Responsible Party Entitled to Contribution from Co-Tortfeasor Under OPA 90
Responsible Party Entitled to Contribution from Co-Tortfeasor Under OPA 90
Settoon Towing, L.L.C. v. Marquette Transp. Co., L.L.C. (In re Complaint of Settoon Towing, L.L.C.) 2017 U.S. App. LEXIS 10388 (5th Cir. June 13, 2017)
By: Neal C. Walton
The decision on Settoon Towing, L.L.C. v. Marquette Transp. Co., L.L.C. (In re Complaint of Settoon Towing, L.L.C.) was released on June 13, 2017 by the 5th Circuit. This is a major case interpreting the Oil Pollution Act (OPA).One flotilla of barges encountered another on the lower Mississippi River, causing a collision which resulted in an oil spill. A portion of the Mississippi River was closed for two days with cleanup immediately going underway. Which party ultimately pays and in what monetary amounts was the ultimate issue in the suit.Settoon Towing was designated as the Responsible Party and charged with the initial cleanup and remediation costs, naturally paying all expenses under the strict-liability statutory scheme.At trial, the court found Settoon and the other party Marquette at fault for negligence. The principal issue was whether Settoon could receive contribution from Marquette for the clean-up costs (economic damages) under the OPA. Under the OPA, recovery of economic losses is allowed without physical damage to a proprietary interest, with the only restriction on such recovery is that the loss must be “due to the injury, destruction, or loss of real property, personal property, or natural resources.”The district court considered the question for which there is little authority: Is a Responsible Party entitled to contribution for purely economic damages from a third party found to be partially liable? To make a long story short, the court concluded that OPA clearly allows for such a claim.It is the first decision of its kind on contribution between the Responsible Party and another party and it is the first decision from a United States Court of Appeals on this issue. The next question raised, is how much can the Responsible Party recover if the other party under the Act has a limitation less than the claim for contribution?
