Resource Details

Business, Sustainability

WI Liability Exemptions for Lenders

Lending institutions and representatives may involuntarily acquire contaminated properties through normal business practices. This can occur when the lender or representative comes into possession of a contaminated property in an unexpected manner, such as foreclosure. Fortunately, Wisconsin state law includes a provision known as the lender liability exemption, which provides conditional environmental liability protections to lenders and representatives.

Lenders and representatives that meet the conditions established in s. 292.21, Wis. Stats., are not responsible for the remediation of a hazardous substance discharge per s. 292.11, Wis. Stats., commonly known as the "Spill Law."


Lenders may qualify for state liability protection at contaminated properties when:
conducting normal lending;
acquiring property through foreclosure;
inspecting property;
enforcing a security interest in personal property and fixtures; and
acting as a representative.

Related Resources

  • Economic Development, Health & Mental Health, Sustainability

    WI Brownfields Cleanup and Development Informational Website

    Wisconsin Department of Natural Resources

    Information and resources for cleaning up and redeveloping community blight into valuable property.

  • Economic Development, Health & Mental Health, Sustainability

    WI DNR Environmental Protection Informational Webpage

    Wisconsin Department of Natural Resources

    A list of topics related to environmental protection.

  • Food & Beverage, Sustainability, Technology

    WI Environmental Improvement Fund

    Wisconsin Department of Administration

    Wisconsin implements a state revolving loan fund that provides financial assistance to municipalities in the form of subsidized loans for drinking water, wastewater, and storm water infrastructure projects.