Plaintiffs and Norfolk Southern Reach a $600 Million Dollar Settlement Over East Palestine Ohio Train Derailment Accident.
On April 9, 2024 it was announced that Plaintiffs and Norfolk Southern Railway Company and Norfolk Southern Corporation reached a $600 million agreement to settle various class action lawsuits and personal injury cases pending against Norfolk Southern and Railcar Defendants (GATX Corporation, General American Marks Company, OxyVinyls LP, and Trinity Industries Leasing Company) over the East Palestine derailment that occurred on Feb. 3, 2023 when a freight train derailed near East Palestine, causing a chemical spill that included the release of vinyl chloride into the environment.
According to the NTSB’s preliminary report:
On February 3, 2023, about 8:54 p.m. local time, eastbound Norfolk Southern Railway (NS) general merchandise freight train 32N derailed 38 railcars on main track 1 of the NS Fort Wayne Line of the Keystone Division in East Palestine, Ohio. The derailed equipment included 11 tank cars carrying hazardous materials that subsequently ignited, fueling fires that damaged an additional 12 non-derailed railcars. First responders implemented a 1-mile evacuation zone surrounding the derailment site that affected up to 2,000 residents.
Issued: February 23, 2023 Preliminary Report RRD23MR005
According to a statement released by Norfolk Southern, the settlement, if finally approved by the Court, will resolve all class action claims within a 20-mile radius from the derailment and, for those residents who choose to participate, personal injury claims within a 10-mile radius from the derailment, including compensation for past, current, or future personal injury from the derailment.
In evaluating claims for Personal Injury Payment, the Court-Appointed Settlement Administrator (Kroll LLC) is required to use objective, Court-approved criteria like the nature of any physical injury and resulting medical treatment, if any, to allocate settlement funds to each Eligible Personal Injury Settlement Class Member who will be required to execute releases of all past, present, or future personal injury claims, known and unknown, related to or arising from the incident.
On May 21, 2024 the Court preliminarily approved the settlement. Per the Court’s preliminary approval order, class members have until July 1, 2024 to object or opt-out of the settlement. Class members who wish to file claims must do so by the claims deadline, which is 90 days after notice of the settlement is disseminated to the settlement class. A final approval hearing has been scheduled for September 25, 2024. For more detailed information, download a copy of the Norfolk Southern East Palestine Train Derailment settlement agreement.
The litigation is styled as In re: East Palestine Train Derailment, Case No. 4:23-cv-00242, U.S. District Court for the Northern District of Ohio (Judge Benita Y. Pearson).
