The Conundrum of Confidentiality Clauses

摘要

Environmental auditors are retained to perform audits. Serious environmental violations could be uncovered during an inspection. What are the auditors' reporting responsibilities? Consider that an environmental auditor performs an in-depth assessment of a client's operations under a contract containing a confidentiality clause specifically forbidding the auditor from disclosing any information found during the audit, unless the disclosure is required by law. During the audit, the consultant discovers that the client is storing numerous drums of highly toxic wastes. The storage time has far exceeded the allowable 90/180/270 day accumulation time and there is no RCRA Part B Treatment Storage Disposal Facility permit, which could be a criminal act under RCRA Section 3008(d). The auditor also discovers that the client has ordered staff members to gradually dispose of the wastes by pouring a couple of drums into a ditch just outside the warehouse each day. A public drinking water well is 30 feet down gradient from the ditch.