Seeking Alpha

BP asks court to block payments not directly linked to Gulf spill

  • BP (BP +0.4%) asks a U.S. appeals court to block payments tied to the 2010 Gulf of Mexico oil spill unless it can be linked directly to the disaster.
  • BP says Judge Carl Barbier has ignored a court decision requiring him to tie payments directly to the spill, so it is asking the appeals court to step in.
  • BP has been battling throughout 2013 with Barbier, lawyers for spill victims and settlement administrator Patrick Juneau over an interpretation of the agreement that allows payments for claimants without proof of causation.
Comments (12)
  • The reason that Kenneth Feinberg was pushed aside by Judge Carl Barbier in favor of Patrick Juneau is becoming clearer and clearer.
    31 Dec 2013, 09:59 AM Reply Like
  • Yes it is, and as we all recall, feinberg's FIRST payment authorized by himself was for fees paid to his own law firm.
    This whole situation reeks of Atlas Shrugged !
    A pathetic and politically motivated intention of fraudulently stealing money from corporations!


    If this continues , even the BP haters will suffer as it is only a matter of time that companies they own stock in will fall to this same extortion !
    They will get what they wish for .
    Then you'll hear the weeping and gnashing of teeth !


    Very dangerous precedents being set here !
    31 Dec 2013, 10:15 AM Reply Like
  • It's a sorry story indeed. As for Feinberg requiring initial payment, I find it hard to fault his firm performing a job of work for it as claims were being filed. BP may find salvation in appeals, and should. Hopefully. Barbier is locked in to a position. So appeals are the only way forward. Might take awhile. Interesting to watch the legal system at work. Especially in Louisianna.
    31 Dec 2013, 10:39 AM Reply Like
  • Just about everyone, I assume, has heard of the old saying "TWO WRONGS DON'T MAKE A RIGHT!" Perhaps our legal system should heed their own words. How many times have you heard this reference made by the judicial system. Now that they are confronted with upholding this accepted principle, they cave in due to political pressure. This is not an isolated case … sorry to say. It is about time we put an end to reckless rulings by our courts.


    Personally, I cannot see how a judge, namely Barbier, and I use the term loosely in his case, can suggest such an agreement in the first place. Secondly, how can this legal agreement even be binding. It is a form of extortion, better yet lets refer to it has a “shake down”.


    The judicial system should be held to the highest ethical and legal standards. For them to take advantage of BP during a time that they had their backs against the wall is disturbing. For them to force BP should to honor all claims, whether fraudulent or not, is criminal on their part. Don't get me wrong, BP should be punished harshly and in my opinion they have. There has not been any other company is the history who has paid out as much money as BP.


    The most laughable thing behind this entire fiasco is that any reasonable and sane person is aware of all of the under minded dealings that the plaintiffs lawyers are displaying ... uncontested by our lame judicial system. Same on both the lawyers and our legal system, especially the egotistical Mr. Barberi. Notice I did not refer to him as a judge, because his recent actions negate him from being recognized as such.


    The higher courts should intercede and seek out if whether there are is indeed an injustice being served up by Barberi and others.


    Let's take the time and get it right for all sake!!!
    31 Dec 2013, 11:24 AM Reply Like
  • You made the best statement on this:


    "The judicial system should be held to the highest ethical and legal standards."


    Nothing says it like that statement. Shame on "Judge" Barbier. And, I agree, I use that word loosely.
    31 Dec 2013, 11:59 AM Reply Like
  • Agree.
    Also cameron the wimp PM that runs the UK should start taking a true hard stance on this political & legal travesty since it effects a large % of UK pensioners, etc.


    It's amazing what the general public allows to go on. That is , until it personally effects them.
    Which this debacle definitely will.


    Wake up silent majority !
    31 Dec 2013, 11:35 AM Reply Like
  • It does affect UK pensioners, but almost in equal numbers it also affects US pensioners. Worst of all... it affects law abiding US citizens. A broken judicial system, and what we have seen so far suggests nothing but... is bad for a democracy, foreign investment in a risk environment and very sad for the future of the country.
    31 Dec 2013, 08:15 PM Reply Like
  • The really sad thing about this is that every company around the world is taking note. What should have been a straightforward settlement to those in need has turned into a smash and grab for those who see deep pockets.


    In the future, I bet, all companies will do like Exxon did with the Valdez. Fight every single claim in court. It does not cost them more and at least that would put the onus on those who have a legitimate claim.


    Even those who are BP haters can appreciate when someone is being taken advantage of.
    31 Dec 2013, 12:01 PM Reply Like
  • Atlas Shrugged? Puh-lease! This is simple contract interpretation.


    Feinberg was administrator before the present settlement agreement was entered. All Patrick Juneau is doing is following the terms of the agreement - meticulously laid out in 1200 pages of accounting detail by BP. BP now wants to re-write the agreement by requiring factual causation between revenue losses and the oil spill for each business loss claim now that the dust settled (or oil cleared, as it were), and it hopes people forgot what was actually agreed to.


    Are the BP defenders here as ready to re-write mortgages and credit card agreements that seem unfair to those who didn't comprehend the full extent of costs they would bear?
    1 Jan, 05:49 PM Reply Like
  • Read the ads that confirm some of the millions$ that have been "awarded" to people and companies that suffered no loss at all due to the spill but just had their hand out at the right time to be "rewarded" for their dishonesty !
    And yes, take time to Read "Atlas Shrugged".
    Scarily similar .
    1 Jan, 07:09 PM Reply Like
  • Remember, this case is being adjudicated in Loiusiana which is a great state yet has a colorful history of pay to play
    2 Jan, 08:42 AM Reply Like
  • I saw an ad from attorneys in Northern Alabama advising that even if your business was not located on the gulf you could file a claim.
    2 Jan, 08:45 AM Reply Like
DJIA (DIA) S&P 500 (SPY)