BP Agrees to $20 Billion Fund to Pay Environmental and Tort Claims

WASHINGTON, D.C. - BP plc announced on June 16 that it has agreed to put $20 billion in escrow to ensure the payment of all environmental and tort claims submitted through a mechanism it set up in early June.

The agreement came after negotiations with federal officials and a meeting this morning with President Barack Obama and other senior administration officials.

The Independent Claims Facility, which will pay out the funds, will be administered by attorney Kenneth R. Feinberg of Feinberg Rozen in Washington, D.C., who oversaw claims stemming from the 9/11 terrorist attacks and is the administration's current …