This article examines the liability of lenders
and the nature of the risk exposure for financial
institutions as a result of environmental
laws and regulations. It reviews the recent
court record relating to financial institution
lending associated with contaminated properties.
It discusses proposed measures to reduce
the uncertainty for lenders under current environmental
policies. And, given the long history
of industrial activity within Seventh District
states Illinois, Indiana, Iowa, Michigan, and
Wisconsin—it considers whether this area may
be more affected by environmental policies
than elsewhere in the United States.