Roger Valek of Escondido, California, received a letter from the California Department of Toxic Substances Control informing him that the company he had hired to dispose of used lacquer thinner from his auto body shop from 1975 to 1980 had contaminated the environment and that all "responsible parties" were being held liable for the cleanup costs. "Please attach a check or money order payable to the Department in the amount of $7,939,192.48... Thank you for your cooperation," the letter said.

From 1975 to 1980, before there were federal laws regulating the disposal of automobile lacquer thinner, and before the EPA defined what a hazardous waste was, Valek had hired a solvent recycling company rather than dispose of the 18 55-gallon drums himself, which would not have been illegal. He asked city officials for a referral contract and was given the name of Chatman Brothers, the company the city used for waste disposal.

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