BP suffers major blow over Gulf spill compensation claims

|About: BP p.l.c. (BP)|By:, SA News Editor

BP (BP) is facing having to make large amounts of what it feels are unjustified payments after a federal appeals court ruled that Gulf coast businesses can claim compensation for the Deepwater Horizon spill without directly proving that the disaster caused them losses.

BP has options for further appeal and might be comforted that the panel voted 2-1 rather than unanimously.

BP has argued that not forcing companies to prove direct causation has led to "inflated, exaggerated or wholly fictitious" compensation claims worth hundreds of millions of dollars.