From: Wright, Richard <Rwright@kentlaw.edu>
To: lawprof@chicagokent.kentlaw.edu
tortprof@chicagokent.kentlaw.edu
obligations@uwo.ca
CC: jdoro@pipeline.com
Date: 23/12/2010 20:42:47 UTC
Subject: Oil, politics, and legal ethics
Attachments: image001.gif

There seem to be troubling legal and ethical issues with the Gulf Coast Claims Facility, which describes itself as "official" and "independent" and its administrator, Ken Feinberg, as "neutral" and "independent" (http://www.gulfcoastclaimsfacility.com), but which is not (contrary to general public impression) a governmental fund but rather a private fund set up by BP, which is paying Feinberg and his firm substantial amounts of money.  Feinberg has been downplaying adverse effects and pressuring adversely affected parties to settle now for fixed limited compensation, with minimal information available about future effects and costs, and not only to give up all claims against BP but also to transfer all claims they have against other parties to BP, who will have no limit on its claims against those other parties.  See http://centerjd.org/archives/issues-facts/CJDBPconflictF.pdf.  The federal government has recently filed an unlimited claim against BP.
For another interesting look into BP's practices and another of many examples of the oil industry's power (recall the Iraq War), consider the just released report on BP's involvement in the release of the Lockerbie bomber: http://www.huffingtonpost.com/joanne-doroshow/senate-report-bp-pushed-f_b_800863.html
Disclosure: I am a member of the Board of Advisors of the Center for Justice and Democracy.
 
Richard Wright