A key court ruling in the Gulf of Mexico oil spill litigation could change the landscape in the massive case — encouraging more plaintiffs to sue, or spurring the parties to make a deal to resolve what could be a long string of trials over damages.
Last week, the judge overseeing a group of spill-related lawsuits against BP Plc and its business partners ruled that claims for punitive damages — not just compensatory damages — could be brought by fishermen and other plaintiffs alleging harm to physical property. If a jury ultimately awards these plaintiffs punitive damages, defendants could be forced to pay out big.
The ruling gives some potential plaintiffs more of an incentive to sue because of the possibility of higher damage awards, experts say. Some people have been on the fence about suing or seeking payouts from BP’s $20 billion victims’ compensation fund, which offers settlements as an alternative to litigation.
Also, the possibility of massive settlements to resolve the plaintiffs’ claims involving BP and other corporate defendants may now be more likely.
That is because tossing punitive damages into the legal mix tends to scare defendants. Punitive damages are awards that are often multiples of the amounts that plaintiffs
Read More from the Article Source: Full Article
