Liability and Negligence

Another factor driving companies to improve their environmental performance is the risk of being held liable, or found negligent, for accidents or environmental damage. This is true even when the company is acting prudently and using state-of-the-art technology. To limit liabilities, many companies implement strict risk reduction mechanisms, with a focus on generally lowering the level of pollution, biocides and toxics (P, B and T) associated with a company's supply chain and products produced (for example, Allenby and Richards 1994).

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