BP currently faces up to $13.7 billion in fines for violating the federal Clean Water Act. This is the largest penalty ever sought by the government, far exceeding the previous record of $1 billion paid by Transocean Ltd. in 2013 through a settlement involving the same disastrous 2010 oil spill.
BP is fighting the fine and the trial resumes on January 20, 2015. There are several factors the court will consider in determining the fine to be lobbed against BP, including:
- How serious was the spill?
The court will first consider the severity of the 2010 oil spill. Analysis will include the amount of oil spilled, the environmental impact of the spill, and how long the spill lasted. U.S. District Court Judge Carl Barbier previously ruled that BP spilled in excess of 3.19 million barrels of oil into the Gulf of Mexico, by far the largest spill ever recorded. Oil spilled for 87 days. The government argues that the spill had a tremendous environmental impact, while BP insists it was far less.
- Who was to blame for the spill?
This factor was already the subject of the first phase of the civil trial which concluded in 2013. Judge Barbier has ruled that BP shouldered most of the blame for the spill. He found BP to be grossly negligent in its actions, which propelled the government to seek such a high fine in the final phase of the lawsuit.
- Did BP economically profit from its negligent actions?
The court has already determined that BP cut many corners, leading up to the spill. However, both sides agree BP did not benefit from the spill.
- Has BP already paid other fines stemming from the spill?
The court is required to consider BP’s previous and future oil spill penalties in setting the fine. BP has agreed to pay $4.5 billion in criminal penalties for the spill and faces fines under the Natural Resource Damage Assessment.
- Does BP have prior violations?
The federal government will look to establish that BP has a history of prior violations and a pattern of safety issues. Previous violations include a 2005 explosion in an oil refinery and a 2006 pipeline rupture spill. BP argues the court should only look to the BP subsidy, BP XP, that owned the well that exploded, rather than the parent company.
- What actions did BP take to mitigate the spill?
The court will consider BP’s efforts to cap and plug the well and clean up efforts. BP has spent over $14 billion in clean up and response measures, but the government contends that BP was required by law to conduct the clean up and monies spent on clean up simply reflect the severity of the spill.
Barrett Law PLLC: BP Oil Spill Attorneys Assisting All Ongoing Victims of the 2010 Gulf Oil Spill
Oil company giant BP faces the largest ever water pollution fine as a result of the massive Gulf oil spill that continues to heavily impact the environment, as well as individuals and businesses in the region. Time is running out to file your claim for compensation due to damages inflicted upon you by the BP oil spill. The Mississippi BP Oil Spill Attorneys at Barrett Law PLLC continue to fight for the victims of the spill, seeking full compensation for everyone who suffered physical or economic losses as a result of BP’s negligence. Call Barrett Law PLLC today at 1 (601) 790-1505 to schedule your free consultation with one of our skilled BP oil spill attorneys.
