Finance & Investing
News Services
Newsletters
Get free industry updates via email.
Daily News
Weekly News
Equipment Updates
Weekly Job Register
Monthly Event Guide
Our privacy
pledge.


advertisement

US Court Rules Against BP on Oil Spill Settlement Payments Dispute

change text size

Deepwater Horizon Gulf of Mexico Oil Spill

US Court Rules Against BP on Oil Spill Settlement Payments Dispute

A federal judge denied BP PLC's plea to halt payments from a settlement fund set up to reimburse businesses and individuals for losses from the 2010 Deepwater Horizon accident.

During a hearing in New Orleans Friday morning, U.S. District Judge Carl Barbier rejected BP's arguments that the fund administrator, Patrick Juneau, was misinterpreting how claims should be assessed and payments calculated, according to lawyers who attended the hearing. BP claims the fund has made millions of dollars in payments for "fictitious" claims.

Lawyers representing the claimants argued the claims formulas were approved by BP. "The court's ruling speaks for itself," said Steve Herman, one of the lead lawyers representing thousands of businesses and individuals.

BP said in a statement that it has already appealed an earlier decision on the fund's payments to the U.S. Court of Appeals for the Fifth Circuit.

BP said it still believes that Mr. Juneau's interpretation of payment formulas is wrong, resulting in "unjustified windfall payments to numerous business claimants for non-existent, artificially calculated losses."

The ruling wasn't a surprise given Judge Barbier's previous rejection of BP's arguments, said Tom Claps, an analyst and legal expert with Susquehanna Capital, who has closely followed the case. It will be very difficult for the oil giant to score a victory at the appeals court because the settlement was "extensively negotiated, drafted and approved by BP and its legal team," Mr. Claps said.

The hearing took place during a break in the ongoing civil trial aimed at determining the degree of culpability that BP and other companies have for the accident. Judge Barbier has heard six weeks of testimony from employees of BP, drilling rig owner Transocean Ltd., cement contractor Halliburton Co. and expert witnesses.

Copyright (c) 2012 Dow Jones & Company, Inc.

WHAT DO YOU THINK?

Post a Comment Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.
Sam | Apr. 9, 2013
I had heard that Haloburton had been a big player in this using bad or not up to par material. But if you asked me the whole thing reaks of government conspiracy

Rumide | Apr. 8, 2013
If proper evaluation had been done by the joint intervention team,then BP should pay the estimated damages and which post impact assessment certificate will issued to them accordingly having ensured proper remediation.

Steadman L. Duhon Sr. | Apr. 5, 2013
They should be sent to prison, their sentences are not long enough. Thats whats wrong with America now, the greedy ones are killing the working. I say increase the sentence on all of them.


Related Companies

Deepwater Horizon Images
Diagram & Photos of Horizon Riser / Pipe Diagram of Deepwater Horizon Resting Pla Distant View Deepwater Horizon (Apr 21) Workers Bundle Oil Containment Boom
Deepwater Horizon in Flames (Apr 20) U.S. Air Force Tech. Sgt. Joe Torba Oil Containment Boom Donnie Wilson, CEO of Elastec Inc.
71 more images view image library

From the Career Center
Jobs that may interest you
Senior QHSE Manager
Expertise: HSE Manager / Advisor
Location: United Arab Emirates
 
Project HSE Advisor - EPC
Expertise: HSE Manager / Advisor
Location: Paris
 
HSSE Managers - FPSO Projects
Expertise: HSE Manager / Advisor
Location: Aberdeen
 
search for more jobs