Case against wood recycling firm gets class-action status, underlying issues stay the same

The three-year-old federal lawsuit surrounding the old VIM Recycling site has garnered class-action status, but the core issues remain the same.
Posted on Feb. 5, 2013 at 12:00 a.m. | Updated on Feb. 5, 2013 at 6:52 p.m.

ELKHART — A federal judge’s decision granting class-action status to a lawsuit aimed at shuttering the Soil Solutions wood recycling facility doesn’t change the issues underlying the simmering dispute.

The latest version of the suit, filed by neighbors living around the facility last October, still maintains that smoke, dust and other emissions from the operation cause health problems and pose an environmental threat. Soil Solutions, which filed its response late last week, still denies any wrongdoing.

With newly granted class-action status, though, the number of plaintiffs theoretically spikes, from the 151 named in the original suit when first filed October 2009 up to 1,748, the number estimated to live in the broader class area outlined in court papers.

Marianne Holland, spokesman for the Hoosier Environmental Council, said Tuesday, Feb. 5, that a notice will be sent by around mid-February to the 1,700 or so people, explaining the case. They’ll be able to stay in the case as plaintiffs, or, if they choose, to opt out.

A Hoosier Environmental Council lawyer, Kim Ferraro, is handling the case for the neighbors.


The neighbors filed their suit in U.S. District Court in South Bend, initially against VIM Recycling, long a focus of attention — and ire at times — of environmental officials and people living around the plant. VIM later sold the operation to Soil Solutions and the case was expanded to include the new firm.

The case has taken twists and turns, and the latest major development came Jan. 29, when District Judge Philip Simon granted class-action status to the case, as sought by the plaintiffs. With his ruling, the number of plaintiffs may grow to include those living in an area around the facility bound by the St. Joseph River to the north, Old U.S. 33 to the south, Ash Road to the west and Chanel View and Elliot Park to the east.

The plant is located west of Elkhart off Old U.S. 33. In his ruling, Simon cited plaintiffs’ estimates that there are 644 households in the class area around the company and 1,748 people.

For purposes of the lawsuit, the plaintiffs — if the case is ultimately decided in their favor — seek compensation for property damage caused by the wood grinding operation, according to Holland. The plaintiffs also ask that the wood recycling business be closed down.


Contacted Tuesday, Stacy Petrovas, one of the Soil Solutions owners, reiterated company defenders’ contentions that the operation doesn’t pose a risk. “We are completely different than VIM and we haven’t done the things we’re accused of,” he said.

The firm operates within Indiana environmental norms, Petrovas said, and it has the proper permits. Furthermore, the width of roadways between wood heaps on company grounds fall within Indiana guidelines, as do the sizes of the piles, previous points of contention with Indiana authorities when VIM operated the facility.

Soil Solutions asks that the case be dismissed.

The Old U.S. 33 operation takes scrap wood from area manufacturers and grinds it into mulch and animal bedding.

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