UK High Court Finds BHP Liable for Brazilian Dam Collapse, Paving Way for Massive Payout
A landmark ruling in the UK high court has found global mining giant BHP Group liable for the devastating 2015 collapse of a dam in Brazil, which unleashed toxic waste into a major river and killed 19 people. The company's involvement in the disaster, despite not owning the dam at the time, has left around 600,000 Brazilians on the brink of securing billions of pounds in compensation.
The ruling, which was delivered by Justice O'Farrell, finds that BHP was responsible for the collapse of the Fundão dam in Mariana due to a failure to prevent the risk of collapse and ignoring obvious signs of structural weaknesses. The court ruled that these risks were "foreseeable" and that the company could have prevented the disaster.
The consequences of the ruling are significant, with many Brazilians now set to receive compensation for their losses. However, the damage has already been done, with thousands of people displaced, entire villages destroyed, and a major river left severely damaged.
BHP has stated its intention to appeal against the decision, but the company's actions have been widely criticized as inadequate in the face of such catastrophic consequences. The ruling comes on the heels of a multibillion-dollar settlement between the Brazilian government and mining companies involved, which will see Samarco pay out 132bn reais (£19bn) over 20 years.
The fact that BHP was able to avoid liability through its UK headquarters has sparked criticism, with many arguing that this "forum shopping" tactic is unfair to those affected by the disaster. The UK court's decision serves as a powerful reminder of corporate accountability and the need for companies to take responsibility for their actions.
A landmark ruling in the UK high court has found global mining giant BHP Group liable for the devastating 2015 collapse of a dam in Brazil, which unleashed toxic waste into a major river and killed 19 people. The company's involvement in the disaster, despite not owning the dam at the time, has left around 600,000 Brazilians on the brink of securing billions of pounds in compensation.
The ruling, which was delivered by Justice O'Farrell, finds that BHP was responsible for the collapse of the Fundão dam in Mariana due to a failure to prevent the risk of collapse and ignoring obvious signs of structural weaknesses. The court ruled that these risks were "foreseeable" and that the company could have prevented the disaster.
The consequences of the ruling are significant, with many Brazilians now set to receive compensation for their losses. However, the damage has already been done, with thousands of people displaced, entire villages destroyed, and a major river left severely damaged.
BHP has stated its intention to appeal against the decision, but the company's actions have been widely criticized as inadequate in the face of such catastrophic consequences. The ruling comes on the heels of a multibillion-dollar settlement between the Brazilian government and mining companies involved, which will see Samarco pay out 132bn reais (£19bn) over 20 years.
The fact that BHP was able to avoid liability through its UK headquarters has sparked criticism, with many arguing that this "forum shopping" tactic is unfair to those affected by the disaster. The UK court's decision serves as a powerful reminder of corporate accountability and the need for companies to take responsibility for their actions.