Fed Judge Directs Exxon to Pay Damages & Interest re Valdez Oil Spill

[Robbien]

David W. Oesting, lead plaintiffs' counsel for fishermen and natives in the Exxon Valdez oil spill litigation, confirmed today that federal Judge Russell Holland has directed ExxonMobil to pay $4.5 billion in punitive damages and approximately $2.25 billion in interest.

The order stems from the civil lawsuit following the 1989 grounding of the Exxon Valdez and was entered in federal district court in Anchorage, Alaska this afternoon. The money is to go to 32,000 fishermen, natives, landowners, small businessmen and municipalities in south central Alaska whose lives and livelihoods were devastated by the spill.

Oesting provided the following background: The Exxon Valdez ran aground on Good Friday, March 23, 1989, spilling 11 million gallons of oil, the largest oil spill in American history. The spill coincided with the beginning of fishing season. Hundreds of lawsuits followed and were consolidated in front of Judge Holland. The cases were tried in 1994, and an Anchorage jury awarded $5 billion in punitive damages against ExxonMobil on September 16, 1994. After initially contesting the award in front of Judge Holland, has since appealed the award three times. The case was before Judge Holland this last time to ensure that the amount of the award comported with constitutional limitations on punitive damages.

Oesting said that ExxonMobil is expected to appeal the ruling, further delaying payments to victims in the 15 year old litigation. However, he noted that the decision was an important step forward in resolving the massive case, and expressed hope that the appeal process would proceed expeditiously.

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Comment: Fifteen years and still not resolved! And they want to deregulate the energy industry?

[wryter2000]

1. $3/gallon

$3 a gallon by July, Chimpy gone in November

[mbperrin]

2. If 10 cents is ever paid, it will be a miracle!

And this is BEFORE tort reform!