Contesting Future Response Costs Sample Clauses
The 'Contesting Future Response Costs' clause establishes the process by which a party may dispute or challenge costs that are incurred in the future for response actions, such as environmental cleanup or remediation. Typically, this clause outlines the procedures for notifying the other party of a dispute, the timeframe for raising objections, and the method for resolving disagreements, which may include negotiation, mediation, or arbitration. Its core practical function is to provide a clear mechanism for addressing disagreements over future expenditures, thereby reducing the risk of prolonged disputes and ensuring that cost responsibilities are managed fairly and transparently.
Contesting Future Response Costs. Purchaser may initiate the procedures of Section XIV (Dispute Resolution) regarding payment of any Future Response Costs billed under Paragraph 60 (Payments of Future Response Costs) if it determines that EPA has made a mathematical error or included a cost item that is not within the definition of Future Response Costs, or if it believes EPA incurred excess costs as a direct result of an EPA action that was inconsistent with a specific provision or provisions of the NCP. To initiate such dispute, Purchaser shall submit a Notice of Dispute in writing to the RPM within 30 days after receipt of the bill. Any such Notice of Dispute shall specifically identify the contested Future Response Costs and the basis for objection. If Purchaser submits a Notice of Dispute, Purchaser shall within the 30-day period, also as a requirement for initiating the dispute, (a) pay all uncontested Future Response Costs to EPA in the manner described in Paragraph 60, and (b) establish, in a duly chartered bank or trust company, an interest-bearing escrow account that is insured by the Federal Deposit Insurance Corporation (FDIC) and remit to that escrow account funds equivalent to the amount of the contested Future Response Costs. Purchaser shall send to the RPM a copy of the transmittal letter and check paying the uncontested Future Response Costs, and a copy of the correspondence that establishes and funds the escrow account, including, but not limited to, information containing the identity of the bank and bank account under which the escrow account is established as well as a bank statement showing the initial balance of the escrow account. If EPA prevails in the dispute, within five days after the resolution of the dispute, the escrow agent shall release the sums due (with accrued interest) to EPA in the manner described in Paragraph 60. If Purchaser prevails concerning any aspect of the contested costs, the escrow agent shall release that portion of the costs (plus associated accrued interest) for which it did not prevail to EPA in the manner described in Paragraph 60. Purchaser shall be disbursed any balance of the escrow account. The dispute resolution procedures set forth in this Paragraph in conjunction with the procedures set forth in Section XIV (Dispute Resolution) shall be the exclusive mechanisms for resolving disputes under Purchasers’ obligation to reimburse EPA for its Future Response Costs.
Contesting Future Response Costs. Respondent may initiate the procedures of Section Xy (Dispute Resolution) regarding payment of any Future Response Costs billed under Paragraph 63 (Payments ofFuture Response Costs) if it determines that EPA has made a maftematical error or included a cost item that is not within the definition of Future Response Costs, or if it believes EPA incurred excess costs as a direct result of an EPA action that was inconsistent with a specific provision or provisions of the NCP. To initiate such dispute. Respondent shall submit a Notice of Dispute in writing to the OSC within 30 days after receipt of the bill. Any such Notice of Dispute shall specifically identify the contested Future Response Costs and the basis for objection. If Respondent submits a Notice of Dispute, Respondent shall within the 30-day period, also as a requirement for initiating the dispute, (a) pay all uncontested Future Response Costs to EPA in the manner described in Paragraph 63 (Payment ofFuture Response Costs) and (b) establish, in a duly chartered bank or trust company, an interest bearing escrow account that is insured by the Federal Deposit Insiurance Corporation