When any commercial building constructed before 1979 is sold, the buyers have 15 days from the date of escrow closure to comply with the Connelly Act, Calif. Health & Safety Code Section 25915, also known as the asbestos notification rule. The type of notification is important as we will see in the example of a recent transaction.
A well-known commercial building in a large Southern California city sold recently. Prior to the sale, the building was examined and asbestos-containing material (ACM) was found in certain areas. The new owners hired a management company to oversee all of the activities of the building’s tenants, guests and employees. The management company wisely hired a company that specialized in asbestos management maintenance programs. The plan was designed to maintain ACM in good condition and help minimize future potential exposure.
Though the responsibility for notice to employees passes to the company that does the asbestos management plan, the management company and the owner see the notification letters to all involved.
These letters need to be informative to all involved, including tenants, employees, other contractors and their employees and guests of the building. After commenting on the drafts of the letters by the asbestos management company, the letters were revised to include more specific information. It was also structured that each individual employee, tenant, contractors and their employees would receive the letters in person and be asked to acknowledge their receipt of the letter (within the 15 day time requirement).
The legal engagement was made 4 days before the 15 day time limit expired, so a great deal of effort was undertaken to get all the requirements of the Connelly Act complied with in a timely fashion. The failure to comply can carry serious penalties, especially if any personal injury comes about as a result of asbestos exposure.
Though the responsibility for notice to employees passes to the company that does the asbestos management plan, the management company and the owner see the notification letters to all involved.
These letters need to be informative to all involved, including tenants, employees, other contractors and their employees and guests of the building. After commenting on the drafts of the letters by the asbestos management company, the letters were revised to include more specific information. It was also structured that each individual employee, tenant, contractors and their employees would receive the letters in person and be asked to acknowledge their receipt of the letter (within the 15 day time requirement).
The legal engagement was made 4 days before the 15 day time limit expired, so a great deal of effort was undertaken to get all the requirements of the Connelly Act complied with in a timely fashion. The failure to comply can carry serious penalties, especially if any personal injury comes about as a result of asbestos exposure.