2LT International News

ATLANTA, Georgia: U.S. railroad operator Norfolk Southern said it agreed to pay US$600 million to settle a class action lawsuit over a February 2023 train derailment in East Palestine, Ohio, that spilled toxic chemicals.

Court documents showed that the agreement, in principle, will cover claims from residents and businesses in the city and surrounding communities that were affected.

In a joint statement, lawyers bringing the action against Norfolk Southern said that “for past, present and future personal injuries resulting from exposure to the chemicals involved” will be eligible for compensation under the deal.

The agreement is still subject to court approval.

More than a million gallons of hazardous materials and pollutants were released during the fiery derailment, which sparked concerns about U.S. rail safety.

Jayne Conroy, the lead attorney representing the class action, said the proposed settlement is “much larger than any derailment settlement in the U.S.”

Court documents showed that the agreement would resolve all class action claims within a 20-mile radius of the crash and, as well as personal injury claims within a 10-mile radius for residents choosing to participate.

Conroy said just under 100,000 class members are eligible to receive funds from the settlement, including up to 25,000 residents who live within 10 miles and another 72,000 living within 20 miles of the crash site.

Norfolk Southern has not admitted liability or wrongdoing.

In 2023, Norfolk Southern agreed to compensate homeowners around East Palestine, Ohio, who have had to sell their properties at lower prices.

Shareholders, the state of Ohio, and the U.S. Justice Department have also filed lawsuits against Norfolk Southern.