Demystifying the BP Oil Spill

If you are like many people, you have recently felt the frustration and disappointment of finding out that you are excluded from the BP Oil Spill Settlement. While the terms of the BP settlement are broad and encompass a large array of businesses and individuals who suffered economic loss in the wake of the Deepwater Horizon oil spill, it does specifically name some categories of businesses that are excluded from the settlement. It is important to remember that you are not alone. Thousands of people just like you have been denied the compensation they deserve because of they work in an excluded industry.

Should you find out that you are excluded, don’t worry; your claim may not be over. The Oil Pollution Act (“OPA”) provides a way for you and other individuals and businesses who are excluded from BP’s settlement to receive compensation for losses caused by the oil spill; but you must act quickly.

What is the Oil Pollution Act?

OPA is a federal law designed to deal with the effects of large oil spills. OPA was passed in 1990 by President George H.W. Bush after the Exxon Valdez disaster and provides a way for those damaged economically by an oil spill to sue the responsible parties in federal court.

What about the BP Settlement?

The BP settlement was approved to conclude a class action lawsuit filed against BP. The settlement binds all members of that class who did not choose to opt out of the settlement. If your claim falls into one of the excluded categories, it was automatically removed from the economic class and, therefore, it is not bound by the terms of the settlement. What does this mean for you? You can file an independent lawsuit against BP under OPA without being bound by the requirements of the claims process in the Settlement Agreement.

Who is Excluded from the Settlement?

Financial institutions and their employees. This includes a large variety of business such as commercial banks, savings institutions, credit card issuers, financial or investment advisers or portfolio managers, fund managers, lending institutions, real estate mortgage or lending entities, and a number of other institutions. Gaming businesses and their employees. This includes most casinos, off-track betting parlors, racetracks and other gambling establishments.

Insurance companies and their employees. This includes all types of insurance (e.g. auto, health, life, property) as well as claims adjusters, reinsurance carriers, third-party administrators of pension and welfare funds, and any other insurance related businesses.

The Oil and Gas Industry. This exclusion includes almost all upstream and downstream professions including oil and natural gas extraction and refining, gasoline and petrochemical manufacturing, and pipeline transportation.

Businesses and their employees who were affected by the Moratorium. This includes any business who suffered economic damage as a result of the Moratorium placed on all oil and gas drilling in the Gulf of Mexico by the U.S. government after the BP disaster.

What Should I Do?

Call us! Time is running out, even for viable claims under OPA. Claims under the Oil Pollution Act have a three year statute of limitations. Since the Spill began on April 20, 2010 and continued until July 15, 2010, claims under the Oil Pollution Act for damages caused by the BP Spill need to be filed before August. If you think you may have a claim, do not delay. Contact an attorney and begin the process today.