Railroad company Norfolk Southern has agreed to pay $600 million to end a class action lawsuit filed in 2023 after company train cars derailed in East Palestine, Ohio. The derailment resulted in spilled chemicals, causing a fire that sent dark plumes of smoke into the air. The smoke cast a... Read More »
Pipeline Companies Buckeye and West Shore Agree to $8.7 Mil Settlement After Oil Spill
Buckeye Pipeline Co. and West Shore Pipeline Co have agreed to a settlement totaling nearly nine million dollars. The settlement comes after both companies allegedly violated the Clean Water Act and the Oil Pollution Act when their pipeline leaked crude oil into Chicago wetlands.
The Houston-based Buckeye company operated the 3.5 miles-long Line 257 pipeline. The Lemont, Illinois-based West Shore company owned the pipeline. In December 2010, The U.S. and the state of Illinois filed a lawsuit against both companies alleging that they were responsible for a massive underground leak. Over 1,800 barrels of crude oil spilled into the wetlands near Lockport, Illinois, after a hole developed on the buried pipeline. According to the complaint, the pipeline was used to transfer the crude oil from a terminal to a refinery.
The lawsuit also stated that the companies “conducted activities that impacted waters … beyond the scope of” what their Regional Permit 13 allowed. Because of this, their actions ultimately resulted in the leaked crude oil. In an attempt to address the leak, the companies allegedly “placed sumps, booms, straw bales, and groundwater monitoring wells, and excavated trenches, in the wetland adjacent to the Illinois & Michigan Canal.”
The crude oil spill devastated the globally rare dolomite wetland and its natural ecosystem. According to the US Army Corps of Engineers, over a hundred acres of wetlands were destroyed during the leak. The destroyed land is described as having been a critical habitat for the endangered Hine’s emerald dragonfly.
“Pipeline companies have a responsibility to protect our waters, people, wildlife, and diverse habitats from oil spills, and will be held accountable for the harms they cause,” assistant attorney general Todd Kim for the Justice Department’s Environment and Natural Resources Division shared after news of the settlement.
As part of the settlement deal, Buckeye and West Shore will pay $1.5 million in fines along with $7.2 million in damages. The money will be used by both state and federal departments to design a restoration plan for the impacted area. There will also be an effort to restore the endangered Hine's emerald dragonfly population as well.
Neither company has admitted guilt for any of the allegations against them following the spill. However, a Buckeye spokesperson shared a statement that explained they were pleased to have reached an agreement with state and federal officials. They add that they will “continue to work with the proper agencies and parties to ensure the ongoing ecological restoration of the affected site."
Related Articles
After seven years of investigation, a Los Angeles federal judge has approved a $230 million-dollar settlement to end a class action lawsuit against All American Pipeline, L.P. and Plains Pipeline, L.P. after a May 2015 oil spill off the coast of Santa Barbara caused widespread damage. The original lawsuit was... Read More »
The Equal Employment Opportunity Commission (EEOC) has announced that four pipeline companies accused of harassment and retaliation against employees have agreed to a $1.75 million settlement to end a 2019 lawsuit. The companies operate in Texas and New Mexico and have built and maintained oil and gas pipelines throughout the... Read More »
A $230 million settlement has been reached in a lawsuit brought forward by fishermen and property owners in Southern California against a Houston-based oil pipeline. The Plains All American Pipeline was the subject of a lawsuit after thousands of barrels of crude oil spilled onto the beaches of Southern California... Read More »