BP Resumes Oil Spill Payments
Payments to the April 2010 BP oil spill victims in the Gulf of Mexico has resumed Wednesday, just one day after the $20billion claims fund stopped the payouts as they were unclear on how to assess a 6 percent fee for attorneys handling the claims.
U.S. District Judge Carl Barbier Wednesday clarified that payments made after December 30 would have to include a 6 percent fee for trail lawyers affiliated with a steering committee assisting plaintiffs with oil spill claims against the oil giant.
They oil spill compensation payments were frozen by the Gulf Coast Claims Facility (GCCF) on Tuesday in response to Barbier’s December 28 ruling, which stated disbursements made on or after November 7, 2011 should include the 6 percent fee. GCCF was established by BP to compensate oil spill victims in the Gulf of Mexico.
However, the issue of lawyers’ fees remains controversial. The Louisiana attorney general and lawyers not affiliated with the steering committee are not happy with Barbier’s ruling and they plan to appeal it. Under the ruling, 4 percent of payments to Louisiana will have to be set aside to cover attorneys’ fees. The state is not willing to do that.
Last changed: Jan 20 2012 at 12:49 PMBack
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