SWEDEN Law and Practice Contributed by: Tove Andersson, Anders Linnerborg, Sara Eriksson and Ellen Lewin, Setterwalls Advokatbyrå AB
6. Corporate Liability 6.1 Liability for Environmental Damage or Breaches of Environmental Law Corporate entities are generally subject to the same rules as private individuals (see 5.1 Key Types of Liability ). If an environmental crime is committed during busi- ness activities, it is the company’s management that is criminally liable (ie, the board and the director). How- ever, a corporate fine ( företagsbot ) is often the only relevant consequence of a breach of environmental law. Normally, only in more serious cases or cases concerning an act that was committed intentionally will individual personal liability for the management come into question. The corporate fine amounts to a minimum of SEK5,000 and a maximum of SEK10 mil- lion. However, for larger companies, a higher fine may be imposed if the gravity of the offence so warrants and taking into account the financial circumstances of the company. If the sanction value amounts to at least SEK500,000, the corporate fine for larger companies shall be set higher than would otherwise apply. The definition of a “larger company” follows the criteria set out in the Swedish Annual Act, Chapter 1, Sec- tion 3. As the sanction value may not exceed SEK10 million, the enhanced corporate fine can amount to a maximum of SEK500 million, since it may not exceed fifty times the sanction value. 6.2 Environmental Taxes In Sweden, primarily the following environmental tax- es and fees apply: • energy taxes – energy tax on electricity, carbon dioxide tax, tax on fuels, emission permits, and sulphur tax; • transport taxes – vehicle tax, congestion tax, tax on air travel, and road charges; • taxes on pollution – tax on chemicals, NOx fee, tax on plastic bags, tax on waste, tax on pesticides, tax on chemicals, and fee for chemical products; and • taxes on natural resources – natural gravel tax. 6.3 Incentives, Exemptions and Penalties This is not applicable in Sweden.
can also be directed against other responsible par- ties, regarding their part in the incident or damage. It should be noted that the responsibility under Chapter 10 of the Environmental Code does not become stat- ute barred.
The key types of liability are: • civil liability for damages;
• administrative liability for non-compliance with regulations, permits or supervisory decisions; and • criminal liability for certain violations. 5.2 Liability for Historical Environmental Incidents or Damage New operators and landowners can be liable for his- torical environmental incidents or damage but can direct recourse claims against previous operators. The main legislation regarding this can be found in Chapter 10 of the Environmental Code. 5.3 Key Defences Besides claims for non-contractual damage com- pensation, affected parties can bring civil claims for damages against parties responsible for contamina- tion in accordance with Chapter 32 of the Environ- mental Code. In a civil claim, the affected party must show that damage has been caused by an activity on a property, that there is an adequate causal connec- tion, and that the injury should not reasonably be tol- erated if it is local or common ( orts- eller allmänvanlig ). A pure economic loss that has not been caused by a crime is compensated only if the injury is of some significance. Special rules apply for contamination caused by activities conducted in accordance with a permit for water operations. In these cases, the responsible party can argue that the responsibility should be limited or waived for reasons other than in a case regarding responsibility under Chapter 10 of the Environmental Code – eg, with regard to the prescriptive period ( preskriptionstid ).
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