Norfolk Southern Corporation (NYSE: NSC) has announced a significant step forward in resolving the aftermath of the East Palestine derailment, revealing a $600 million agreement in principle to settle a consolidated class action lawsuit. This development, disclosed on Tuesday, signifies a significant move towards closure for affected residents within a 20-mile radius of the derailment site.
The agreement, subject to court approval, aims to address all class action claims stemming from the derailment. It also offers an option for individuals within a 10-mile radius to participate in resolving personal injury claims, providing a measure of relief for those impacted by the incident.
“This agreement underscores Norfolk Southern’s commitment to fulfilling its obligations to the people of East Palestine and neighboring communities,” said a spokesperson for the corporation. “It represents another step towards rectifying the lasting effects of the derailment and reaffirms our dedication to supporting those affected.”
The settlement seeks to provide affected individuals and businesses with flexibility in utilizing compensation to mitigate the repercussions of the derailment. It encompasses a wide range of potential impacts, including healthcare needs, property restoration, and business losses.
The corporation has been proactive in addressing community concerns since the incident occurred. Initiatives include financial contributions totaling $104 million, directed towards various community assistance programs, safety training, and infrastructure improvements. Additionally, Norfolk Southern has pledged support for upgrades to drinking water infrastructure and economic development initiatives.
The agreement, facilitated through extensive negotiations with court-appointed class counsel and mediator Layn Phillips, is expected to undergo preliminary approval by the U.S. District Court for the Northern District of Ohio later this month. Pending final court approval, payments to class members could commence by the end of the year.
For further details about Norfolk Southern’s commitment to remediation efforts and the settlement process, individuals are encouraged to visit NSMakingItRight.com. Additional information, including contact details for a Settlement Administrator and a Claims Assistance Center in East Palestine, will be provided to class members in due course.
Norfolk Southern Corporation, with a legacy dating back to 1827, operates a freight transportation network integral to the U.S. economy. Committed to sustainability and operational excellence, the corporation plays a vital role in facilitating the movement of goods across the country.
For more information about Norfolk Southern and its operations, visit www.NorfolkSouthern.com
