FirstEnergy Settles BNSF, CSX Coal Delivery Row For $109M

Law360, New York (April 27, 2017, 7:07 PM EDT) -- A FirstEnergy Corp. unit said on Thursday that it will pay $109 million to two railway companies to settle claims that it failed to fulfill the terms of a coal transportation contract, a situation that the company had tried to blame on a U.S. Environmental Protection Agency power plant emissions rule.

FirstEnergy said that in November it lost an arbitration over whether the EPA's Mercury and Air Toxics Standards rule, which limits emissions from coal-fired power plants, constituted the kind of "force majeure," or unforeseeable, event that would allow its subsidiary FirstEnergy Generation LLC to escape a coal transportation contract with...

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