On Monday, the American Shrimp Processors Association, a group of shrimp processors operating in the Gulf Coast, asked the judge overseeing the BP Settlement to delay granting preliminary approval of the Settlement.
The crux of the issues for the Association seems to be with the $2.3 billion Seafood Compensation Program that is established in the Settlement. The Seafood Compensation Program covers claims brought by Commercial Fisherman, Seafood Crew, Oyster Leaseholders and Seafood Vessel Owners. That includes Shrimp Fishermen who have a commercial fishing license. Meanwhile, shrimp processors and other related businesses aren’t part of the Seafood Compensation Program, and claims from those entities are handled under a different framework.
According to the Association, this means that different businesses that are part of the same industry are being treated differently, even though their losses and future economic risks are tied to one another. The Association represents 42 shrimp docks, processesors and related companies and is asking for additional time to review the Settlement and possibly modify it to address the objections.