What is the approach to liability for contamination (including historic contamination) of soil or groundwater?
Bolivian legislation provides that any party that caused an unjust damage to another is required to repair or compensate said damage. Currently, in order to attribute responsibility for contamination of soil or groundwater, the authorities are required to prove that there is a cause-effect relation between the activities of a certain company or project and the contamination caused to soil or groundwater. Once this is done, environmental authorities will pursue the full compensation and repair of the damage caused. Bolivian legislation only provides the compensation of direct damage and loss of profit; therefore, no punitive damages would be applied. Historic contamination is attributed to the owners of the stock of the company. That is why environmental audits are required at the time of purchasing a stock, in order to determine the status of compliance of environmental laws and regulations. The new Constitution declared the responsibility for ‘historical environmental damage’.
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- What is the approach to liability for contamination (including historic contamination) of soil or groundwater?
- What is the approach to liability for historic contamination of soil or groundwater?