Metro Site Secures $31M Settlement in SK Battery Fire Case

Metro Site Secures $31M Settlement in SK Battery Fire Case

Introduction

After a 16-month legal battle, Metro Site Fabricators, a waste and recycling company based in Commerce, Georgia, has secured a $31 million settlement from SK Battery America Inc.

The settlement stems from a devastating fire at Metro Site’s material recovery facility caused by improperly disposed lithium-ion batteries from SK Battery’s north Georgia factory.

The cause of the accident

The fire destroyed Metro Site’s entire facility after more than 200 lithium-ion batteries short-circuited, leading to a thermal runaway. Metro Site, not permitted to handle batteries among its recyclables, was unaware the batteries had been included in a waste drop-off. Investigators determined that the batteries originated from SK Battery, a subsidiary of South Korea’s SK Group.

The settlement

As part of the settlement, SK Battery agreed to pay $20 million in punitive damages and $11 million for tort-related claims and damages. The company did not admit liability in the agreement. The case was unique because Metro Site had isolated waste received from SK Battery before the fire, enabling investigators to identify the lithium-ion battery pouches as originating from the factory. Such traceability is rare in recycling facility fires.

The owner's word

Metro Site’s owner emphasized the importance of sharing lessons from the incident. As part of the settlement, he insisted on a non-confidentiality clause, allowing him to openly discuss the case and help others in the industry prevent similar disasters. “This case was unique in that we could directly link the waste to its source,” the owner explained. “That’s uncommon in fires at recycling centers, where it’s typically impossible to identify the origin of hazardous materials.”

Precautionary measures by the owner

Moving forward, the owner plans to advocate for better fire safety practices in the waste and recycling industry. He intends to speak at industry events and offer support to operators facing similar risks. “I’m not looking for the spotlight,” he said. “I just want to be there for someone who might need help before it’s too late.”

This landmark case underscores the importance of proper battery disposal and the risks posed to waste management facilities by hazardous materials.

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