Friday, Aug 1, 2014Friday, Aug 1, 2014
News
 

US court upholds BP settlement for Gulf oil spill

Published on Jan 11, 2014 11:29 AM
 
This US Coast Guard file image released on April 22, 2010 shows fire boat response crews as they battle the blazing remnants of the off shore oil rig Deepwater Horizon April 21, 2010. A US federal appeals court upheld a multibillion-dollar settlement between BP and coastal residents and businesses hit by the company's massive Gulf of Mexico oil spill. -- FILE PHOTO: AFP

WASHINGTON (AFP) - A US federal appeals court upheld a multibillion-dollar settlement between BP and coastal residents and businesses hit by the company's massive Gulf of Mexico oil spill in 2010.

The British energy giant reached a US$7.8 billion (S$9.87 billion) settlement in 2012 with thousands of claimants hit by the worst environmental disaster in US history.

But it had been challenging the way Mr Patrick Juneau, a court-appointed administrator of claims, calculates companies' compensation for lost profits.

The 5th US Circuit Court of Appeals ruled that US District Judge Carl Barbier was correct in rejecting a BP bid to require companies to prove that their losses were directly linked to the spill before getting a payout.

 
If you are not a subscriber, you can get instant, unlimited access here