LEGAL PROCEEDINGS
−Removed: With respect to the July 7, 2022 penalty demand from Region 4 of the U.S.
−Removed: Environmental Protection Agency ("EPA") discussed in our report on Form 10-Q for the quarter ended June 30, 2022, we reached a settlement to pay a penalty in the amount of $465,000 in connection with alleged violations of federal stormwater regulations.
−Removed: EPA issued Consent Agreements and Final Orders ("CAFOs") for each facility on February 6, 2023 to document and implement these agreements.
−Removed: The CAFOs require LKQ to pay the penalty by March 8, 2023.
−Removed: On August 18, 2022, we received a Notice of Violation from Region 10 of the EPA regarding alleged violations of federal stormwater regulations at facilities in Idaho, Oregon, and Washington to which we timely responded.
−Removed: We have not received any response from the EPA.
−Removed: We do not currently anticipate that any expense or liability that we may incur as a result of these matters in the future will be material to the Company’s business or financial condition.
+Added: In April 2019, Plastique Royal Inc., a subsidiary of Uni-Select, received an Environment Protection Compliance Order ("EPCO") from the Environment and Climate Change Canada ("ECCC") under the Canadian Environmental Protection Act, 1999, alleging that certain products sold by Plastique Royal had volatile organic compound ("VOC") concentration that exceeded the limit set out in the applicable environmental regulations.
+Added: The ECCC also alleged that Plastique Royal failed to comply with the EPCO.
+Added: On November 6, 2023, as part of a negotiated plea agreement, Plastique Royal pleaded guilty to one count of violating the Canadian Environmental Protection Act, 1999 and one count of violating the VOC Concentration Limits for Automotive Refinishing Products Regulations and was ordered to pay a fine of C$600,000, which was paid in November 2023.
In addition, we are from time to time subject to various claims and lawsuits incidental to our business.
3 unchanged sentences
Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.