About the Case
Plaintiffs allege New-Indy Containerboard in Catawba, South Carolina, began polluting neighboring properties with noxious and harmful hydrogen sulfide and other toxic emissions as early as November 2020.
Emissions of hydrogen sulfide skyrocketed after New-Indy paper mill, which is owned by subsidiaries of The Kraft Group and Schwarz Partners LP, pivoted its production from white paper to containerboard. This change to how the mill processes waste is also believed to have been made to increase profits. By-products that used to be sent to an incinerator are now sent to outdoor lagoons, which allow hydrogen sulfide and other pollutants behind the smell to evaporate into the air.
New-Indy is currently under orders from the Environmental Protection Agency (EPA) and the South Carolina Department of Health and Environmental Control (DHEC) to reduce levels of hydrogen sulfide and other toxins. On May 13, 2021, the EPA sent the mill’s parent company a formal request requiring it to perform air monitoring in the surrounding communities. The EPA also initiated its own air monitoring to reduce and prevent future public health and welfare risks associated with hydrogen sulfide and other toxic emissions.
This putative class action lawsuit was brought by affected residents with the goal of stopping further pollution and remediating existing pollution.
On July 12, 2021, the EPA filed an injunction against New-Indy citing that the company still has steps that need to be taken in order to reduce the pollution. On September 23, 2021, our team filed a proposed consolidated amended putative class action complaint and motion to appoint interim co-lead class counsel. On September 29, 2021, our team filed to intervene in the EPA litigation against New-Indy to put an immediate end to the pollution, force New-Indy to comply with federal law, and require New-Indy to implement an appropriate monitoring program.
DHEC has received more than 50,000 complaints from residents since 2021. Exposure to even low concentrations of hydrogen sulfide can result in health effects, such as irritation to the eyes, ears and throat, as well as more serious problems such as difficulty breathing, headaches, poor memory, nausea, balance problems and other health conditions. The effects are heightened for those with preexisting conditions such as asthma or severe allergies.
If you live or work in this area and are experiencing those types of symptoms, we encourage you to see a healthcare professional.
Our Priorities
1. Stop the pollution
Residents cannot continue to wait for change. Our lawsuit seeks to force New-Indy to cease all emissions until it can fix the problem and comply with all local, state, and federal environmental laws.
2. Clean up the pollution
New-Indy must be forced to change so that the local air and water are safe for this community moving forward. Cleaning up the problem long-term is necessary.
3. Obtain monetary damages
Those whose health, way of life, and economic interests have been hurt as a result of New-Indy’s pollution deserve to be recognized and compensated.
Timeline
December 2018: New-Indy Containerboard, LLC and New-Indy Catawba, LLC (both Kraft Group, LLC and Schwarz Partners LP subsidiaries, collectively referred to as “New-Indy”) purchases the paper mill from Resolute FP US Inc. New-Indy planned to convert the mill from white paper to brown paper containerboard.
November 2020: The mill’s conversion occurred and an increase in production resulted in much higher emissions of toxic air pollutants and overwhelming odors, as well as significant increase in reported adverse health effects.
April 2021: New-Indy denied responsibility and requested approval from DHEC for increase in production.
May 2021: The US EPA issued an emergency order under the Clean Air Act ordering New-Indy to take actions to remedy the unlawful air pollution.
May 2021: An initial putative class action lawsuit was filed on behalf of plaintiffs seeking to end the pollution and fix the problem in the U.S. District Court in South Carolina’s Rock Hill Division.
September 2021: Our team filed a proposed consolidated amended putative class action complaint and motion to appoint interim co-lead class counsel.
September 2021: On behalf of some area residents, we filed a motion to intervene in the EPA litigation against New-Indy that sought to put an immediate end to the pollution, force New-Indy to comply with federal law, and require New-Indy to implement an appropriate monitoring program.
December 2021: Chase T. Brockstedt and Philip C. Federico of Baird Mandalas Brockstedt & Federico, Richard A. Harpootlian of Richard A. Harpootlian Law Firm, P.A. and T. David Hoyle of Motley Rice LLC were appointed Interim Co-Lead Class Counsel.
December 2021: Counsel files a consolidated amended complaint to combine and refine the allegations made in the prior pleadings.
December 2021 – The EPA proposes a $1.1 million consent decree with New-Indy. The proposed consent decree is subject to a 30-day public comment period.
February 2022- The EPA public comment period is extended an additional 30 days.
March 2022 – The comment period for the EPA consent decree concludes after over 600 public comments were submitted.
July 2022 – Local citizens file a new lawsuit against New-Indy for its violations of the Clean Air Act.
August 2022 – The Honorable Judge Sherri Lydon denies New-Indy's motion to dismiss the class action lawsuit.
October 2022 – Extensive testing reveals the groundwater in, at, around, and in the vicinity of the mill’s property contains dioxins and numerous other hazardous substances and constituents of concern, including iron, lead, benzene, trichloroethene, chlorobenzene, 1,2-dichlorobenzene, chloroform, 1,4-dichlorobenzen, and 1,2,4-trichlorobenzene. Additionally, results of sampling performed on behalf of the citizens by experienced water quality consultants indicate for the first time “a likely pathway of exposure” from several points on the property containing those substances to the nearby Catawba River. As a result, citizens file notice of intent to sue for violations to the Resource Conservation and Recovery Act and the Clean Water Act.
November 2022 – New-Indy agrees to a consent decree with the EPA and a consent order with The South Carolina Department of Health and Control (DHEC). We believe those agreements are inadequate for what New-Indy has levied upon this community and will continue to fight for an end to this environmental disaster and real accountability from New-Indy.
February 2023 – Local citizens file a new lawsuit against New-Indy for its violations of the Clean Water Act and the Resource Conservation and Recovery Act.
April 2023 – The Catawba Riverkeeper Foundation files a Motion to Intervene in the litigation against New-Indy.
August 2023- The Honorable Judge Sherri Lydon abstains from hearing the matter and grants New-Indy’s Motion to Dismiss the citizen lawsuit for violations to the Clean Air Act without prejudice.
September 2023- Plaintiffs file a Notice of Appeal related to the August order.
Upcoming Key Dates
November 1, 2023 – All Discovery concluded
November 7, 2023 – Motions for Class Certification
June 7, 2024 – Trial
This information is provided by Interim Co-Lead Class Counsel in the New-Indy emissions litigation:
Chase T. Brockstedt and Philip C. Federico of Baird Mandalas Brockstedt & Federico, Richard A. Harpootlian of Richard A. Harpootlian Law Firm, P.A. and T. David Hoyle of Motley Rice LLC
The legal team appointed as Interim Co-Lead Class Counsel is co-counsel with:
Gary V. Mauney of Mauney PLLC, Thomas E. “Tommy” Pope and Ben P. Leader of Elrod Pope Law Firm P.A. and Leon E. Stavrinakis of Stavrinakis Law Firm LLC
