3M to pay New Jersey up to $450M in landmark ‘forever chemical' settlement
(The Hill) – 3M will pay the state of New Jersey up to $450 million over the next 25 years, resolving claims regarding widespread contamination from 'forever chemicals.'
State Attorney General Matthew Platkin and Department of Environmental Protection (DEP) Commissioner Shawn LaTourette announced the agreement on Tuesday, describing the terms as 'the largest statewide PFAS settlement in New Jersey history.'
PFAS is the acronym for per- and polyfluoroalkyl substances, an umbrella group of about 15,000 synthetic compounds known for their ability to persist nearly 'forever' in the environment, and for years in the human body. These cancer-linked compounds are present in a wide array of household items, such as nonstick pans, waterproof apparel cosmetics and stain-resistant fabric, as well as in certain firefighting foams.
'The makers of PFAS forever chemicals knew how poisonous these substances were, yet they produced and thoughtlessly released them into New Jersey's environment anyway,' LaTourette said in a statement.
'This historic settlement marks another step toward holding polluters accountable for dangerous PFAS contamination that has wrought havoc on our water supplies, injured our natural resources and threatened the public health,' the commissioner added.
Can you filter 'forever chemicals' out of your water at home?
New Jersey, one of the most PFAS-polluted places nationwide, is also the accidental birthplace of the chemicals. In 1938, postdoctoral scholar Roy Plunkett inadvertently created the first type of PFAS, known as PTFE or Teflon, while working on replacements for hazardous refrigerants.
Plunkett conducted his research in DuPont labs located in the town of Deepwater, which now houses the Chemours Chambers Works site.
The Tuesday settlement resolves 3M's liability in New Jersey's lawsuits regarding Chambers Works, as well as at the Parlin site, located in Sayreville, according to the announcement from the attorney general's office.
A statement from the company on Tuesday acknowledged that 'historically, 3M supplied PFAS to DuPont at the site but discontinued that supply in 2001.'
The settlement also resolves the state's claims against 3M in litigation regarding PFAS presence in firefighting foam, per the announcement.
With this resolution, 3M will now no longer stand trial in an ongoing case on Chambers Works against DuPont, its spinoff company Chemours and other defendants.
The attorney general's office stressed that Tuesday's settlement ranks among the only such statewide agreements in which 3M has entered for PFAS liability nationwide.
Nonetheless, the 3M statement emphasized that 'this agreement is not an admission of liability.'
'If the agreement is not approved by the court or certain agreed terms are not fulfilled, 3M is prepared to continue to defend itself in litigation,' the statement added.
The Hill has reached out for comment to both DuPont and Chemours, whose trial is currently scheduled for May 19, according to the attorney general's office.
'Corporate polluters must be held accountable when they contaminate our state's water supply,' Platkin said in a statement.
'For decades, 3M knew that their PFAS chemicals were forever contaminating the New Jersey environment,' the attorney general continued. 'But they continued to pollute the environment and escape accountability. That ends now.'
Per the terms of the settlement, 3M will begin issuing payments of $275 million to $325 million in the years 2026-2034. In the first year, the company will pay $43.45 million for natural resources damages at the Chambers Works site and $16.55 million for related PFAS abatement projects, such as drinking water treatment.
3M will also pay $40 million to cover fees, costs and punitive damages, while financing costs of other statewide natural resource damages and pollution reduction.
In the 2035-2050 window, the settlement involves an additional $125 million in payments for further damages and abatement needs. Payments made during those years, however, are subject to certain offsetting credits that 3M could receive if local governments are successful in recouping their own related claims, according to the attorney general's office.
Via the settlement, 3M is released from liability arising from its sale, marketing, distribution, use and manufacture of PFAS in New Jersey, the announcement stated. However, the company must continue investigating and remediating PFAS contamination at its former New Jersey locations, the settlement added.
The attorney general's office also stressed that the agreement does not impact private PFAS lawsuits filed by individual residents against 3M.
3M in its statement described the agreement as 'another important step toward reducing risk and uncertainty on these legacy issues, allowing 3M to focus on its strategic priorities.'
The company noted that in the year 2000, it announced the voluntary phaseout of PFOA and PFOS, two of the most notorious types of PFAS. Twenty-two years later, 3M then said it would discontinue all PFAS production by the end of 2025.
'3M remains on track to do so,' the statement added.
With this newest settlement, the state of New Jersey has now obtained pledges from companies to pay up to about $840 million for contaminating the environment with forever chemicals, the announcement added.
'The damages we recover from 3M will help fund New Jersey's nation-leading PFAS abatement efforts,' LaTourette said, emphasizing that the state 'will continue to hold all PFAS polluters accountable' for their actions.
'The people of New Jersey should never be forced to clean up after them,' the commissioner added.
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