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Developments
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 SEC
rule-making petition
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SEC Rules
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S-K 101
Description of business
- Requires SEC registrants to
disclose, among other things, the material effects of complying or
failing to comply with environmental requirements on the capital
expenditures, earnings and competitive position of the registrant
and it's subsidiaries
S-K 103
Legal Proceedings
- Requires SEC registrants to
disclose, on at least a quarterly basis, pending environmental legal
proceedings or proceedings known to be contemplated, which meet any
of three qualifying conditions:
(1) materiality,
(2) 10% of current assets, or
(3) monetary sanctions
S-K
303
MD&A
- Requires SEC registrants to
disclose environmental contingencies that may reasonably have
material impact on net sales, revenue, or income from continuing
operations
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SEC Interpretations
Accounting Literature
SEC_CODE_REF_0090001192884
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AICPA
Statement of Position (SOP 96-1)
Guidance on accounting for environmental liabilities
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Environmental Protection Agency
American Society of Testing and Materials (ASTM)
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Standard
setter promulgates recognized standards for estimating and disclosing
environmental liabilities
- Environmental
groups have petitioned SEC to adopt these standards as rules
Home
page
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Cases
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 Levine v. NL Industries, Inc.
- 717 F. Supp. 252 (SDNY
1989)
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926 F.2d 199
(2d Cir. 1991)
- Court rejected plaintiffs
allegations that NL Industries was required to disclose in its Form
10-K certain violations of emissions standards
- Facility at issue was owned by the
Department of Energy and operated by an NL subsidiary
- Facility accounted for no more than 0.2% of NLs annual gross income
- Operating contract required the
Department of Energy to indemnify NL in the event of loss or
liability related to compliance with environmental laws
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Related Topics
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