This 31-acre bulk chemical distribution facility was developed by Union Oil in 1968 for anhydrous ammonia and urea distribution, with diesel fuel storage on site from the outset and a caustic/acid waste underground storage tank operating from 1972 to 1979. A documented ammonia spill occurred in February 1982, and diesel-contaminated soil was discovered at 18 feet below ground surface in 2002, traced to decades of historical operations under Union Oil ownership. Groundwater and soil contamination have been confirmed, and the site — adjacent to the Willamette River and the Portland Harbor Superfund Site — is now under active source control evaluation through a Voluntary Cleanup Program agreement executed in 2019, with monitoring wells installed and an ammonia groundwater work plan submitted in late 2023. That history could support an insurance coverage claim against the carriers who issued policies more than 40 years ago — coverage that could help fund the cleanup ahead.
Pre-1986 Commercial General Liability (CGL) policies were occurrence-based and did not contain an effective pollution exclusion in Oregon — and those policies may provide coverage that remains enforceable today. If contamination occurred while those policies were active, those historical insurance carriers may still have a legal obligation to fund the cleanup costs, even if the business closed or the property changed hands.
The contamination at this property originated from bulk chemical handling, diesel storage, and underground tank operations that began in 1968 and continued for nearly two decades before 1986. The ongoing source control evaluation, groundwater investigation, monitoring, and remediation work directed under the VCP agreement — particularly given the site's proximity to the Portland Harbor Superfund Site and the potential for Oregon DEQ to escalate to a unilateral order — represent substantial current and future costs that historical pre-1986 carriers may be obligated to fund.
Restorical's role is to locate viable historical policies, determine whether a successful coverage claim is possible, and assist our clients and their legal counsel to obtain insurance coverage. Restorical then manages the claim, including accounting, to ensure the cleanup is funded in a timely manner.
Stay up to date on environmental property cleanup laws and changes.
Request more information on this property
Contact UsThis analysis is preliminary and based on publicly available records. Restorical Research is not a law firm and does not provide legal advice.