Judge rejects BP bid to cancel settlements
NEW ORLEANS – BP wants its money back – hundreds of millions of dollars of it – but a federal judge said Wednesday that the oil giant must stand by the agreement it made with the companies it compensated for losses blamed on the 2010 Gulf oil spill.
BP argued that a flawed funding formula enabled nearly 800 businesses to overestimate their spill-related claims.
One construction company hundreds of miles from the coast received $13.2 million, BP said.
U.S. District Judge Carl Barbier agreed weeks ago to change the compensation formula for any future payments, but ruled Wednesday that a deal is a deal when it comes to the money BP has already paid out. Under that deal, BP agreed that no future court action could change its payments.
Associated Press
