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Home   >   News   >   Local (Metro)

Deal on damage claims reached

Web posted Tuesday, May 3, 2005
| South Carolina Bureau Chief

AIKEN - A tentative settlement has been reached for claimants seeking money from Norfolk Southern Corp., but the proposal is limited to minor injuries and evacuation and property damages caused by the Jan. 6 train crash in Graniteville.

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Judge Margaret B. Seymour reviewed the proposal Tuesday in Aiken's federal courthouse, along with numerous plaintiffs' attorneys and representatives for Norfolk Southern, which owned both trains involved in the deadly crash and chlorine spill.

Attorneys consolidated 14 class action lawsuits brought against the railroad and said the class would generally include anyone who was within the one-mile evacuation zone and could prove they were harmed by the chlorine.

Officials estimate that 5,400 residents were evacuated, though businesses that were forced to shut down also would be compensated under the proposal, said Joe Rice, a Mount Pleasant lawyer who spoke on behalf of the plaintiffs' attorneys.

Examples of covered damages include homes harmed by the chlorine cloud, food that spoiled during the evacuation and anxiety caused during the aftermath, Mr. Rice said.

Attorneys plan to notify potential members of the class through direct mailings and the railroad's compensation office in Graniteville.

The settlement, if approved, would not cover claims involving death or serious injury. Anyone who sought medical treatment within the first 72 hours after the accident would be excluded, Mr. Rice told the judge.

At least one family has brought a wrongful-death lawsuit against the railroad. Nine people were killed by chlorine exposure and hundreds more were injured.

Details of the monetary settlement were not released Monday but are supposed to be finalized by May 23 for Judge Seymour's review. Unlike some class action settlements that involve one pot of money shared by members of the class, the railroad has agreed to settle with claimants on an individual basis.

Attorneys for both sides applauded themselves for the swiftness of their proposed agreement, unlike previous settlements involving railroad litigation that dragged on for years.

"We looked at the facts and said these people need help now," Mr. Rice said.

The proposed opt-out period from the settlement is from mid-June to mid-July. By opting out, people preserve their right to bring independent legal action against the railroad.

Norfolk Southern has operated a claims office in Graniteville since the crash and has issued thousands of compensation checks. That reimbursement will be considered in the settlement, attorneys said.

The railroad issued a statement after the hearing that said "by reaching this proposed agreement, all parties are acting in the interest of the people of Graniteville and Aiken County.

"Again, Norfolk Southern apologizes for the accident. We are deeply sorry for the loss of life, hardship and inconvenience it caused. We will continue to do our best to support the recovery process."

Reach Josh Gelinas at (803) 648-1395, ext. 110, or josh.gelinas@augustachronicle.com.

What's Next:

Details of the settlement are supposed to be finalized by May 23 for review by Judge Margaret B. Seymour.


Special Section: Graniteville Train Wreck

On January 6, 2005, a Norfolk Southern Corp. freight train carrying chemicals hit a parked train near an Avondale Mills plant in Graniteville, South Carolina. The impact caused poisonous chlorine gas to leak from three of the moving train's cars. Nine people were killed and more than 5,000 people were evacuated from the site.

For complete coverage of the Graniteville train wreck, visit our special section.

--From the Wednesday, May 4, 2005 printed edition of the Augusta Chronicle



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