Assigning liability for pesticide spray drift

Conflicts over the use of pesticides causing damages to neighboring non-target crops led the United States Environmental Protection Agency (EPA) to propose a statement addressing pesticide spray drift. EPA is attempting to set out language that would clarify responsibilities for spray drift to offer protection to persons and properties harmed and minimize damages. Pesticide applicators expressed concern that a 2009 statement advanced a zero-risk, strict liability standard that would markedly increase liability for damages. EPA issued a revised statement in 2012 that provides a negligence standard of liability. From an investigation of liability rules employed to assign damages in pesticide drift cases, EPA's labeling statements are analyzed to discern their efficiency. The two alternative proposals present the opportunity for delineating a preferred liability rule that would enhance long-term economic performance of the agricultural production system by optimally addressing the externality between pesticide applicators and neighboring farms.