Exxon Settles!

Implications: Did Exxon simply put money into defense costs, which beat down plaintiffs?Is there really any victory in this type of timeless litigation?What will happen to the interest issue?

Analysis: This is just another example of some problems with the judicial system. It has been almost 20 years since the Exxon Valdez spill & only recently there is a partial settlement (383.3 million).  Is something wrong with that timeline? More & more cases are getting drawn out in court, to the favor at times to those with the biggest bank account.  What seems even more amazing is that Exxon really thinks it should not owe interest!  The issue of interest on these type of awards has always been very controversial, especially when the clock should start ticking.  Many favor the position that in order to enhance the likelihood of people or entities gambling less on the outcome that some greater teeth needs to be in this process.  If you knew that you would have to pay interest from day one, would you really roll the dice so easily.  More importantly, every entity known to mankind generally charges something for the time value of money, whether it be interest or the incentive to get involved! The legal arguments of Exxon are well known on why they believe they should not pay interest, but really it has been 20 years in this case! Then again, if the Supreme Court punts on this issue does that bode well with our system in general. http://calpunitives.blogspot.com/2008/08/us-supreme-court-punts-on-exxon-valdez.html