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From my read of Obama's address last night -- and the Congressional discussion of precisely $20 billion over the last couple of days -- this was not really opti
by carbocation 16y ago
From my read of Obama's address last night -- and the Congressional discussion of precisely $20 billion over the last couple of days -- this was not really optional for BP. They seem to have been given the option to do this willingly, or to do so unwillingly. The choice between those two is clear. Forgoing payment of dividends, given this large outlay, seems to be a logical way to keep a cash buffer.
- ZachPruckowski 16y agoYeah, I mean, they could wait until the federal government slaps them with the fines ($4k or so per barrel) and then try to fight those fines in court, but there's not a jury in the USA who's going to believe BP's numbers over whichever experts the government picks, and it's not like BP can claim there's no oil spill. On the civil front, any negligence or shenanigans at that well before April 20th blows straight through the liability cap. There are a number of stories just below the mainstream media radar that I've see talked about on TheOilDrum and other places that, if there's any truth at all to them would obliterate the liability cap. If they think they can't win that point at trial, then they're best off just paying upfront instead of fighting. Again, good luck finding a jury who won't use the flimsiest excuse to crush that liability cap.
- anamax 16y agoThe jury isn't the last word. How much of the Exxon Valdez judgement survived appeals?