PFAS Playbook

Private equity firms are itching to use up their dry powder and M&A activity is surging. But a different acronym should be atop dealmakers' minds going into 2021. 

Regulations about PFAS contamination — per- and polyfluoroalkyl substances used in products like nonstick cookware and waterproof or stain-resistant fabrics – is primed to increase under the Biden administration. Meanwhile, dealmakers targeting sites possibly contaminated years or even decades ago face a heating (and possibly narrowing) M&A window.

For buyers, it’s crucial to understand this moment and act ...

More federal and state actions on PFAS in groundwater is likely under a Biden administration, but is also possible under another Trump administration. Companies facing potential liability should prepare for more regulation regardless of who wins the election. There are steps we suggest companies to take to prepare themselves, including: 

• Stay plugged in on PFAS developments; 
• Engage in formal lobbying;
• Get your arms around any possible contamination and vulnerabilities; and 
• Know the limits of insurance coverage from an insurance perspective and evaluate what entities around ...

Legal tensions surrounding PFAS in food have intensified in recent years, and they are likely to become more heated. We suggest that there are four steps companies can proactively take to enhance customer safety and limit possible damages related to PFAS litigation, including:

• Determine the source of the PFAS
• Determine how the liability - and risk - could be spread
• Know that civil liability often comes with regulatory liability
• Make sure your records are good

To read more, view the full article in Food Safety Magazine, here.