$20 Billion BP Fund for Spill Claims Set Up
Reuters reports on a new compensation fund set up to handle damage claims from the Gulf of Mexico oil spill:
A $20 billion compensation fund for economic victims of the BP Gulf oil spill opens for business on Monday amid accusations that the rules established by its administrator are unfair.
Kenneth Feinberg who will run the fund said those who sustained financial loss because of the spill could claim for damages and he promised claimants more generous treatment than they would get if they sued the energy giant for damages.
"The goal here is to try and explain to eligible claimants: 'It is not in your interest to tie up yourself and the courts in years of uncertain protracted litigation when ... there is a more efficient quick alternative'" Feinberg told a news conference on Sunday.
"The goal will be to pay any individual claim within 48 hours of the claim being finalized and seven days for any business claim," he said.
BP set up the fund in June under pressure from the White House to come up with a remedy for the losses sustained in the fishing, tourism and other industries on the Gulf of Mexico coast because of the leak that began in April and was capped in July.
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