This news story originally provided by The Courier-Journal

September 20, 2005

More families settle coal-waste lawsuits

By Alan Maimon
amaimon@courier-journal.com

INEZ, Ky. -- Twelve Martin County families are the latest to settle a lawsuit with Martin County Coal Corp. over damage from the spill of more than 300 million gallons of coal-mining waste in October 2000.

With yesterday's confidential settlement, the company has reached more than 450 out-of-court agreements over the breach of its slurry impoundment pond.

The spill sent slurry washing over private land, and into Wolf and Rockcastle creeks and the Coldwater, Levisa, and Tug forks of the Big Sandy River.

None of the cases has gone to trial. More than 100 lawsuits are pending.

Kay Ward of Inez, whose case was settled yesterday, said the spill still affects her and her neighbors, as black sludge remains in some places.

"It's devalued our property and caused a lot of havoc for us all," said Ward, 59, a retired hairdresser. She declined to discuss the settlement terms because of the confidentiality clause.

Jeff Woods, lead lawyer for Martin County Coal, which is owned by Massey Energy of Richmond, Va., said the terms of the settlement are satisfactory. "We are extremely pleased to have been able to settle the case for the actual damages they suffered," Woods said.

Ned Pillersdorf, who represented the plaintiffs, had asked for punitive damages in addition to property damages, but Martin Circuit Judge Daniel Sparks refused.

The five-year statute of limitations on lawsuits stemming from the spill expires Oct. 11.

In addition to settling damage claims, Martin County Coal has paid fines to state and federal mining agencies because of the spill.

The company agreed to pay nearly $3.5 million in penalties and damages to the state of Kentucky. The U.S. Mine Safety and Health Administration fined the company $110,000.

In 2002, MSHA determined that the impoundment collapsed because the company failed to spread a layer of fine coal particles around its perimeter to block water seepage. The agency also found that the company failed to act in response to increasing seepage from the impoundment.

Pillersdorf said lax monitoring by Martin County Coal and MSHA contributed to the failure of the 72-acre impoundment.

The impoundment has been closed and will be reclaimed, state officials have said.


 

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Ohio Valley Environmental Coalition

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Coal River Mountain Watch

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Concerned Citizens in Mingo County