Seeking Alpha

BP could be spared hundreds of millions after court ruling

  • A federal appeals court has ruled that lower-court New Orleans judge Carl Barbier must look at whether businesses claiming compensation from BP's (BP) Gulf of Mexico oil spill suffered direct damage because of the disaster.
  • Barbier had ruled that he only needed to make sure that the court-appointed administrator who was handling the disaster settlement was using the correct accounting methods.
  • The higher court also ordered a suspension of payments to firms that can't trace any damage directly back to the spill, although BP may have to make those payments at a later date.
  • The ruling could spare BP from shelling out hundreds of millions of dollars in compensation - the company reckons it has paid $500M in what it argues are unjustified claims because the administrator has been too loose in his interpretation of the terms of the spill agreement.
Comments (14)
  • bikerskibum
    , contributor
    Comments (50) | Send Message
     
    Perhaps the appeal court will overturn Barbier's verdict when he rules.
    Perhaps he will bear this in mind before he rules.
    3 Dec 2013, 02:41 AM Reply Like
  • Elz4107
    , contributor
    Comments (163) | Send Message
     
    Good point. Most agree that BP, and it's partners, should be responsible for environmental mitigation and legitimate damages suffered by businesses caused by their negligent actions. But for anyone to suggest that causation is irrelevant makes no sense whatsoever. It's time for Barbier, a Louisianan, to be replaced. His impartiality is obvious and understandable. He has to live there.
    3 Dec 2013, 09:56 PM Reply Like
  • Ed Hood
    , contributor
    Comments (6) | Send Message
     
    Seeking Alpha is a pretty good App
    3 Dec 2013, 06:17 AM Reply Like
  • tomlos
    , contributor
    Comments (1072) | Send Message
     
    Some sanity... finally!
    3 Dec 2013, 07:09 AM Reply Like
  • Charles Santerre
    , contributor
    Comments (1242) | Send Message
     
    This is like one long episode of the Simpsons. The prosecution lawyer is Mr. Burns, the Judge is Homer and BP's lawyer is the clown. It's time the US shows that it can deliver justice, not just revenge. This one's not funny.
    3 Dec 2013, 07:34 AM Reply Like
  • doc47
    , contributor
    Comments (955) | Send Message
     
    If $500 million is all BP claims was ripped off, this doesn't mean much so far. They need the last second filers who just came in to be reviewed top to bottom for fraud. Let's hope that happens, but I doubt it.
    3 Dec 2013, 08:10 AM Reply Like
  • bgold1955
    , contributor
    Comments (1878) | Send Message
     
    Because of the huge fines, perhaps BP & others will implement practices that will reduce possible future issues like the gulf incident. Unlike the fiasco in Valdez in Alaska where XOM paid millions to lawyers and not much for the accident itself after over a decade in court.
    3 Dec 2013, 08:46 AM Reply Like
  • steve4466
    , contributor
    Comments (91) | Send Message
     
    Seems crazy that the same guy is in charge of the main hearing on possible gross negligence. Why not put a higher-court judge in there right away, since whichever side loses will simply appeal and Judge Barbier will be on weak ground after this. It would save time and money for all concerned.
    3 Dec 2013, 09:12 AM Reply Like
  • Elz4107
    , contributor
    Comments (163) | Send Message
     
    Crazier to have a sole presiding judge from Louisiana!
    3 Dec 2013, 05:47 PM Reply Like
  • BAHAMAS1
    , contributor
    Comments (1636) | Send Message
     
    Barbier...isn't that an Ecuadorian name ?
    3 Dec 2013, 09:16 AM Reply Like
  • thermal
    , contributor
    Comments (6) | Send Message
     
    I would merely echo tomlos's comment ... "sanity... finally!" ... and justice. I knew I could rely on the US justice system in the end."
    3 Dec 2013, 10:54 AM Reply Like
  • BAHAMAS1
    , contributor
    Comments (1636) | Send Message
     
    thermal-
    Agree with your sentiment but, imo,
    You're cookin' it too hot with that last statement.
    3 Dec 2013, 11:10 AM Reply Like
  • FCARONE
    , contributor
    Comments (260) | Send Message
     
    Its obvious that there was, and continues to be, a significant number of fraudulent claims made against BP. While the amount of such claims is not yet known, or even reliably estimated, the amount will most likely easily exceed $1billion. I suggest that an forensic investigation( not just a quick look!) of both late claimants and those that were already paid, be instituted. Thereafter, if fraudulent claims were filed, any monies paid are to be forfeited and criminal prosecution for such fraud be instituted. Additionally, lawyers who aid and abet such fraudulent claims are to be investigated and prosecuted accordingly. We need to put an end to this behavior ! We saw the results of the loan fraud in real estate and how virtually no borrower was prosecuted. If we don't impose responsibility and accountability we are empowering such behavior to the detriment of our economy and our society.
    3 Dec 2013, 11:53 AM Reply Like
  • BAHAMAS1
    , contributor
    Comments (1636) | Send Message
     
    UK government just publicly came to the aid of BP.
    What the hell took them all this time?

     

    Are they that stupid to just NOW realize that BP has been raped with $hundreds of millions of false claims and that the UK government and pensioners Heavily rely on BP for dividends and growth.
    3 Dec 2013, 12:39 PM Reply Like
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