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Federal statutes imposing liability for hazardous waste cleanup costs raise numerous issues directly affecting the personal liability of directors and officers ("DO the funding issue deals with how those costs will be financed. Courts have resolved the liability issue with the apparently simple rule that under the Resource Conservation and Recovery Act of 1976 (RCRA)1 and the Comprehensive Environmental Response, Compensation, and Liability Act of 1980 (CERCLA),2 "the 'polluter pays.'"3 The issue of funding, on the other hand, has not been so easily resolved; determining how costs are to be financed often balances on how a court interprets the coverage provided by an insurance contract.

Whistling Past the Waste Site: Directors' and Officers' Personal Liability for Environmental Decisions and the Role of Liability Insurance Coverage