Turner v. Murphy Oil Usa, Inc.

Decision Date30 January 2007
Docket NumberNo. Civ.A. 05-4206.,Civ.A. 05-4206.
Citation472 F.Supp.2d 830
PartiesPatrick Joseph TURNER, et al. v. MURPHY OIL USA, INC.
CourtU.S. District Court — Eastern District of Louisiana

Mickey P. Landry, David Ryan Cannella, Frank J. Swarr, Landry & Swarr, LLC, Christopher H. Sherwood, John Robert Martzell, Scott R. Bickford, Brock Darren Dupre', Spencer R. Doody, Jeffrey Matthew Burg, Martzell & Bickford, Joseph M. Bruno, David Scott Scalia, Bruno & Bruno, Amy Collins Fontenot, Val Patrick Exnicios, Liska, Exnicios & Nungesser, Stephen Skelly Kreller, Stephen S. Kreller, APLC, Frank Jacob D'Amico, Jr., Christopher T. Castro, Frank J. D'Amico, Jr., APLC, Mark Philip Glago, Glago Law Firm, Anthony D. Irpino, Irpino Law Firm, Darleen Marie Jacobs, Jacobs & Sarrat, Ethel Carroll Rogers, Murphy, Rogers, Sloss & Gambel, Jennifer N. Willis, Cater & Willis, Stuart Housel Smith, Michael G. Stag, Amber E. Cisney, Smith Stag, LLC, Hugh Palmer Lambert, Linda Jane Nelson, Evelyn Alexis Bevis, Lambert & Nelson, Bruce S. Kingsdorf, Dawn M. Barrios, Barrios, Kingsdorf & Casteix, LLP, Gerald Edward Meunier, Irving Jay Warshauer, Gainsburgh, Benjamin, David, Meunier & Warshauer, Jerald N. Andry, Jr., Walter John Leger, Jr., Christine Lynn Desue, Leger & Mestayer, Russ M. Herman, Herman, Herman, Katz & Cotlar, LLP, Gilbert V. Andry, III, Andry & Andry, Paul M. Sterbcow, Lewis, Kullman, Sterbcow & Abramson, John M. Futrell, Lee, Futrell & Perles, LLP, William F. Bologna, Dwight Leblanc Acomb, W.F. Bologna & Associates, Les Anthony Martin, Alaraby J. Johnson, Neil Franz Nazareth, Richard Arthur Bordelon, Ralph Joseph Aucoin, Denechaud & Denechaud, Henry St. Paul Provosty, Christophe B. Szapary, Provosty & Gankendorff, LLC, Jonathan Beauregard Andry, Gilbert V. Andry, IV, The Andry Law Firm, Lloyd N. Frischhertz, Frischhertz & Associates, Michael Gerald Gaffney, Hurndon & Gaffney, Alex Donner Lambert, Nolan Patrick Lambert, Lambert & Lambert, Randy George McKee, N. Sundiata Haley, Carter, Haley & McKee, LLC, Jack Anthony Ricci, Gary John Giepert, Ricci & Giepert, Shirin E. Harrell, Christina I. Sprecher, Eric R. Nowak, Harrell & Nowak, LLC, F. Gerald Maples, Carlos Alberto Zelaya, II, J. Stuart Kirwan, Meredith Anne Mayberry, Stephen Michael Wiles, Law Offices of F. Gerald Maples, P.A., Clayton Morris Connors, Mumphrey Law Firm, LLC, R. Ray Orrill, Jr., W. Christopher Beary, Orrill, Cordell & Beary, LLC, Paul Edward Mayeaux, Robert L. Manard, III, Robert L. Manard, PLC, David V. Batt, Rachel Ann Meese, Lobman, Carnahan, Batt, Angelle & Nader, G. Karl Bernard, G. Karl Bernard & Associates, LLC, Richard J. Richthofen, Jr., Richthofen & Associates, LLC, Michael J. Phillips, David S. Moyer, Taggart, Morton, Ogden, Staub, Rougelot, & O'Brien, LLC, Henry L. Klein, Tara Elizabeth Clement, Kinney & Ellinghausen, Robert Wayne Drouant, New Orleans, LA, Joseph F. Rice, Ronald L. Motley, Motley, Rice, LLC, Mt. Pleasant, SC, Michael Gerald Calogero, Law Offices of Michael G. Calogero, L.L.C., Bruce Betzer, Edward Pressner Gothard, Nowalsky Bronston & Gothard, APLLC, George Luis Beguiristain, Kailas Management, Lynn E. Williams, Jr., Lynn Eric Williams, Jr., APLC, Scott W. Smith, Scott W. Smith, LLC, Thomas A. Gennusa, II, Joseph S. Piacun, Gennusa Law Firm, Raymond Anthony Milly, George Brian Recile, Chehardy, Sherman, Ellis, Breslin, Murray, Recile & Griffith, Peter Marion Meisner, Delise, Amedee & Hall, Frank Reynolds Whiteley, Juge, Napolitano, Guilbeau, Ruli, Frieman & Whiteley, Kevin Francis Tucker, Metairie, LA, Roberta L. Burns, Sidney Donecio Torres, III, Law Offices of Sidney D. Torres, III, Ronnie Glynn Penton, Law Offices of Ronnie G. Penton, Waldon Michael Hingle, Paul Hesse, Ronald J. Favre, Michael Hingle & Associates, Inc., David Vidrine, Mumphrey Law Firm, Alan G. Bouterie, Wayne Joseph Jablonowski, Scott A. Cannon, Law Offices of Scott A. Cannon, LLC, Slidell, LA, Keith Michael Couture, Samuel Beardsley, Jr., Keith Couture Law Firm, Jesse Lee Wimberly, III, Jesse L. Wimberly, III, Eric August Bopp, Walter R. Woodruff, Mandeville, LA, Conrad S. P. Williams, III, Charles Clarence Bourque, Jr., Christopher John St. Martin, Joseph G. Jevic, III, St. Martin & Williams, Houma, LA, Darryl James Becnel, Daniel E. Becnel, III, Daniel E. Becnel, Jr., Matthew B. Moreland, Law Offices of Daniel E. Becnel, Jr., Reserve, LA, N. Madro Bandaries, Wiley J. Beevers, Beevers & Beevers, LLP, Sean D. Alfortish, Law Office of Sean D. Alfortish, Sherif K. Sakla, The Sakla Law Firm, Stephanie C. Reuther, Law Firm of Stephanie C. Reuther, Michelle Ebony Scott-Bennett, Justice for All Law Center. LLC, Gretna, LA, Philip Bohrer, Bohrer Law Firm, Walter C. Dumas, Natashia Carter Benoit, Patti Durio Hatch, Travis J. Turner, Dumas & Associates Law Corporation, Dominick F. Impastato, III, Marc L. Frischhertz, Frischhertz & Associates, Rebecca Cunard, Cunard Law Firm, Leslie A. Cordell, Orrill, Cordell & Beary, Baton Rouge, LA, John Van Robichaux, Jr., Robichaux Law Firm, Mark Dwayne Higdon, Creighton, Richards and Higdon, LLC, Adam Frederick Hutton, Covington, LA, John Randall Whaley, Richard J. Arsenault, Neblett, Beard & Arsenault, Alexandria, LA, Robert M. Becnel, Meghan Becnel Burns, Law Offices of Robert M. Becnel, Kathryn Weekley Becnel, Becnel Law Firm, Laplace, LA, William Eldren Bradley, William E. Bradley Law Firm, LLC, Bryan August Pfleeger, Michael Hingle & Associates, Inc., Hammond, LA, Gordon R. Crawford, Gordon R. Crawford & Associates, Gonzales, LA, Stephen J. Herman, Thibodaux, LA, Salvador E. Gutierrez, Jr., Mary Ann Hand, Gutierrez & Hand, J. Wayne Mumphrey, Mumphrey Law Firm, LLC, Richard A. Tonry, Kim Cooper Jones, Michael Ginart, Jr., Cullen Adair Tonry, Tonry & Ginart, Lance V. Licciardi, Nicosia, Licciardi & Nunez, Gregory S. Duhy, Chalmette, LA, Richard Paul Bullock, Donni Elizabeth Young, Early, Ludwick & Sweeney, New Haven, CT, Casey Carlile, D. Scott Carlile, David Carlile, Carlile Law Firm, Marshall, TX, Mark David Plaisance, Baker, LA, Gary J. Ortego, Ortego & Dupre, Ltd., Ville Platte, LA, James Bradley Guest, Kenner, LA, Clayton Joseph Swank, III, Clayton J. Swank, III, and Associates, APLC, Madisonville, LA, Marion Overton White, Opelousas, LA, for Plaintiffs.

Darleen Jacobs Levy, New Orleans, LA, pro se.

Salvadore Samuel Ruffino, Chalmette, LA, pro se.

George A. Frilot, III, Allen Joseph Krouse, III, Danica Colleen Benbow, Edward F. Kohnke, IV, Kerry J. Miller, Patrick J. McShane, Paul C. Thibodeaux, Frilot, Partridge, Kohnke & Clements, LC, Daniel L. Dysart, E. Windmeyer, LLC, Metairie, LA, for Defendant.

ORDER & REASONS APPROVING CLASS ACTION SETTLEMENT AND AWARD OF COMMON-BENEFIT FEES AND EXPENSES

FALLON, District Judge.

The Plaintiffs' Steering Committee ("PSC") and Murphy Oil USA, Inc. ("Murphy") have settled this class action litigation involving an oil spill in the days following Hurricane Katrina. Before the Court is the parties' Joint Motion for Final Approval of the Class Action Settlement (Rec.Doc. 1034) and the PSC's Motion for Common Benefit Fees and Expenses (Rec. Doc. 865). The Court has carefully considered the oral arguments made at the fairness hearing held on January 4, 2007, including statements presented by both proponents and objectors to the class settlement. It has also reviewed the written memoranda and supporting documentation submitted by all parties, including numerous affidavits and declarations from PSC members, class representatives, and experts. Lastly, the Court has examined the procedural record and applied its own knowledge of the case accumulated through its active involvement in this litigation since inception.

Accordingly, the Court is fully advised of the matter and is now ready to rule. For the following reasons, the parties' Joint Motion for Final Approval of the Class Action Settlement is GRANTED because the Court finds that the proposed settlement of this class action is fair, reasonable, and adequate. In addition, the PSC's Motion for Common Benefit Fees and Expenses is GRANTED IN PART as provided in this Order & Reasons.

I. BACKGROUND
A. Factual Background

On August 29, 2005, Hurricane Katrina made landfall on the Louisiana/Mississippi border, resulting in one of the most devastating natural disasters ever to occur in the United States. As the storm passed over southeastern Louisiana, twenty-foot storm surges rolled into the Mississippi River-Gulf Outlet ("MR-GO") and swept over and breached some fourteen miles of a levee system intended to protect St. Bernard Parish, inundating nearly all of the homes and businesses with massive flood waters.

Among those properties impacted by the flood waters was the Murphy Oil refinery in Meraux, Louisiana. The refinery, owned and operated by Murphy, produced approximately 125,000 barrels of refined petroleum per day. Located on Murphy's property are multiple above-ground tanks used to hold crude oil. These tanks are surrounded by earthen berms, or dikes, built to contain any oil that might escape from the tanks in the event of a leak or spill.

Murphy's Tank 250-2, designed to hold 250,000 barrels of oil, was surrounded by an eight-foot-high earthen dike. Sometime shortly following the overtopping and breaches along the MR-GO levee system, flood waters reportedly up to twelve feet in height swept over, eroded, or traveled through openings in the earthen dike, entering the containment area where Tank 250-2 was located. Though the parties debate the specific facts, time frame, and causes of this incident, there is no dispute that the flood waters quickly surrounded Tank 250-2. The Tank dislodged from its moorings, causing it to float and subsequently rupture. Water entered the Tank due to hydrostatic pressure, and it ultimately began to sink. As flood waters receded and hydrostatic pressure dropped, the crude oil mixture leaked from the Tank and escaped...

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