Gulf of Mexico Oil Spill Blog GCCF Gross Negligence Fraud Fraudulent Inducement Unjust Enrichment

GCCF Gross Negligence Fraud Fraudulent Inducement Unjust Enrichment

The Donovan Law Group

The Donovan Law Group

The Donovan Law Group

Lawsuit Filed in State Court Against Kenneth R. Feinberg, Feinberg Rozen, LLP and Gulf Coast Claims Facility

Lawsuit Filed Against Kenneth R. Feinberg, Feinberg Rozen, LLP and
Gulf Coast Claims Facility
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Complaint Alleges Gross Negligence, Fraud, Fraudulent Inducement and Unjust Enrichment

Tampa, FL (March 2, 2011) – A first-of-its-kind lawsuit has been filed in state court in Florida against Kenneth R. Feinberg, Feinberg Rozen, LLP and Gulf Coast Claims Facility (“GCCF”). The 42-page complaint, filed by Attorney Brian J. Donovan on behalf of Pinellas Marine Salvage, Inc. and Mr. John Mavrogiannis alleges, in part, gross negligence, fraud, fraudulent inducement and unjust enrichment on the part of the defendants.

Pinellas Marine Salvage, Inc., a corporation organized under the laws of the State of Florida, is a full-service marine salvage facility on the west coast of Florida serving the Gulf Coast states of Louisiana, Mississippi, Alabama and Florida. The company was founded in January, 1997 by Mavrogiannis for the purpose of addressing a strong market need for used and refurbished marine parts, supplies and vessels. As a result of the actions of the defendants, the company is struggling to survive.

Feinberg, acting through and as Managing Partner of Feinberg Rozen, established GCCF to independently administer and where appropriate settle and authorize the payment of certain claims asserted against BP as a result of the explosion at the Deepwater Horizon rig and consequent spillage of oil into the Gulf of Mexico.

In their lawsuit, the plaintiffs allege, in part:

(a) the defendants, without any legal authority for doing so, circumvent many of the  rights provided to victims of the BP oil spill under the Oil Pollution Act of 1990;

(b) the defendants employ a “Delay, Deny, Defend” strategy against claimants. This strategy, commonly used by unscrupulous insurance companies, is as follows: Delay payment, starve claimant, and then offer the economically and emotionally-stressed claimant a miniscule percent of all damages to which the claimant is entitled. If the financially ruined claimant rejects the settlement offer, he or she may sue;

(c) the defendants delay payment by telling claimants, “claims will be paid within 90 days after substantiation.” Unbeknownst to the claimants, substantiation means “the claim has been received and reviewed by GCCF.” This definition of substantiation allows a claim to be received and held “under review” indefinitely by GCCF. When GCCF finally “substantiates” the claim, the claimant is told he or she will be paid within 90 days;

(d) Feinberg uses the fear of costly and protracted litigation to coerce claimants to accept grossly inadequate settlements from GCCF.  During widely-reported town hall meetings organized to promote GCCF, Feinberg repeatedly tells victims of the BP oil spill: “The litigation route in court will mean uncertainty, years of delay and a big cut for the lawyers.” and “I take the position, if I don’t find you eligible, no court will find you eligible;” and

(e) Feinberg misleads claimants by advising during well-reported town hall meetings, on a number of occasions, potential claimants that the fund which he administers is fully funded in the amount of $20 billion. At the end of 2010, the most the fund would have had in its escrow account would have been $5 billion.

Pinellas Marine Salvage, Inc. and Mavrogiannis seek economic and compensatory damages, in amounts to be determined at trial, and punitive damages.

source: The Donovan Law Group

The Donovan Law Group 3102 Seaway Ct., Suite 304 Tampa, FL 33629

Cell: (352)328-7469

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4 Responses to Gulf of Mexico Oil Spill Blog GCCF Gross Negligence Fraud Fraudulent Inducement Unjust Enrichment

  1. matthew says:

    I’m a so proud that someone is taking the fight to them I support you a 100%. 500,000 times 1,000,000 equals have 1,000,000,000,000 combined 120 companies and that is a half a years pay for these guys. I say everyone sues for 1,000,000.

  2. matthew says:

    Maybe then they will start taking us seriously. We must apply pressure to bp not just in the courts but on the streets and every where else this the gulf coast vs the bp gang and It’s time for the gulf coast to step up and stop being so passive – we are fighters.

  3. Pingback: Gulf of Mexico Oil Spill Blog Gross GCCF Negligence Fraud … | Criminal Defense Data

  4. Gulf Resident says:

    The GCCF claims it “processed” 82% of all claims. Let him do the definition of “processed”. According to what I was told by the GCCF my file has been processed since Feb. – that means opened, looked at and filed for review. We filed in October and filed for final claim in January. The – once again – 90 days are over and the GCCF refuses to give me details about my claim which is a simple individual claim for $2400 that has been review SIX times already. Lets not forget to mention the massive amount of documentation the GCCF requested from me: THREE photo ID’s, every single W2 AND every single paystub AND the complete tax return from 2010 as well as complete tax returns from 2008 and 2009. I submitted over 300 scanned pages. I did my work and homework and got not a penny in return.

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