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Settling Without SEPs: An Environmental Law Institute Member Webinar

On March 12, 2020 the Environment and Natural Resources Division (ENRD) of the Department of Justice (DOJ) issued a memorandum prohibiting the use of supplemental environmental projects (SEPs) in settling civil disputes effective immediately. Historically, companies have leveraged SEPs in settlement negotiations with ENRD by agreeing to undertake a project with environmental or health benefits, often tailored to the specific alleged violation(s), in exchange
for reduced financial penalties.

Many view SEPs as streamlining the settlement process. However, DOJ reasons that SEPs are inconsistent with the Miscellaneous Receipts Act by circumventing revenue that otherwise would be deposited to the Department of Treasury. How will ENRD’s prohibition on SEPs affect ongoing settlement negotiations? How might companies adjust their settlement negotiation strategies in light of this change? What are the limitations of this memorandum, and how could such be applied? Join the Environmental Law Institute and expert panelists to explore these questions and more by diving into this memorandum and its potential
impacts on settlement negotiations.

Corinne Snow will moderate a panel discussion titled “Settling Without SEPs” hosted by the Environmental Law Institute on Wednesday, May 27th from 12:00 p.m. – 1:30 p.m. ET via webinar only. The panel will discuss the memorandum issued by the Environment and Natural Resources Division of the Department of Justice prohibiting the use of supplemental environmental projects (SEPs) and how companies can adjust their settlement negotiation strategies and what the limitations are of this memorandum.