Feds at Work: Secured record legal settlement for damages from the BP oil spill
Legal victory helping five-state region recover from environmental disaster
In 2015, after five years of litigation against BP for the massive Deepwater Horizon oil spill in the Gulf of Mexico, the Department of Justice and five states secured a record-breaking $20.8 billion settlement against the company. The money will help redress the devastating environmental and economic damage the spill left in its wake.
Leading the government’s landmark case against the oil giant, Justice Department lawyers Tom Mariani, Steven O’Rourke and Sarah Himmelhoch brought the complicated federal lawsuit to trial. They ultimately negotiated the government’s largest-ever civil penalty against a single defendant.
“The team had to navigate complex legal issues as well as deal with many federal stakeholders and five states to arrive at this historic settlement agreement,” said Steven Poulin, the Coast Guard’s judge advocate general and chief counsel. “They did a phenomenal job.”
The Deepwater Horizon oil rig exploded, burned and sank in April 2010. Deep below the surface, a catastrophic blowout of BP’s Macondo well went unrepaired for three months.
Oil washed up on 1,100 miles of coastline, creating a plume the size of Virginia. It had a devastating effect on the region’s economy, environment and people, disrupting ecosystems, coating beaches and marshes with oil, harming marine life and disrupting the livelihoods of thousands of people.
Mariani, O’Rourke, Himmelhoch and their team of Justice Department lawyers handled three separate phases during litigation that ended up holding BP grossly negligent for the blowout of the offshore oil well.
They provided detailed evidence on the extensive damage to the environment, marine life and communities in Alabama, Florida, Louisiana, Mississippi and Texas, documenting that nearly 134 million gallons of oil were discharged into the Gulf.
“We knew we would face vigorous opposition because the stakes were so high. Our hope was to secure a punishment against the defendants that will help restore the damage and make people think more carefully about how they operate.” ~ Thomas Mariani, Department of Justice
They reviewed hundreds of thousands of documents, handled 500 depositions, engaged in lengthy trials with complicated issues, spent countless hours in settlement negotiations and coordinated with the five states and multiple federal agencies. They also kept track of some 3,000 private and state and local government lawsuits related to the spill.
The oil spill was “the largest environmental disaster in the nation’s history,” said Bruce Gelber, a deputy assistant attorney general at the Justice Department. The work of the three attorneys and their team means “funds will be available for the largest-ever environmental restoration program that will also help communities at risk and the livelihoods of many people.”
Each lawyer played a vital role. As supervising attorney, Mariani coordinated every aspect of the case against BP. “Tom was the point man, making sure everything was working,” Gelber said. “He was a critical player in every aspect of the case. There was a lot of pressure, but he was unflappable.”
O’Rourke, the lead trial lawyer, provided day-to-day supervision of the litigation team, and the vision needed to help formulate the government’s theory and present its case. “Steve is a gifted trial lawyer, a great communicator, has tremendous knowledge of natural resources and brought credibility to the effort,” said John Cruden, assistant attorney general of Justice’s Environment and Natural Resources Division.
Himmelhoch had the primary responsibility for handling the massive pretrial discovery. She also played a major role in negotiating and drafting the final settlement agreement and served as co-lead counsel during the trial’s third phase. “Sarah was a principal sounding board for the case and the master of discovery,” Gelber said.
The agreement calls for BP to pay a $5.5 billion civil penalty under the Clean Water Act, most of it going to state and federal agencies to restore damaged natural resources. Another $8.1 billion for restoration falls under the Oil Pollution Act and covers state and local government claims, damage to natural resources that might come to light later, and other spill-related claims.
Mariani said he and his team sought to show what happened and why “in a clear and accurate way,” to hold those responsible accountable and “uphold the public interest.”
“We knew we would face vigorous opposition because the stakes were so high,” Mariani said. “Our hope was to secure a punishment against the defendants that will help restore the damage and make people think more carefully about how they operate.”
Tom Mariani, Steven O’Rourke and Sarah Himmelhoch are finalists for a 2016 Samuel J. Heyman Service to America Medal, or Sammies. Each year, the Partnership for Public Service honors federal employees whose remarkable accomplishments make our government and our nation stronger. For the second time, we will also present the annual “People’s Choice” award. Please vote for the person or team you find most inspiring. (Voting closes at 11:59 p.m. EST on September 9, 2016.)
