In what it says is a move to protect the interests of its employees, shareholders and the company, Transocean Ltd., the owner of the oil rig that sunk off the Gulf of Mexico, is asking a court to limit its liability for the accident to $27 million.
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Oil on the sands of South Pass of the Mississippi River
The Swiss company filed a petition in U.S. District Court for the Southern District of Texas under the federal Limitation of Shipowner’s Liabilty Act in connection with the April 20 Deepwater Horizon explosion, which resulted in the death of 11 workers and a massive oil spill just recently contained.
In a statement, the company said one of the primary goals of the filing is “to consolidate in a single court many of the lawsuits” likely to be filed in connection with the Deepwater Horizon incident and “to initiate an orderly process for these lawsuits and claims before a single, impartial federal judge.” The court filing also would establish a single fund from which legitimate claims may be paid.
“Transocean believes this type of orderly process is in the best interests of all parties involved,” the company’s statement said.
Transocean also emphasized its focus on remediation and “meeting the needs of its injured and deceased employees and their family members during this difficult time.”
In the court filing, Transocean cites federal law in stating its liability should be limited to the value of its interest in the Deepwater Horizon rig and its freight, or $26,764,083.
Meanwhile, BP, which was receiving the oil drilled by Transocean’s Deepwater Horizon rig, said its compensation payouts to those affected by the spill will not be limited by the $75 million legal cap on such liabilities, according to the Wall Street Journal.
In a letter to Homeland Security Secretary Janet Napolitano and Interior Secretary Ken Salazar, BP Chief Executive Tony Hayward said the company believes such claims “will exceed the limit,” the report said, with BP adding it is prepared to pay more “and will not seek reimbursement from the U.S. government or the Oil Spill Liability Trust Fund.”
The latter fund, comprised in part by an excise tax on the petroleum industry, is used for everything from costs incurred by the U.S. Coast Guard and payment of claims for uncompensated removal costs and damages.
Transocean tries to limit oil spill liability at $27 million in court via IFAwebnews .
