68d7229e9ddf227ba74f399c5e629903 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The pollution control provisions in Chapter 3 of the Resource Conservation and Recovery Act of 1976 provide for cradle-to-grave management standards for hazardous wastes. Section 7003 of the Resource Conservation and Recovery Act of 1976 also authorizes the Environmental Protection Agency to conduct [removal actions](https://asc.understandingaccounting.org/glossary/r/#removal-action "Under the Comprehensive Environmental Response, Compensation, and Liability Act of 1980, generally short-term actions taken to respond promptly to an urgent need. The cleanup or removal of released hazardous substances from the environment; actions in response to the threat of release; actions that may be necessary to monitor, assess, and evaluate the release or threat; disposal of removed material; or other actions needed to prevent, minimize, or mitigate damage to public health or welfare or to the environment. Removal also includes, without being limited to, security fencing or other measures to limit access; provision of alternative water supplies; temporary evacuation and housing of threatened individuals not otherwise provided for; and any emergency assistance provided under the Disaster Relief Act."), seek affirmative injunctive relief, and maintain cost-recovery actions where an imminent and substantial endangerment to the public health or welfare or to the environment is determined to exist. Much like under Superfund, one who has contributed to the disposal of waste that is causing an imminent and substantial endangerment can be required to perform or pay for associated remediation under section 7003. The Resource Conservation and Recovery Act of 1976 also requires the Environmental Protection Agency to regulate underground storage tanks. Most states have enacted their own underground storage tank regulations as well. ##### [410-30-05-10](https://asc.understandingaccounting.org/asc/410/30/#410-30-05-10) Pending content: no Source downloaded (UTC): 2026-09-10T00:21:23.089Z to 2026-09-10T00:21:23.089Z Record version: sha256:bed109fd3a214d3d8a3d57e7f55abf5cb2ffbbc454a83bdd81378a980a7b6ef2 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The Clean Air Act provides comprehensive federal regulation of all sources of air pollution. Amendments to the Clean Air Act in the 1990s are designed to address issues such as acid rain, urban air pollution, toxic air pollutants, and ozone-depleting chemicals. The major provisions of the Clean Air Act amendments require emissions reduction in the electric utility industry, operating permits for existing facilities, an expansion of the air toxics program to regulate a large number of toxic air pollutants, and new source categories (including smaller sources, such as dry cleaners). ##### [410-30-05-11](https://asc.understandingaccounting.org/asc/410/30/#410-30-05-11) Pending content: no Source downloaded (UTC): 2026-09-10T00:21:23.089Z to 2026-09-10T00:21:23.089Z Record version: sha256:8fa167554f4511e00dedf8f3f49e788da770a2e3dbe665e4367df1a718bcff7c Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The Clean Water Act provides comprehensive federal regulation of all sources of water pollution. The act authorizes cleanup, injunctive, and cost-recovery actions where an imminent hazard is caused by pollution. It also prohibits the discharge of oil and other hazardous substances to the navigable waters of the United States, imposes a criminal penalty for failure to notify the appropriate entity of such discharges, and provides for citizen suits. Most states have assumed enforcement of the Act within their borders through state regulations that correspond to the federal regulations related to the control or prevention of pollution of water. #### Other Federal Statutes ##### [410-30-05-12](https://asc.understandingaccounting.org/asc/410/30/#410-30-05-12) Pending content: no Source downloaded (UTC): 2026-09-10T00:21:23.089Z to 2026-09-10T00:21:23.089Z Record version: sha256:fe4a6d3b50a2ffaf4a93500e53ae03ff0608b650bb550d003a46dd6425bb2aa4 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. There are a variety of other statutes that relate to environmental matters. Two of the more significant statutes are the Emergency Planning and Community Right-to-Know Act and the Toxic Substances Control Act. ##### [410-30-05-13](https://asc.understandingaccounting.org/asc/410/30/#410-30-05-13) Pending content: no Source downloaded (UTC): 2026-09-10T00:21:23.089Z to 2026-09-10T00:21:23.089Z Record version: sha256:57afd5aaee9f5307e69f165aa3b06adbe28a808f04c81e2cadcac81a16aa81d0 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The Emergency Planning and Community Right-to-Know Act requires facilities that have certain quantities of extremely hazardous substances to notify their state emergency response commission that they are subject to the emergency planning requirements of the Superfund Amendments and Reauthorization Act of 1986. They must also report releases to the local emergency planning committee. In addition, facilities that store chemicals over specified threshold amounts must submit material safety data sheets, or their equivalent, to the appropriate local emergency planning committee, the state emergency response commission, and the fire department with jurisdiction over the facility. ##### [410-30-05-14](https://asc.understandingaccounting.org/asc/410/30/#410-30-05-14) Pending content: no Source downloaded (UTC): 2026-09-10T00:21:23.089Z to 2026-09-10T00:21:23.089Z Record version: sha256:29ee61785e3b775839ba22b267a1be97d2a1f0742661400a4c7f19441b8f61af Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The Toxic Substances Control Act regulates the manufacture, processing, and distribution in commerce of chemical substances and mixtures capable of adversely affecting health or the environment. The Toxic Substances Control Act may require testing and may impose use restrictions, along with requirements for the reporting and retention of information on the risks of Toxic Substances Control Act- regulated substances. Regulations promulgated under the Toxic Substances Control Act also govern the manufacturing, processing, and distribution in commerce of polychlorinated biphenyls and asbestos. #### Potentially Responsible Parties ##### [410-30-05-15](https://asc.understandingaccounting.org/asc/410/30/#410-30-05-15) Pending content: no Source downloaded (UTC): 2026-09-10T00:21:23.089Z to 2026-09-10T00:21:23.089Z Record version: sha256:dceb94ff91c6153d33791a602c8a2f3ba4212b5e99ff97f5b07288804078d8e9 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Superfund places liability on the following four distinct classes of responsible parties: 1. a Current owners or operators of sites at which hazardous substances have been disposed of or abandoned 2. b Previous owners or operators of sites at the time of disposal of hazardous substances 3. c Parties that "arranged for disposal" of hazardous substances found at the sites 4. d Parties that transported hazardous substances to a site, having selected the site for treatment or disposal. ##### [410-30-05-16](https://asc.understandingaccounting.org/asc/410/30/#410-30-05-16) Pending content: no Source downloaded (UTC): 2026-09-10T00:21:23.089Z to 2026-09-10T00:21:23.089Z Record version: sha256:ef757792a4210027fe1f70bf238a5dc9f85e9d511d712a76869ea3130bd69d4c Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. This liability is imposed regardless of whether a party was negligent, whether the site was in compliance with environmental laws at the time of the disposal, or whether the party participated in or benefited from the deposit of the [hazardous substance](https://asc.understandingaccounting.org/glossary/h/#hazardous-substance "Related to Superfund: the definition of hazardous substance in the Comprehensive Environmental Response, Compensation, and Liability Act of 1980 is broader than the definition of hazardous wastes under the Resource Conservation and Recovery Act of 1976. Under the Comprehensive Environmental Response, Compensation, and Liability Act of 1980, a hazardous substance is any element, compound, mixture, solution, or substance that, when released to the environment, may present substantial danger to the public health or welfare or to the environment. It also includes the following: Specifically designated substances Toxic pollutants under the Federal Water Pollution Control Act Hazardous wastes having the characteristics identified under or listed pursuant to the Resource Conservation and Recovery Act of 1976 (excluding any waste suspended from regulation under the Solid Waste Disposal Act by Congress) Hazardous air pollutants under the Clean Air Act Any imminently hazardous chemical substance or mixture for which the government has taken action under section 7 of the Toxic Substances Control Act. Petroleum (including crude oil not otherwise specifically listed or designated as a hazardous substance under any of those laws), natural gas, natural gas liquids, liquefied natural gas, or synthetic gas useable for fuel (or mixtures of natural gas and such synthetic gas) are excluded."). Parties that disposed of hazardous substances many years ago—including the years preceding the enactment of the Comprehensive Environmental Response, Compensation, and Liability Act of 1980 —at sites where there is, was, or may be a [release](https://asc.understandingaccounting.org/glossary/r/#release "Related to Superfund: any spilling, leaking, pumping, pouring, emitting, emptying, discharging, injecting, escaping, leaching, dumping, or disposing into the environment. Includes the abandonment or discarding of barrels, containers, and other closed receptacles containing any hazardous substance, pollutant, or contaminant. The law provides for several exclusions. Release also means the substantial threat of release.") into the environment, may be liable for remediation costs. #### Strict Liability ##### [410-30-05-17](https://asc.understandingaccounting.org/asc/410/30/#410-30-05-17) Pending content: no Source downloaded (UTC): 2026-09-10T00:21:23.089Z to 2026-09-10T00:21:23.089Z Record version: sha256:05298f1fc263c6c8fe4594423b6cb20e8419ad7681f99166ef80594b0416e273 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The courts have interpreted the Comprehensive Environmental Response, Compensation, and Liability Act of 1980 to impose [strict liability](https://asc.understandingaccounting.org/glossary/s/#strict-liability "Liability imposed without regard to the liable party's fault."). Thus, a waste generator that disposed of its waste at approved facilities, in accordance with all then-current requirements, having exercised "due care," would nevertheless be liable. Further, a waste generator that is responsible for a small percentage of the total amount of waste at a site may be held liable for the entire cost of remediating the site. ##### [410-30-05-18](https://asc.understandingaccounting.org/asc/410/30/#410-30-05-18) Pending content: no Source downloaded (UTC): 2026-09-10T00:21:23.089Z to 2026-09-10T00:21:23.089Z Record version: sha256:e8346ee2dc75b8676b2e7f6168bd9161cfaf4cf65a578be5a6c9dd4ad055ae53 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Also noteworthy is that wastes need not be hazardous wastes for there to be environmental remediation liability. If the waste generator "arranged for disposal" of wastes containing hazardous substances (at any concentration level and regardless of whether the substances were defined as, or known to be, hazardous at the time of disposal), and a "release" of hazardous substances has or could occur, the waste generator could be subject to environmental remediation liability. ##### [410-30-05-19](https://asc.understandingaccounting.org/asc/410/30/#410-30-05-19) Pending content: no Source downloaded (UTC): 2026-09-10T00:21:23.089Z to 2026-09-10T00:21:23.089Z Record version: sha256:f78f72d13fcf3d4dde76fcaad8014989fb0b163366edfa5a59abd6336c687660 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Hazardous substance is a much broader term than hazardous waste. It includes any substance identified by the Environmental Protection Agency by regulation, pursuant to a number of federal statutes. Covered, for example, are substances considered to be toxic pollutants under the Clean Water Act or hazardous air pollutants under the Clean Air Act. The various lists of hazardous substances identified by the Environmental Protection Agency contain more than one thousand chemicals and chemical compounds. ##### [410-30-05-20](https://asc.understandingaccounting.org/asc/410/30/#410-30-05-20) Pending content: no Source downloaded (UTC): 2026-09-10T00:21:23.089Z to 2026-09-10T00:21:23.089Z Record version: sha256:abe4af67646023c009d899129275b24b4e6961899a1f2c6d03f1fedb68d008a4 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The possibility of becoming subject to liability for environmental remediation costs associated with past waste disposal practices based on strict liability can affect transactions involving the acquisition or merger of an entity or the purchase of land. #### Joint and Several Liability ##### [410-30-05-21](https://asc.understandingaccounting.org/asc/410/30/#410-30-05-21) Pending content: no Source downloaded (UTC): 2026-09-10T00:21:23.089Z to 2026-09-10T00:21:23.089Z Record version: sha256:158a468f55c9ab360da5f2d0ac5d90571e6f17c2b09c7e20d02e9322b2b24f1e Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Through Environmental Protection Agency initiated legal action, liability under the Comprehensive Environmental Response, Compensation, and Liability Act of 1980 may be [joint and several](https://asc.understandingaccounting.org/glossary/j/#joint-and-several-liability "Where liability is joint and several, any party deemed liable is potentially responsible for all of the associated costs. This scheme of liability means that any responsible party can potentially be liable for the entire cost of remediating a site, notwithstanding that the party is responsible for only a small amount of the total hazardous substances or waste at the site and did nothing improper."). If a potentially responsible party can prove, however, that the harm is divisible and there is a reasonable basis for apportionment of costs, the potentially responsible party may ultimately be responsible only for its portion of the costs. ##### [410-30-05-22](https://asc.understandingaccounting.org/asc/410/30/#410-30-05-22) Pending content: no Source downloaded (UTC): 2026-09-10T00:21:23.089Z to 2026-09-10T00:21:23.089Z Record version: sha256:4cb822cf94a1e3bc7a0a6b49e15877d5155afd38fd6476b89f2e589294df3fbc Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. In order to mitigate the potentially harsh effects of the strict, joint and several, and retroactive liability scheme, however, Superfund does permit responsible parties to sue other responsible parties to make them contribute to the cost of the remediation or to recover money spent on remediation. #### Costs Associated with Remediation ##### [410-30-05-23](https://asc.understandingaccounting.org/asc/410/30/#410-30-05-23) Pending content: no Source downloaded (UTC): 2026-09-10T00:21:23.089Z to 2026-09-10T00:21:23.089Z Record version: sha256:b7e9ee37dbb125bd54aaafc4cf90af321accf167aafab17df2afd84399e5acff Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Costs to a potentially responsible party may include cleanup costs (containment, removal, [remedial action](https://asc.understandingaccounting.org/glossary/r/#remedial-action "Related to Superfund: generally long-term actions taken to do any of the following: Investigate, alleviate, or eliminate the effects of a release of a hazardous substance into the environment Investigate, alleviate, or eliminate a threat of the release of an existing hazardous substance that could potentially harm human health or the environment Restore natural resources. Also refers to corrective action under the Resource Conservation and Recovery Act of 1976.")), enforcement costs (for example, legal), government oversight costs, and natural resource damages. Though the Comprehensive Environmental Response, Compensation, and Liability Act of 1980 does not provide for personal injury or property damage suits, suits for injury to health or property (referred to as toxic torts) may also be brought by third parties under various legal theories. There is a growing specter of liability for natural resource damages under the Superfund laws. The Comprehensive Environmental Response, Compensation, and Liability Act of 1980 authorizes the recovery of damages for injury to, destruction of, or loss of natural resources, including reasonable costs for assessing such injury resulting from a release of a hazardous substance. Natural resource damage claims include actual restoration costs and lost use values and may in the future include nonuse values, such as the intrinsic public value of protecting or restoring resources that may not be used but are valuable for their mere existence. ##### [410-30-05-24](https://asc.understandingaccounting.org/asc/410/30/#410-30-05-24) Pending content: no Source downloaded (UTC): 2026-09-10T00:21:23.089Z to 2026-09-10T00:21:23.089Z Record version: sha256:8a17dd9f97cbfaf5a488931e3c8d781e122580c76d017cfe9291f04c672b6c0a Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Additional costs can include a remedial investigation and a feasibility study that together generally take a minimum of two years to complete and, depending on factors such as the types of hazardous substances, soil formations, and number of parties involved, may take more than five years. The Environmental Protection Agency oversees the progress of the remedial investigation and feasibility study, and completion is sometimes performed in stages. After Superfund site remedial action is completed, activities must be conducted at the site to ensure that the remedy is effective and operating properly. For example, after a system to pump and treat groundwater is constructed (remedial action), the system must be operated and maintained. In addition, the Environmental Protection Agency may require postremediation monitoring. These operation and maintenance activities may continue for 30 years or longer. #### Environmental Loss Contingencies ##### [410-30-05-25](https://asc.understandingaccounting.org/asc/410/30/#410-30-05-25) Pending content: no Source downloaded (UTC): 2026-09-10T00:21:23.089Z to 2026-09-10T00:21:23.089Z Record version: sha256:4037a063de2affc640419c1397058c9eb1f2da645d46a38f783b65cdb6a290ee Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Although environmental remediation liabilities is not one of the examples discussed in paragraph [450-20-05-10](https://asc.understandingaccounting.org/asc/450/20/#450-20-05-10), environmental remediation liabilities are loss contingencies, and the discussion in paragraphs [450-20-55-10 through 55-17](https://asc.understandingaccounting.org/asc/450/20/#450-20-55-10) can be useful in understanding the requirements of Subtopic 450-20 as they relate to environmental remediation liabilities.