947 F.2d 1201
SYNOPSIS: Petitioners, industry advocates, sought review of a final rule of respondent United States Environmental Protection Agency, which banned manufacture and use of asbestos products. Petitioners argued that respondent's rulemaking procedure under § 6 of the Toxic Substances Control Act was defective and that the rule was not promulgated on the basis of substantial evidence.
FACTS: After 10 years of proceedings, respondent Environmental Protection Agency issued a final rule under § 6 of the Toxic Substances Control Act (TSCA) banning asbestos products. Petitioners, industry advocates, sought review, arguing that the rulemaking procedure was defective and that the rule was not promulgated on substantial evidence.
-The court vacated the rule, reversed, remanded, and ruled that under § 19(c)(1)(B)(ii) of TSCA, 15 U.S.C.S. § 2618(c)(1)(B)(ii), the rule was unlawfully promulgated where respondent's restrictions on cross-examination precluded disclosure of disputed material facts, necessary to a fair determination. -The court also ruled that 15 U.S.C.S. § 2605(a) required adoption of the least burdensome regulation to achieve a goal of minimum reasonable risk, that respondent failed to assess costs and benefits of the least to most burdensome alternatives, and that its calculations of benefits and costs were inaccurate and failed to factor the costs and risks of substitute products. Because of the many defects in methodology, the court held that adoption of the ban was not supported by substantial evidence as required by TSCA, 15 U.S.C.S. § 2618(c)(1)(B)(i).
OUTCOME: The court vacated respondent Environmental Protection Agency's asbestos ban, reversed, and remanded. The court held that the rulemaking process was defective in restricting cross-examination by petitioners, industry advocates, that respondent failed to assess costs and benefits of less burdensome actions, and that its cost-benefit analysis was illogical, unscientific, and failed to assess risks of substitute products.
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