BP Must Face Shareholder Claims Over Spill: Judge

Law360, New York (February 13, 2012, 7:07 PM EST) -- A class of BP PLC shareholders burned by losses after the April 2010 Deepwater Horizon disaster can hold BP accountable for knowingly exaggerating its ability to respond to an oil spill, a Texas federal judge ruled Monday.

U.S. District Judge Keith P. Ellison found that plaintiffs in a massive securities litigation stemming from the spill had adequately alleged corporate scienter, or knowledge of wrongdoing, regarding BP’s statements in 2009 about its preparedness for a potential spill and its estimates of the amount of oil it could...
To view the full article, register now.