Methyl tertiary butyl ether (MTBE) is a fuel additive in
wide use throughout the United States. Due to leakage from underground storage tanks and other
sources of exposure, MTBE has been found in the drinking water supplies of several states. Whether
to shield certain parties from MTBE-related liability proved controversial in the 108th Congress, and
ultimately no legislation addressing the issue was enacted. In the 109th Congress, the Energy Policy
Act of 2005 (H.R. 6) has been passed by the House of Representatives; it contains a
safe-harbor provision protecting any potential defendant, such as MTBE manufacturers and
distributors, from claims asserting that MTBE is a "defective product," a common standard for
liability under products liability jurisprudence. Additionally, the H.R. 6 provision includes
language applying the safe-harbor retroactively, potentially barring numerous pending lawsuits.
Exemption from liability related to MTBE contamination remains controversial and may again
become the subject of debate in the 109th Congress. Accordingly, this report analyzes the legal
implications of the safe-harbor provision found in H.R. 6. This report will be updated as
necessary.