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Legal Problems With Green Real Estate Clauses

Posted by sean on February 28th, 2010

Stephen Del Percio at the Green Real Estate Law Journal wrote an interesting article about environmental objective clauses in leasing agreements. I know what many of you are pondering.  What exactly is an "environmental objective clause?"  Environmental objective clauses are clauses that require both landlord and tenant to operate the demised premises pursuant to a set of very general, aspirational green building objectives.  In essence, these are obligations that both a landlord and new tenant voluntarily become subject to in an effort to aid the environment.

The obligations contained within these new type of agreements cover such areas as (i) direct and indirect energy consumption and greenhouse gas emissions; (ii) water consumption; (iii) the amount of material entering the waste stream; (iv) negative impacts upon the indoor air quality of the Building and the Premises. 

The problem that Mr. Del Percio finds with these agreement is that the vague nature of the language leaves landlords open to possible unexpected liability.  What exactly is excessive water consumption?  If this is not clearly outlined that the tenant may have a suit against a landlord because of using too much water on landscaping.  Or what is an excessive amount of material entering the waste stream?  Will this also cover other tenant lodgings on the same property?

I have to agree that the general nature of these clauses could be a problem, but is not insurmountable.  For example, how many contracts include definitions?  Nearly all.  So, why can't an inclusion of definitions work in this case?  It can.  Also, landlords can use limitation of liability clauses to prevent being overexposed for any litigation from tenants.  This seems to remedy the problems and allow for the continued use of environmental objective clauses.

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March 2010 - Green events in the San Francisco Bay Area

Posted by Michal Lenchner on February 27th, 2010

March presents several webinars, discussions and networking opportunities in the San Francisco Bay Area encompassing various environmental sectors.

Events include:... read more

Green events in the San Francisco Bay Area – February 2010

Posted by Michal Lenchner on February 14th, 2010

When it comes to cleantech and sustainability, how can we bridge the gap between theory and practice and provide a comprehensive real-world view of the future of cleantech?Image from FreeFotoImage from FreeFoto

Check the following events and networking opportunities in the San Francisco Bay Area:... read more

More CleanTech/GreenTech events in Silicon Valley, CA - Early 2010

Posted by Michal Lenchner on January 21st, 2010

What are the areas for opportunity in Clean Tech in 2010?

To learn of the challenges the industry faces and enhance learnings, here are a few more events in Silicon Valley: Image from Silicon French websiteImage from Silicon French website... read more

CleanTech/GreenTech events in Silicon Valley - January 2010

Posted by Michal Lenchner on January 20th, 2010

Clean technology (CleanTech) has become a prominent sector in many countries; some call this emerging sector a revolution. However what, in point of fact, is done? Where are we headed, where are we behind and what are the next steps? How does Information Technology (IT) leverage clean tech innovations?

When it comes to green technology, is the US moving forward fast enough to make a difference globally?

Check the following events:... read more

BioSolar Bio-Plastics in Solar Cells

Posted by sean on January 17th, 2010

One of the essential problems with solar power is the cost. Even with government subsidies and major growth, photovolatic energy is not cost competitive when compared to traditional power sources such as oil and coal.  An element of photovoltaic costs is the materials used in the manufacturing process. Approximately 75 percent of the costs of solar cell comes from the sunlight-to-electricity converter.  The remaining 25 percent is produced from manufactured packaging including petroleum-based plastics.  These plastics are prisoners to the ever increasing cost of petroleum and add to environmental degradation that solar is seeking to remedy.

 

The problem is that most conventional bio-plastics are not suitable for use in solar cells.  These renewable plant based materials posses a lower melting point and fragile molecular structure.  The high temperature production of photovoltaics usually causes breakdowns or alterations in structure.  Thus, one aspect of lowering costs in the solar industry and tackling the problem of down stream pollution is the creation of alternatives to petroleum-based plastics.

BioSolar

For an industry with an expected growth to $50 billion by 2020, there is a huge gap in the market that needs to be filled.  Enter BioSolar. BioSolar is a Santa Clarita, California based company that is the first anywhere to introduce a new dimension of cost reduction by replacing petroleum-based plastic solar cell components with durable bio-based materials.  BioSolar was formed in 2006 by electrical engineer and current CEO Dr. David Lee. BioSolar, Inc. is a public company trading on the NASDAQ Over-the-Counter Bulletin Board (OTCBB) market under the symbol "BSRC" or "BSRC.OB".

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RollingStone's Enemies of the Planet: Warren Buffett Heads the List

Posted by markmun on January 16th, 2010

RollingStone has published an article on the individuals who are single-handedly posting the biggest threat to our planet.   It is an interesting list and includes:

  • Warren Buffett - the dubious number 1 spot who seems to be banking on the failure of the clean energy bills with huge investments tied to coal.
  • Rupert Murdoch -  #2 due to the Fox News propaganda machine.
  • Sen. James Inhofe - who proudly guarantees that the GOP will be able to block carbon curbing legislation and bemoaned not landing in the number 1 position on the RollingStone list.
  • George Will - for writing lie after lie in his column - thus using his reputation as the Conservative Intellectual to give credibility to disinformation.
  • John McCain - Flip-flopping to try and save his political life.

The common theme to the list seems to be age (most on the list are over 70, wtf - they don't need the planet that much longer?)... read more

Copenhagen: A Win or a Loss for Obama and the Environment?

Posted by markmun on December 28th, 2009

I've been reading a lot of the criticism aimed at Obama in the wake of Copenhagen summit.   Just when it seemed that COP15 would end with no progress at all, Obama helped broker a non-binding agreement with clear targets.   But what good is a non-binding agreement anyway?   The reality is that a legally binding agreement as a prerequisite would have meant no agreement.... read more

Sewage Treatment - Micromidas has Green Technology for a Messy Problem

Posted by markmun on December 18th, 2009

As I noted in an earlier post, the matter of figuring out the best way to dispose of human waste has been haunting mankind since the beginnings of civilization.   Current treatment of raw sewage results in large quantities of sludge which is not good fertilizer and is laden with toxic materials. Disposing of sludge is a huge problem for waste treatment plants.   Enter Micromidas, a finalist at the Clean Tech Open.  They have an idea - and it sounds like it's loadSludgeSludgeed with win!

Why It's Keen:  

Using Microbes, they are able to convert the CO2 in the sludge into polyhydroxylalkanoate (PHA) flakes which then can be turned into bio-plastics.  Bio-plastics can be used for plastic containers and function similar to synthetic plastics.   Finally, by capturing carbon that would normally be released into the atmosphere the process should result in carbon credits, mostly likely for the municipality who runs the sewage treatment plant.  If this turns out to be true, it could be a key element in turning this technology into a reality as it will make it easier to be economically as well as environmentally justified.  

Why It's Green:  

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Sewage Sludge: Everything You Wanted to Know but Were Afraid to Ask

Posted by markmun on December 10th, 2009

I've been looking into sludge.  It's not a pretty picture.   I am working on a profile of Micromidas, a Clean Tech Open finalist that aims to make the business of treating raw sewage a bit less messy by extracting carbon from sludge and turning it into biodegradable plastics.  But more on that later this week.   Sewage, sludge, human waste  ... it's a dirty problem and one of the major by-products of human civilization.   I came across this fascinating writeup -  Civilization & Sludge: Notes on the History of the Management of Human Excreta. 

I remember mulling over this problem as a child (kids are fascinated with poop) .... where does it all go?  This article traces the history of mankind's battle with with their by-products.  It's been ugly and we have just been moving the problem from one place to another.   Whether it has been cesspools polluting private property, open city sewers causing mass outbreaks of cholera, typhoid when the sewage was dumped into nearby rivers or disgusting beaches when we pursued dumping sewage into the ocean with a "solution by dilution" approach. ... read more