Robert Besser
04 Apr 2025, 21:22 GMT+10
EAST PALESTINE, Ohio: Norfolk Southern wants two other companies to help pay for the $600 million settlement it agreed to after a major train derailment in 2023 near the Ohio-Pennsylvania border. The derailment released toxic chemicals into the air, forcing evacuations.
The railroad has taken legal action against GATX, which owned the railcar that failed, and OxyVinyls, the chemical manufacturer, claiming they are partly responsible. However, this lawsuit won't change how much money residents receive—only which company has to pay.
Most residents are still waiting for their settlement money because of pending appeals. Some payments have started going out.
The derailment in East Palestine happened when a railcar's overheated bearing failed, causing 38 cars to go off the tracks. Three days later, officials intentionally released and burned vinyl chloride from five tank cars, creating a large smoke plume.
This was one of the worst U.S. train disasters since a 2013 accident in Canada killed 47 people. It led to calls for better rail safety laws, but those efforts stalled in Congress.
Norfolk Southern has already lost a similar lawsuit attempting to hold GATX and OxyVinyls liable for the environmental cleanup costs, which have exceeded US$1 billion. Now, it is making similar arguments to get help with the settlement payments.
Norfolk Southern stated that railcar owners and chemical manufacturers also share responsibility for safety. It argued that GATX should help pay because its railcar's bearing failed, and that OxyVinyls should pay because it gave unclear information about the vinyl chloride, which influenced the decision to burn it.
GATX and OxyVinyls denied responsibility. GATX stated that it had followed all regulations, and if the railcar had issues, Norfolk Southern should have identified and addressed them. OxyVinyls argued that Norfolk Southern made the decision to burn the chemicals and is now trying to shift the blame.
The trial is expected to last two to three weeks.
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