CRT Dangers
In a bid to clean up hazardous materials, IMS Electronics Recycling has agreed to pay $5 million towards the removal of Cathode Ray Tube (CRT) waste left at the sites of former Closed Loop Refining and Recovery in Phoenix, AZ.
When it comes to electronics, CRT monitors are some of the most difficult and dangerous items to disassemble for multiple reasons:
- Electrocution Hazard: CRT displays are equipped with a high voltage capacitor that remains charged even when not plugged in. On average, a color television can carry up to 27,000 volts when completely charged, an amount that surpasses dangerous levels.
- Risk of Explosion: The CRT tube, which is designed to be under a vacuum seal, can become fragile at the narrowed “neck” area behind the display. Should there be any breakage in this region, it could lead to an implosive force that then results in a burst of glass fragments.
- Heavy Metal Contents: Many CRT monitors and TVs contain a substantial amount of lead, with anywhere from 2 to 5 pounds per unit. This becomes hazardous if the screen breaks.
Due to these dangers, on January 31, a judge approved a settlement between IMS and property owners who had taken legal action against the recycler and other e-scrap companies. This agreement was in response to Closed Loop’s closure in 2016, which left private landowners and taxpayers responsible for clean-up costs.
Property Managers File Suit
On October 7, 2022, four major property management firms; Berendo Property, Harrison Properties, Lincoln Industrial, and Predio Management filed the lawsuit in the U.S. District Court in Arizona. This case claims that numerous CRT suppliers should be obligated to pay for a clean-up effort, with an estimated cost of $15 million or more.
In addition, California Electronic Asset Recovery (CEAR) and Federal Prison Industries (doing business as UNICOR) have both agreed to pay $1 million in damages. Both organizations were supplementary defendants in the case.
Judge Approves Settlement
A judge accepted the agreement between IMS and the landowners, with evidence that 71.5 million pounds of material had been sent to Phoenix sites by IMS. This accounted for almost 40% of all material shipped there. This figure was even greater when considering what was left behind, which came to 106 million pounds, or approximately two-thirds of all shipments.
The amount of $5 million was agreed upon, but only covers a third of all expenses related to cleanup efforts. “Because the settlement amount is proportional to IMS’ alleged share of responsibility and the funds will be put toward cleanup efforts, the settlement agreement is substantively fair and reasonable,” the judge decreed.
Several firms cited in the case have asserted that they are not liable for the clean-up, according to federal law. Nevertheless, some have consented to settlements that they deemed more worthwhile than the cost and danger of persisting with litigation.
IMS and Dell Pay $1.12 Million
A similar legal battle has been occurring in Columbus, Ohio where Closed Loop had three warehouses unlawfully holding CRT materials.
On October 24th and 26th, two settlements were presented to U.S. District Court for the Southern District of Ohio. One legal battle was between Dell and IMS, and another between GEEP and Dell. Both recycling companies had sent CRT materials to Closed Loop on behalf of Dell, in accordance with state extended producer responsibility (EPR) legislation. As part of these obligations, Dell must assist in funding e-scrap collection and recycling efforts.
Between June 2013 and February 2016, a total of 8.3 million pounds of CRT materials were shipped to two Columbus sites by IMS. In exchange for being dropped from the case, both Dell and IMS have agreed to pay the property owners approximately 14 cents per pound of items delivered to Closed Loop.
This dispute is finally coming to a close with IMS and Dell making a joint agreement to pay out $1.12 million to help finance remediation efforts.
