CDLE banner image
 
MenuTemplate
Reasonable Cost Guidelines 2001 - Third Party Liability Definitions:

Article 5, Part 3

5-3-1.  BODILY/PERSONAL INJURY

(1)  As used in this Article 5, bodily injury and personal injury are interchangeable terms.  “Bodily/personal injury” means physical injury, sickness, disease or death proximately caused by an accidental release of a petroleum product.   “Bodily/personal injury” does not include any loss or damage of an intangible nature, including pain and suffering, mental distress or anguish, or fear of future harm or illness.  “Bodily/personal injury” does not include false arrest, detention, imprisonment; malicious prosecution; wrongful entry into or eviction of a person from a room, dwelling, premises or property that the person occupies; invasion of right of private occupancy; or other similar deprivation.

5-3-2.  PROPERTY DAMAGE

(1)  “Property damage” means physical injury to, destruction of, or contamination of tangible property, real or personal, including resulting loss of, or interference with, use of that property.  “Property damage” includes loss of use of tangible property that is not physically injured, destroyed, or contaminated, but has been permanently or temporarily evacuated, withdrawn from use, or rendered inaccessible as a proximate result of an accidental release of a petroleum product.

(2)    “Property damage” does not include the following:

(a)  Cleanup costs

(b)  Damage to property the applicant owns, rents, occupies, or uses

(c)  Damage to property the applicant sells, gives away or abandons after discovery of the release

(d)  Personal property in the applicant’s care, custody or control

(e)  Diminution of property value, whether actual, perceived or anticipated, except as provided for at §5-7-2(20).  If diminution of property value is reimbursed, no remediation costs for the third party's property will be reimbursed for this occurrence.

5-3-3.  THIRD PARTY

(1)    “Third party” means a person who has suffered bodily/personal injury or property damage as a proximate result of an accidental petroleum release.  “Third party” does not include the following:

(a)  Any employee or independent contractor of the Fund applicant whose bodily/personal injury or property damage is connected to the employment or contractual relationship.

(b)  Any business associate of the Fund applicant (or a related enterprise of the Fund applicant), including without limitation a partner, shareholder, or joint venture of the Fund applicant or of a related enterprise, or any business entity or individual (or owners, agents or employees thereof) that owns, leases, operates, or manages the site, when the business relationship with the Fund applicant is related to the Fund applicant’s ownership or operation of the petroleum business at the site.

(c)  Any former tank owner/operator or permittee who may have been the owner/operator or permittee at the time when the release occurred, and any individual or corporation that leases the property where the release originated after the contamination is found.

(d)  Recognizing there may be business arrangements of which the Committee was not aware when drafting §5-3-3(1), the Committee reserves the right to consider third-party status on a case-by-case basis.

(2)  If either the tank owner or tank operator is a potentially eligible Fund applicant for the subject release, neither can be a third party, regardless of which actually establishes Fund eligibility.

All Applicable Rights Reserved, Copyright 2004 Colorado Department of Labor and Employment