Oil Spill Claims
In a private meeting with Florida Sen. Bill Nelson, BP CEO Tony Hayward refused to commit to pay all damages from Deepwater Horizon oil spill, according to a New York Times article. Nelson and Hayward met at Hayward’s request in Nelson’s Senate office. After the meeting, they both addressed the media. Hayward, speaking first, said that the $75 million damage cap contained in the Oil Pollution Act (OPA) would “inevitably be exceeded.” Hayward then said “All legitimate claims will be paid.” When asked by a television reporter to clarify his statement, Hayward walked away without explanation. Nelson then disclosed that Hayward had refused, in their private meeting, to commit to paying all damages caused by BP’s oil spill. “When I said ‘Will you be responsible for the economic damages?’ he said, “That’s something we’ll have to work out in the future,’” Nelson said.
Meanwhile, the White House is suggesting that BP may be guilty of misconduct that would leave BP responsible for all damages caused by the oil leak. White House Press Secretary Robert Gibbs said “Understand this — there is — they are fully liable for cleanup and recovery costs per the Oil Pollution Act of 1990. The cap is not in place if somebody is found to be either grossly negligent, conduct willful — involved in willful misconduct, or in violation of federal regulations. As you know, there’s an investigation ongoing as to the cause behind the spill.”
In other developments, The Dallas Morning News reported that a senior BP executive told members of Congress that BP’s Deepwater Horizon oil well could spill as much as 60,000 barrels a day of oil, more than 10 times the current estimate of the flow.
Oil Spill Claims Update
Update August 2010: BP has agreed to waive the $75 million cap and has committed to pay $20 billion into a trust to be administered by Kenneth Feinberg. You can find updated claims information in the related posts, below.
Related posts:
- Oil Spill Claims: Feinberg Off to Slow Start on BP Claims
- Ken Feinberg – New Oil Spill Claims Rules Blasted by Attorneys General
- Oil Spill Claims | Rules Set by Feinberg for $20 Billion BP Fund
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