Tuesday, November 30, 2010

Negotiations Break Off in Massey Contamination Suit

Comment:  Now look at the following statement: "policies contain pollution exclusion clauses,", so will the uranium and milling corporations that will blow up Virginia's hill ruin our health too and not be responsible for killing us?  The tailing ponds and water in uranium open pit will have to be pump daily and where will the water be stored at?  The liners in the tailing ponds leaks all over the world!  Remember that a certain Australian Uranium company says all mines leaks, period!  If coal slurry kills people, uranium tainted water will be faster at killing us!

By KRIS MAHER

Settlement negotiations to resolve a long-running lawsuit between Massey Energy Co. and hundreds of residents from southern West Virginia who alleged the company contaminated their drinking wells broke off early Tuesday night, setting the stage for a trial next summer.

The residents from Rawl, W.Va., and three nearby communities originally filed suit in 2004 in Mingo County Circuit Court, claiming that Massey's Rawl Sales and Processing subsidiary injected 1.4 billion gallons of coal mining waste, known as slurry, into abandoned mines near their homes without necessary permits from 1978 to 1987.

The suit claims the slurry seeped through cracks and contaminated drinking wells, causing four deaths from cancers, kidney failures and other chronic health problems, and seeks more than $100 million in compensatory damages for lost wages and health expenses.

Kevin Thompson, the plaintiffs' lead attorney based in Williamson, W.Va., said the mediation, which was ordered by the state's mass-litigation panel, was unsuccessful. "We look forward to representing our clients in front of a West Virginia jury," Mr. Thompson said.

A jury trial is scheduled to begin Aug. 1, 2011, in Wheeling, W.Va., before three judges on the mass litigation panel, which handles large and complex lawsuits.

On Monday, the 556 plaintiffs in the case traveled 90 miles by car and bus to the Charleston Civic Center to appear before a panel of two judges to mediate a settlement.

They were joined by dozens of representatives from insurance companies that have denied coverage on Massey's behalf.

The judges at the time expressed optimism that the case could be settled. "It's the best hope that we have for everyone to resolve these matters once and for all," said Circuit Judge Derek Swope to a full auditorium at the civic center.

It's not clear how Massey's dispute with dozens of insurers will be resolved.

American International Group Inc. and other insurance companies that provide coverage for Massey have refused to cover the residents' claims.

AIG and others say their policies contain pollution exclusion clauses, meaning they won't pay claims that arise from polluting by Massey.

Legal experts said the case could set a precedent for when pollution clauses in insurance contracts apply to coal companies, as well as for other pending lawsuits in the state that claim coal slurry contaminated wells and caused health problems for residents.

Read more:
http://online.wsj.com/article/SB10001424052748704312504575619412834711330.html