Business Oil Spill Claims

Posted by on Jan 4, 2014 in Oil Spills | 0 comments

Business oil spill claims have ground to a halt as the federal court intervenes in the BP claim to the 5th Circuit Court of Appeals that many fraudulent, illegitimate or over-assessed business claims have been settled by Economic and Property Damage Class Action Settlement Agreement administrator Patrick Juneau.

The 5th Circuit judges have ordered District judge Carl Barbier to order the halt of all claims processing until investigations into these allegations have completed. This has serious consequences for those whose claims have already been processed and approved but not yet paid as well as for those with pending claims.

The court decision also has consequences for those who are hoping for a favorable BP claim appeal based on the hitherto generous mandate of BP that claims would not have to prove that the oil spill was the cause of economic losses. BP has since changed its tune as more and more claims came pouring in. The Settlement allows BP to challenge each and every claim, individual or business, and has succeeded in successfully denying a majority of the claims.

It is undeniable that the 2010 oil spill had a significant and disastrous impact on most individuals and businesses in the immediate and secondary areas servicing the coastal region surrounding the Deepwater Horizon oil rig. More than three years after the disaster, the environmental and health hazards continue to persist, causing many residents to relocate. Businesses are not so fortunate. Many who have invested in the area find themselves holding the bag with no way to pay their way out of their financial troubles, and had looked to the settlement agreement to bail them out. The expulsion of people from the affected areas has further harmed these businesses, as they now have fewer customers in the area who can consume their goods and services.

The claimants, legitimate and otherwise, have no choice but to wait for the courts to finally resolve the issue and the claims processing resume.  For those who are not part of the Settlement group or who have opted out may still make a claim under the Oil Pollution Act of 1990 (OPA) in the meantime. It is important to have competent legal representation for OPA and other claims to improve the likelihood of receiving rightful compensation.

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