A Chicago federal district court judge has ordered Amoco Corp. to pay about $155 million in damages and interest for the 1.62 million bbl Amoco Cadiz tanker spill off Brittany, France, in March 1978.
Amoco and Spanish shipbuilder Astilleros Espanoles SA separately plan to appeal the decision.
Federal Judge Charles Norgle affirmed recommendations by a retired judge acting as special master in the case, including a ruling finding Astilleros responsible for steering gear failure.
The ruling specified French francs and British pounds equaling about $120 million to French governments and businesses and $35 million to reimburse Royal Dutch/Shell Group for lost cargo.
BACKGROUND
In those 1984 recommendations, Special Master Frank McGarr found Amoco and two subsidiaries liable for negligence in design, repair, and maintenance of the 220,000 gross ton vessel.
McGarr later hiked the award in the earlier ruling by $30 million to a total of $61 million in interest and $54-60 million in damages (OGJ, Feb. 27, 1989, p. 38).
Amoco appealed that ruling but noted McGarr rejected spill claims totaling more than $2 billion.
Norgle reviewed McGarr's decisions, issued a preliminary ruling June 18, and the order of damages last week.
A spokesman for the Brittany plaintiffs said they failed to see what Amoco hopes to gain with an appeal in the 12 year old case.
"Further delay is especially inconceivable to us, since one of Amoco's spokesmen just last month announced that any court judgment would not have 'any material adverse effect on the company'," he said.
COMPANIES RESPOND
Amoco will appeal the judge's ruling within 30 days and plans to sue Astilleros to recover any damages.
Astilleros claims U.S. courts lack jurisdiction in the action, noting the accident occurred in French waters and the ship was built in Spain.
"Even so, the evidence introduced at trial showed that the Amoco companies accepted the ship only after thorough testing and inspection in service," Astilleros said.
"Further, the court expressly found that the extensive negligence by the Amoco parties during the 4 years in which they exclusively owned and controlled the ship was the cause of the grounding and subsequent oil spill."
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