Rand Paul is going to hate this:
A clause buried deep in the U.S. Clean Water Act may expose BP and others to civil fines that aren't limited to any finite cap -- unlike a $75 million limit on compensation for economic damages. The Act allows the government to seek civil penalties in court for every drop of oil that spills into U.S. navigable waters, including the area of BP's leaking well.
As a result, the U.S. government could seek to fine BP or others up to $4,300 for every barrel leaked into the U.S. Gulf, according to legal experts and official documents.
So far, analysts and experts calculating potential oil spill liabilities have mostly concentrated on the cost of the clean-up and compensation for economic damages to affected parties. Some have also discussed criminal liabilities.
But the potential for civil fines has received scant attention -- and they could add up very quickly, depending on how agressive the U.S. government is in pursuing them.
It's no wonder BP didn't want anyone to know how much oil was flooding the Gulf -- literally billions of dollars were at stake. With upwards of 3 million barrels likely already having flooded the Gulf, the fine alone could be $12.9 billion just for what's spilled so far. And if the "top kill" doesn't work, that figure could easily triple in size. Talk about a boot on the throat! If the Administration follows through on its pledge to hold BP accountable to the fullest extent of the law, Rand Paul is going to be one very unhappy opthamologist.