Liability Issue

By Lisa Vaas  |  Posted 2004-07-16 Print this article Print

This isnt merely something for environmentally conscious, goodnik liberals to cluck about. This is something for every IT department, every CIO and every corporate lawyer to sweat. For this is an issue that is gaining the attention of legislatures across the country. At this point, something like 26 states have pending legislation on electronic waste. For its part, California now has a bill on the books. It takes effect this fall, imposing a fee on computer monitors and TVs in order to fund a recycling program. Want to know what legislation might be headed your way? Check out the Silicon Valley Toxic Coalitions interactive map of the United States to ascertain what electronic-waste legislation is pending in the state(s) in which your company does business.
What about federal legislation? Click here to read more about a computer-recycling bill pending in Congress.
The map also directs users to local organizations that are working on e-waste, as well as organizations and cities that have adopted resolutions on e-waste, electronics take-back programs and "green" procurement. The California law also regulates shipment overseas for disposal. Legislation of this type is vitally relevant to enterprises because it means that its not good enough to merely call up a PC recycling service to deal with your discarded electronic equipment. According to Robert Houghton, president of the technology recycling firm Redemtech, the majority of PCs accepted for recycling in this country are being exported to developing countries. We have the economics of recycling to thank for this. After all, its extremely advantageous if no one asks questions when a firm sends a PC to a developing country, where low-cost labor is used to extract valuable materials and the remaining PC carcass is simply dumped. China, Pakistan, Bangladesh, Vietnam, Eastern European countries and African countries are the dumping grounds, of course—developing countries with insufficient laws to protect their environments and their workforces. Many organizations pick a recycling vendor who ships the material overseas and whose services cost barely anything because its cheaper that way, OBrien said. That recycler will go ahead and dump the PC equipment somewhere else. While the company may think they got away cheap, theyre in fact still on the hook, since they didnt secure an audit trail. The recycling firm may dump that stuff in a field or leave it in a warehouse. It goes belly-up, and all of a sudden the EPA is on the companys doorstep. Then come the fines. You dont have to live in California for this liability to hit you. Read up on CERCLA, the Comprehensive Environmental Response, Compensation and Liability Act, aka the Superfund Law. CERCLA empowers the EPA to identify contaminated sites, to pin the blame on those responsible and to seek compensation to pay for the cleanup. It doesnt matter if you yourself dumped the PCs in the field out back or whether you used a third party to dump them somewhere else—youre still accountable. Beyond the fines and the potential public embarrassment of being seen as environmentally irresponsible, there are other dangers lurking in the depths of the closet where your company shoves all of its unused electronic equipment. Namely, those dusty machines still have data that can come back to haunt you. "You take it out of service, put it in a room for some later date, and some later date never comes," OBrien told me. "In the meantime, the machine gets cannibalized. You say, Ill take that hard drive and put it in my personal machine." In doing so, the data from unwiped drives is out there. Thats a potential risk to both enterprise privacy and enterprise security and, once again, it represents potential liability, this time in the face of laws such as Sarbanes-Oxley. Read more here about the importance of data destruction. Whats a well-intentioned organization to do? Find a reputable PC recycler that offers a waiver of liability to safeguard your company against running afoul of regulations. Do your due diligence and make sure you have an audit trail of where the equipment went—not just the outsourcer who took it, but the second, third and however many more stops it made on its way downstream. All of us in this industry have benefited from the Information Age. Lets make sure we dont poison the world in the process. Check out eWEEK.coms Desktop & Notebook Center at for the latest news in desktop and notebook computing.

Lisa Vaas is News Editor/Operations for and also serves as editor of the Database topic center. Since 1995, she has also been a Webcast news show anchorperson and a reporter covering the IT industry. She has focused on customer relationship management technology, IT salaries and careers, effects of the H1-B visa on the technology workforce, wireless technology, security, and, most recently, databases and the technologies that touch upon them. Her articles have appeared in eWEEK's print edition, on, and in the startup IT magazine PC Connection. Prior to becoming a journalist, Vaas experienced an array of eye-opening careers, including driving a cab in Boston, photographing cranky babies in shopping malls, selling cameras, typography and computer training. She stopped a hair short of finishing an M.A. in English at the University of Massachusetts in Boston. She earned a B.S. in Communications from Emerson College. She runs two open-mic reading series in Boston and currently keeps bees in her home in Mashpee, Mass.

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