NY Times Editorial - "BP Begins to Ante Up"

[TomCADem]

I am glad the $20 billion is not a cap on overall liability. But the real question, aside from this escrow, is what will the U.S. Supreme Court due with damages awards? John Roberts reduced damages in the Exxon Valdez case.

http://www.nytimes.com/2010/06/17/opinion/17thu1.html?hp

Given the size of the disaster in the Gulf of Mexico, we suspect that $20 billion may not be enough to compensate all of the people whose lives and futures have been derailed by the spill. But it’s a good start.

It took days of very public pressure from President Obama and countless hours of private negotiations, but BP finally agreed on Wednesday to put $20 billion in an independently managed compensation fund. After meeting with the company’s top executives at the White House, Mr. Obama stressed that the amount is not a ceiling on BP’s obligations, which by some estimates could exceed $40 billion when the costs of cleaning the spill and restoring the gulf’s damaged ecosystem are also factored in.

“The people of the gulf have my commitment that BP will meet its obligations,” the president declared, adding that the agreement would not pre-empt any claims in court. BP did not publicly address the issue of a cap, but its chairman, Carl-Henric Svanberg, did apologize “to the American people” and vowed to “look after the people affected” and “repair the damage to this region and the economy.”

* * *

When President Obama first started pressing for an escrow fund, and a suspension of dividend payments to BP’s shareholders, the company pushed back hard, rallying British politicians to argue that they were being unfairly roughed up by the Americans.

[SmileyRose]

1. They should have "began to ante up" in the planning stages for the well.

You know.

Relief wells
standby cleanup ships, crews and equipment
reserve fund for cleanup

[tularetom]

2. Why weren't they required to post a bond to cover possible environmental damage?

Probably because the bush administration let them off the hook.

And also because, let's face it, no amount that anybody could have assessed, would have been sufficient to cover this catastrophe.

[cwydro]

3. kick

[marmar]

4. I'm sure the 5-4 majority at U.S. Supreme Court Inc. already has their plan in place......

...... and I strongly suspect it won't be in favor of those receiving the payments.

[kgnu_fan]

5. It may be too late? Damage done while we slept

I am so pessimistic today