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3rd Circ. Ups Citgo’s Tab In Fight Over $100M Spill Judgment

March 29, 2018

Law360
By Keith Goldberg

The Third Circuit handed down a precedential opinion Thursday that saddled three Citgo units with the lion’s share of liability for a $100 million-plus oil spill judgment and said the refiner must fully repay the federal government for its role in the cleanup, reversing a lower court’s finding that Citgo only had to pick up half the government’s bill.

Citgo Asphalt Refining Co., Citgo Petroleum Corp. and Citgo East Coast Oil Corp. had sought to overturn a Pennsylvania federal judge’s apportionment of the blame over a 2004 incident in which Frescati Shipping Co.’s Athos I tanker — which Citgo chartered — hit a submerged anchor and spilled 263,000 gallons of crude oil into the Delaware River.

[…]

Montgomery McCracken Walker & Rhoads LLP partner John Levy, who represents Frescati, said his clients were “delighted” with the Third Circuit’s decision.

“They would also be just delighted that the court found that there was no negligent or bad navigation, or seamanship,” Levy told Law360 Thursday.

[…]

Frescati is represented by Alfred J. Kuffler, John J. Levy and Timothy J. Bergere of Montgomery McCracken Walker & Rhoads LLP.

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