LOS ANGELES (AP) – Thousands of families who fell ill and were evicted from their homes in Los Angeles after the largest known gas leak in the country have reached a settlement of up to $ 1.8 billion with a utility company, attorneys said on Thursday Monday.
The settlement with Southern California Gas Co. and its parent company Sempra Energy will compensate 35,000 plaintiffs from the 2015 explosion, which took nearly four months to review.
What you need to know
- The Aliso Canyon eruption resulted in the largest known methane spill in US history and was blamed for sickening thousands of residents who moved out of their homes near the San Fernando Valley to suffer from a sulphurous stench and illnesses such as headaches, Escape from nausea and nosebleeds
- Families sick and evicted from their homes in LA have reached a settlement of up to $ 1.8 billion with a utility company
- Plaintiffs alleged personal injury for their illnesses and property damage to their homes
- Matt Pakucko, founder of Save Porter Ranch, reiterated in a statement his call for the permanent shutdown of the facility, which stores natural gas under a mountain in empty, old oil wells
The Aliso Canyon blowout caused the largest known methane release in US history and was blamed for sickening thousands of residents who moved out of their homes near the San Fernando Valley to suffer from a sulphurous stench and illnesses such as headaches, Escape from nausea and nosebleeds.
The plaintiffs alleged bodily harm for their illnesses and property damage to their homes. SoCalGas spent more than $ 1 billion on the explosion – most of which will temporarily relocate 8,000 families. The utility has faced more than 385 legal proceedings on behalf of 48,000 people.
“Our goal has always been to achieve justice for the men, women and children who have failed SoCalGas at every stage of this disaster,” lawyer Brian Panish said in a statement.
Plaintiffs alleged they suffered personal injury and property damage after a natural gas storage facility failed and nearly 100,000 tons of methane and other substances were released into the atmosphere uncontrollably over 118 days.
SoCalGas announced it will post an after-tax charge of approximately $ 1.1 billion this month and expects total severance payments of up to $ 1.85 billion. The agreement is subject to the assumption that approximately 97% of plaintiffs accept it and could be reduced if fewer agree.
“These agreements are an important milestone that will help the community and our company move on from this difficult chapter,” said Scott Drury, CEO of SoCalGas
Matt Pakucko, founder of Save Porter Ranch, reiterated in a statement his call for the permanent shutdown of the facility, which stores natural gas under a mountain in empty, old oil wells.
“You can’t put a price tag on human suffering,” he said. “The devastating SoCalGas outbreak will never be behind us until the Aliso Canyon storage facility is closed and the threat it poses to the community is permanently removed. We are nowhere near a solution.”
State regulators determined that the gas company did not investigate previous well failures at the storage site and did not adequately assess its aging wells for disaster potential prior to the October 23, 2015 eruption.
SoCalGas had previously reached a $ 120 million settlement with the attorney general in court and agreed to a $ 4 million settlement with Los Angeles County attorneys after it was convicted in the Los Angeles Superior Court that Not having reported the leak quickly to the state authorities.
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