AutoZone Enters $11 Million Settlement With California Over Improper Waste Disposal

Matt Posky
by Matt Posky

Ignoring the personal pride associated with maintaining a vehicle yourself, disposing of motor oil is an annoying chore. While not terribly difficult, laziness sometimes gets the better of us. Why bother risking the wellbeing of your interior with dirty fluids when there’s a perfectly good storm drain nearby?

While I’ve never dumped my fluids illegally, I know the temptation. Ten coffee cans full of used motorcycle oil will do that to you and, for every receptacle filled and slid to the back of your garage, the urge to tip them grows ever stronger. But I eventually sacked up and took them to AutoZone for recycling, effectively ending my youthful act of torpid rebellion.

Unfortunately, AutoZone may have also had a problem with the competent disposal of used motor oil — and 5 million other environmentally hazardous waste items. Sounds like someone is about to “get in the zone” of a huge fine.

On Tuesday, the California Attorney General’s Office issued an $11 million settlement against the auto parts retailer over claims that the company illegally disposed of hazardous waste — such as motor oil, fluids, and batteries — at landfills never intended for such materials.

This has been a long time coming. Investigations were conducted between 2013 and 2015 after some whistleblowing made the Alameda County District Attorney’s Office Environmental Protection Unit highly suspicious. AutoZone is now facing allegations of having illegally deposited vehicular waste within 45 California counties.

From the California Attorney General’s Office:

District Attorneys’ offices throughout California conducted 56 inspections of dumpster bins at 49 separate AutoZone facilities. These investigations found numerous instances of unlawful disposal of hazardous waste including batteries, aerosol cans, electronic devices, and hundreds of discarded bottles and other receptacles containing automotive fluids and other regulated hazardous waste. These investigative efforts revealed that AutoZone allowed its customers to deposit hazardous automotive fluids and other waste items into regular trash containers in AutoZone stores’ parking lots throughout California. AutoZone facilities in 45 counties in California were found by the prosecuting offices to have committed these environmental violations. It is estimated that AutoZone illegally disposed of over five million hazardous waste items in California.

AutoZone also violated laws protecting vulnerable confidential consumer information by unlawfully disposing of customer records without having rendered personal information unreadable.

Considering that this is a nation-wide chain, there is reason to believe locations outside of California may have engaged in similar behaviors. There’s also a strong possibility other retailers are also guilty of illegally dumping oil. California’s attorney general believes that’s all the more reason to set an example with this settlement.

“AutoZone violated California law by improperly disposing of millions of toxic and hazardous waste items. It endangered our environment and public health,” California Attorney General Xavier Becerra said in a statement. “AutoZone must now pay the price for breaking the law. The California Department of Justice is committed to investigating and holding accountable violators of our laws meant to protect California’s environment and communities.”

The settlement calls for $8.9 million in civil penalties, $1.35 million in supplemental environment projects and $750,000 for the reimbursement of investigative and enforcement costs. AutoZone does get a credit of $1 million against the penalties if it undertakes at least $2 million in environmental enhancement work not required by law. In addition, the settlement has provisions requiring the company to undergo a general compliance audit and a trash receptacle audit to ensure hazardous waste and confidential consumer information is properly disposed of at all facilities in the future. The results of these audits will be shared with the public.

[Image: Mahmoud Masad/Shutterstock]

Matt Posky
Matt Posky

A staunch consumer advocate tracking industry trends and regulation. Before joining TTAC, Matt spent a decade working for marketing and research firms based in NYC. Clients included several of the world’s largest automakers, global tire brands, and aftermarket part suppliers. Dissatisfied with the corporate world and resentful of having to wear suits everyday, he pivoted to writing about cars. Since then, that man has become an ardent supporter of the right-to-repair movement, been interviewed on the auto industry by national radio broadcasts, driven more rental cars than anyone ever should, participated in amateur rallying events, and received the requisite minimum training as sanctioned by the SCCA. Handy with a wrench, Matt grew up surrounded by Detroit auto workers and managed to get a pizza delivery job before he was legally eligible. He later found himself driving box trucks through Manhattan, guaranteeing future sympathy for actual truckers. He continues to conduct research pertaining to the automotive sector as an independent contractor and has since moved back to his native Michigan, closer to where the cars are born. A contrarian, Matt claims to prefer understeer — stating that front and all-wheel drive vehicles cater best to his driving style.

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  • Macmcmacmac Macmcmacmac on Jun 23, 2019

    I remember working at a shop years ago and having to dump oily sludge along the fence line to "keep the weeds down". I had just dug it all out of the floor sump where it had built up like black mayo. I wised up and never did it again, refusing to even take full 5 gallon drums to the landfill for dumping. You can't hide behind following orders. The fine goes directly to the person dumping the oil. There was that one day at a foundry where we needed a 55gal drum to store the oil we were going to remove from a machine. One of the drones kicked a drum full of waste oil over onto the ground and said "There you go!"

  • Arthur Dailey Arthur Dailey on Jun 24, 2019

    What the heck happened the past few days, following this article are some of the more misinformed postings I have seen on TTAC. In Canada, we have Canadian Tire. Over 80% of Canadians, go into a Canadian Tire store on a monthly basis. It dominates the auto part/car care industry. Yes, many dealerships used to burn the old oil to heat their buildings. This became illegal over a decade ago. Unless they could spend many, many dollars on specialized equipment. None that I know of did. In Toronto, the human waste extracted from the sewage system is diverted, cleared of other contaminants, composted and eventually sold to agricultural interests to be used as fertilizer. Dumps and landfills emit methane gas. They contaminant the local ground water. The may contain products such as plastics that have lifespans longer than any of us. The European system of incinerating waste and using it to generate energy is not perfect but probably the best of some very bad practices.

  • CM Korecko Cadillacs traditionally have been opulent, brash and leaders in the field; the "Standard of the World".That said, here's how to fix the brand:[list=1][*]Forget German luxury cars ever existed.[/*][*]Get rid of the astromech droid names and bring back Seville, Deville, Eldorado, Fleetwood and Brougham.[/*][*]End the electric crap altogether and make huge, gas guzzling land yachts for the significant portion of the population that would fight for a chance to buy one.[/*][*]Stop making sports cars and make true luxury cars for those of us who don't give a damn about the environment and are willing to swim upstream to get what we really want.[/*][*]Stop messing around with technology and make well-made and luxurious interiors.[/*][*]Watch sales skyrocket as a truly different product distinguishes itself to the delight of the target market and the damnation of the Sierra Club. Hell, there is no such thing as bad publicity and the "bad guy" image would actually have a lot of appeal.[/*][/list=1]
  • FreedMike Not surprisingly, I have some ideas. What Cadillac needs, I think, is a statement. They don’t really have an identity. They’re trying a statement car with the Celestiq, and while that’s the right idea, it has the wrong styling and a really wrong price tag. So, here’s a first step: instead of a sedan, do a huge, fast, capable and ridiculously smooth and quiet electric touring coupe. If you want an example of what I’m thinking of, check out the magnificent Rolls-Royce Spectre. But this Cadillac coupe would be uniquely American, it’d be named “Eldorado,” and it’d be a lot cheaper than the $450,000 Spectre – call it a buck twenty-five, with a range of bespoke options for prospective buyers that would make each one somewhat unique. Make it 220 inches long, on the same platform as the Celestiq, give it retro ‘60s styling (or you could do a ‘50s or ‘70s throwback, I suppose), and at least 700 horsepower, standard. Why electric? It’s the ultimate throwback to ‘60s powertrains: effortlessly fast, smooth, and quiet, but with a ton more horsepower. It’s the perfect drivetrain for a dignified touring coupe. In fact, I’d skip any mention of environmental responsibility in this car’s marketing – sell it on how it drives, period.  How many would they sell? Not many. But the point of the exercise is to do something that will turn heads and show people what this brand can do.  Second step: give the lineup a mix of electric and gas models, and make Cadillac gas engines bespoke to the brand. If they need to use generic GM engine designs, fine – take those engines and massage them thoroughly into something special to Cadillac, with specific tuning and output. No Cadillac should leave the factory with an engine straight out of a Malibu or a four-banger Silverado. Third step: a complete line-wide interior redo. Stop the cheapness that’s all over the current sedans and crossovers. Just stop it. Use the Lyriq as a blueprint – it’s a big improvement over the current crop and a good first step. I’d also say Cadillac has a good blend of screen-controlled and switch-controlled user interfaces; don’t give into the haptic-touch and wall-to-wall screen thing. (On the subject of Caddy interiors – as much as I bag on the Celestiq, check out the interior on that thing. Wow.)Fourth step: Blackwing All The Things – some gas, others electric. And keep the electric/gas mix so buyers have a choice.Fifth step: be patient. That’s not easy, but if they’re doing a brand reset, it’ll take time. 
  • NJRide So if GM was serious about selling this why no updates for so long? Or make something truly unique instead of something that looked like a downmarket Altima?
  • Kmars2009 I rented one last fall while visiting Ohio. Not a bad car...but not a great car either. I think it needs a new version. But CUVs are King... unfortunately!
  • Ajla Remember when Cadillac introduced an entirely new V8 and proceeded to install it in only 800 cars before cancelling everything?
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