Duke Energy will be in federal court for coal ash crimes
Legal Events
As the nation's largest electricity company prepares to plead guilty to violating the federal Clean Water Act, Duke Energy has started delivering bottled water to people with tainted wells close to its North Carolina coal ash pits.
Duke has long denied its 32 dumps in the state have contaminated the drinking water of its neighbors, suggesting any worrying chemicals found in the wells is likely naturally occurring.
But recent state-mandated tests found that more than 150 residential wells tested near Duke's dumps have failed to meet state groundwater standards, and residents have been advised not to use their water for drinking or cooking.
Many of the results showed troublesome levels of toxic heavy metals like vanadium and hexavalent chromium — both of which can be contained in coal ash. And some of the residents have retained lawyers.
Duke spokeswoman Erin Culbert told The Associated Press that any homeowner who gets a state letter warning of a tainted well will get safe bottled water from Duke, if they request it.
While denying responsibly for the problem, Culbert said Duke simply wants to provide the homeowners "peace of mind."
Duke is scheduled to plead guilty Thursday to nine environmental crimes as part of a negotiated settlement with federal prosecutors requiring it to pay $102 million in fines and restitution. The proposed settlement over years of illegal pollution leaking from ash dumps at five of Duke's plants has been sealed, so it wasn't clear before the hearing whether people with contaminated well water will benefit.
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Workers’ Compensation Subrogation of Administrative Fees and Costs
When a worker covered by workers’ compensation makes a claim against a third party, the workers’ compensation insurance retains the right to subrogate against any recovery from that third party for all benefits paid to or on behalf of a claimant injured at work. When subrogating for more than basic medical and indemnity benefits, the Texas workers’ compensation subrogation statute provides that “the net amount recovered by a claimant in a third‑party action shall be used to reimburse the carrier for benefits, including medical benefits that have been paid for the compensable injury.” TX Labor Code § 417.002.
In fact, all 50 states provide for similar subrogation. However, none of them precisely outlines which payments or costs paid by a compensation carrier constitute “compensation” and can be recovered. The result is industry-wide confusion and an ongoing debate and argument with claimants’ attorneys over what can and can’t be included in a carrier’s lien for recovery purposes.
In addition to medical expenses, death benefits, funeral costs and/or indemnity benefits for lost wages and loss of earning capacity resulting from a compensable injury, workers’ compensation insurance carriers also expend considerable dollars for case management costs, medical bill audit fees, rehabilitation benefits, nurse case worker fees, and other similar fees. They also incur other expenses in conjunction with the handling and adjusting of workers’ compensation claims. Workers’ compensation carriers typically assert, of course, that, they are entitled to reimbursement for such expenditures when it recovers its workers’ compensation lien. Injured workers and their attorneys disagree.