Team Enterprises v. Western Investment Real Estate , 647 F.3d 901 ( 2011 )


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  •                   FOR PUBLICATION
    UNITED STATES COURT OF APPEALS
    FOR THE NINTH CIRCUIT
    TEAM ENTERPRISES, LLC,                  
    Plaintiff-Appellant,
    v.
    WESTERN INVESTMENT REAL ESTATE
    TRUST, AKA Western Properties
    Trust; WPT, INC.,
    Defendants,
    and
    PK II CENTURY CENTER LP; PAN
    PACIFIC RETAIL PROPERTIES, INC., as
    a corporation and as successor-in-
    interest to Western Investment
    
    Real Estate Trust; KIMCO REALTY
    CORPORATION, as a corporation and
    as successor-in-interest to Pan
    Pacific Retail Properties, Inc.;
    PRUDENTIAL REAL ESTATE
    INVESTORS, as a corporation and as
    successor-in-interest to Pan Pacific
    Retail Properties, Inc.; JOHN A.
    BRANAGH, individually and as a
    partner of Modesto Center
    Investors, LP and MC II, LP;
    LYNETTE F. BRANAGH, individually
    and as a partner of Modesto
    Center Investors, LP and MC II,
    LP; GAYLON C. PATTERSON,
    individually and as a partner of
    
    18245
    18246      TEAM ENTERPRISES v. WESTERN INVESTMENT
    Modesto Center Investors, LP and      
    MC II, LP; MARLA J. PATTERSON,
    individually and as a partner of
    Modesto Center Investors, LP and
    MC II, LP; MODESTO CENTER
    INVESTORS, LP; MC II, LP;
    No. 10-16916
    VULCAN MATERIALS COMPANY;
    LEGACY VULCAN CORPORATION;                     D.C. No.
    MULTIMATIC CORPORATION, now               1:08-cv-00872-LJO-
    known as Kirrberg Corporation;                  SMS
    MULTIMATIC, LLC; THE KIRRBERG                ORDER AND
    CORPORATION, FKA Multimatic                   AMENDED
    Corporation; THE DOW CHEMICAL                  OPINION
    COMPANY; R.R. STREET & CO. INC.,
    Defendants-Appellees,
    v.
    CITY OF MODESTO,
    Third-party-defendant.
    
    Appeal from the United States District Court
    for the Eastern District of California
    Lawrence J. O’Neill, District Judge, Presiding
    Argued and Submitted
    May 13, 2011—San Francisco, California
    Filed July 26, 2011
    Amended September 26, 2011
    TEAM ENTERPRISES v. WESTERN INVESTMENT            18247
    Before: Diarmuid F. O’Scannlain and Ronald M. Gould,
    Circuit Judges, and Amy J. St. Eve, District Judge.*
    Opinion by Judge O’Scannlain;
    Concurrence by Judge St. Eve
    *The Honorable Amy J. St. Eve, United States District Judge for the
    Northern District of Illinois, sitting by designation.
    18250      TEAM ENTERPRISES v. WESTERN INVESTMENT
    COUNSEL
    Jan A. Greben, Greben & Associates, Santa Barbara, Califor-
    nia, argued the cause and filed the briefs for the plaintiff-
    appellant. With him on the briefs were Jeff G. Coyner and
    Danielle L. De Smeth, Greben & Associates, Santa Barbara,
    California.
    Eric Grant, Hicks Thomas LLP, Sacramento, California,
    argued the cause and filed a brief for the defendant-appellee.
    With him on the brief was John B. Thomas, Hicks Thomas
    LLP, Houston, Texas.
    ORDER
    The opinion filed July 26, 2011, slip op. 9559 is amended
    as follows:
    1. At slip op. page 9560, line 14 and 9565, line 12,
    replace “R.R. Street & Co., Inc.” with “R.R. Street & Co.
    Inc.”
    2. At slip op. page 9573, lines 23-25, replace “in
    McHenry, California” with “on McHenry Avenue” and “Mo-
    desto” with “Orangeburg Avenue.”
    TEAM ENTERPRISES v. WESTERN INVESTMENT       18251
    An amended opinion is filed concurrently with this order.
    The panel has voted to deny the petition for rehearing with
    suggestion for rehearing en banc. The panel has unanimously
    voted to deny the petition for rehearing. Judges O’Scannlain
    and Gould have voted to deny the suggestion for rehearing en
    banc, and Judge St. Eve has so recommended. The full court
    has been advised of the suggestion for rehearing en banc, and
    no active judge has requested a vote on whether to rehear the
    matter en banc. Fed. R. App. P. 35.
    The petition for rehearing and the suggestion for rehearing
    en banc are DENIED. No further petitions for rehearing will
    be entertained.
    OPINION
    O’SCANNLAIN, Circuit Judge:
    We must decide, among other things, whether the manufac-
    turer of a machine used in the dry cleaning process may be
    held liable for contribution to environmental cleanup costs
    under the Comprehensive Environmental Response, Compen-
    sation, and Liability Act.
    I
    Plaintiff-Appellant Team Enterprises, LLC (“Team”) has,
    since 1980, leased space in a shopping center in Modesto,
    California, where it operates a dry cleaning store. From 1980
    to 2004, Team used perchlorethylene (“PCE”), a volatile
    organic compound defined as a “hazardous substance” by the
    State of California, in its dry cleaning operation. Team’s dry
    cleaning machines used PCE as part of the cleaning process,
    thereby generating wastewater containing the chemical. Team
    used Puritan Rescue 800 filter-and-still combination equip-
    18252        TEAM ENTERPRISES v. WESTERN INVESTMENT
    ment (“Rescue 800”), designed and manufactured by
    Defendant-Appellee R.R. Street & Co., Inc. (“Street”), to fil-
    ter and to recycle the PCE-laden wastewater for reuse. The
    Rescue 800 returned distilled PCE to Team’s dry cleaning
    machines and deposited the resulting wastewater into an open
    bucket. Once in the bucket, some of the remaining PCE would
    separate from the water, allowing Team to recapture “pure”
    (or visible amounts of) PCE for reuse. The remaining waste-
    water contained dissolved—and invisible—PCE.
    Team disposed of this wastewater by pouring it down the
    sewer drain. Some of the PCE then leaked into the soil, and
    the California Regional Water Quality Control Board deemed
    the affected property in need of cleanup, which Team duly
    performed at its own expense.
    Team sued Street and several other defendants in the East-
    ern District of California,1 for contribution under the Compre-
    hensive Environmental Response, Compensation, and
    Liability Act (“CERCLA”), 
    42 U.S.C. §§ 9601-9675
    . Team
    also alleged various state-law causes of action, including
    claims for trespass and nuisance.
    The district court granted summary judgment to Street on
    all claims and entered final judgment as to it. Team timely
    appealed the district court’s grant of summary judgment as to
    Team’s CERCLA, trespass, and nuisance claims.
    II
    A
    [1] Congress enacted CERCLA in 1980 “in response to the
    1
    In a memorandum disposition filed concurrently with this opinion, we
    decide Team’s appeal from the district court’s grant of judgment on the
    pleadings to Multimatic Corporation. See Team Enters., LLC v. Multimatic
    Corp., No. 10-16486.
    TEAM ENTERPRISES v. WESTERN INVESTMENT                  18253
    serious environmental and health risks posed by industrial
    pollution.” Burlington N. & Santa Fe Ry. Co. v. United States,
    
    129 S. Ct. 1870
    , 1874 (2009). CERCLA was “designed to
    promote the timely cleanup of hazardous waste sites and to
    ensure that the costs of such cleanup efforts were borne by
    those responsible for the contamination.” 
    Id.
     (internal quota-
    tion marks and citation omitted). The statute imposes strict
    liability for environmental contamination upon four broad
    classes of covered persons.2 
    42 U.S.C. § 9607
    (a).
    [2] Once identified as a covered person, “an entity . . . may
    be compelled to clean up a contaminated area or reimburse
    the Government for past and future response costs.” Burling-
    ton N., 
    129 S. Ct. at 1878
    ; see also 
    42 U.S.C. § 9607
    (a)(4)(A)-(D) (describing the remediation and cleanup
    costs for which covered persons may be held liable). CER-
    CLA further provides that a person who has incurred cleanup
    costs may seek contribution from any other covered person.
    
    42 U.S.C. § 9613
    (f)(1). Team argues that Street is a covered
    person because Street allegedly “arranged for disposal” of
    hazardous substances. The section giving rise to arranger lia-
    bility provides, in relevant part, that liability shall be imposed
    on:
    any person who by contract, agreement or otherwise
    arranged for disposal . . . of hazardous substances
    owned or possessed by such person, by any other
    party or entity, at any facility . . . owned or operated
    by another party or entity and containing such haz-
    ardous substances . . . .
    2
    These categories include: (1) the current owners and operators of a ves-
    sel or facility, (2) the former owners or operators of a facility at the time
    of disposal of any hazardous substance, (3) any persons who arranged for
    disposal or treatment of a hazardous substance at any facility owned or
    operated by another party, and (4) transporters of such substances to a dis-
    posal or treatment facility. 
    42 U.S.C. § 9607
    (a).
    18254      TEAM ENTERPRISES v. WESTERN INVESTMENT
    
    42 U.S.C. § 9607
    (a)(3). Arranger liability ensures that owners
    of hazardous substances may not free themselves from liabil-
    ity by selling or otherwise transferring a hazardous substance
    to another party for the purpose of disposal. See Burlington
    N., 
    129 S. Ct. at 1878
     (“[Arranger] liability would attach . . .
    if an entity were to enter into a transaction for the sole pur-
    pose of discarding a used and no longer useful hazardous sub-
    stance.”). Because there are myriad schemes by which a party
    may “arrange[ ] for disposal” of a hazardous substance, courts
    have recognized that determining whether a transaction gives
    rise to arranger liability is a fact-intensive inquiry. See Cal.
    Dep’t of Toxic Substances v. Alco Pac., Inc., 
    508 F.3d 930
    ,
    938 (9th Cir. 2007).
    B
    Team alleges that Street is subject to arranger liability
    under two distinct theories: (1) Street took “intentional steps”
    and “planned a disposal” of PCE, and (2) Street had “author-
    ity to control and exercised control over the disposal process.”
    1
    [3] In Burlington Northern, the Supreme Court recognized
    that “CERCLA does not specifically define what it means to
    ‘arrang[e] for’ disposal of a hazardous substance.” 
    129 S. Ct. at 1879
    . Nevertheless, giving the phrase its “ordinary mean-
    ing,” the Court explained that “the word ‘arrange’ implies
    action directed to a specific purpose.” 
    Id.
     (citing Merriam-
    Webster’s Collegiate Dictionary 64 (10th ed. 1993)). There-
    fore, “an entity may qualify as an arranger . . . when it takes
    intentional steps to dispose of a hazardous substance.” 
    Id.
    While actions taken with the intent to dispose of a hazardous
    substance are sufficient for arranger liability, actions taken
    with the mere knowledge of such future disposal are not. See
    
    id. at 1880
    . As the Court explained,
    [w]hile it is true that in some instances an entity’s
    knowledge that its product will be . . . discarded may
    TEAM ENTERPRISES v. WESTERN INVESTMENT                  18255
    provide evidence of the entity’s intent to dispose of
    its hazardous wastes, knowledge alone is insufficient
    to prove that an entity “planned for” the disposal,
    particularly when the disposal occurs as a periph-
    eral result of the legitimate sale of an unused, useful
    product.
    
    Id.
     (emphasis added).
    [4] In light of the intent requirement, we have long recog-
    nized the so-called useful product defense to CERCLA
    claims. See Alco Pac., 
    508 F.3d at 934
    . The defense prevents
    a seller of a useful product from being subject to arranger lia-
    bility, even when the product itself is a hazardous substance
    that requires future disposal. 
    Id.
     In other words, a person may
    be subject to arranger liability “only if the material in question
    constitutes ‘waste’ rather than a useful product.”3 
    Id.
     (citation
    omitted). A plaintiff can overcome the defense by showing
    that the substance involved in the transaction “has the charac-
    teristic of waste at the time it is delivered to another party.”
    
    Id. at 936
     (internal quotation marks and citation omitted).
    The useful product doctrine serves as a convenient proxy
    for the intent element because of the general presumption that
    persons selling useful products do so for legitimate business
    purposes. It would be odd, for example, to say that an auto
    parts store sells motor oil to car owners for the purpose of dis-
    posing of hazardous waste. Conversely, persons selling or
    otherwise arranging for the transfer of hazardous waste
    3
    CERCLA does not define the term “disposal” but instead incorporates
    the definition set forth in the Solid Waste Disposal Act (“SWDA”). See
    
    42 U.S.C. § 9601
    (29). The SWDA defines “disposal” as “the discharge . . .
    of any . . . hazardous waste into or on any land or water so that such . . .
    hazardous waste . . . may enter the environment . . . .” 
    Id.
     § 6903(3).
    Because the term disposal specifically incorporates the concept of
    “waste,” this court has “developed a body of case law distinguishing
    between the disposal . . . of ‘waste’ and the sale of a ‘useful product.’ ”
    Alco Pac., 
    508 F.3d at 934
    .
    18256      TEAM ENTERPRISES v. WESTERN INVESTMENT
    (which no longer serves any useful purpose) are more likely
    trying to avoid incurring liability that might attach were they
    to dispose of the hazardous waste themselves. In other words,
    the probable purpose for entering into such a transaction is to
    dispose of hazardous waste.
    a
    [5] We recognize that the prototypical case applying the
    useful product doctrine to avoid liability involves a defendant
    selling products that qualify as hazardous substances, such as
    pesticides or batteries. See, e.g., Burlington N., 
    129 S. Ct. at 1870
     (sale of pesticides); Alco Pac., 
    508 F.3d 930
     (sale of
    dross and slag); La.-Pac. Corp. v. ASARCO Inc., 
    24 F.3d 1565
     (9th Cir. 1994) (sale of slag); Catellus Dev. Corp. v.
    United States, 
    34 F.3d 748
     (9th Cir. 1994) (sale of spent bat-
    teries). Conversely, none of the parties in this appeal contend
    that the Rescue 800 equipment is itself a hazardous substance.
    Nevertheless, the presumption animating the doctrine—that
    people sell useful products for legitimate business purposes,
    not for the purpose of disposing of waste—is applicable to
    this case. Absent a showing that Street intended for its sale of
    the Rescue 800 to result in the disposal of PCE, we must con-
    clude that Street lacks the requisite intent for arranger liabil-
    ity. See Burlington N., 
    129 S. Ct. at 1879
     (“ ‘[I]t would be
    error for us not to recognize the indispensable role that state
    of mind must play in determining whether a party has other-
    wise arranged for disposal . . . of hazardous substances.’ ”
    (quoting United States v. Cello-Foil Prods., Inc., 
    100 F.3d 1227
    , 1231 (6th Cir. 1996))).
    b
    [6] Team insists that intent can be inferred from Street’s
    designing its product in such a way as to render disposal inev-
    itable. According to Team, the Rescue 800 generated waste-
    water containing dissolved PCE, and Team allegedly had “no
    other choice than to dispose of the contaminated waste water”
    TEAM ENTERPRISES v. WESTERN INVESTMENT          18257
    by pouring it down the drain. But the design of the Rescue
    800 does not indicate that Street intended the disposal of PCE.
    At most, the design indicates that Street was indifferent to the
    possibility that Team would pour PCE down the drain. This
    is insufficient. See id. at 1880 (rejecting the Government’s
    argument that Shell could be held liable as an arranger “by
    shipping [the pesticide] . . . under conditions it knew would
    result in the spilling of a portion of the hazardous substance”).
    [7] Team has presented no evidence indicating that Street
    designed the Rescue 800 for the alleged “purpose of being a
    waste disposal machine.” The self-evident purpose of the Res-
    cue 800 was to recover and to recycle usable PCE that would
    otherwise be discarded. Indeed, if Team’s assertions are true,
    Team would have disposed of far more PCE had it not used
    the Rescue 800 to recapture used PCE. That Team felt com-
    pelled to dispose of wastewater containing PCE after using
    the Rescue 800 does not indicate that Street “planned a dis-
    posal” of PCE. We are therefore satisfied that Street is not
    subject to arranger liability on the basis of its product design.
    c
    [8] Team also urges us to infer intent from Street’s failure
    to warn Team about the risk of contamination that would
    result from improper disposal. But allowing intent to be
    inferred from a mere failure to warn would greatly expand the
    scope of arranger liability. For example, a plaintiff would
    have a viable CERCLA claim against an auto manufacturer
    that failed to warn purchasers that motor oil must be disposed
    of properly once it has outlived its usefulness. Countless other
    manufacturers would also be subject to arranger liability
    under Team’s novel theory. We are unpersuaded that CER-
    CLA liability extends so far. While a manufacturer who fails
    to warn the buyer about a product’s inherent risk might be
    subject to a products-liability claim, we are not convinced that
    sellers of useful products must instruct buyers on proper dis-
    posal techniques in order to avoid CERCLA liability.
    18258      TEAM ENTERPRISES v. WESTERN INVESTMENT
    [9] In conclusion, we hold that to satisfy the intent require-
    ment, a company selling a product that uses and/or generates
    a hazardous substance as part of its operation may not be held
    liable as an arranger under CERCLA unless the plaintiff
    proves that the company entered into the relevant transaction
    with the specific purpose of disposing of a hazardous sub-
    stance. Team has failed to present evidence giving rise to a
    triable issue as to whether Street sold the Rescue 800 with
    such a purpose.
    2
    [10] Team also asserts that Street “exercised control over
    the disposal process.” Arranger liability premised upon a
    party’s control over the disposal process is well established.
    See United States v. Shell Oil Co., 
    294 F.3d 1045
    , 1055 (9th
    Cir. 2002) (“[C]ontrol is a crucial element of the determina-
    tion of whether a party is an arranger under § 9607(a)(3)”). In
    Shell Oil, we explained that “ ‘[n]o court has imposed
    arranger liability on a party who never owned or possessed,
    and never had any authority to control or duty to dispose of,
    the hazardous materials at issue.’ ” Id. at 1058 (quoting
    United States v. Iron Mountain Mines, Inc., 
    881 F. Supp. 1432
    , 1451 (E.D. Cal. 1995)); see also Gen. Elec. Co. v.
    AAMCO Transmissions, Inc., 
    962 F.2d 281
    , 286 (2d Cir.
    1992) (“[I]t is the obligation to exercise control over hazard-
    ous waste disposal, and not the mere ability or opportunity to
    control the disposal of hazardous substances that makes an
    entity an arranger under CERCLA’s liability provision.”).
    Given that Street had no legal authority to direct Team’s con-
    duct, Team must show that Street exercised actual control
    over Team’s disposal of PCE to subject Street to arranger lia-
    bility.
    a
    Here, Street never owned or possessed the hazardous sub-
    stances at issue. Nor did Street have a duty to dispose of the
    TEAM ENTERPRISES v. WESTERN INVESTMENT         18259
    PCE Team used in its dry cleaning machines. Nevertheless,
    Team claims that because the design of the Rescue 800 “re-
    quired a dry cleaner to toss contaminated waste water down
    the drain,” Street controlled the disposal of PCE. This argu-
    ment is unavailing in light of Burlington Northern. There,
    Shell’s requirement that the purchaser store the pesticide in
    bulk required the purchaser to transfer the chemical from one
    bulk tank to another using a process that invariably led to dis-
    posal of the hazardous substance. Burlington N., 
    129 S. Ct. at 1875
    . The Court held, however, that Shell was not liable as
    an arranger under such circumstances. 
    Id. at 1880
    .
    b
    [11] Team also points to a portion of the Rescue 800’s
    instruction manual that directed users to pour wastewater into
    a bucket. This is insufficient to establish control because
    instruction manuals are akin to recommendations and, there-
    fore, do not control the actions of the purchaser. See Cal.
    Dep’t of Toxic Substances Control v. Payless Cleaners, 
    368 F. Supp. 2d 1069
    , 1080 (E.D. Cal. 2005) (concluding that
    instruction manuals do not “exercise [ ] control over the ulti-
    mate decision on how to dispose of the PCE”). Even if the
    evidence established that Team was compelled to follow
    every step in the instruction manual, the manual directed
    Team to attach a “pipe from waste water leg of water separa-
    tor downward 18 [inches] so that waste water may be caught
    in a pail or other suitable container.” This procedure was
    implemented to ensure that “solvent will not be lost down the
    drain.” Team’s vice president of operations in Modesto, Fred-
    eric Jones, Jr., confirmed in his deposition that “one purpose
    of the bucket was to prevent pure [PCE] from going down the
    drain in the event of a separator malfunction.” Team pres-
    ented no evidence that Street controlled its subsequent act of
    pouring the contents of the pail down the drain. Team claims
    that other disposal options were cost prohibitive, and that it
    therefore had “no practical choice as to how to dispose of the
    waste water.” Nevertheless, without evidence that Street exer-
    18260        TEAM ENTERPRISES v. WESTERN INVESTMENT
    cised actual control over Team’s disposal, the options (or lack
    thereof) available to Team are irrelevant for purposes of
    arranger liability.
    c
    Team next argues that Street’s “employees dumped PCE
    down the drain in Team’s stores,” when they visited the stores
    to take titration samples. The only reference in the record to
    such activity, however, comes from Jones’s deposition. When
    Street’s counsel asked Jones where he recalled seeing Street
    employees dumping wastewater down the drain, Jones
    answered, “McHenry,” referring to a store on McHenry Ave-
    nue. Jones’s own testimony fails to establish that any Street
    employee dumped PCE down the drain at the Orangeburg
    Avenue store at issue in this case.4
    The other pieces of evidence offered by Team in its opposi-
    tion to Street’s motion for summary judgment similarly fail to
    establish that Street exercised any actual control over Team’s
    disposal of PCE. The deposition of Street’s vice president,
    Vincent Romanco, establishes only that Street’s manual
    instructed Team to dispose of the wastewater into a bucket
    and that Street did not tell Team what to do with the contents
    of the bucket. And the internal memorandum authored by
    Manfred Wentz, Street’s Vice President for Research and
    Development and Environmental Affairs, establishes only that
    Street knew that many dry cleaners disposed of PCE-laden
    wastewater by pouring it down the drain.
    [12] Team does not point to any evidence in the record that
    Street hooked up the Rescue 800 to the sewer, that Street con-
    4
    We do not decide whether a party could ever be held liable as an
    arranger on the ground that its employees disposed of small samples of a
    hazardous substance once every month or so. But even if we were to
    accept such a theory of liability, the evidence in the record fails to create
    a genuine dispute as to any material fact with respect to this claim.
    TEAM ENTERPRISES v. WESTERN INVESTMENT          18261
    tinued to own the Rescue 800 used in Team’s store, that Street
    owned or possessed the PCE that Team disposed of, that
    Street made dumping wastewater down the drain a condition
    of its sales contract with Team, or that Street employees
    poured wastewater down the drain at Team’s stores. In short,
    there is a dearth of evidence indicating that Street exercised
    actual control over Team’s disposal.
    C
    [13] Accordingly, we conclude that Team has not pres-
    ented evidence giving rise to a genuine dispute as to any
    material fact with respect to its CERCLA claim.
    III
    [14] Team also argues that the district court erred by grant-
    ing summary judgment to Street on Team’s nuisance claim.
    California defines a “nuisance” as “[a]nything which is injuri-
    ous to health, . . . or is indecent or offensive to the senses, or
    an obstruction to the free use of property, so as to interfere
    with the comfortable enjoyment of life or property.” 
    Cal. Civ. Code § 3479
    . Chemical contamination of the soil that affects,
    or threatens to affect, water quality constitutes a nuisance.
    Selma Pressure Treating Co. v. Osmose Wood Preserving Co.
    of Am., Inc., 
    271 Cal. Rptr. 596
    , 607 (Ct. App. 1990), over-
    ruled on other grounds by Johnson v. Am. Standard, Inc., 
    179 P.3d 905
    , 913-14 (Cal. 2008). A person may be held liable
    under nuisance law if he “ ‘creat[es] or assist[s] to create and
    maintain the nuisance.’ ” 
    Id.
     (quoting Hardin v. Sin Claire, 
    47 P. 363
    , 364 (Cal. 1896)); see also City of Modesto Redev.
    Agency v. Superior Court, 
    13 Cal. Rptr. 3d 865
    , 872 (Ct. App.
    2004) (“[L]iability for nuisance does not hinge on whether the
    defendant owns, possesses or controls the property, nor on
    whether he is in a position to abate the nuisance; the critical
    question is whether the defendant created or assisted in the
    creation of the nuisance.”).
    18262      TEAM ENTERPRISES v. WESTERN INVESTMENT
    [15] Here, it is undisputed that chemical contamination of
    the soil, which is “injurious to health,” 
    Cal. Civ. Code § 3479
    ,
    has occurred. The viability of Team’s claim therefore depends
    on whether Street “creat[ed] or assist[ed] to create and main-
    tain the nuisance.” Selma Pressure Treating, 271 Cal. Rptr. at
    607. A defendant may be liable for assisting in the creation of
    a nuisance if he either (1) affirmatively instructs the polluting
    entity to dispose of hazardous substances in an improper or
    unlawful manner, see City of Modesto, 13 Cal. Rptr. 3d at
    874-75, or (2) manufactures or installs the disposal system,
    see Selma Pressure Treating, 271 Cal. Rptr. at 607. Mere but-
    for causation, on the other hand, does not give rise to nuisance
    liability. See Redevelopment Agency of the City of Stockton v.
    BNSF Ry. Co., No. 09-16585, ___ F.3d ___ (9th Cir. 2011)
    (holding that a railroad could not be held liable for nuisance
    that resulted when pollution traveled through a french drain
    installed by the railroad because the drain was “designed to
    move water, not contaminants”).
    [16] Although Team presented evidence that Street
    instructed it to pour wastewater containing PCE into a bucket,
    there is no evidence in the record that Street “instructed the
    dry cleaners to set up their equipment to discharge solvent-
    containing wastewater into the drains and sewers,” or that
    Street “gave dry cleaners instructions to dispose of spilled
    [PCE] on or in the ground.” City of Modesto, 271 Cal. Rptr.
    3d at 874. And despite Team’s protestations that once waste-
    water from the Rescue 800 had been poured into a bucket
    there was no alternative but to pour it down the drain, Team’s
    alleged lack of alternatives do not indicate that Street engaged
    in the “kinds of affirmative acts or instructions” that would
    “support a finding that [Street] assisted in creating a nui-
    sance.” Id.
    [17] Moreover, it is clear from the record that the Rescue
    800 is not a disposal system. The Rescue 800 was not
    designed to route wastewater from the dry cleaning machines
    to the sewer; it was designed to filter and to recycle used PCE
    TEAM ENTERPRISES v. WESTERN INVESTMENT          18263
    that otherwise would have been lost. We therefore agree with
    the district court’s conclusion that Team failed to present evi-
    dence giving rise to a genuine dispute as to any material fact
    with respect to its nuisance claim.
    IV
    [18] Finally, Team argues that the district court erred by
    granting summary judgment to Street on Team’s trespass
    claim. A trespass is “an invasion of the interest in the exclu-
    sive possession of land.” Capogeannis v. Superior Court, 
    15 Cal. Rptr. 2d 796
    , 799 (Ct. App. 1993) (citation and internal
    quotation marks omitted). “The essence of the cause of action
    for trespass is an ‘unauthorized entry’ onto the land of anoth-
    er.” Martin Marietta Corp. v. Ins. Co. of N. Am., 
    47 Cal. Rptr. 2d 670
    , 681 (Ct. App. 1995) (citation and internal quotation
    marks omitted). In California, “it is established that trespass
    . . . may include . . . invasion by pollutants.” 
    Id. at 682
    .
    [19] Even though the action causing the entry of pollutants
    does not have to be intentional, the entry must be “unautho-
    rized” to support a cause of action for trespass. 
    Id. at 681
    ; see
    also Cnty. of Santa Clara v. Atl. Richfield Co., 
    40 Cal. Rptr. 3d 313
    , 333 (Ct. App. 2006) (“Where the owner of property
    voluntarily places a product on the property and the product
    turns out to be hazardous, the owner cannot prosecute a tres-
    pass cause of action against the manufacturer of that product
    because the owner has consented to the entry of the product
    onto the land.”). Team, however, did not present any evidence
    that either the Rescue 800 or the PCE entered the property
    without Team’s consent. Moreover, Team’s employees con-
    taminated the soil by pouring the wastewater down the drain,
    and “one cannot commit an actionable interference with one’s
    own possessory right.” Capogeannis, 15 Cal. Rptr. 2d at 799.
    Because Team’s contamination of the land was not a trespass
    18264        TEAM ENTERPRISES v. WESTERN INVESTMENT
    against itself, Street may not be held liable for assisting in a
    trespass.5
    We therefore conclude that Team has failed to present evi-
    dence creating a genuine dispute as to any material fact with
    respect to its trespass claim.
    V
    For the foregoing reasons, the judgment of the district court
    is AFFIRMED.
    ST. EVE, District Judge, specially concurring:
    I am pleased to join the majority’s well-reasoned and
    insightful opinion. I write separately to explain my view that
    CERCLA, by its plain language, should not apply to this case.
    The Supreme Court has explained that courts are to con-
    sider “the plain language of [CERCLA]” and to give unde-
    fined terms in the statute their “ordinary meaning.”
    Burlington N., 
    129 S. Ct. at 1879
    . The arranger-liability provi-
    sion of the Act covers “any person who by contract, agree-
    ment or otherwise arranged for disposal or treatment . . . of
    hazardous substances owned or possessed by such person, by
    any other party or entity, at any facility . . . owned or operated
    by another party or entity and containing such hazardous sub-
    5
    Team’s reliance on Newhall Land & Farming Co. v. Superior Ct., 
    23 Cal. Rptr. 2d 377
     (Ct. App. 1993), is misplaced. In Newhall, the court held
    that the plaintiff had stated a claim for trespass under a “continuing tres-
    pass theory.” 
    Id. at 383
     (“A trespass may be committed by the continued
    presence on the land of a structure, chattel, or other thing which the actor
    has tortiously placed there, whether or not the actor has the ability to
    remove it.” (citation and internal quotation marks omitted)). Such a theory
    has no relevance to this case because Street did not tortiously place the
    Rescue 800 or the PCE on Team’s property.
    TEAM ENTERPRISES v. WESTERN INVESTMENT          18265
    stances.” 
    42 U.S.C. § 9607
    (a)(3) (emphasis added). To be lia-
    ble under this provision, therefore, an arranger must have
    owned or possessed the “hazardous substance.”
    The plain language of the statute indicates that a liable “ar-
    ranger” must own or possess the hazardous substance.
    Although Ninth Circuit precedent forecloses this interpreta-
    tion for the purpose of the present case, see Pakootas v. Teck
    Cominco Metals, Ltd., 
    452 F.3d 1066
    , 1079-82 (9th Cir.
    2006), I am convinced that the better construction of the
    arranger-liability provision of CERCLA is as I have indicated.
    In this case, the undisputed evidence reveals that Street did
    not, at any point, own or possess the relevant PCE. Accord-
    ingly, Street is entitled to summary judgment on Appellant’s
    CERCLA claim.