http://www.newsandsentinel.com/news/story/0910202004_new01_DuPont.asp
September 10, 2004
The
Parkersburg News (West Virginia)
DuPont's $100M
Settlement
By PAMELA BRUST
PARKERSBURG - A tentative settlement
that would cost DuPont more than $100 million has been reached in the
three-year-old C8 lawsuit filed against DuPont Washington Works.
The parties announced the agreement
Thursday afternoon in a joint press release. The case was scheduled to
go to trial in Wood County Circuit Judge George W. Hill's court in mid-October.
Hill still has to approve the agreement.
As part of the proposed
settlement, DuPont agrees to remove the ammonium
perfluorooctanoate, or PFOA, commonly referred to as C8, from six water
districts where the chemical was detected, at a cost of about $10 million.
The company also agreed to operate and maintain state-of-the-art
water treatment plants for six public service districts: Lubeck and Mason
County in West Virginia and Little Hocking, Belpre, Tuppers Plains and
Pomeroy in Ohio.
"The company will offer
the same technology or its equivalent to residents of those districts
whose sole source of drinking water is a private well," according
to DuPont officials.
DuPont also agreed to fund
a $5 million study by an independent panel of experts to evaluate available
scientific evidence on the extent of "any probable link between exposure
to PFOA and any human disease, including birth defects," according
to the press release.
"Towards this end, this
independent panel will also design and conduct a health study in the communities
exposed to PFOA," according to the press release.
If such a link is found, DuPont
would then pay up to $235 million for a medical monitoring program, in
$1 million intervals, to pay for such testing.
DuPont's
obligation for water treatment would cease if the panel of experts finds
no probable link between PFOA exposure and any disease, according to the
tentative agreement.
DuPont would also pay $70 million into a fund, with at least $20 million
earmarked for health and education projects.
If the medical monitoring discloses
the disease process a connection, people who have retained their rights
to continue in the action can seek fair compensation for their damages.
If no agreement can be reached, a trial and a jury would determine what
they are entitled to receive.
If the panel returns with no
connection, DuPont gets a complete release and can discontinue maintenance
of the water treatment.
Attorney fees/reimbursement
of expenses of $22.6 million will be awarded to plaintiffs' counsel.
"In addition
to the clear benefit of removing C8 from their drinking water, addressing
medical monitoring and funding a scientific study on the effects of PFOA
exposure, this agreement preserves people's rights
to pursue any personal injury claims they may have if their exposure to
C8 is found to be linked to any disease or birth defects," said Robert
A. Bilott of the Cincinnati law firm of Taft, Stettinius
& Hollister, one of the class counsel for plaintiffs. The
Charleston firm of Hill, Peterson, Carper, Bee &
Deitzler and Winter Johnson & Hill
also served as class counsel for plaintiffs.
The final settlement was reportedly
reached Saturday.
"We strongly believe that
this settlement is in the best interests of the class. It causes clean
up of the water supplies contaminated with C8; it provides for an unbiased
scientific determination of any association between C8 exposure and human
disease, and it preserves for every class member, his or her right, for
compensation as to any such associated disease unlimited by any dollar
terms of the agreement," attorney Harry Deitzler said.
"After two years of discussion,
we are pleased to reach an agreement that places our combined priorities
where they belong - on the community and not on lengthy and contentious
legal proceedings," said Stacey J. Mobley, DuPont general counsel.
"We want to make very
clear that settling this lawsuit in no way implies any admission of liability
on DuPont's part. Nevertheless, a settlement at this time provides benefit
to both parties by taking reasonable steps based on science and, at the
same time, contributing to the community," Mobley said.
The next step will be a hearing
for preliminary approval where both sides present the proposal, and the
judge approves or denies the preliminary agreement. If Hill approves the
preliminary agreement, the parties will be notified and will have the
opportunity to attend what is called a fairness hearing to present their
views/objections. Those in the class would have the chance to opt out.
A spokesman for Hill's office
would not comment on the suit or its status.
The original lawsuit was filed
by Lubeck/Washington area residents in 2001, alleging the company intentionally
withheld and misrepresented information concerning the nature/extent of
the human health threat posed by the C8 from DuPont's Washington Works
plant in the area drinking water. Plaintiffs claimed their health was
harmed by C8 contamination and that they are at risk for additional health
problems because of the C8 in area water supplies. The suit was given
class action status. The plaintiffs were seeking money for medical monitoring/testing.
DuPont has contended all along
that C8, a detergent-like substance used in the manufacture of fluoropolymers
such as Teflon, has no harmful human health effects.
