BP Claims Settlement Heads To Appellate Court
The BP oil spill claims agreement is heading back to a courtroom in New Orleans on Monday. The oil company says fraudulent claims are being paid.
BP agreed a year ago to a payment system worked out with residents and businesses. But since then, the company has complained the victims’ compensation deal is being misinterpreted. It says the claims administrator and federal judge that approved the deal are allowing payments for fake or inflated damages.
At issue for the appellate court is the payout system for businesses, not individuals. BP says it expected to pay nearly $8 billion to resolve claims for its 2010 oil spill. The company says it no longer has an accurate prediction of how much it will ultimately cost.