Post by unlawflcombatnt on May 14, 2010 3:03:31 GMT -6
Transocean, the owner of the Deepwater Horizon oil rig, wants to cap the damages it's liable for in the Gulf of Mexico oil spill. More specifically, they want it limited to a $26.7 million drop-in-the-bucket. According to the lawyer for the 7 injured crew members, the request and justification for this cap is absurd, given that the damage rig was insured (for over $400 million)--and that Transocean has already been paid many times the $26.7 million amount by the insurer.
Transocean Requests Absurd Liability Cap for Oil Spill
By Laurel Brubaker Calkins -
May 14, 2010
"Transocean the owner and operator of the Deepwater Horizon, asked a U.S. judge to limit its liability to $26.7 million.
The request, filed yesterday in federal court in Houston under a 150-year-old law originally designed for the shipping industry, applies to all litigation the company faces over the explosion and spill.
“I think there are more than 100 cases now,” Guy Cantwell, Transocean’s spokesman, said in a phone interview.
Transocean and co-owners of the Deepwater Horizon, which now lies wrecked a mile deep in the Gulf of Mexico, say the state-of-the-art drilling rig has no present value and had accrued $26.7 million in unpaid drilling rental fees.
The company also asked for all litigation against the rig owners to be consolidated before one federal judge in Houston, where Transocean’s U.S. operations are based. Vernier, Switzerland-based Transocean said it would create a court- administered fund, equal to the amount of the unpaid drilling fees, from which all claims against the company could be paid on a pro-rata basis.
Lawyers for victims of the rig disaster and spill said that....Transocean’s move to limit its liability probably wouldn’t succeed....
At a hearing in Houston yesterday, U.S. District Judge Keith Ellison agreed that “Houston is the appropriate venue for this case,” according to an entry posted on the court’s website.
Ellison agreed to let Transocean and the other rig co- owners deposit $26.7 million with the court to create a fund against which parties claiming spill-related damages may file claims.
The judge hasn’t agreed to the liability cap requested by Transocean....
“We expect the court will ultimately lift the limitation,” Houston lawyer Mark Lanier, who represents commercial fishermen and shrimpers in several lawsuits over the spill. “The other defendants are more hurt by this than the plaintiffs.”....
In yesterday’s court filing, Transocean denied responsibility for the explosion and spill and claims the Deepwater Horizon, known as a mobile offshore drilling unit, was “in all respects seaworthy” and properly maintained and staffed.
“Any and all injury, loss, destruction and damage arising out of or related to the above described casualty event was not caused or contributed to by any fault, negligence or lack of due care on the part of....Deepwater Horizon or any person in charge of her,” Frank Piccolo, Transocean’s lawyer, said in the filing.
Galveston lawyer Tony Buzbee, who represents seven injured crewmembers from the rig, said Transocean’s claim that the rig is worthless “is ridiculous on its face, now that everyone has insurance these days. We know the rig had a value before the accident of between $500 million and $600 million, and we know their insurer has already paid them $430 million for it.”
Bargaining Ploys
Buzbee said in a phone interview that damage-limitation motions are usually filed as bargaining ploys to increase settlement leverage.
“But it will absolutely factor into the decision about where the MDL ends up,” he said. “This will be another argument for putting the entire case in Houston.”
BP, based in London, asked this week that all suits over economic and environmental damage from the spill be consolidated in federal court in Houston. Most of the suits are proposed class actions representing potentially thousands of commercial fishermen, shrimpers, seafood processors, property owners and tourism-related businesses harmed by the spill.
A lawyer representing several hundred of those businesses and individuals has asked for the oil-spill litigation to be consolidated before one of three federal judges in Louisiana.
The case is In Re The complaint and petition of Triton Asset Leasing GMBH, 4:10-cv-01721, U.S. District Court, Southern District of Texas (Houston)."
Transocean should consider itself fortunate that executives and management aren't facing criminal charges and jail time for negligence.
But then, Federal prosecutors hate to go after anyone with enough money and clout to put up a good defense. They'd rather devote their time (and taxpayers' dollars) to going after smaller--and more defense-less fish--instead of a big oil company and its co-conspirators (i.e., Transocean and Halliburton.)
Transocean Requests Absurd Liability Cap for Oil Spill
By Laurel Brubaker Calkins -
May 14, 2010
"Transocean the owner and operator of the Deepwater Horizon, asked a U.S. judge to limit its liability to $26.7 million.
The request, filed yesterday in federal court in Houston under a 150-year-old law originally designed for the shipping industry, applies to all litigation the company faces over the explosion and spill.
“I think there are more than 100 cases now,” Guy Cantwell, Transocean’s spokesman, said in a phone interview.
Transocean and co-owners of the Deepwater Horizon, which now lies wrecked a mile deep in the Gulf of Mexico, say the state-of-the-art drilling rig has no present value and had accrued $26.7 million in unpaid drilling rental fees.
The company also asked for all litigation against the rig owners to be consolidated before one federal judge in Houston, where Transocean’s U.S. operations are based. Vernier, Switzerland-based Transocean said it would create a court- administered fund, equal to the amount of the unpaid drilling fees, from which all claims against the company could be paid on a pro-rata basis.
Lawyers for victims of the rig disaster and spill said that....Transocean’s move to limit its liability probably wouldn’t succeed....
At a hearing in Houston yesterday, U.S. District Judge Keith Ellison agreed that “Houston is the appropriate venue for this case,” according to an entry posted on the court’s website.
Ellison agreed to let Transocean and the other rig co- owners deposit $26.7 million with the court to create a fund against which parties claiming spill-related damages may file claims.
The judge hasn’t agreed to the liability cap requested by Transocean....
“We expect the court will ultimately lift the limitation,” Houston lawyer Mark Lanier, who represents commercial fishermen and shrimpers in several lawsuits over the spill. “The other defendants are more hurt by this than the plaintiffs.”....
In yesterday’s court filing, Transocean denied responsibility for the explosion and spill and claims the Deepwater Horizon, known as a mobile offshore drilling unit, was “in all respects seaworthy” and properly maintained and staffed.
“Any and all injury, loss, destruction and damage arising out of or related to the above described casualty event was not caused or contributed to by any fault, negligence or lack of due care on the part of....Deepwater Horizon or any person in charge of her,” Frank Piccolo, Transocean’s lawyer, said in the filing.
Galveston lawyer Tony Buzbee, who represents seven injured crewmembers from the rig, said Transocean’s claim that the rig is worthless “is ridiculous on its face, now that everyone has insurance these days. We know the rig had a value before the accident of between $500 million and $600 million, and we know their insurer has already paid them $430 million for it.”
Bargaining Ploys
Buzbee said in a phone interview that damage-limitation motions are usually filed as bargaining ploys to increase settlement leverage.
“But it will absolutely factor into the decision about where the MDL ends up,” he said. “This will be another argument for putting the entire case in Houston.”
BP, based in London, asked this week that all suits over economic and environmental damage from the spill be consolidated in federal court in Houston. Most of the suits are proposed class actions representing potentially thousands of commercial fishermen, shrimpers, seafood processors, property owners and tourism-related businesses harmed by the spill.
A lawyer representing several hundred of those businesses and individuals has asked for the oil-spill litigation to be consolidated before one of three federal judges in Louisiana.
The case is In Re The complaint and petition of Triton Asset Leasing GMBH, 4:10-cv-01721, U.S. District Court, Southern District of Texas (Houston)."
Transocean should consider itself fortunate that executives and management aren't facing criminal charges and jail time for negligence.
But then, Federal prosecutors hate to go after anyone with enough money and clout to put up a good defense. They'd rather devote their time (and taxpayers' dollars) to going after smaller--and more defense-less fish--instead of a big oil company and its co-conspirators (i.e., Transocean and Halliburton.)