More on "grossly negligent" ruling against BP


"Court finds and concludes that the discharge of oil was the result of BPXP's 'gross negligence' and 'willful misconduct'" under the Clean Water Act, U.S. District Judge Carl Barbier wrote in the decision that may force BP (BP -4.5%) to pay as much as $18B in total civil penalties related to the 2010 Gulf of Mexico oil spill.

“BP’s conduct was reckless... Transocean’s conduct was negligent. Halliburton’s conduct was negligent," Barbier wrote in apportioning fault for the disaster at 67% for BP, 30% for Transocean (RIG +1.5%) and 3% for Halliburton (HAL +0.2%).

Barbier did not rule on how much oil was spilled, a key factor in determining the extent of BP’s liability.

From other sites
Comments (47)
  • WisPokerGuy
    , contributor
    Comments (1342) | Send Message
     
    Should BP drop into the low 40's on this news, it becomes an immediate BUY right there.
    4 Sep 2014, 11:03 AM Reply Like
  • spike77
    , contributor
    Comments (413) | Send Message
     
    This sounds like spite due to BP trying to get rid of Barbier due to his conflict of interest. This fight isn't over yet by long way
    4 Sep 2014, 11:03 AM Reply Like
  • Ludo5312
    , contributor
    Comments (199) | Send Message
     
    You are right 'gross negligent' will probably not survive the next level of appeal. Unfortunately for all involved, except the lawyers, this is going to be long and somewhat painful.
    4 Sep 2014, 11:06 AM Reply Like
  • tom bernardi
    , contributor
    Comments (437) | Send Message
     
    gross negligence won't stand
    4 Sep 2014, 11:09 AM Reply Like
  • curbyourrisque
    , contributor
    Comments (29) | Send Message
     
    WITCH HUNT. Government wants their pound of flesh. Everyone is guilty... PAY UP, Government needs to start paying for more illegale immigrants.
    4 Sep 2014, 11:13 AM Reply Like
  • ghss44
    , contributor
    Comments (7) | Send Message
     
    You hit the nail on the head.
    4 Sep 2014, 08:37 PM Reply Like
  • curious-george
    , contributor
    Comments (598) | Send Message
     
    double that
    5 Sep 2014, 03:58 PM Reply Like
  • webbersworld
    , contributor
    Comments (206) | Send Message
     
    At what point is this a buy?
    4 Sep 2014, 11:14 AM Reply Like
  • HedgeFundConsulting
    , contributor
    Comments (23) | Send Message
     
    Judge Barbier appears to be willing to sacrifice his reputation in an attempt to punish BP ... his rulings almost appear to have been purchased ... a black eye for the US business and legal world ...
    4 Sep 2014, 11:21 AM Reply Like
  • Brian Pastermack
    , contributor
    Comments (185) | Send Message
     
    I just bought some at 44.9, and I'll keep buying every 50 cents more it drops. Did anyone honestly expect a different ruling? This should have already been priced into the market. It was always going to be a long drawn out legal battle. The headline just scares people. More money for me I guess.
    4 Sep 2014, 11:26 AM Reply Like
  • bode357
    , contributor
    Comments (5) | Send Message
     
    A bad move on an economy thats frail already
    4 Sep 2014, 11:30 AM Reply Like
  • ClubFord
    , contributor
    Comments (301) | Send Message
     
    When you are a judge (or any government employee at any level), there is unlimited money to pay your salary and benefits. ITs OUR MONEY.

     

    There is no economy to worry about in that circumstance.
    4 Sep 2014, 12:36 PM Reply Like
  • rube123
    , contributor
    Comments (2089) | Send Message
     
    "economy thats frail already "

     

    explain , be specific , not the political B/S , or the penny trader B/S
    I would really be interested in knowing just what part
    I must live in the only state that has jobs, growth , hell, we even have running water
    4 Sep 2014, 12:51 PM Reply Like
  • Tueffelhund85
    , contributor
    Comments (188) | Send Message
     
    You support Obama too. Your home could burn and you'd lie and say it was remodeling.
    4 Sep 2014, 11:52 PM Reply Like
  • rube123
    , contributor
    Comments (2089) | Send Message
     
    "You support Obama too"

     

    I wasn't aware this was so complicated
    "explain , be specific , not the political B/S"

     

    never said who I supported , I guess this guy is right
    http://bit.ly/1xit8FW
    5 Sep 2014, 12:19 AM Reply Like
  • rube123
    , contributor
    Comments (2089) | Send Message
     
    hey tuf
    maybe you can call your buds in congress , if ISIS was to blow your house up , "you'd lie" and say it was Obama

     

    the squirrels that have been on vacation for 5 weeks , and need to get off there @$$ , and approve the friggen spending to keep bombing ISIS, or otherwise it is supposed to legally stop on Oct 5

     

    I understand their vacation is really important , and ISIS is just a campaign stunt for Obama ...oh, but that is right he can't run again, he has already on his 2nd term....silly me

     

    but hey, don't worry about it, he can just use that executive power , and give the babies something else to whine about

     

    funny thing about lip service , it always comes back to haunt

     

    Wow , up to 2 shares now, impressive

     

    6 Sep 2014, 09:13 AM Reply Like
  • jwill53
    , contributor
    Comments (457) | Send Message
     
    BP will fight the good fight
    http://bit.ly/1qgy3SM
    4 Sep 2014, 11:36 AM Reply Like
  • Rose_Colored_Glasses
    , contributor
    Comments (1088) | Send Message
     
    With BP as a significant part of my portfolio I can only say 2 things:

     

    1. Was the wrong day to give up on alcohol and valium.
    2. I would say buy the dip - but is more like buy the tank.
    4 Sep 2014, 11:48 AM Reply Like
  • Tueffelhund85
    , contributor
    Comments (188) | Send Message
     
    I am sure this is a punitive ruling by a progressive magistrate. BP is solid and has been kicked around because oil accidents don't happen in liberal minds.

     

    I just bought more BP.
    4 Sep 2014, 11:51 AM Reply Like
  • Stock_doc
    , contributor
    Comments (339) | Send Message
     
    Bought more as well.
    4 Sep 2014, 11:56 AM Reply Like
  • samkon
    , contributor
    Comments (280) | Send Message
     
    Cannot wait for BP to wrap up this lawsuit...
    4 Sep 2014, 11:56 AM Reply Like
  • watermark302
    , contributor
    Comments (386) | Send Message
     
    Barbier has shown himself to be a hangin' judge. He will go with the upper limit of gallons spilled and then shout "Next!" This will be appealed and penalty shaved at some point.
    4 Sep 2014, 11:59 AM Reply Like
  • raykrv6a
    , contributor
    Comments (3544) | Send Message
     
    Added a little this morning and will add more later on. This is far from over.
    4 Sep 2014, 12:07 PM Reply Like
  • defunkdreader
    , contributor
    Comments (173) | Send Message
     
    Was $18B mentioned explicitly? I have $14B using BP's volume estimate (3.2) and $24B using the plaintiff's volume estimate (5.5) with a 4.4k/barrel penalty (also an assumption).
    4 Sep 2014, 12:42 PM Reply Like
  • horseman
    , contributor
    Comments (227) | Send Message
     
    I presciently conjectured a few months back that we would see BP in the Mid-Low $ 40's and possible High $ 30's? ... some disagreeing disdain to that call. I did caution that patience was necessary, but I would buy more (am already positioned higher). The BP investors scenario is rather clear to me. I will follow my advice as I watch put pressure on BP, but hit the buy button this year' sooner than later (thinking early-mid October. We shall see. My strong call on coffee/JO some months back per El Nino (why aren't California, et. al politicians paying attention to the REAL world) ... was observationally very correct, and will continue to be validated to HIGH coffee prices this fall-winter season.
    4 Sep 2014, 12:53 PM Reply Like
  • ylowe
    , contributor
    Comment (1) | Send Message
     
    Ah, don't be so modest.
    4 Sep 2014, 02:33 PM Reply Like
  • Just Some Guy
    , contributor
    Comments (2373) | Send Message
     
    Given the "damages" that BP has already paid, I don't see why they should pay any more fines at all, isn't that double jeopardy or something? (I know that technically it is not, but it is something very similar, being made to pay twice for the same thing, so why not three times, twenty times, forever?)

     

    I also don't really see why BP should be judged a different level of negligence than the subcontractors, not on this scale of operations. More counts or a bigger percentage or something, but how a different level of behavior?
    4 Sep 2014, 01:10 PM Reply Like
  • defunkdreader
    , contributor
    Comments (173) | Send Message
     
    BP paid the people of the Gulf Coast, but is also liable to the US federal government under the Clean Water Act.

     

    They're just paying "damages" to different parties.

     

    BP paying gulf coast folks is a "don't be a dick" kind of penalty. BP paying the government is a "there are rules in place and you broke them" kind of penalty.
    4 Sep 2014, 02:17 PM Reply Like
  • Tridentine
    , contributor
    Comments (105) | Send Message
     
    I blame the bad winter weather we had last year in Minnesota on BP and their deplorable actions in the Gulf.I have been wrong and deserve to be compensated accordingly.America has gone insane.
    4 Sep 2014, 06:45 PM Reply Like
  • Just Some Guy
    , contributor
    Comments (2373) | Send Message
     
    Yeah but that's a mighty big "broken rules" penalty. Not clear that these laws were really passed with such a big spill in mind. Offhand I'd say there should be a limit on such a penalty, even if the limit is a billion dollars that's less than here, and the damages already paid should be a consideration as well. Remember, on top of all this, BP has also lost the value of that platform and the production that was expected. Not to mention the loss of life and however that settled out. They don't need the reminder that they screwed up.
    4 Sep 2014, 07:28 PM Reply Like
  • defunkdreader
    , contributor
    Comments (173) | Send Message
     
    Yep. The federal government penalty is a 'civil' one, you're right that it didn't seem really designed for a fair assessment of large-scale disasters like this. It's awfully punitive with the multiplier for gross negligence, but the language lets litigators get away with it I guess. Reminds me a bit of how FIRREA wasn't really designed to target banks/ratings agencies.
    5 Sep 2014, 09:46 AM Reply Like
  • gcmagone
    , contributor
    Comments (1074) | Send Message
     
    BP has best acreage in the GOM, but worst legal staff in the oil patch. They grossly underestimated the Louisiana legal scavengers.
    4 Sep 2014, 01:13 PM Reply Like
  • Just Some Guy
    , contributor
    Comments (2373) | Send Message
     
    BP has a lot of experience dealing with extortionary political regimes around the world and usually they do OK - but not so much here. But the US is not the most rational place on Earth these days. And, well, BP did screw up royally, didn't they. Still there are limits to what is rational or fair and BP is getting hit even more than they deserve.
    4 Sep 2014, 07:23 PM Reply Like
  • Pencil pusher
    , contributor
    Comments (4) | Send Message
     
    Appeals court will overturn local ruling. Long BP!
    4 Sep 2014, 02:06 PM Reply Like
  • JBBanker
    , contributor
    Comments (145) | Send Message
     
    Judge Barbier does not surprise. He is clearly biased for any rational and fair minded person examining the data, evidence and testimony could not have arrived at "Gross Negligence"! The Judge has done a great disservice with his ruling for now this case will go further into the abyss as BP will appeal this ridiculous ruling.

     

    BP is a buy and Louisiana justice is a sell!
    4 Sep 2014, 02:18 PM Reply Like
  • SSGAJ
    , contributor
    Comments (227) | Send Message
     
    If the legal system above Judge Barbier can not see that he has a personal vendetta against BP than we are doomed as a viable legal system. This man definitely has a personality issue and is abusing his power because of it.
    4 Sep 2014, 02:22 PM Reply Like
  • BAHAMAS1
    , contributor
    Comments (5095) | Send Message
     
    barbier should be fined for gross negligence.
    4 Sep 2014, 04:11 PM Reply Like
  • raykrv6a
    , contributor
    Comments (3544) | Send Message
     
    '"Court finds and concludes that the discharge of oil was the result of BPXP's 'gross negligence' and 'willful misconduct'"'

     

    I can't wait to read Barbier's reasoning here. It also strikes me as strange HAL and RIG got off without being Gross...................
    4 Sep 2014, 04:38 PM Reply Like
  • theetrain7
    , contributor
    Comments (5) | Send Message
     
    5.21% yield now...I won't be sad if it goes a bit higher!!
    4 Sep 2014, 06:14 PM Reply Like
  • wilf@bovells.com.au
    , contributor
    Comment (1) | Send Message
     
    British company, US court, Judge with an axe to grind...did anyone expect anything different?

     

    Do US businesses always clean up their mess around the world? I think not...
    4 Sep 2014, 08:36 PM Reply Like
  • lawyersarescum
    , contributor
    Comments (11) | Send Message
     
    Think I might change my name to BarbierIsscum! Is he actually a Halliburton employee? This stinks so far even Obama might smell it.
    5 Sep 2014, 05:01 AM Reply Like
  • BAHAMAS1
    , contributor
    Comments (5095) | Send Message
     
    ..."obama might smell it"...it's pleasantly fragrant for him.
    Unfortunately.
    5 Sep 2014, 08:09 AM Reply Like
  • rube123
    , contributor
    Comments (2089) | Send Message
     
    Obama actually set this is motion with his initial handling , a lot of this could have been avoided if there was some cooperation in dealing with issue, instead of using BP as "a job creation act"

     

    refusing to wave the Jones act knowingly increased the damages

     

    allowing every ambulance chaser to make fraudulent claims "and get paid"

     

    I guess Mexico is lucky with the Ixtoc spill , with today's courts, who knows, we may have had to send some illegals back

     

    BP should have tried sovereign immunity , and give another Burrito like Permex did

     

    can you imagine what the oil foot print from Ixtoc would look like if they used today's technology , as they did the Macondo , and did it with equal witch hunting

     

    this link has a map of the oil on both spills, and I find it is rather interesting, must have been drawn up by an ambulance chaser

     

    http://bit.ly/1rPQujK

     

    I wonder what that picture with look like if you added Bob to the mix , or maybe Claudette , Frederic should have stirred it pretty good , Henri looked liked it was hired to spread it

     

    http://bit.ly/1rPQujM

     

    Ixtoc spilled for 10 months , Brown & Root made the sombrero for it , I remember working across from them at ETPM at the time , funny, didn't seem to hurt the fishing
    http://bit.ly/1rPQujO
    Not only has this spill been handled wrong, but it has been overly exaggerated as to damages , and certainly has not gotten anything that even resembles a fair shake

     

    just saying
    5 Sep 2014, 09:27 AM Reply Like
  • gcmagone
    , contributor
    Comments (1074) | Send Message
     
    ATTENTION BP Stockholders !!! Hold your shares. A superior court will tame down this Barbier fellow. Obviously biased judges have no place in our society.
    5 Sep 2014, 11:42 AM Reply Like
  • Tridentine
    , contributor
    Comments (105) | Send Message
     
    When the legislative branch is held in such low esteem is it any wonder that courts feel they can grab power.Our system leads to one branch or the other moving to fill a vacume.This is just the example of the week of judicial overreach.
    6 Sep 2014, 03:58 PM Reply Like
  • Elz4107
    , contributor
    Comments (460) | Send Message
     
    BP = Barbiere Pimp for all his Gulf cronies. No way this good old boy from Louisiana would rule otherwise, he has to live there. Despite the naive optimism of this board an Appeals Court will not overturn the decision of the hearer of the facts. BP was clearly negligent, most likely not grossly negligent, but it's too late to overturn and it's too late to overturn the settlement agreement agreed to by BP 's grossly negligent counsel. If you're in BP, as I am, it's for the long haul. Just hope that the dividend policy remains intact given this litigation and the sanctions against the Russians. A protective long term put may be in order to protect against a dividend cut.
    8 Sep 2014, 03:20 AM Reply Like
  • BAHAMAS1
    , contributor
    Comments (5095) | Send Message
     
    U.K. gov FINALLY got involved this morning and filed a "friend of the court"petition to the supreme court.
    I don't know what took them so damn long.
    8 Sep 2014, 08:16 AM Reply Like
DJIA (DIA) S&P 500 (SPY)
ETF Hub
ETF Screener: Search and filter by asset class, strategy, theme, performance, yield, and much more
ETF Performance: View ETF performance across key asset classes and investing themes
ETF Investing Guide: Learn how to build and manage a well-diversified, low cost ETF portfolio
ETF Selector: An explanation of how to select and use ETFs