Shameless government workers from Panama City Beach has pressed their city council to attempt to extract funds from BP (NYSE:BP), claiming the reason they didn't get a raise was because of the fallout from the Gulf oil spill.
The problem is last year these government parasites didn't receive a raise either, and there was no BP oil spill at that time.
They are of course attempting to use the consequences of the recession as an excuse to tap into the fund.
Imagine if that were to fly. Everyone in the U.S. would be applying to get money from the BP claims fund if they didn't get a raise this year.
BP may be big, but their influence on the economy is vastly overstated by those attempting to use them as if they were a form of government stimulus. This is one of the reasons the claims portion of the fund administered by Kenneth Feinberg has slowed down so much: numerous attempts to game the fund.
Panama City Beach has filed a claim against the fund to regain tax revenue. How about decreasing the size of government to levels that can be afforded?
Showing posts with label BP Compensation Fund. Show all posts
Showing posts with label BP Compensation Fund. Show all posts
Thursday, October 21, 2010
Friday, October 15, 2010
Feds Slapping BP (NYSE:BP) Claimants with Taxes
If it wasn't bad enough struggling through the difficult times because of the BP (NYSE:BP) oil spill, now those getting checks from BP will have to pay the income-sucking federal government taxes on it.
You see this is going to be a disaster waiting to happen, as those receiving the money spend it and then get their letter from Uncle Sam to fork over their tax money, which of course will include late fees, making it even worse for them.
While it's easy to tell everyone to set aside the money they receive from BP, many have been waiting for a long time and will have to use it for expenses and other things.
If people haven't received money like this in the past, a lot of them won't even get the message or understand their liability, and will suffer more.
I got an answer: limited government. Get rid of a lot of that bloated bureaucracy and let the people keep their own money.
This is going to turn into a fiasco, and people are going to be crushed by the draconian measures the government takes when they don't pay it in; and many of them won't.
An extraordinary amount of up to 40 percent could be owed by those being paid, depending on the amount they receive, and that doesn't include those states with income tax as well.
Now you know part of what this election is about and why we're going to throw a lot of the bums out.
You see this is going to be a disaster waiting to happen, as those receiving the money spend it and then get their letter from Uncle Sam to fork over their tax money, which of course will include late fees, making it even worse for them.
While it's easy to tell everyone to set aside the money they receive from BP, many have been waiting for a long time and will have to use it for expenses and other things.
If people haven't received money like this in the past, a lot of them won't even get the message or understand their liability, and will suffer more.
I got an answer: limited government. Get rid of a lot of that bloated bureaucracy and let the people keep their own money.
This is going to turn into a fiasco, and people are going to be crushed by the draconian measures the government takes when they don't pay it in; and many of them won't.
An extraordinary amount of up to 40 percent could be owed by those being paid, depending on the amount they receive, and that doesn't include those states with income tax as well.
Now you know part of what this election is about and why we're going to throw a lot of the bums out.
Monday, October 4, 2010
BP (NYSE:BP) Fund Administrator Kenneth Feinberg Backs Off on Proximity Rule
Kenneth Feinberg has caved under pressure, as the administrator of the claims portion of the BP escrow fund said he'll be more lenient than originally stated concerning geography in relationship to the claims being made.
Feinberg had said the closer claimants were to the coast the more likely they would be accepted.
This doesn't imply anything goes, just that there will be more openness in looking at claims which may be legitimate, but further away from the coast than other directly affected by the oil spill disaster.
Feinberg has been under fire for the slow claims process and not being generous enough in his decisions.
Feinberg had said the closer claimants were to the coast the more likely they would be accepted.
This doesn't imply anything goes, just that there will be more openness in looking at claims which may be legitimate, but further away from the coast than other directly affected by the oil spill disaster.
Feinberg has been under fire for the slow claims process and not being generous enough in his decisions.
Thursday, September 16, 2010
BP (NYSE:BP), Transocean (NYSE:RIG), Cameron (NYSE:CAM) Want Judge to Require Claimants to Go Through Fund First
As pressure to begin lawsuits against companies involved with the Gulf of Mexico oil spill like BP (NYSE:BP), Transocean Ltd. (NYSE:RIG), Cameron International Corp. (NYSE:CAM) mounts, the companies are seeking to have Judge Carl Barbier, who is overseeing the cases, require almost all of them first go through the process of seeing if the qualify to be paid from the compensation fund set up by BP and administered by Kenneth Feinberg.
Even though it seems slow at this time receiving money from the funds, the idea is it would still be much quicker than using lawsuits, and it would probably pay more when considered the approximate 30 percent lawyers get for whatever judgements they win.
The only downside is if claimants don't qualify, which they will have then put off beginning legal proceedings for months.
Either way, the trials will take time, and it seems worth the attempt to see if they qualify for compensation funds, especially for those making claims who live near the Gulf coast, who are getting the priority treatment from the fund as far as who qualifies.
Even though it seems slow at this time receiving money from the funds, the idea is it would still be much quicker than using lawsuits, and it would probably pay more when considered the approximate 30 percent lawyers get for whatever judgements they win.
The only downside is if claimants don't qualify, which they will have then put off beginning legal proceedings for months.
Either way, the trials will take time, and it seems worth the attempt to see if they qualify for compensation funds, especially for those making claims who live near the Gulf coast, who are getting the priority treatment from the fund as far as who qualifies.
Tuesday, September 14, 2010
PG&E (NYSE:PCG) Compensation Fund Set Up to Help Victims of Explosion
Pacific Gas & Electric Co. (NYSE:PCG) has put a $100 million compensation fund in place to aid victims of the natural gas explosion in San Bruno, California.
Victims who receive anywhere from $15,000, $25,000 or $50,000, determined by how much their homes had been damaged, won't have to waive their right to sue if they want, contrary to the compensation fund offered by BP (NYSE:BP); although temporary payments by BP for emergency use don't require waiving the right to sue.
PG&E said in a press release, “Residents are not being asked to waive any potential claims in order to receive these funds.”
So far there have been seven deaths in the accident, with six others not accounted for.
Victims who receive anywhere from $15,000, $25,000 or $50,000, determined by how much their homes had been damaged, won't have to waive their right to sue if they want, contrary to the compensation fund offered by BP (NYSE:BP); although temporary payments by BP for emergency use don't require waiving the right to sue.
PG&E said in a press release, “Residents are not being asked to waive any potential claims in order to receive these funds.”
So far there have been seven deaths in the accident, with six others not accounted for.
Halliburton (NYSE:HAL), Transocean (NYSE:RIG), BP (NYSE:BP) Say Victims May Not Have Right To Sue
Saying alleged victims of the oil spill should go through the process of making claims through the BP (NYSE:BP) compensation fund, BP (NYSE:BP), Halliburton (NYSE:HAL) and Transocean (NYSE:RIG) say they may not have the right to sue until that happens.
Most of this is surrounding those claiming they incurred economic losses from the disaster.
It is hard to understand why anyone would hire a lawyer before going through the claims process first, as if they're denied, they can then hire a lawyer to file a lawsuit if they choose.
Lawyers are obviously talking them out of that so they can get their piece of the action.
Most will find out they're going to get less and take much longer if they go the lawsuit route.
The oil companies say they want a decision to be made concerning whether or not some of the individuals and businesses claiming economic losses must go through the claims process first.
With lawsuits reaching the discovery stage, they want that to be determined before handing over documents and electronic communication reports to the plaintiffs.
Those making claims against the BP compensation fund can find out within a 90-day period whether or not they've been accepted or denied.
Most of this is surrounding those claiming they incurred economic losses from the disaster.
It is hard to understand why anyone would hire a lawyer before going through the claims process first, as if they're denied, they can then hire a lawyer to file a lawsuit if they choose.
Lawyers are obviously talking them out of that so they can get their piece of the action.
Most will find out they're going to get less and take much longer if they go the lawsuit route.
The oil companies say they want a decision to be made concerning whether or not some of the individuals and businesses claiming economic losses must go through the claims process first.
With lawsuits reaching the discovery stage, they want that to be determined before handing over documents and electronic communication reports to the plaintiffs.
Those making claims against the BP compensation fund can find out within a 90-day period whether or not they've been accepted or denied.
Friday, September 10, 2010
Is BP (NYSE:BP) Compensation Fund the Way to Go?
There's a lot of chatter going on about whether or not individuals and businesses should accept what is offered from the BP (NYSE:BP) compensation fund or go forward with a lawsuit.
Several things have to be considered in order to make a educated decision.
The first in relationship to time. Starting in November, permanent settlements will be offered, and for individuals they'll be able to get it almost immediately, while businesses will have to wait a little longer.
For lawsuits, they could go on for many years, and individuals and small businesses especially, will have to make a decision on whether or not it's worth the long wait for something that isn't guaranteed.
That leads to the second point, which is if someone qualifies for the claims from the BP escrow fund, they are guaranteed what they are offered. With a lawsuit, there is no guarantee they'll even win, let alone get a payment.
And if someone does win, will the amount justify the lawyer fees, which should run around 30 percent of the award? It would have to be a big award to make it worthwhile.
Some people are making it complex by trying to figure out what they may miss out on if certain scenarios emerge in the future.
For example, questions are being asked as to how much economic damage has really been done, and if the fisheries will return to where they were before the oil spill.
The problem there is nobody knows the future. To base a decision on something that may not be known for years, isn't a decision at all, but a rolling of the dice.
People and businesses would be better off taking the money now and then forget about the rest. How does it help if time is spent trying to extract every penny out of the situation?
If people and businesses qualify for and accept the claims, they can get on with their lives and businesses and start to put things back together again.
Extending the pain and stress in hopes of getting more money, in most cases, won't be successful, and will waste too many years of our lives.
For most people the best choice is to go the route of the fund and get on with their lives. Life is too short to take five or ten years out of it pursuing money that may never come our way, and if it does, will be paid out to lawyers. That makes no sense.
It could be said that BP and others are responsible and should have to pay. And that's correct. But there is no way anyone, including all the people administering the BP compensation fund, to project out into the future what will happen and take every possible scenario into account to pay out a perfect amount. It's not humanly possible.
So to accept what is considered a fair amount is about the best that can humanly be done, and anything above that is an exercise in futility.
Several things have to be considered in order to make a educated decision.
The first in relationship to time. Starting in November, permanent settlements will be offered, and for individuals they'll be able to get it almost immediately, while businesses will have to wait a little longer.
For lawsuits, they could go on for many years, and individuals and small businesses especially, will have to make a decision on whether or not it's worth the long wait for something that isn't guaranteed.
That leads to the second point, which is if someone qualifies for the claims from the BP escrow fund, they are guaranteed what they are offered. With a lawsuit, there is no guarantee they'll even win, let alone get a payment.
And if someone does win, will the amount justify the lawyer fees, which should run around 30 percent of the award? It would have to be a big award to make it worthwhile.
Some people are making it complex by trying to figure out what they may miss out on if certain scenarios emerge in the future.
For example, questions are being asked as to how much economic damage has really been done, and if the fisheries will return to where they were before the oil spill.
The problem there is nobody knows the future. To base a decision on something that may not be known for years, isn't a decision at all, but a rolling of the dice.
People and businesses would be better off taking the money now and then forget about the rest. How does it help if time is spent trying to extract every penny out of the situation?
If people and businesses qualify for and accept the claims, they can get on with their lives and businesses and start to put things back together again.
Extending the pain and stress in hopes of getting more money, in most cases, won't be successful, and will waste too many years of our lives.
For most people the best choice is to go the route of the fund and get on with their lives. Life is too short to take five or ten years out of it pursuing money that may never come our way, and if it does, will be paid out to lawyers. That makes no sense.
It could be said that BP and others are responsible and should have to pay. And that's correct. But there is no way anyone, including all the people administering the BP compensation fund, to project out into the future what will happen and take every possible scenario into account to pay out a perfect amount. It's not humanly possible.
So to accept what is considered a fair amount is about the best that can humanly be done, and anything above that is an exercise in futility.
Friday, September 3, 2010
Government Oil Claims Czar Kenneth Feinberg Under Increasing Pressure Over BP (NYSE:BP) Fund
The honeymoon didn't last long concerning government oil claims czar Kenneth Feinberg, who is administering the claims portion of the BP (NYSE:BP) compensation fund. As a matter of fact, the honeymoon didn't even get started before the criticism started coming in.
All the really happened was the griping against BP simply transferred to Feinberg, with the same old complaints being aired.
Of course part of this is Feinberg's fault for listening to the original complaints and assuming there was something wrong with what BP was doing.
So he made all sorts of promises which raised the bar, and some are saying the new management makes them want to go back to how BP was running it.
But when you consider the mortgage fiasco run by the government where very similar claims of bureaucratic nightmares, delays, and claimants not properly filling out their paperwork, and you have the same situation here.
Add to that all the cons they're trying to protect the process from, and you see what they're up against, and I think the problem is there really is not way to make it happen quicker without throwing out checks and balances and allowing anybody to get their claims approved.
That's not going to happen. So people and businesses are stuck with having to go through the long process, which they thought was going to be streamlined and go much quicker.
Another problem is the nature of people themselves. If we were granted access to the claims being made, we would probably see a plethora of assertions which all have to be checked out before being confirmed. And if that's the case with even a small percentage, it would cause problems for all the honest people and businesses only trying to get back what they lost.
Again, Feinberg probably raised the bar far too high and promised more than he was able to deliver, creating the growing resentment and anger over the fund and the process.
All the really happened was the griping against BP simply transferred to Feinberg, with the same old complaints being aired.
Of course part of this is Feinberg's fault for listening to the original complaints and assuming there was something wrong with what BP was doing.
So he made all sorts of promises which raised the bar, and some are saying the new management makes them want to go back to how BP was running it.
But when you consider the mortgage fiasco run by the government where very similar claims of bureaucratic nightmares, delays, and claimants not properly filling out their paperwork, and you have the same situation here.
Add to that all the cons they're trying to protect the process from, and you see what they're up against, and I think the problem is there really is not way to make it happen quicker without throwing out checks and balances and allowing anybody to get their claims approved.
That's not going to happen. So people and businesses are stuck with having to go through the long process, which they thought was going to be streamlined and go much quicker.
Another problem is the nature of people themselves. If we were granted access to the claims being made, we would probably see a plethora of assertions which all have to be checked out before being confirmed. And if that's the case with even a small percentage, it would cause problems for all the honest people and businesses only trying to get back what they lost.
Again, Feinberg probably raised the bar far too high and promised more than he was able to deliver, creating the growing resentment and anger over the fund and the process.
Tuesday, August 31, 2010
Missouri DNR Director Heading Up BP (NYSE:BP) Fund
Missouri Department of Natural Resources director Mark Templeton has stepped down from his position to take over the role of heading up the $20 billion BP (NYSE:BP) fund.
A statement from Missouri Governor Jay Nixon said he will be the executive director of the "Office of Independent Trustees of the Deepwater Horizon Oil Spill Trust."
The decision to hire Templeton was made by the trustees of the fund, and not BP, according to BP spokeswoman Jessie Baker.
This isn't to be confused with the role of Kenneth Feinberg, who is administrating the claims portion of the compensation fund, not the fund itself.
A statement from Missouri Governor Jay Nixon said he will be the executive director of the "Office of Independent Trustees of the Deepwater Horizon Oil Spill Trust."
The decision to hire Templeton was made by the trustees of the fund, and not BP, according to BP spokeswoman Jessie Baker.
This isn't to be confused with the role of Kenneth Feinberg, who is administrating the claims portion of the compensation fund, not the fund itself.
BP (NYSE:BP) Sued by Fish Market Restaurant - Why?
It's not unusual to hear of another BP (NYSE:BP) lawsuit being filed, and one of the latest is the Fish Market Restaurant in Birmingham, Alabama.
What's important about this story isn't over who the suing, but rather the "why" of the suing.
By why, I mean - why bother?
With the BP compensation fund administered by Kenneth Feinberg ready to pay out for legitimate claims, and the business being close to the oil spill, why hire a lawyer to sue when you can get your money right away?
This is why there was an alleged controversy concerning the fund once BP handed the claims process over to Feinberg; the lawyers knew they were going to lose a lot of money because of it, and consequently began a media strategy to discredit it.
It's obvious, because the fund wasn't so-called controversial until Feinberg took over, then suddenly there were questions about its parameters and legitimacy.
Lawyers have evidently been busy talking people into being fearful about the fund in order to get their 30 percent of the cut.
Wait till years from now when claimants are still waiting for their money, and when they get it, lose about 30 percent to lawyers' fees.
How does that help them in any way?
Why not go through the claims process to see what you're offered. It's only claims which are permanently settles which disallow the suing of BP. So what is there to lose?
Those individuals and businesses with legitimate claims would be far better to go through the claims process than litigation, as how could these lawyers promise they'll get more money once they take out their fees?
Even if the lawyers win them 20 percent more than the claims fund offers, once the fees are deducted, they lose 10 percent of what they would have gotten, plus the time it takes the lawsuit to be completed.
Feinberg has even said he will probably reward claimants more than they probably would get through litigation, and lawyers working for him offer their services for free (to the claimants).
Bottom line: go through the claims process and get your money as soon as you can. There's nothing in it for the vast majority of people and businesses suing BP for the reasons stated above.
What's important about this story isn't over who the suing, but rather the "why" of the suing.
By why, I mean - why bother?
With the BP compensation fund administered by Kenneth Feinberg ready to pay out for legitimate claims, and the business being close to the oil spill, why hire a lawyer to sue when you can get your money right away?
This is why there was an alleged controversy concerning the fund once BP handed the claims process over to Feinberg; the lawyers knew they were going to lose a lot of money because of it, and consequently began a media strategy to discredit it.
It's obvious, because the fund wasn't so-called controversial until Feinberg took over, then suddenly there were questions about its parameters and legitimacy.
Lawyers have evidently been busy talking people into being fearful about the fund in order to get their 30 percent of the cut.
Wait till years from now when claimants are still waiting for their money, and when they get it, lose about 30 percent to lawyers' fees.
How does that help them in any way?
Why not go through the claims process to see what you're offered. It's only claims which are permanently settles which disallow the suing of BP. So what is there to lose?
Those individuals and businesses with legitimate claims would be far better to go through the claims process than litigation, as how could these lawyers promise they'll get more money once they take out their fees?
Even if the lawyers win them 20 percent more than the claims fund offers, once the fees are deducted, they lose 10 percent of what they would have gotten, plus the time it takes the lawsuit to be completed.
Feinberg has even said he will probably reward claimants more than they probably would get through litigation, and lawyers working for him offer their services for free (to the claimants).
Bottom line: go through the claims process and get your money as soon as you can. There's nothing in it for the vast majority of people and businesses suing BP for the reasons stated above.
Monday, August 30, 2010
Battle Over BP (NYSE:BP) Compensation Fund Heating Up
The BP (NYSE:BP) compensation fund being administered by Kenneth Feinberg is becoming a circus as politicians and officials attempt to pressure Feinberg to change the parameters being used to make decisions on who will be paid, and how much.
Now Florida Attorney General Bill McCollum has entered the fray, claiming Feinberg is making it harder for individuals and businesses to get paid from the damages occured from the oil spill in the Gulf.
This is predicable, as creating this fund in the first place was probably a huge mistake. Many people are starting to treat this as if it's a government fund, when it is money set aside by BP to pay for the damages. The government has nothing to do with it in any way, other than negotiating for it in the first place.
That's why Feinberg was supposedly put in charge of it so it could be an independent fund, not one manipulated by politicians government officials to use it to battle the effects of the recession, rather than the sole purpose of paying those back who were victims of the oil spill.
McColloum is attempt to pressure U.S. Attorney General Eric Holder to persuade him to change the parameters of the fund, asserting they're putting greater burdens on victims.
Feinberg was accused by the attorney general of Florida of saying claims would be determined by how close people and businesses were to the spill, which really isn't a true statement.
He said the closer people and businesses were to the oil spill, the more likely they would be accepted and paid. He always left room for exceptions.
Either way, this won't be the last government official attempting to manipulate the situation so they can tap into the fund on behalf of people or businesses who are dubious at best at qualifying for a pay out.
Now Florida Attorney General Bill McCollum has entered the fray, claiming Feinberg is making it harder for individuals and businesses to get paid from the damages occured from the oil spill in the Gulf.
This is predicable, as creating this fund in the first place was probably a huge mistake. Many people are starting to treat this as if it's a government fund, when it is money set aside by BP to pay for the damages. The government has nothing to do with it in any way, other than negotiating for it in the first place.
That's why Feinberg was supposedly put in charge of it so it could be an independent fund, not one manipulated by politicians government officials to use it to battle the effects of the recession, rather than the sole purpose of paying those back who were victims of the oil spill.
McColloum is attempt to pressure U.S. Attorney General Eric Holder to persuade him to change the parameters of the fund, asserting they're putting greater burdens on victims.
Feinberg was accused by the attorney general of Florida of saying claims would be determined by how close people and businesses were to the spill, which really isn't a true statement.
He said the closer people and businesses were to the oil spill, the more likely they would be accepted and paid. He always left room for exceptions.
Either way, this won't be the last government official attempting to manipulate the situation so they can tap into the fund on behalf of people or businesses who are dubious at best at qualifying for a pay out.
Thursday, August 26, 2010
BP (NYSE:BP) Didn't Make Claims Decision, Feinberg Says
Rumors circulating that BP (NYSE:BP) was behind the decision to force those accepting final settlements from the compensation fund were cut down by fund administrator Kenneth Feinberg, who said he made that decision and not the oil giant.
This centers around those who agree to the decision by Feinberg and his team about getting paid a one-time payment for the entirety of what is owed them from BP.
If it is accepted, those receiving the claims money will have to waive the right to sue BP in the future.
Feinberg has yet to make a decision on whether or not to extend that to other companies like Halliburton (NYSE:HAL), Transocean (NYSE:RIG) and Cameron International (NYSE:CAM), who were also connected to the accident to one degree or another.
Those receive emergency funds for short-term periods will still be eligible to sue BP if they choose to.
This centers around those who agree to the decision by Feinberg and his team about getting paid a one-time payment for the entirety of what is owed them from BP.
If it is accepted, those receiving the claims money will have to waive the right to sue BP in the future.
Feinberg has yet to make a decision on whether or not to extend that to other companies like Halliburton (NYSE:HAL), Transocean (NYSE:RIG) and Cameron International (NYSE:CAM), who were also connected to the accident to one degree or another.
Those receive emergency funds for short-term periods will still be eligible to sue BP if they choose to.
Wednesday, August 25, 2010
Proximity to BP (NYSE:BP) Oil Spill to Determine Many Claims
Although some people and businesses have been somewhat confused by the parameters surrounding the BP (NYSE:BP) compensation fund administered by Kenneth Feinberg, one this isn't confusing, and that is those who live close to the oil spill will have the best change of having their claim approved, while the further away one is from the spill, chances diminish, although it depends on the overall circumstances made in the claim.
A claim must reveal the specific damage or economic loss associated with the oil spill, which includes how close the claimant was to the spill and their "dependence upon injured natural resources."
Those who feel they were indirectly affected by the disaster will have a harder time collecting on their claims. But those who aren't rewarded can then choose to go the route of a lawsuit if they feel they have a legitimate chance to win.
The response to claims should be quick, with Feinberg stating his goal is to pay out emergency funds to those individuals who qualify within 24 hours, and to businesses within a week.
Those receiving emergency funds can still sue BP and others, while those accepting final settlements must waive the right if they want to receive it.
Claims to the Gulf Coast Claims Facility can be made through November 23.
A claim must reveal the specific damage or economic loss associated with the oil spill, which includes how close the claimant was to the spill and their "dependence upon injured natural resources."
Those who feel they were indirectly affected by the disaster will have a harder time collecting on their claims. But those who aren't rewarded can then choose to go the route of a lawsuit if they feel they have a legitimate chance to win.
The response to claims should be quick, with Feinberg stating his goal is to pay out emergency funds to those individuals who qualify within 24 hours, and to businesses within a week.
Those receiving emergency funds can still sue BP and others, while those accepting final settlements must waive the right if they want to receive it.
Claims to the Gulf Coast Claims Facility can be made through November 23.
BP (NYSE:BP) Spent $6 Billion for Spill Says Claims Manager
Costs for the Gulf of Mexico oil spill by BP (NYSE:BP) have risen to about $6 billion, and it is growing on a daily basis, according to chief claims manager Geir Robinson.
Testifying before the House and Senate Insurance committees, Robinson added that $400 million has been paid out to individuals and businesses affected by the accident.
Of that, individuals and businesses residing in Louisiana have received the bulk of that, accounting for payouts totaling $152 million.
Concerned over the ability of the company to pay the increasing costs related to the oil spill, Robinson said, "It (the $20 billion fund) is neither a floor nor a ceiling. There is every indication that the full resources of BP" will be available to pay claims and other expenses related to the incident. "There is no indication we are about to go bankrupt."
It does reveal the caution the government must take in attempting to punish BP, as there is only so far they can go before BP could no longer respond.
This is why it is ridiculous for a number of people to attack the BP compensation fund and the parameters Kenneth Feinberg has built around it.
To allow claims to be paid and then the claimants to go ahead and sure BP afterwards, would be a joke, and would crush the company, with no one receiving anything.
Those who want to sue BP have the right to, they just have to bypass the claims process represented by the fund to do so. Get guaranteed money now or take a chance on getting more later; possibly years later.
Add to that the approximate 30 percent lawyers would get, and it makes little sense for claimants to go that way, unless they were a big business that could handle the shortfall while pursuing a case.
Other oil companies connected to the accident may be allowed to be sued if people receive full claims, something Feinberg is in the middle of making a decision on.
Testifying before the House and Senate Insurance committees, Robinson added that $400 million has been paid out to individuals and businesses affected by the accident.
Of that, individuals and businesses residing in Louisiana have received the bulk of that, accounting for payouts totaling $152 million.
Concerned over the ability of the company to pay the increasing costs related to the oil spill, Robinson said, "It (the $20 billion fund) is neither a floor nor a ceiling. There is every indication that the full resources of BP" will be available to pay claims and other expenses related to the incident. "There is no indication we are about to go bankrupt."
It does reveal the caution the government must take in attempting to punish BP, as there is only so far they can go before BP could no longer respond.
This is why it is ridiculous for a number of people to attack the BP compensation fund and the parameters Kenneth Feinberg has built around it.
To allow claims to be paid and then the claimants to go ahead and sure BP afterwards, would be a joke, and would crush the company, with no one receiving anything.
Those who want to sue BP have the right to, they just have to bypass the claims process represented by the fund to do so. Get guaranteed money now or take a chance on getting more later; possibly years later.
Add to that the approximate 30 percent lawyers would get, and it makes little sense for claimants to go that way, unless they were a big business that could handle the shortfall while pursuing a case.
Other oil companies connected to the accident may be allowed to be sued if people receive full claims, something Feinberg is in the middle of making a decision on.
Tuesday, August 24, 2010
BP (NYSE:BP) Compensation Fund, Feinberg, Already Under Fire
With the parameters set by administrator Kenneth Feinberg, for the most part, concerning the BP (NYSE:BP) compensation fund, he and the fund are already under fire just one day into the process.
The only uncertainty now is whether or not those receiving claims will be able to sue companies other than BP, who are exempt, with the acceptance of final claims, from further lawsuits.
Those receiving full payouts must waive their right to sue BP in the future if they accept them.
Most of the criticism is coming from the most affected state governments who say Feinberg didn't include them in the decision-making process when he was developing the rules for the fund.
The truth is the fund is there for people who want and need help now, and have the opportunity bypass the lengthy and expensive legal process, where nothing is guaranteed, and they would also have to pay legal fees of up to 30 percent of their award.
People and businesses would get the money rather than lawyers. What's not to like about that?
The only uncertainty now is whether or not those receiving claims will be able to sue companies other than BP, who are exempt, with the acceptance of final claims, from further lawsuits.
Those receiving full payouts must waive their right to sue BP in the future if they accept them.
Most of the criticism is coming from the most affected state governments who say Feinberg didn't include them in the decision-making process when he was developing the rules for the fund.
The truth is the fund is there for people who want and need help now, and have the opportunity bypass the lengthy and expensive legal process, where nothing is guaranteed, and they would also have to pay legal fees of up to 30 percent of their award.
People and businesses would get the money rather than lawyers. What's not to like about that?
Monday, August 23, 2010
BP (NYSE:BP), Government Relationship Too Cozy?
Now that people have time to sit back and digest the overall scenario surrounding the BP (NYSE:BP), some are raising questions as to whether or not the relationship between BP and the U.S. government was too cozy.
Others feel like the government should have been much tougher on them, but I don't see how that could have constructively helped in any way.
The time for toughness is later when things are settled down and the disaster under control. To attack and bully when people are attempting to take care of the issue makes no sense whatsoever.
Who was going to stop the flow of oil other than BP, and who could afford to do that other than a very small number of companies in the world.
The idea of the government using taxpayer dollars when taxpayers are already outraged over out-of-control government spending wasn't an option.
As far as communication, how could that happen unless they were close enough to communicate immediately concerning conditions as they unfolded?
If BP, and possibly others, are to pay for the mess, the only way they can do it is if they survive. Insurance money wouldn't cover it, and if they were pushed too hard they could go the bankruptcy route, and everyone would have lost.
This is simply one of those times where the accident demanded the circumstances to be what they were, and the closeness between the U.S. government and BP a necessity.
Even now when people are question the $20 billion escrow fund to pay claimants, questions are being raised as to the parameters included with it. But BP doesn't have a central bank like the government, where they can print money and have generations of the future hopefully be able to pay for it.
There are limits, and those limits demand parameters. There's no way of getting around that; at least if we want BP to be able to pay as much as possible and take care of those directly related to the incident.
Others feel like the government should have been much tougher on them, but I don't see how that could have constructively helped in any way.
The time for toughness is later when things are settled down and the disaster under control. To attack and bully when people are attempting to take care of the issue makes no sense whatsoever.
Who was going to stop the flow of oil other than BP, and who could afford to do that other than a very small number of companies in the world.
The idea of the government using taxpayer dollars when taxpayers are already outraged over out-of-control government spending wasn't an option.
As far as communication, how could that happen unless they were close enough to communicate immediately concerning conditions as they unfolded?
If BP, and possibly others, are to pay for the mess, the only way they can do it is if they survive. Insurance money wouldn't cover it, and if they were pushed too hard they could go the bankruptcy route, and everyone would have lost.
This is simply one of those times where the accident demanded the circumstances to be what they were, and the closeness between the U.S. government and BP a necessity.
Even now when people are question the $20 billion escrow fund to pay claimants, questions are being raised as to the parameters included with it. But BP doesn't have a central bank like the government, where they can print money and have generations of the future hopefully be able to pay for it.
There are limits, and those limits demand parameters. There's no way of getting around that; at least if we want BP to be able to pay as much as possible and take care of those directly related to the incident.
Friday, August 20, 2010
BP (NYSE:BP), Transocean (NYSE:RIG), Halliburton (NYSE:HAL), Cameron (NYSE:CAM) Protected from Lawsuits
News is surprisingly circulating today about the idea oil companies directly related to the Gulf oil spill: BP (NYSE:BP), Transocean (NYSE:RIG), Halliburton (NYSE:HAL) and Cameron International (NYSE:CAM) will be exempt from lawsuits for those who accept payment for claims made against the companies via the BP compensation fund.
Why it's surprising is fund administrator Kenneth Feinberg has been saying this for a long time, and there's absolutely nothing new about it.
Obviously people aren't going to get paid compensation by BP through the fund and then be allowed to turn around and sue them for compensation. That wouldn't make any sense.
The fund is set up to bypass what usually can turn into years of litigation, which, in many cases, could end up with judgements going against them, or appeals being filed, etc.
Waiving the right to sue will be put into place only if the claimant accepts the final decision of Feinberg and his team.
BP will supply the fund with $20 billion over a four-year period.
Why it's surprising is fund administrator Kenneth Feinberg has been saying this for a long time, and there's absolutely nothing new about it.
Obviously people aren't going to get paid compensation by BP through the fund and then be allowed to turn around and sue them for compensation. That wouldn't make any sense.
The fund is set up to bypass what usually can turn into years of litigation, which, in many cases, could end up with judgements going against them, or appeals being filed, etc.
Waiving the right to sue will be put into place only if the claimant accepts the final decision of Feinberg and his team.
BP will supply the fund with $20 billion over a four-year period.
Thursday, August 19, 2010
BP (NYSE:BP) Oil Still Keeping People From Eating Seafood
People remain skeptical that the seafood harvested from the Gulf of Mexico, after the BP (NYSE:BP) oil spill, is safe to eat, with 54 percent not convinced it's completely safe yet.
So far tests have shown seafood from the area are devoid of oil, but some believe that all the areas affected haven't been tested yet, and so think there's still risk there.
This, along with almost the same percentage, 55 percent, don't think the beaches are safe for swimming and visiting either, bad news for the tourism industry which has been hit hard, but will be compensated, along with other industries, from the BP compensation fund, scheduled to launch on August 23.
Nothing other than time will change these concerns and attitudes, and probably on a weekly basis these numbers will change consistently to the positive.
The above figures were from an AP poll.
So far tests have shown seafood from the area are devoid of oil, but some believe that all the areas affected haven't been tested yet, and so think there's still risk there.
This, along with almost the same percentage, 55 percent, don't think the beaches are safe for swimming and visiting either, bad news for the tourism industry which has been hit hard, but will be compensated, along with other industries, from the BP compensation fund, scheduled to launch on August 23.
Nothing other than time will change these concerns and attitudes, and probably on a weekly basis these numbers will change consistently to the positive.
The above figures were from an AP poll.
Wednesday, August 18, 2010
BP (NYSE:BP) Says Yes, Feinberg "No" to Shrimper Deductions
BP (NYSE:BP) compensation fund administrator Kenneth Feinberg has said shrimpers who make claims against the escrow fund will have to deduct claims BP has already made to them.
For some reason the shrimpers believe they should be paid for full claims going forward, even after being paid.
The shrimpers are using a statement by BP that they're not seeking deductions, but in truth BP really doesn't have much say in the matter, which is one of the reasons Feinberg was placed over the fund.
Feinberg said for those shrimpers whose boats were paid to be used for cleaning up the oil spill, they will have to deduct the pay, as it wouldn't be "fair or just" if they didn't.
I don't see the problem here. The shrimpers got paid and didn't suffer financial harm, so how can they justify getting paid and then getting paid again in the claims process, pretending they received no money? It really doesn't make much sense.
They're of course trying to get paid twice, no matter how they attempt to spin it.
Feinberg is looking at the overall picture, and many people and businesses have legitimate claims which they haven't been paid for once.
Some say if BP doesn't mind compensating the shrimpers than neither should Feinberg, but that's not how it works.
For what is perceived as better or worse, Feinberg was given the final say on all the claims being made and the development of parameters surrounding the process.
While certain claims which are rejected can be appealed to a panel of judges, Feinberg has been empowered with the latitude to set it up the way he sees fit, and he has had a lot of experience in dealing with issues like this is past circumstances of distributing claims.
To appeal to something BP says in reference to the fund has absolutely no bearing on anything, and it's highly unlikely Feinberg will give in on this issue and pay shrimpers twice. That would set a precedent that could unleash an torrent of others attempting to do the same thing.
For some reason the shrimpers believe they should be paid for full claims going forward, even after being paid.
The shrimpers are using a statement by BP that they're not seeking deductions, but in truth BP really doesn't have much say in the matter, which is one of the reasons Feinberg was placed over the fund.
Feinberg said for those shrimpers whose boats were paid to be used for cleaning up the oil spill, they will have to deduct the pay, as it wouldn't be "fair or just" if they didn't.
I don't see the problem here. The shrimpers got paid and didn't suffer financial harm, so how can they justify getting paid and then getting paid again in the claims process, pretending they received no money? It really doesn't make much sense.
They're of course trying to get paid twice, no matter how they attempt to spin it.
Feinberg is looking at the overall picture, and many people and businesses have legitimate claims which they haven't been paid for once.
Some say if BP doesn't mind compensating the shrimpers than neither should Feinberg, but that's not how it works.
For what is perceived as better or worse, Feinberg was given the final say on all the claims being made and the development of parameters surrounding the process.
While certain claims which are rejected can be appealed to a panel of judges, Feinberg has been empowered with the latitude to set it up the way he sees fit, and he has had a lot of experience in dealing with issues like this is past circumstances of distributing claims.
To appeal to something BP says in reference to the fund has absolutely no bearing on anything, and it's highly unlikely Feinberg will give in on this issue and pay shrimpers twice. That would set a precedent that could unleash an torrent of others attempting to do the same thing.
BP (NYSE:BP) Claim Processing to Stop after Wednesday
With the day soon approaching where the BP (NYSE:BP) escrow fund, administered by Kenneth Feinberg, is about to launch, the oil giant is poised to step down from processing claims so there's no overlap, redundancy and confusion over claims being awarded or denied.
Claims processing for damages related to the Gulf oil spill will start on August 23 for the compensation fund, and BP will be stopping all processing after Wednesday, August 18.
The newly operating processing center will deal with individuals and businesses, not the variety of government claims which will be and are being made. Government claims will continue to be processed by BP.
So far BP say it has paid out approximately $368 million in claims.
The Gulf Coast Claims Facility, will be filled by BP with $5 billion annually for a period of four years, topping off at $20 billion.
Claims processing for damages related to the Gulf oil spill will start on August 23 for the compensation fund, and BP will be stopping all processing after Wednesday, August 18.
The newly operating processing center will deal with individuals and businesses, not the variety of government claims which will be and are being made. Government claims will continue to be processed by BP.
So far BP say it has paid out approximately $368 million in claims.
The Gulf Coast Claims Facility, will be filled by BP with $5 billion annually for a period of four years, topping off at $20 billion.
Subscribe to:
Posts (Atom)