BP settlement, if approved, likely destined for appeal

There’s little doubt a federal judge will give final approval to a multibillion-dollar settlement between BP and victims of the 2010 Gulf of Mexico oil spill following a hearing this week. The bigger question, as The Houston Chronicle reports, is whether the deal survives on appeal. Class-action settlements in admiralty cases are relatively uncommon, and even more rare is to have one that involves so many types of claims and losses, legal experts say. The 5th U.S. Circuit Court of Appeals and, ultimately, the U.S. Supreme Court could be asked to weigh in. That means U.S. District Judge Carl Barbier’s expected signature sometime after Thursday’s hearing in New Orleans on the fairness of the settlement is unlikely to be the last word. “It’s pretty clear it’s not going to be a done deal,” says Martin Davies, a Tulane University law professor who specializes in maritime issues. The settlement, which BP worked out with a steering committee of lawyers representing plaintiffs, would cover thousands of residents and businesses with economic or health claims. Barbier isn’t expected to rule at the hearing, but legal experts believe a decision will come fairly quickly. Eight lawyers have been designated to speak on behalf of about 14,000 claimants who are objecting to the deal, and they will only have five or 10 minutes each. Another wild card: BP can back out of the deal at any time before the hearing. Read the full story here.