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Today a federal judge ruled that Attorney Kenneth Feinberg, the “mediator” handling the the claims against BP as a result of the Gulf Oi Spill, is not independent of BP and must stop presenting himself as such. In other words, the judge ruled that Feinberg is not acting as a mediator of claims, as initially stated when he assumed his role, but more of a claims adjuster – an agent of BP. (more…)
Posts Tagged ‘oil spill’
Judge Rules: BP Claims Czar Kenneth Feinberg Is Not Neutral
Wednesday, February 2nd, 2011
678Partners Interviews CFR Mediation
Monday, July 12th, 2010678Partners interviews CFR Mediation about the use of mediation to address disputed claims in the BP Oil Spill.
CFR president and founder, Erin Johnston, is interviewed along with Nima Taradji, JD, LLM about the different types of dispute resolution (mediation, arbitration, and litigation) and specifically the positive role mediation can play in the resolving BP Oil Spill claims that are in dispute.
Watch the Slide Show Here. 678 Partners asks CFR how mediation can yield lower costs, produce win-win results, and leave less emotional strain in comparison to arbitration and litigation. Amir Homayoun Rafizadeh on Vimeo.
Mediating Oil Spill Claims
Tuesday, June 15th, 2010It seems that everywhere you turn – even official sources like our president Barack Obama, BP CEO Tony Hayward, or US Coast Guard Admiral Thad Allen – everyone it talking about the “independent mediator” that BP is “hiring” or in their own words “appointing” to address claims not resolved satisfactorily by BP Oil Spill Claims Process.
Unfortunately if this is occurring it seems far less than transparent. Which causes our original concerns to come to mind:
Although mediation can, without a doubt, be helpful in the resolution of claims related to damages from the oil spill, it is imperative that the tenants of mediation be upheld.
- Mediator Neutrality – By appointing the “independent mediator”, is not BP exerting primary and initial influence on the mediator? Parties in conflict who choose mediation ideally have equal say in who is the mediation provider. This is one of the basic means of ensuring that the mediator is truly a neutral participant.
- Power Equity – It is hard to imagine a fisherman, small restaurateur, the widow of a rig-worker, beach-front property owner, or even coastal town government having equal power in a dispute with the multi-national and heavily moneyed BP. Most losses attributed to the spill, while huge to the claimant, are dwarfed by the annual profits of BP (which BP reported to shareholders as $16.5 billion in 2009). For mediation to be successful, this inherent inequity must be addressed in the design of the BP mediation program.
- Voluntary – Participation in mediation is voluntary. Generally anything that can be litigated can be mediated – resulting in a resolution that is more satisfactory to both parties. However, BP is in a position of addressing thousands of claims from people who have experienced a loss or hurt from what they see as a result of decisions or actions of BP. It is likely that claimants will see themselves as “victims” of BP. Filing a claim and seeking a settlement through mediation as opposed to traditional litigation may not be the claimants first choice. Participants may find themselves in mediation without fully engaging in the process and/or voluntarily participating.
Although these are significant obstacles to mediation, BP can create a “Mediation Program” to address the damage claims resulting from the oil spill that results in claims being resolved in a “win-win” manner while still assuring BP’s continued viability in the field and the region.
Mediation Engaged to Respond to BP Oil Spill
Monday, June 14th, 2010
Late in May, while hope remained that the “Top Kill” effort to stem the leak was working, BP announced that it would be appointing a mediator to facilitate claim resolution.
BP announced that it will appoint an Independent Mediator to review and assist in the claims process for the spill associated with the exploratory well that was being drilled by the Transocean Deepwater Horizon in Mississippi Canyon, Block 252.
Although mediation can, without a doubt, be helpful in the resolution of claims related to damages from the oil spill, it is imperative that the tenants of mediation be upheld.
- Mediator Neutrality – By appointing the “independent mediator”, is not BP exerting primary and initial influence on the mediator? Parties in conflict who choose mediation ideally have equal say in who is the mediation provider. This is one of the basic means of ensuring that the mediator is truly a neutral participant.
- Power Equity – It is hard to imagine a fisherman, small restaurateur, the widow of a rig-worker, beach-front property owner, or even coastal town government having equal power in a dispute with the multi-national and heavily moneyed BP. Most losses attributed to the spill, while huge to the claimant, are dwarfed by the annual profits of BP (which BP reported to shareholders as $16.5 billion in 2009). For mediation to be successful, this inherent inequity must be addressed in the design of the BP mediation program.
- Voluntary – Participation in mediation is voluntary. Generally anything that can be litigated can be mediated – resulting in a resolution that is more satisfactory to both parties. However, BP is in a position of addressing thousands of claims from people who have experienced a loss or hurt from what they see as a result of decisions or actions of BP. It is likely that claimants will see themselves as “victims” of BP. Filing a claim and seeking a settlement through mediation as opposed to traditional litigation may not be the claimants first choice. Participants may find themselves in mediation without fully engaging in the process and/or voluntarily participating.
Although these are significant obstacles to mediation, BP can create a “Mediation Program” to address the damage claims resulting from the oil spill that results in claims being resolved in a “win-win” manner while still assuring BP’s continued viability in the field and the region.
Alabama Gov: Are Claims Being Filed with BP?
Monday, June 14th, 2010It would not be surprising to learn that Gulf residents and business owners may be hesitant to file a claim with BP for oil spill losses. Perhaps there is a sense of futility - perhaps there is confusion as to how to file claims.
As of June 8, Alabama governor Bob Riley has called in the National Guard and staff from the Alabama Emergency Management Agency to assist Alabama residents in filing claims related to losses due to the BP oil spill. They will operate in teams throughout Alabama coastal areas to assist residents and business owners.
BP has made information related to filing a claim available online – www.deepwaterhorizonresponse.com. BP has continued to state that they will review all claims and make a determination within 48 hours of receipt. All claims found to be valid will be paid within that same 48 hour window.
Additional story at WKRG
Standing up for yourself: Pursuing your rights against BP
Sunday, June 13th, 2010Over the past few days, there have been news reports of individuals affected by the gulf oil spill disaster who have been “breaking their silence” regarding the damage to their well-being and livelihood. The tenor of these reports brings light to a general feeling by those affected by the spill that is troubling to say the least. The disquiet referred to is the notion that those who are suffering a blow to their livelihoods through not being able to pursue their careers as fishermen and shrimpers and those who are experiencing illness from direct contact in cleanup of the oil are not in a position to approach BP for compensation for their damages. This feeling is flat wrong.
In a recent CNN article, the wife of one of the shrimpers-turned-cleanup charter workers broke her silence about the sickness her husband and the other cleanup workers have been experiencing. Her husband having directly signed on with BP to assist in cleanup efforts, she stated that she was hesitant to talk publicly about the illness, worrying that she would be “biting the hand that was putting food on their table.”
BP has looked to gulf fishermen and shrimpers who are unable to do their jobs due to the massive oil slick to instead charter their boats for the purpose of cleanup assistance. As these worker’s incomes have been completely decimated because of the gulf conditions, offering themselves and their boats for cleanup purposes is their only means for sustenance. Looking at the situation from the viewpoint of the fishermen and shrimpers, it is easy to see where their feeling of obligation to BP is psychologically understandable. In reality, these workers have suffered real, tangible damage. They have no reason to feel an allegiance to BP and every right to be made whole.
CFR Mediation is the perfect avenue for gulf workers to have their damages, both physical and fiscal, addressed. BP Chief Tony Hayward has expressed the company’s interest in mediation of gulf oil spill claims. He has publicly stated, “we are absolutely committed to a simple, fair claims process that gets funds to people who have been hurt by this disaster.”
If you have suffered by the ramifications of the gulf oil spill disaster, you should have no qualms about contacting CFR Mediation to take the first step in having your claim swiftly and fairy evaluated. CFR Mediation is 100% independent and in no way affiliated with BP. As a complete neutral we can help you evaluate your claim and approach BP with your desire to mediate. There is no obligation if you call for a consultation. Mediation with CFR is efficient, fair, and affordable. BP has vowed, “we will make this right”; hold them to it and stick up for your rights if you have suffered. The process does not have to be painful; CFR Mediation brings people together for a natural resolution.
AEHR Concerned About BP Claims Processor: ESIS
Friday, June 11th, 2010
Advocates for Environmental Human Rights (AEHR), a nonprofit, public interest law firm, has expressed concern that ESIS, the company that BP has chosen to manage the oil spill claims process, reports that the goal of its “Recovery Services” is to “reduce our client’s loss dollar pay-outs”.
Nolo.com reports that as of Thursday the 10th, BP reports 49,988 claims have been filed with current payment totaling $55.5 million. Although, not a paltry sum on it own, it averages out to $1,110 per claim filed. Although BP reports no claims related to the oil spill have been denied to date, Admiral Thad Allen did express concern to BP CEO Tony Hayward regarding the significant number of claims that have simply not been acted on.
Efforts are continuing to be made to increase transparency and accountability in the oil spill claims process both by BP and their claims processor ESIS.
Obama Administration Requests BP Oil Spill Claims Transparency
Thursday, June 10th, 2010US Coast Guard Admiral Thad Allen has requested more transparency from BP regarding claims processing.
In anticipation to his scheduled meeting with senior claims team members the next day, Adm. Allen wrote a letter to BP CEO Tony Hayward on June 8, asking for:
- Additional information to assess how well the [established claims] process is meeting the critical needs of individuals, families, and businesses whose livelihoods are being impacted by the spill.
- Access to the BP claims database with personally identifiable information removed (specific data and field requests attached).
- Discussion as to delayed processing times for large loss claims; pending claims with no action taken; and payment calculations for individual income losses.
- Information into continued payment plans.
- Information on the mediation plan BP is putting in place.
The full transcript of of the letter can be found here
Alabama Gov: Are Claims Being Filed with BP?
Wednesday, June 9th, 2010It would not be surprising to learn that Gulf residents and business owners may be hesitant to file a claim with BP for oil spill losses. Perhaps there is a sense of futility - perhaps there is confusion as to how to file claims.
As of June 8, Alabama governor Bob Riley has called in the National Guard and staff from the Alabama Emergency Management Agency to assist Alabama residents in filing claims related to losses due to the BP oil spill. They will operate in teams throughout Alabama coastal areas to assist residents and business owners.
BP has made information related to filing a claim available online – www.deepwaterhorizonresponse.com. BP has continued to state that they will review all claims and make a determination within 48 hours of receipt. All claims found to be valid will be paid within that same 48 hour window.
Additional story at WKRG
Standing up for yourself: Pursuing your rights against BP
Friday, June 4th, 2010Over the past few days, there have been news reports of individuals affected by the gulf oil spill disaster who have been “breaking their silence” regarding the damage to their well-being and livelihood. The tenor of these reports brings light to a general feeling by those affected by the spill that is troubling to say the least. The disquiet referred to is the notion that those who are suffering a blow to their livelihoods through not being able to pursue their careers as fishermen and shrimpers and those who are experiencing illness from direct contact in cleanup of the oil are not in a position to approach BP for compensation for their damages. This feeling is flat wrong.
In a recent CNN article, the wife of one of the shrimers-turned-cleanup charter workers broke her silence about the sickness her husband and the other cleanup workers have been experiencing. Her husband having directly signed on with BP to assist in cleanup efforts, she stated that she was hesitant to talk publicly about the illness, worrying that she would be “biting the hand that was putting food on their table.”
BP has looked to gulf fishermen and shrimpers who are unable to do their jobs due to the massive oil slick to instead charter their boats for the purpose of cleanup assistance. As these worker’s incomes have been completely decimated because of the gulf conditions, offering themselves and their boats for cleanup purposes is their only means for sustenance. Looking at the situation from the viewpoint of the fishermen and shrimpers, it is easy to see where their feeling of obligation to BP is psychologically understandable. In reality, these workers have suffered real, tangible damage. They have no reason to feel an allegiance to BP and every right to be made whole.
CFR Mediation is the perfect avenue for gulf workers to have their damages, both physical and fiscal, addressed. BP Chief Tony Hayward has expressed the company’s interest in mediation of gulf oil spill claims. He has publicly stated, “we are absolutely committed to a simple, fair claims process that gets funds to people who have been hurt by this disaster.”
If you have suffered by the ramifications of the gulf oil spill disaster, you should have no qualms about contacting CFR Mediation to take the first step in having your claim swiftly and fairy evaluated. CFR Mediation is 100% independent and in no way affiliated with BP. As a complete neutral we can help you evaluate your claim and approach BP with your desire to mediate. There is no obligation if you call for a consultation. Mediation with CFR is efficient, fair, and affordable. BP has vowed, “we will make this right”; hold them to it and stick up for your rights if you have suffered. The process does not have to be painful; CFR Mediation brings people together for a natural solution.
