However, the Britain’s oil company wants to get back some of the money it paid before October 2013. BP eventually won a revision in the way losses were calculated after arguing the settlement administrator wasn’t correctly matching business’s revenues and expenses. The court, however, did not order any repayment, but instead ordered to use a new technique to calculate the correct amount payable. Attorneys told the 5th U.S. Circuit Court of Appeals that restitution could involve more than 790 businesses, with hundreds of millions of dollars at stake. Samuel Issacharoff told the court that those who signed releases and received settlement payments had a right to expect that “this was their money”.
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Fifth Circuit chief Judge Carl Stewart heard the arguments with judges Edward Prado and Gregg Costa. However, the court will unlikely to give its ruling immediately. The money is being paid to compensate for damages incurred by the worst USA offshore oil spill in history, which was caused by the explosion at the Deepwater Horizon drilling rig that killed 11 people on April 20, 2010.
BP plc (ADR) (NYSE:BP) has spent another $14 billion for response, as well as, cleanup apart from penalties of $4.5 billion slapped after the criminal case settlement with the federal government.
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Around 94,600 claims have been paid till now, taking the total payment to $5.6 billion as of July 31. It demanded that all the excess payments made before 2013 be paid back to them. Crude prices along with recent $18.7 billion settlement charges with Federal, state and local government has hit the company hard.
