BP says the separate claims made by states and local governments on the U.S. Gulf Coast for economic and property damages from the oil spill, when combined, all totaled $34 billion. The oil giant said the claims were “substantially” overstated. The $34 billion total was provided last month for disclosure reasons with the company’s financial results. BP said the total stated was based on claims made last month by Alabama, Mississippi and Florida, as well as claims made by Louisiana and others from local governments.
Citing the Oil Pollution Act (OPA) underpinning the claims, BP said it considers the methods used to calculate them to be “seriously flawed, not supported by the legislation and to substantially overstate the claims.” BP Finance Director Brian Gilvary claimed that proving a loss of tax revenue by these governments would be difficult. I disagree with his assessment and know for a fact that Alabama will be able to prove its claim. BP has consistently tried to downplay the significance the oil spill has had on the Gulf Coast states. The company has misrepresented the amount of oil spilled on numerous occasions. It also has waged a well-financed public relations campaign designed to make things look good in the Gulf.
Source: Claims Journal
Contact us today for a free legal consultation with an experienced attorney.
Fields marked *may be required for submission.
If you would like to subscribe to the Jere Beasley Report digital edition, simply visit our Subscriptions page and provide the necessary information or call us at 800-898-2034.
Attorney Advertising - Prior results do not guarantee a similar outcome.