BP Settlement Architects Hope to Win Over Skeptics

The deal is all but done. Now it's time to sell it.

Days after they announced a multibillion-dollar settlement, BP PLC and a committee of plaintiffs' attorneys are working out details of an agreement to resolve more than 100,000 claims spawned by the 2010 oil spill in the Gulf of Mexico.

They must persuade a federal judge that the settlement is fair and equitable, but the sales job doesn't end there because the deal already has its critics.

Some attorneys who didn't participate in the settlement talks but represent thousands of plaintiffs question whether the court-supervised claims process offers a better bargain for their clients than the $20 billion compensation fund BP established in 2010. They can urge their clients not to participate in the settlement, though pursuing a claim separately in court could involve years of costly litigation.

Anthony Buzbee, a Houston-based attorney who represents about 12,000 clients with claims against BP, said he received a phone call Monday night from a Plaintiffs' Steering Committee member who briefed him on some of the terms of the deal. Buzbee had initially expressed doubt that the settlement could benefit his clients, saying it was "hard to keep an open mind when you're not getting any information" from the PSC.

His tone had softened by Tuesday, however. Buzbee said the PSC member assured him the court settlement's terms are "much more generous" than the Gulf Coast Claims Facility's claims processing formula.

"I'm going to withhold judgment on it and wait and see what the final protocols are going to be," Buzbee said.

Daniel Becnel Jr., a Reserve, La.-based attorney who represents about 1,500 clients with claims against BP, said he doesn't need to read the fine print of the deal to know he will advise his clients to opt out of the settlement. One of Becnel's concerns is that he says the settlement doesn't account for tens of thousands of people and businesses that haven't filed claims yet.

"They're starting to catch a lot of flak from a lot of people," Becnel said. "How do you settle a case without knowing what the universe is of the entire client population?"

Rig owner Transocean and cement contractor Halliburton also may challenge the deal in part because it seeks to assign certain claims BP has made against those companies to the PSC. Halliburton lead trial lawyer Donald E. Godwin said Tuesday that Halliburton is not currently in settlement discussions with BP or the PSC and that the company is preparing for trial.

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BP Settlement Architects Hope to Win Over Skeptics