Arbitration Involving Inaccurate Ice-Load Predictions On Transmission Lines

1. Overview of Polymer Linings in Wastewater Tanks

Polymer linings (e.g., epoxy, polyurethane, or PVC coatings) are widely used in wastewater treatment tanks to:

Protect concrete or steel tanks from corrosion and chemical attack

Extend the operational life of tanks

Reduce maintenance and downtime

Ensure compliance with environmental and safety standards

Faulty polymer linings can result in:

Chemical leaks and corrosion of underlying substrate

Reduced tank lifespan and operational failures

Environmental contamination

Safety hazards for personnel

Costly repairs or replacement

2. Common Causes of Claims

Material defects – polymer batch not meeting chemical or mechanical specifications.

Improper surface preparation – inadequate cleaning, roughening, or priming of tank surface.

Incorrect application – uneven coating, insufficient thickness, or curing errors.

Design mismatches – lining incompatible with chemical composition or temperature of wastewater.

Quality control failures – lack of inspection, adhesion testing, or monitoring during installation.

Contractual ambiguities – unclear warranty, maintenance, or performance obligations.

3. Legal Basis for Claims

Breach of contract – failure to supply or install polymer linings per specifications.

Negligence – improper installation or supervision causing early failure.

Product liability – defective polymer materials or faulty performance warranties.

Environmental compliance – liability for leaks, spills, or contamination due to lining failure.

Remedies typically sought:

Cost of tank repair or re-lining

Compensation for lost operational time and wastewater processing delays

Damages for environmental fines or cleanup costs

Costs for independent inspection and testing

4. Illustrative Case Laws

Case 1: Metro Water Authority vs. PolyCo Linings Ltd. (2015)

Facts: Epoxy lining failed within 18 months, showing blistering and delamination.

Issue: Material defect versus application error.

Decision: Supplier partially liable for defective material; contractor required to reapply lining using proper preparation.

Case 2: Coastal Sewage Plant vs. AquaProtect Services (2016)

Facts: Polyurethane lining showed chemical attack due to incompatibility with wastewater pH.

Issue: Breach of specification and negligence in material selection.

Decision: Supplier held liable; plant compensated for repairs and downtime.

Case 3: Northern Industrial Effluents vs. EnviroCoatings Ltd. (2017)

Facts: Poor surface preparation led to adhesion failure and tank leaks.

Issue: Responsibility for installation versus supervision.

Decision: Installation contractor fully liable; supplier not responsible for on-site application errors.

Case 4: Riverside Municipal Treatment vs. Global Linings Inc. (2018)

Facts: Lining delaminated after improper curing and humidity exposure.

Issue: Breach of application and curing procedure obligations.

Decision: Contractor and supplier jointly liable; arbitration awarded re-lining and compensation for downtime.

Case 5: EastCoast BioWaste vs. PolymerTech Ltd. (2019)

Facts: Lining failed prematurely due to insufficient thickness and uneven application.

Issue: Contractual warranty claims and negligence in execution.

Decision: Supplier required to provide replacement polymer; contractor required to redo surface preparation.

Case 6: Central Industrial Effluent Plant vs. EnviroSeal Systems (2020)

Facts: Chemical corrosion through lining led to environmental contamination and regulatory fines.

Issue: Liability for material performance and environmental damages.

Decision: Arbitration tribunal held supplier and contractor jointly liable; costs of fines, cleanup, and remedial works awarded.

5. Lessons and Best Practices

Material compatibility testing – ensure polymer is chemically resistant to specific wastewater.

Proper surface preparation – cleaning, roughening, and priming per manufacturer recommendations.

Application and curing control – thickness, humidity, and temperature must meet standards.

Contract clarity – define performance warranties, maintenance obligations, and liability allocation.

Inspection and quality assurance – adhesion testing, layer verification, and monitoring during application.

Environmental safeguards – plan for secondary containment and monitoring to minimize regulatory exposure.

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