Industry leaders 3M Co, Saint-Gobain Performance Plastics Corp, and Honeywell Inc, have agreed to settle a putative class action lawsuit last Wednesday after allegations that the companies played a hand in the contamination of a New York town’s water system.

Residents of the town argue that Hoosick Falls’ drinking water was contaminated with a toxic chemical, perfluorooctanoic acid or PFOA after nearby factories leaked the toxins into the air. PFOA has been previously linked with an array of serious illnesses, including cancer.

In 2015, after testing the water quality, the Environmental Protection Agency issued a notice to residents of the town that the water was contaminated with the PFOAs. This toxin is a synthetic chemical used when making Teflon non-stick coating pans. PFOAs are also used in other industrial and commercial products including ski wax and on fabrics that are treated to be stain resistant.

Legal complaints regarding the contamination began to surface in 2016 and were quickly consolidated into one. The lawsuit that was filed in 2016 targeted the three companies alongside DuPont Co. However, DuPont Co did not join in on the settlement and will instead continue with litigation.

In the original complaint residents argued that for over a decade, the companies were using PFOAs in manufacturing and that the toxin would leak out of factories and vaporize into the air. The toxins would then settle into the ground, eventually seeping into the town’s water sources. The result was contaminated chemicals in both municipal water sources and privately-owned water wells.

The preliminary settlement contains a combination of cash settlements between different parties and funding for a medical monitoring program that altogether will total roughly $65 million. Plaintiffs who said they saw a drop in their property value in December 2015 and onward will share in a settlement of over $20 million. Individuals who drank the contaminated water between 1996 and 2006 will be monitored for adverse health developments that may be associated with the contamination. Nearly $23 million will be set aside for the program that is slated to run for 10 years. An additional $8 million will be set aside for individuals who claimed separate nuances related to the contamination. Lastly, attorneys have also requested roughly 19% of the settlement total to go toward attorney’s fees, an estimated $12 million.

Saint-Gobain shared a statement following the settlement details that read in part, “The company is pleased to have reached a settlement agreement with the plaintiffs in the New York class-action lawsuit. Since first learning about the issue of PFAS in Hoosick Falls, the company took a leadership position on this issue, and we believe this agreement is indicative of that commitment.”

Mayer Brown, a representative for 3M, shared that "The agreement resolves claims on behalf of the proposed classes without the need for further lengthy and expensive litigation.”

The town’s Mayor Robert Allen shared of the preliminary settlement, “While this class action lawsuit is separate from the pursuit of a new water source by the Village of Hoosick Falls and our ongoing discussions with the companies, it is a welcome development. It appears to represent a change in the approach that has been taken up this point by the companies.”