August 18, 1992



_________________________

No. 91-2116

DEDHAM WATER CO., INC., ET AL.,
Plaintiffs, Appellants,

v.

CUMBERLAND FARMS DAIRY, INC.,
Defendant, Appellee.

_________________________

APPEAL FROM THE UNITED STATES DISTRICT COURT

FOR THE DISTRICT OF MASSACHUSETTS

[Hon. Walter Jay Skinner, U.S. District Judge]
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_________________________

Before

Selya, Circuit Judge,
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Campbell, Senior Circuit Judge,
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and Pettine,* Senior District Judge.
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_________________________

Thomas F. Holt, Jr., with whom Gerald P. Tishler, Franklin
____________________ __________________ ________
G. Stearns, Laurel A. Mackay, and Brown, Rudnick, Freed & Gesmer,
__________ ________________ _______________________________
P.C., were on brief, for appellants.
____
Allan van Gestel, with whom Christopher P. Davis, A. Lauren
________________ _____________________ _________
Carpenter, and Goodwin, Procter & Hoar, were on brief, for
_________ __________________________
appellee.

_________________________



_________________________
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*Of the District of Rhode Island, sitting by designation.


















SELYA, Circuit Judge. This appeal represents the final
SELYA, Circuit Judge.
_____________

voyage of a case that has persisted in the federal courts for

nearly a decade. Finding, as we do, that the judgment below is

fully supportable, we affirm.

I. BACKGROUND
I. BACKGROUND

Because these waters have been so thoroughly charted,

we merely sketch the background insofar as is necessary to set

this appeal and the underlying litigation into perspective.

A
A

Plaintiff-appellant Dedham-Westwood Water District

(which, together with its predecessor in interest, Dedham Water

Company, we shall call "Dedham") is a regulated public utility.

It supplies drinking water to some 40,000 persons who reside in

the Massachusetts towns of Dedham and Westwood. One source of

this water is the White Lodge Well Field. The well field lies in

an industrial park along the west bank of the Neponset River.

Defendant-appellee Cumberland Farms Dairy, Inc. ("Cumberland")

operates a truck maintenance facility on the river's east bank.

In March 1979, Dedham discovered that two wells were

contaminated with volatile organic chemicals (VOCs). It removed

the wells from service, contacted the Massachusetts Department of

Environmental Quality Engineering (DEQE), sought alternative

water supplies, and began a somewhat haphazard investigation

aimed at fixing responsibility for the pollution. This

investigation included a series of surface-water tests.




2














In June 1979, Dedham began to pump the contaminated

wells to waste. Shortly thereafter, it hired two consultants,

Calgon Corporation and Metcalf & Eddy, to assess treatment

alternatives. In early 1980, Dedham's governing board budgeted a

sum of money to pay Metcalf & Eddy for designing a two-stage

treatment plant that would deal with both the VOC problem and a

separate water-quality issue. In July 1981, Dedham submitted

plans for the treatment plant to DEQE. Before year's end, Dedham

publicly announced that it would build the treatment plant at

White Lodge.

A few months prior to this announcement, a Dedham

employee discovered VOCs in a drainage ditch running from

Cumberland's property. Dedham promptly hired Geraghty & Miller

("G & M"), a firm specializing in hydrogeology, to investigate

the source of the contamination and determine the zone of

capture. In January 1982, a drawdown test conducted by G & M

established that the Neponset River was not a barrier to the flow

of contaminants; theoretically, contaminants could flow under the

river and into the well field. G & M proceeded to sink test

wells in and around the White Lodge field. In July of 1982, it

identified Cumberland as a likely source of pollutants. Three

months later, G & M reported that, in its opinion, Cumberland was

the major cause of the White Lodge contamination.

The G & M report heralded the start of the instant

litigation. Invoking the Comprehensive Environmental Response,

Compensation, and Liability Act of 1980 (CERCLA), 42 U.S.C.


3














9601-9675 (1988), and its state-law counterpart, Mass. Gen. L.

Ch. 21E (1990 & Supp. 1991), Dedham sued Cumberland in federal

district court. It asserted claims for response costs incurred

as a result of actual and threatened contamination at the well

field.

As the suit plodded toward trial, the planned treatment

plant was slowed by zoning questions, neighbors' objections,

dissatisfaction on DEQE's part, and a gaggle of other roadblocks.

After appellant redesigned the plant to feature lower aerating

towers and better emission controls, these problems dissipated.

DEQE granted a permit. Construction began in 1985 and the

treatment plant went on line in early 1987.

Appellant's court case progressed more deliberately.

It took four full years to overcome a jurisdictional obstacle.1

When the case was finally tried, Dedham did not succeed in

proving that Cumberland was the source of the contamination. The

district court (Tauro, J.) entered judgment for the defendant.

Dedham Water Co. v. Cumberland Farms Dairy, Inc., 689 F. Supp.
_________________ _____________________________

1223 (D. Mass. 1988) ("First Trial Op."). Dedham appealed on the
_______________

basis of Judge Tauro's purported failure to examine an

alternative theory of liability under CERCLA and Chapter 21E,

viz., whether Cumberland, although not guilty of causing the

____________________

1After initially denying the defendant's motion to dismiss
on jurisdictional grounds, Dedham Water Co. v. Cumberland Farms
________________ ________________
Dairy, Inc., 588 F. Supp. 515 (D. Mass. 1983), the district court
___________
(McNaught, J.) changed direction and granted the motion. 643 F.
Supp. 667 (D. Mass. 1986). We reversed, holding that the
district court possessed subject matter jurisdiction. 805 F.2d
1074 (1st Cir. 1986).

4














discovered contamination, may nevertheless have posed an

actionable threat of future contamination, to which Dedham

responded in an objectively reasonable (if costly) manner. We

directed the district court to revisit this aspect of the matter.

Dedham Water Co. v. Cumberland Farms Dairy, Inc., 889 F.2d 1146
________________ ____________________________

(1st Cir. 1989) ("Earlier Merits Appeal" or "EMA"). We also
______________________ ___

decided that a new trier should preside. See In re Dedham Water
___ ___________________

Co., 901 F.2d 3, 4-5 (1st Cir. 1990) (per curiam) (interpreting
___

D. Mass. Loc. R. 8(i)).

B
B

Before setting sail, we deem it imperative (a) to

delineate the narrow perimeters within which the further

proceedings on remand were to be conducted and (b) to report the

outcome of those proceedings. In the first trial, appellant was

unable to "prove[] that the contaminants released by Cumberland

Farms had migrated to the [White Lodge] wells." EMA, 889 F.2d at
___

1149. Dedham did not challenge this ruling on appeal. Hence,

the issue could not be resurrected during the second trial. From

that point forward, it had to be taken as gospel that Cumberland

"was not liable for the expenses incurred by Dedham . . . in

investigating the cause of the pollution to its wells and

rectifying [that pollution]." Id. The only issue that remained
___

open at the second trial was whether Cumberland's "releases (or

threatened releases) might nonetheless have caused the plaintiff

to incur 'response costs' even though those releases did not in
__

fact contaminate the wells." Id. at 1157 (emphasis in original).
____ ___


5














Phrased another way, the pre-remand proceedings

conclusively determined that Cumberland was not legally

responsible for contaminating the White Lodge well field.

Therefore, to the extent that appellant's activities e.g.,

retaining consultants, performing scientific studies, building

the treatment plant were in response to actual contamination,
______

Cumberland was home free. But, polluting substances that stopped

short of the well field's boundary could conceivably have caused

the appellant to incur expenses compensable under CERCLA. Id. at
___

1151-54, 1157-58. If, and to the extent that, Cumberland posed

such a threat, and Dedham acted in response thereto, Cumberland

might be held liable. Since the district court had neglected to

make a finding on this point, further proceedings were required.

The second trial was perforce limited to a resolution

of this issue and, if the district court found in appellant's

favor, an assessment of damages. The case was redrawn to Judge

Skinner. After taking additional testimony, he determined that

appellant had not incurred any response costs as a result of

releases, or the threat of releases, attributable to appellee.

Dedham Water Co. v. Cumberland Farms Dairy, Inc., 770 F. Supp. 41
________________ ____________________________

(D. Mass. 1991) ("Second Trial Op."). Dedham appeals. We
_________________

affirm.

II. APPLICABLE STANDARDS OF REVIEW
II. APPLICABLE STANDARDS OF REVIEW

When a district court makes findings of fact in a bench

trial, the clear-error standard pertains. See Fed. R. Civ. P.
___

52(a); see also Gopher Oil Co. v. Union Oil Co., 955 F.2d 519,
___ ____ ______________ _____________


6














526 (8th Cir. 1992) (clear-error standard applies to district

court's findings of fact in CERCLA cases). Consequently, the

court of appeals must defer in considerable measure to the nisi

prius court. Findings of fact will be given effect unless, after

reading the record with care and making due allowance for the

trier's superior ability to gauge credibility, the reviewing

court "form[s] a strong, unyielding belief that a mistake has

been made." Cumpiano v. Banco Santander Puerto Rico, 902 F.2d
________ ____________________________

148, 152 (1st Cir. 1990). In this process, equal respect is

afforded to the district court's evaluation of documentary and

testimonial evidence, Reliance Steel Prods. Co. v. National Fire
__________________________ _____________

Ins. Co., 880 F.2d 575, 576 (1st Cir. 1989); and, moreover, the
________

same high level of respect attaches whether "the conclusions of

the trial court depend on its election among conflicting facts or

its choice of which competing inferences to draw from undisputed

basic facts." Irons v. FBI, 811 F.2d 681, 684 (1st Cir. 1987).
_____ ___

As a general rule, causation questions are grist for

the factfinder's mill, see, e.g., Peckham v. Continental Cas.
___ ____ _______ ________________

Ins. Co., 895 F.2d 830, 837 (1st Cir. 1990), and thus, are within
________

the traditional scope of clear-error review. Where causation is

in issue, "[n]ot only ordinary fact questions, but also

'evaluative applications of legal standards . . . to the facts'

are properly [for the factfinder]." Springer v. Seaman, 821 F.2d
________ ______

871, 876 (1st Cir. 1987) (citations and footnote omitted). We

see nothing about the issue of causation in a CERCLA case that

would serve either to sidetrack these principles or to


7














reconfigure their application. See, e.g., United States v. R.W.
___ ____ _____________ ____

Meyer, Inc., 889 F.2d 1497, 1507 (6th Cir. 1989) (reviewing
____________

finding of causation in CERCLA case for clear error), cert.
_____

denied, 494 U.S. 1057 (1990).
______



In apparent recognition of the high hurdle that the

clear-error standard presents, appellant seeks to cast the

district court's decision in a more malleable medium. Although

appellant reserves the claim that clear error was committed, see
___

infra Part IV, it spends most of its energies attempting to
_____

convince us that the court below applied an incorrect legal

standard. See infra Part III. If this position is viable and
___ _____

that is a large "IF," best written in capital letters it

improves appellant's chances in two ways. First, unlike findings

of fact, errors of law are subject to plenary review. Second, to

the extent that findings of fact can be shown to have been

predicated upon, or induced by, errors of law, they will be

accorded diminished respect on appeal. See RCI Northeast Servs.
___ ____________________

Div. v. Boston Edison Co., 822 F.2d 199, 203 (1st Cir. 1987).
____ _________________

III. THE MISTAKE-OF-LAW THESIS
III. THE MISTAKE-OF-LAW THESIS

In an effort to put some flesh on the bare bones of its

mistake-of-law thesis, appellant develops two criticisms of the

judgment below. One criticism is relatively general; the other

is relatively specific. The gist of the broader criticism is

that the district court erroneously factored a subjective

component into the calculus of decision by considering what


8














Dedham actually knew (or believed) about a threat of potential

harm and when Dedham actually acquired such knowledge. The more

particularized criticism suggests that, regardless of whether a

subjective component could properly be considered, the trial

court's conception of the legal standard was faulty because it

slavishly embraced a temporal standard, requiring that appellant

prove it had identified Cumberland as the source of threatened

releases before it incurred the costs for which recovery was

sought.

We examine these contentions seriatim. In concluding
________

this section of our opinion, we also discuss a fallback position

that appellant visualizes as an anchor to windward.

A
A

We begin with appellant's insistence that any inquiry

into its institutional state of mind was erroneous because the

only legitimate question before the district court was whether,

objectively viewed, Cumberland posed a threat that warranted

responsive action. There is a gaping hole in the fabric of this

construct.

Appellant's theory at the second trial, as expressed in

its pleadings, evidence, and trial memoranda, hinged upon

precisely the mixed subjective/objective approach it now reviles.

Nothing could make this point clearer than a reading of the

closing argument given by Dedham's counsel in the district court

a summation that focused squarely on "what did they know and

when did they know it?" Indeed, appellant conceded in closing


9














argument that "[t]o the extent there was no idea of the

activities on Cumberland Farms up to April of 1979 . . . costs

[incurred prior thereto] could be fairly excluded as having been

incurred in response to a contamination."

If the district court's view of the law was in error

and we do not suggest that it was Dedham must bear its fair

share of responsibility for leading the court down a garden path.

A litigant who attempts to sell a particular view of the law to

the trial court cannot later appeal on the ground that the court

bought the litigant's wares. See Austin v. Unarco Indus., Inc.,
___ ______ ___________________

705 F.2d 1, 15 (1st Cir.) ("in general, a party may not appeal

from an error to which he contributed, either by failing to

object or by affirmatively presenting to the court the wrong

law"), cert. dismissed, 463 U.S. 1247 (1983); McPhail v.
_____ _________ _______

Municipality of Culebra, 598 F.2d 603, 607 (1st Cir. 1979) ("A
________________________

party may not 'sandbag' his case by presenting one theory to the

trial court and then arguing for another on appeal.").

Moreover, we think that appellant's failure to

articulate the subjective/objective dichotomy in the district

court was particularly egregious under the circumstances of this

case. Our opinion in the earlier merits appeal strongly

suggested that Dedham's institutional state of mind was relevant

to the issue of whether the costs it incurred were threat-related

and/or recoverable against Cumberland on that basis.2 See,
___

____________________

2In its constituent terms, the earlier panel opinion
seemingly contemplated a bipartite test to determine whether a
threatened release caused a plaintiff to incur compensable

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e.g., EMA, 889 F.2d at 1157 (observing that "[a] plaintiff . . .
____ ___

under certain circumstances might reasonably think that a

particular release would prove likely to contaminate his wells");

id. at 1158 (implying that if, objectively, a defendant's
___

releases pose a threat, a subjective fear of contamination,

reasonably held, can then establish a defendant's liability for

response costs incurred by the plaintiff).

To be sure, these statements are obiter dictum, that
______ ______

is, observations relevant, but not essential, to the

determination of the legal questions then before the court.

Dictum constitutes neither the law of the case nor the stuff of

binding precedent. See Great Lakes Dredge & Dock Co. v. Tanker
___ ______________________________ ______

Robert Watt Miller, 957 F.2d 1575, 1578 (11th Cir. 1992); Milgard
__________________ _______

Tempering, Inc. v. Selas Corp., 902 F.2d 703, 715-16 (9th Cir.
________________ ___________

1990). In short, dictum contained in an appellate court's

opinion has no preclusive effect in subsequent proceedings in the

same, or any other, case.

Be that as it may, courts often, quite properly, give

considerable weight to dictum particularly to dictum that seems

considered as opposed to casual. See, e.g., McCoy v.
___ ____ _____

____________________

response costs. A plaintiff would first have to prove that it
possessed a good-faith belief that some action was desirable in
order to address a particular environmental threat. The
plaintiff would then have to demonstrate that its response to the
perceived threat was objectively reasonable. See, e.g., EMA, 889
___ ____ ___
F.2d at 1157-58. This position fits comfortably both with the
thrust of CERCLA, see 42 U.S.C. 9607(a), and with the case law.
___
See, e.g., Amland Properties Corp. v. Aluminum Co. of America,
___ ____ ________________________ ________________________
711 F. Supp. 784, 795 (D.N.J. 1989); Artesian Water Co. v. New
__________________ ___
Castle County, 659 F. Supp. 1269, 1282 (D. Del. 1987), aff'd, 851
_____________ _____
F.2d 643 (3d Cir. 1988).

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Massachusetts Inst. of Technology, 950 F.2d 13, 19 (1st Cir.
__________________________________

1991) (court of appeals should ordinarily respect considered

Supreme Court dicta) (citing authorities), cert. denied, 112 S.
_____ ______

Ct. 1939 (1992); Posadas de Puerto Rico Assocs., Inc. v.
_________________________________________

Asociacion de Empleados, Etc., 873 F.2d 479, 482 (1st Cir. 1989)
______________________________

(court of appeals should ordinarily respect considered dictum of

state's highest court on points of state law). When, as here,

the district court, on remand, purposed to act upon dicta

contained in the appeals court's earlier opinion in the same

case, and no one demurred, it is especially important that we toe

the mark and hold the parties to the usual consequence of invited

error. To do otherwise "would place a premium on agreeable

acquiescence to perceivable error as a weapon of appellate

advocacy." Merchant v. Ruhle, 740 F.2d 86, 92 (1st Cir. 1984).
________ _____

Then, too, because appellant's neoteric thesis was not

asserted below, it is procedurally defaulted. "It is hornbook

law that theories not raised squarely in the district court

cannot be surfaced for the first time on appeal." McCoy, 950
_____

F.2d at 22; accord, e.g., Boston Celtics Ltd. Partnership v.
______ ____ ________________________________

Shaw, 908 F.2d 1041, 1045 (1st Cir. 1990); Sanchez-Arroyo v.
____ ______________

Eastern Airlines, Inc., 835 F.2d 407, 408 (1st Cir. 1987);
_______________________

Clauson v. Smith, 823 F.2d 660, 666 (1st Cir. 1987). There is no
_______ _____

basis in the present record to relax the rule. After all,

"[l]itigants cannot try their case under one theory and then urge

a remand on appeal so it can be tried again under a different

theory." Johnson v. Allyn & Bacon, Inc., 731 F.2d 64, 73 (1st
_______ ____________________


12














Cir.), cert. denied, 469 U.S. 1018 (1984).
_____ ______

For these reasons, appellant's newly conceived

subjective/objective dichotomy does not assist its cause.

B
B

We turn now to appellant's more specific asseveration:

its claim that the district court erroneously required proof that

it identified Cumberland as the source of the threat prior to

incurring any response costs. This asseveration is belied by the

record.

The short of it is that the district court simply did

not embosom, or operate on, the premise that, in order to

prevail, Dedham must have identified Cumberland as the source of

threatened contamination before incurring response costs.

Rather, the district court found, wholly apart from the question

of identification, that the actions which appellant took were not

in response to approaching or threatened releases of any

description. See Second Trial Op., 770 F. Supp. at 42-43. Thus,
___ ________________

the court did not decide the point mechanically, based strictly

on whether identification preceded expenditure, but decided it on

a much different basis: that appellant was not responding to a

perceived threat, wheresoever originating, when it set its

course, but was responding instead to the need to rid its wells

of existing contamination. In other words, appellant's

construction of the treatment plant, its search for the sources

of the contamination, and its other response costs were

undertaken to define the magnitude of a known problem (actual


13














contamination), to rectify that problem and, relatedly, to fix

responsibility for it with an eye toward litigation not as an

environmental rejoinder to threatened releases of any kind.3

On this aspect of the case, appellant is tilting at

windmills. Its claim of legal error dissolves upon analysis of

the decision below and the record upon which that decision was

based. The district court did not require appellant, as a

condition precedent to recovery, to have identified the party

responsible for the threat before beginning to incur response

costs. Instead, the court's focus was exactly where it belonged

not on whether the chicken preceded the egg, or vice versa, but

on whether Cumberland somehow, or in some way, caused Dedham to

incur response costs.4 This was precisely the task we set in

____________________

3We have considered, and reject out of hand, appellant's
claim that, in addition to other enumerated response costs, it is
entitled to certain sums as "preliminary response costs."
Appellant's Brief at 45. It would serve no useful purpose to
recount the manifold flaws that bedevil this claim. For present
purposes, it suffices to say that, without an affirmative finding
of fact causally connecting these costs to a threat posed by
appellee, the claim is necessarily stillborn.

4Appellant also contends that the district court's
preoccupation with the chronology of events necessarily betokened
an infelicitous view of the law. This contention is sheer
persiflage. Appellant's initial response was clearly prompted
by, and addressed to, its discovery of actual contamination. The
court's point in considering the chronological sequence of
relevant events was to show that no substantive changes in the
response paradigm were made or considered even after a threat of
future releases could reasonably have been apprehended. This
tended to show that appellant's responses were, in their initial
formulation and ultimate enactment, responses to the actual, not
threatened, contamination. See, e.g., United States v. Sutton,
___ ____ ______________ ______
___ F.2d ___, ___ (1st Cir. 1992) (No. 91-1536, slip op. at 13)
("it is an accepted proposition, logically and legally, that
subsequent events may shed light upon, and be relevant in
determining, what transpired at an earlier time"); United States
_____________

14














remanding the case. See EMA, 889 F.2d at 1151-54, 1157-58.
___ ___

C
C

Dedham's fallback position is that the district court

committed legal error by failing to appreciate that, in this

case, the mere presence of actual contamination itself
______

constituted a threat causing Dedham to incur response costs for

which Cumberland was liable. This argument is entirely specious.

Appellant does not elucidate any plausible theorem as to how or

why Cumberland should be liable for response costs expended to

deal with threats signalled by actual contamination when

Cumberland, during the first trial, was fully exonerated from

legal responsibility for that contamination. See EMA, 889 F.2d
___ ___

at 1149; First Trial Op., 689 F. Supp. at 1235.
_______________

At any rate, appellant's plaint boils down to little

more than thinly veiled dissatisfaction with the district court's

factual findings. It neither demonstrates an error of law (as

opposed to a disagreement over the facts) nor raises a question

of jurisprudence sufficient to call the legal underpinnings of

the court's factbound findings into legitimate question. That

ends the matter. "The 'clearly erroneous' rule cannot be evaded

by the simple expedient of creative relabelling." Reliance
________

Steel, 880 F.2d at 577. Hence, we decline appellant's invitation
_____

that we play what amounts to a game of charades.

IV. THE MERITS
IV. THE MERITS

We come, then, to the ultimate question: were Judge

____________________

v. Mena, 933 F.2d 19, 25 n.5 (1st Cir. 1991) (similar).
____

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Skinner's findings of fact at the second bench trial clearly

erroneous? Appellant urges us to answer this question in the

affirmative, asserting that the court erred grievously in certain

key respects. We are unconvinced.

A
A

On the merits, appellant's foray implicates the core of

the district court's decision. The court found that appellant

only became aware that Cumberland may have released VOCs (and,

thus, only became aware of the problem posed by a threat, as

contrasted to the problem posed by actual contamination) in 1981.

Second Trial Op., 770 F. Supp. at 42. In consequence, the court
_________________

found that appellant could not have begun responding to a threat

before that time well after the treatment plant had been

designed and appellant's overall response paradigm had been

formulated. Hence, appellant did not incur any costs to guard

against threats of future harm. We believe these findings are

supportable.

The district court's characterization of the big-ticket

item the treatment plant as a response to actual

contamination, rather than to threats, is completely plausible.

That this expenditure, and appellant's other responses, were not

undertaken to deal with threats is strikingly apparent from

appellant's actions or, more appropriately put, its inaction

in and after 1982, when it incorrectly identified Cumberland as

the chief culprit in respect to the existing contamination.

Despite the identification and the fact that Cumberland's


16














facility remained in operation, Dedham changed nothing of

substance in its response paradigm. To cite but a few examples,

there was no evidence that the new information was considered in

making the final design decisions for the treatment plant or that

the plant design was altered in any material way.5 See Second
___ ______

Trial Op., 770 F. Supp. at 42 ("The two-stage treatment plant
_________

recommended by Metcalf & Eddy in 1980 is substantially what was

built."). Appellant's own documents state that it retained

consultants to search for the sources of the pollution, not to

assuage a threat of future harm, but exclusively in order to

"recover damages from the polluters, if they can be identified."

Such litigation-related expenses are, of course, not compensable

as response costs incurred by private parties under CERCLA 107.

See, e.g., Leonard Partnership v. Town of Chenango, 779 F. Supp.
___ ____ ___________________ ________________

223, 229-30 (N.D.N.Y. 1991); Cook v. Rockwell Int'l Corp., 755 F.
____ ____________________

Supp. 1468, 1476 (D. Colo. 1991); Regan v. Cherry Corp., 706 F.
_____ _____________

Supp. 145, 149 (D.R.I. 1989).

Although we choose to eschew a complete litany of the

evidence underbracing the disputed finding, we deem three other

points worthy of mention. (1) The record strongly suggests that

G & M's tests and reports, the earliest of which took place in

1982, provided the first credible basis for recognizing that

____________________

5The record demonstrates beyond cavil that the changes
actually made in the design of the treatment plant, e.g.,
lowering the height of the aerating towers and providing more
sophisticated emission controls, were effectuated in order to
palliate abutters' objections and accommodate DEQE requests.
Those modifications had no relation whatever to the perception
that Cumberland posed an environmental threat.

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Cumberland-spawned contaminants could pose a threat to Dedham.

(2) Insofar as the record reveals, Dedham never acted to follow

up its consultants' recommendations for additional tests that

would have served, among other things, to determine an

appropriate response to threatened releases and threatened

contamination. (3) The district court's subsidiary findings in

connection with the issue of causation, such as its finding that

appellant's decision to build the treatment plant was merely a

response to the actual contamination of its well field and not in

any way a response to a threat of events yet to come, were based

largely upon assessments of witness credibility. Such

assessments deserve substantial respect. See Anthony v. Sundlun,
___ _______ _______

952 F.2d 603, 606 (1st Cir. 1991) (an appellate court "ought not

to disturb supportable findings, based on witness credibility,

made by a trial judge who has seen and heard the witnesses at

first hand"); accord Anderson v. City of Bessemer City, 470 U.S.
______ ________ _____________________

564, 575 (1985); Scarpa v. Murphy, 806 F.2d 326, 328 (1st Cir.
______ ______

1986). In this tangled case, we see no valid reason why we

should second-guess the trier's on-the-spot determinations anent

the credibility of the parties' witnesses.

B
B

In the face of this substantial support for the trial

court's findings on the core issue, appellant tells us that the

findings are nevertheless undermined because the court was bound

to conclude that appellant knew of the "Cumberland problem" in

1979. Appellant's tale has three foci. We consider them


18














sequentially.

1.
1.
__

Appellant places great weight on surface-water testing

done in 1979. However, the evidence reflects a legitimate

question about whether the testing was conducted in sufficient

proximity to Cumberland's property to alert appellant at that

early date to the possibility of a threat emanating from

Cumberland's facility (or, indeed, the possibility of any threat

at all, wheresoever originating). Moreover, the district court

received evidence, both testimonial and documentary, indicating

that, even after conducting the 1979 tests, appellant complained

to DEQE about the agency's failure to locate the source of the

contamination. In these, and other, ways, the record supports

conflicting inferences about (a) when appellant first became

threat-conscious and (b) when its suspicions first focused on

Cumberland.

Appellant asserts that any amphiboly in the record was

clarified by the testimony of its witnesses, George Johnstone and

Gregory Grimes. Johnstone, a member of Dedham's senior

management team, testified as to Dedham's intent. Contrary to

appellant's importunings, we do not believe that the trial court

was compelled to accept Johnstone's self-interested testimony.

See Anthony, 952 F.2d at 606 ("what an actor says is not
___ _______

conclusive on a state-of-mind issue"). Grimes, Dedham's

production superintendent, testified that he found sixteen parts

per billion of 1, 1, 1 trichloroethane in a surface-water


19














sample taken in 1979 from a stream some distance below

Cumberland's property. Leaving to one side the fact that the

sample was taken several hundred feet away from Cumberland's

property, neither Grimes nor any other witness testified that

this discovery led Dedham to believe, in 1979 or 1980, that

contaminants had been released in the course of Cumberland's

operations.

We will not churn the waters. When the evidence

supports conflicting inferences, the district court's choice from

among the several inferences cannot be clearly erroneous. See
___

Anderson, 470 U.S. at 574; Jackson v. Harvard Univ., 900 F.2d
________ _______ ______________

464, 466 (1st Cir.), cert. denied, 111 S. Ct. 137 (1990); Keyes
_____ ______ _____

v. Secretary of the Navy, 853 F.2d 1016, 1020 (1st Cir. 1988).
______________________

This is such a case.

2.
2.
__

The next arrow in appellant's quiver consists of a

stipulation entered prior to the first trial. Appellant reads

this stipulation as containing an admission by Cumberland that

appellant's testing of runoff from Cumberland's land showed the

presence of VOCs in 1979 or thereabouts. The fly in the ointment

is that the district court did not accept either appellant's

interpretation of the stipulation or the inference appellant drew

therefrom. We discern no error.

It is apodictic that a stipulation should be read with

an eye toward effectuating the parties' manifested intentions.

See Washington Hosp. v. White, 889 F.2d 1294, 1299 (3d Cir.
___ _________________ _____


20














1989); Wo Co. v. Benjamin Franklin Corp., 562 F.2d 1339, 1344
______ ________________________

(1st Cir. 1977). The stipulation to which appellant alludes,

fairly read, represents no more than the parties' agreement about

the provenance and results of certain chemical tests.6 It

requires a forced reading to interpret the stipulation's

descriptions of the locations from which the test samples were

taken as an admission concerning what Dedham knew and when it

appreciated the implications of facts within its ken.

Because the stipulation at most faintly suggests,

rather than compels, appellant's interpretation, the district

court's refusal to accord it decretory significance cannot be

faulted. After all, "ambiguous provisions in [a] stipulation

must be interpreted by the factfinder, here the district court,

as an initial matter." Washington Hosp., 889 F.2d at 1299.
________________

3.
3.
__

Appellant's third argument seizes upon a sentence in

our opinion disposing of the earlier merits appeal. There, Judge

Bownes wrote: "Based upon a survey it made of the surrounding

surface waters, Dedham Water believed [in 1979] that Cumberland

Farms was the source of the contamination of White Lodge Wells #3

and #4." EMA, 889 F.2d at 1148. Appellant asserts that this
___

statement constitutes a finding which the district court was not

____________________

6The stipulation in question, entitled "Stipulation as to
the Admissibility of Certain Test Results," provided that the
chemical analyses of water samples taken from various parts of
Cumberland Farms' land, as well as from a variety of nearby wells
and waterways, shall be admissible "in lieu of other testimonial
or documentary evidence." It is too cumbersome to reproduce
verbatim here.

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at liberty to ignore. We disagree. The statement which

appears only in a section of the panel opinion entitled

"BACKGROUND" does not reflect an adjudication of fact by the

EMA panel.7
___

It is elementary that the "law of the case" doctrine,

upon which appellant relies, ordinarily applies to matters of

law, not to matters of evidence. See, e.g., Gospel Army v. Los
___ ____ ___________ ___

Angeles, 331 U.S. 543, 548 (1947). The quoted sentence does not
_______

fit in that category. Taken in context, the sentence was a

passing reference to a matter not then in issue rather than a

considered response to a zoetic question of law. Even a cursory

reading of the panel's opinion adequately evinces that its

recital of the factual background was undertaken simply to set

the stage for understanding the legal issues thereafter discussed

and decided in the appeal.

To be sure, in a very select class of cases, the court

of appeals may actually find facts and the facts so found may

come under the law-of-the-case umbrella. See Heathcoat v. Potts,
___ _________ _____

905 F.2d 367, 370 (11th Cir. 1990). The statement relied upon by

appellant is not within the narrow confines of this select class.

Absent special circumstances, not present here, appellate

factfinding is permissible only when no other resolution of a


____________________

7Affirming findings of fact is, of course, a staple of the
appellate function. That aspect of our work is not implicated in
this situation. Appellant does not suggest that the quoted
sentence was drawn from, or based upon, any finding of fact made
by Judge Tauro in the first trial. Furthermore, our review of
the record confirms the absence of any such correlation.

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factbound question would, on the compiled record, be sustainable.

See, e.g., LaRoche v. United States, 779 F.2d 1372, 1377 (8th
___ ____ _______ ______________

Cir. 1985); In re Southern States Motor Inns, Inc., 709 F.2d 647,
______________________________________

653 n.11 (11th Cir. 1983), cert. denied, 465 U.S. 1022 (1984);
_____ ______

Patterson v. Greenwood School Dist. 50, 696 F.2d 293, 295 (4th
_________ __________________________

Cir. 1982). The question of what Dedham knew and believed in

1979 does not come close to meeting so rigorous a criterion.

Because the factual issue to which appellant gestures

was merely discussed, not decided, in the earlier appeal, the

district court was not bound to accept the proposition. See
___

Schultz v. Onan Corp., 737 F.2d 339, 345 (3d Cir. 1984) ("law of
_______ __________

the case" doctrine only applies to issues actually decided or

decided by necessary implication); Riley v. MEBA Pension Trust,
_____ __________________

586 F.2d 968, 970 (2d Cir. 1978) (a court need not adopt as "law

of the case" a proposition that was merely assumed, rather than

decided, in a prior appeal); cf. cases supra p.11 (discussing
___ _____

non-binding nature of dictum in judicial opinions).

C
C

In a slightly different vein, appellant raises another

set of issues which, directly or indirectly, constitute an

assault upon the legal standard of causation set out in our

opinion resolving the earlier merits appeal. We are not free to

reconsider that standard, even if we were inclined to do so. See
___

Fournier v. Best Western Treasure Island Resort, 962 F.2d 126,
________ ____________________________________

127 (1st Cir. 1992) (in a multi-panel circuit, newly constituted

panels are generally bound by prior panel decisions); Metcalf &
_________


23














Eddy, Inc. v. Puerto Rico Aqueduct and Sewer Auth., 945 F.2d 10,
__________ ____________________________________

12 (1st Cir. 1991) (same), cert. granted, 112 S. Ct. 1290 (1992).
_____ _______

Those contentions not foreclosed, some of which are cloaked in

mistake-of-law raiment, collectively comprise nothing more than a

sustained and ultimately ineffectual bombardment of the

district court's factual findings.8





III. CONCLUSION
III. CONCLUSION

We need go no further. The task which we set for the

district court after the initial trial was predominantly

factbound. See EMA, 889 F.2d at 1154, 1157. In the course of
___ ___

the proceedings on remand, the court competently performed that

task. In so doing, it determined, principally as a matter of

fact, that appellant had not proven an indispensable element of

its remaining claim: causation. Mindful that a party alleging

causation must carry the devoir of persuasion with respect to the

issue, see, e.g., Swift v. United States, 866 F.2d 507, 509 (1st
___ ____ _____ _____________

Cir. 1989), and cognizant of the deferential standard of review

that Rule 52(a) imports, we cannot say that the court was clearly


____________________

8These include several attacks upon the lower court's
subsidiary findings. Because none have merit, we will not recite
book and verse. We do, however, offer a representative sample.
Appellant castigates the finding that it hired G & M to locate
the source of the contamination with a view toward litigation,
not for response or remediation purposes. But, the court's
conclusion is adequately grounded in the record. Indeed, the
minutes of Dedham's October 28, 1981 board of directors meeting
indicate that G & M's study was intended "to recover damages from
the polluters, if they can be identified."

24














mistaken either in reaching this result or in making the

subsidiary findings of fact upon which the result rested.9

Because the district court's findings are







satisfactorily supported by the evidence and free from legal

error, the judgment below is velivolant. Consequently, our

voyage ends here.10



Affirmed.
Affirmed.
________









____________________

9Like the district court and the parties, we have confined
the bulk of our opinion to appellant's claims under CERCLA. The
state-law claims under Mass. Gen. L. Ch. 21E fare no better.
After all, the Massachusetts statute is "patterned after the
federal CERCLA statute" and the inquiry under it, with one
exception, is not substantively different from the inquiry under
CERCLA. EMA, 889 F.2d at 1156-57. The exception relates to the
___
availability of attorneys' fees to prevailing parties. See Mass.
___
Gen. L. Ch. 21E, 15 (expressly allowing an award of "reasonable
attorney and expert witness fees"); EMA, 889 F.2d at 1157
___
(discussing provision); contrast New York v. SCA Servs., Inc.,
________ _________ _________________
754 F. Supp. 995, 1000 (S.D.N.Y. 1991) ("prevailing rule is that
attorney's fees are not recoverable as response costs in actions
under 107 of CERCLA brought by private litigants"). In this
case, however, Dedham's claim for attorneys' fees under Chapter
21E founders for the same reason as its claim for preliminary
response costs. See supra note 3.
___ _____

10Cumberland has suggested two alternative grounds on which
the judgment below might be affirmed. Given our disposition of
this appeal, we have no occasion to consider these suggestions.

25