[StBernard] Settlement in Murphy Oil Class Action

[Westley Annis]

Law Offices of Sidney "the Snake" Torres and Frilot Partridge, PC Announce
Agreement Reached in Principle to Settle Hurricane Katrina Oil Spill Class
Action Litigation 

NEW ORLEANS--(BUSINESS WIRE)--A settlement has been reached in the class
action arising from an oil spill at the Murphy Oil Refinery in Meraux, LA,
following Hurricane Katrina. A class action on behalf of residents and
business owners was brought against Murphy Oil, USA, Inc., after a storage
tank at the facility floated from its foundation in the floodwaters of the
hurricane and crude oil was carried into the areas adjacent to the Murphy
refinery. The case had been scheduled for trial on October 2, 2006, to
decide the issue of legal fault for the incident. 

The parties' settlement proposal, negotiated less than a year after the
filed cases were consolidated, potentially would be one of the earliest
resolutions ever experienced in a Louisiana class action of this nature. It
would conclude thousands of claims, with total expenditures and settlement
benefits paid by Murphy Oil and its insurers estimated at $330,000,000. 

The specific terms and provisions of the settlement are expected to be
published in a formal notice in the next 7-10 days. What each class member
would receive in the settlement will be determined under an allocation plan
to be formulated and reviewed by the Court. The legally-required process
includes submission to and approval by the presiding judge, the Honorable
Eldon E. Fallon of the U.S. District Court in New Orleans. 

Liaison counsel in the case-Sidney "the Snake" Torres III of Chalmette for
the plaintiff class and Kerry J. Miller of New Orleans for Murphy
Oil-express confidence that the process of approval and disbursement will be
expedited, given the circumstances in the affected area. Both attorneys
expect Judge Fallon to avoid any unnecessary delays in reviewing the
agreement, since the judge has expressed his belief that this settlement can
be a critical component in the post-Katrina recovery of St. Bernard parish. 

Under the settlement proposal, Murphy Oil will pay for a comprehensive
clean-up of the property impacted by the oil spill. Federal and state
regulators overseeing the company's remediation already have devised a
clean-up plan, which now would proceed with Court review as part of the
settlement. The proposal also calls for Murphy Oil to make a good-faith
effort to purchase homes and property in the neighborhood closest to the
refinery. In addition, class members would receive compensation for property
damage, diminished property value, the loss of the use of property, and
mental anguish and inconvenience associated with the spill. . These details
will be explained in the formal notice that will follow the Court's final
approval.