Mississippi Uniform Environmental Covenants Act


On March 31, 2008, Governor Haley Barbour signed the Mississippi Uniform Environmental Covenants Act (the "Act") into law. The Act, which became effective July 1, 2008, provides for a statutorily-defined, voluntary agreement known as an environmental covenant ("Environmental Covenant")

The goal of the Act is to promote the revitalization of inner cities and other areas where vacant and underused property prevent vital redevelopment or other productive use of the land. It does so by removing legal impediments to the long-term enforcement of various clean-up controls, such as restrictions on certain uses, prohibitions on using wells, or the maintenance of monitoring equipment, which in turn reduces the risk of unacceptable human exposure to contamination left on-site and the consequential environmental liabilities and cleanup costs.

While federal or state regulatory approval of the underlying cleanup plan and notice to all appropriate parties is still be required, compliance with the Act should serve to lessen liability concerns of sellers and lenders associated with the redevelopment and sale of "brownfield" sites.

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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