Understanding the Legal & Financial Risks of Improper Grease Disposal

Improper grease disposal is a significant concern for establishments in the food service industry that use cooking oils in their day-to-day operations. Cooking grease, when not properly disposed of, can cause serious issues, leading to financial and legal problems later down the road. Understanding the legal and financial risks of improper grease disposal is important for restaurants and food service businesses of all sizes. 

Why Improper Disposal of Grease Is a Problem

Most food service operations that cook or prepare foods on-site use some type of cooking oil. Vegetable-based oils, animal fats, and greasy substances that are created as a byproduct of cooking need to be disposed of properly. When this doesn’t happen, issues such as costly repairs, and environmental damage can result. 

Cooking grease is extremely useful as a culinary ingredient, but once it has been used, it becomes a hazardous waste product. When grease is poured down drains or disposed of improperly in other ways, it can solidify. From a structural standpoint, solidified grease can form blockages, leading to serious plumbing issues. 

However, plumbing issues aren’t the only concern. Improperly disposed of grease is also a significant environmental concern. To mitigate the environmental effects, municipalities have put regulations into place. When businesses choose to not cooperate with these regulations there are fines, and also the potential for legal issues.  

Legal Risks of Improper Grease Disposal 

The legal ramifications of improper grease disposal are more serious for commercial operations, such as restaurants. There are different local, state, and federal regulations that govern grease disposal policies, ensuring that it is disposed of in a safe and effective way. This can also include cooking oil recycling, which is a process that repurposes oil into fuel and other eco-friendly products. 

Businesses that choose not to comply with grease disposal regulations, can be faced with hefty fines, potential legal action, and in some cases, temporary closure of their businesses. 

Environmental Protections

When disposed of improperly, used grease and cooking oils can pose a threat to soil and water quality. Federal laws, such as the Clean Water Act, prohibit the discharge of pollutants into certain waterways. Cooking oils and grease are considered pollutants in this regard. If a business is found to have polluted navigable waterways with used cooking oil, they can be faced with severe penalties, including fines. 

Local Sewage Ordinances 

Any business that uses cooking or has a need for grease disposal should be well-versed in its local sewage ordinances. Municipalities tend to take issues like improper grease disposal very seriously considering how severely blockages can interfere with sewer infrastructure. This can lead to significant repair costs and result in disruptions to homes, businesses, and roadways during repairs. 

From a financial perspective, grease-related blockages can result in hundreds of thousands of dollars in repairs. Cities are often quick to issue warnings and fines to businesses that don’t comply with grease disposal guidelines. In more extreme cases, a city may attempt to revoke a business’s operating license until it is able to prove it has an established grease disposal or recycling process in place. 

Health Code Violations 

Ask any food service business that has had to deal with being cited for a health code violation, and they will tell you that it’s serious business. Improper grease disposal is an issue that can result in health code violations. Improperly disposed of grease can lead to contamination of sanitary areas and pose a threat to employee safety and wellbeing. 

Health inspectors generally give businesses a warning and set an amount of time to fix an issue. However, repeated issues may not be granted any leniency. This is something that can also harm a business’s reputation. Local newspapers sometimes partner with their health departments in an effort to inform the public of restaurants that have received citations. 

Liability for Damages

In cases where improper grease disposal causes a sewage blockage or environmental damage, the business responsible can be held liable for damages. For example, if a restaurant causes a grease blockage in a local sewage system, it can potentially be financially responsible for damages to property and the costs of cleanup.

Financial Risks of Improper Grease Disposal 

The financial risks associated with improper grease disposal can be catastrophic, especially for smaller restaurants and food service businesses. These costs can be due to fines and legal issues, such as those mentioned above. However, before the issue becomes a local sewage problem, chances are that improper disposal of grease causes structural or equipment issues that need to be addressed. 

Costly Plumbing Repairs 

Among the most immediate financial risks for businesses is the costs associated with plumbing repairs. It often costs hundreds of dollars for a plumbing professional to even step foot on the premises to look at a plumbing issue. If repairs are required, the costs are exponentially more. 

If grease is poured down a drain, it solidifies and easily causes blockages. In addition to the cost of repairs, this can cause a disruption in business operations, leading to loss of revenue and loss of wages for employees. In this case, reputation matters. If a business is closed for even just a day or two for plumbing issues, it can create a negative impression on customers. 

Damage to Equipment 

The damage caused by improperly disposed of grease extends further than plumbing. Grease traps that aren’t properly used, cared for, and replaced as necessary can lead to costly damage to equipment. For example, a buildup of grease in food preparation areas is a fire hazard. Even a small fire can be devastating to both nearby structures and a business’s financial well-being. 

Insurance Premium Hikes 

Insurance companies are quick to catch on to businesses with a history of issues related to grease disposal. The increased risk of plumbing and sewage issues, combined with the risks of fire and additional liabilities often translates to higher insurance premiums. In certain instances, an insurance provider may refuse continual coverage to a business until these issues are rectified. 

Avoiding Legal and Financial Troubles with Proper Grease Disposal 

Considering the financial and legal risks of improper grease disposals, it’s critical for businesses to adopt proper disposal or recycling processes, and ensure their teams are on board. For businesses in the food service industry, this involves the installation and upkeep of an effective grease trap. This is essential for capturing grease before it has the opportunity to make its way into the plumbing. Proper maintenance and cleaning ensure that grease traps work efficiently and don’t pose a threat to safety due to overflow. 

Another option is to work with a provider of cooking oil recycling services. In this case, most of the work is taken care of for you. At Northwest Biofuel we offer used cooking oil collection, among other services. Contact Northwest Biofuel today to learn more.