BNSF ordered to pay $395M after years of trespassing on Swinomish land

https://www.kuow.org/stories/bnsf-ordered-to-pay-395-million-after-years-of-trespassing-on-swinomish-land

by jvolkman • 2 years ago

25 7 2 years ago

Roughly, a typical tank car used for crude oil transportation can hold between 20,000 to 70,000 barrels of oil, with some cars capable of carrying up to 100,000 barrels.

Roughly, a unit train carrying 50 barrel cars of crude and assuming a value of $80 per barrel, transportation charge is roughly 12.50 (although it varies). The total gross return, being transported each freight would be:

50 cars x 75,000 barrels x $12 per barrel x 6 day = 270 mil $

So the fine is the cost of doing business, for 40 billion dollar rail. Day after day, year after year for over a decade. Granted, this is part of what keeps gas prices down. North Dakota's shale, tracked into the west coast.

Good for the tribe, but I really wish the fine was higher as a real deterrent.

ToValueFunfetti• 2 years ago

From the article it sounds like they made zero net profit on years of business there after the fine, which should be a sufficient deterrent assuming they reliably prosecute every violation.

Supermancho2• 2 years ago

it sounds like they made zero net profit on years of business there after the fine,

The fine was levied June 6, 2024. Per the court record in the article.

But let's talk about the profits.

As a “conscious wrongdoer,” BNSF “will be stripped of the net profits obtained from its unauthorized interference with another’s property,” Lasnik <the judge> ordered.
the Tribe has the initial "burden of producing evidence permitting at least a reasonable approximation of the amount of the wrongful gain"

I find it unlikely that they will return the majority of the profits to the Tribe, beyond the fine.

fred_is_fred2• 2 years ago

Prediction: The tribe will not see a dime and the Supreme Court is going to reverse this 6-3. Exxon waited 30 years to avoid their fine, BNSF can do it in 2.

krapp• 2 years ago

I don't know... this same court recently upheld Native sovereignty with their decision on the Indian Child Welfare Act, and I don't know on what Constitutional basis they would reverse this decision, much less agree to hear a case on it. It seems pretty straightforward to me.

fred_is_fred2• 2 years ago

Interstate commerce clause will be the excuse. BNSF CEO will probably need to buy a few RVs to grease the wheels some.

mtnGoat• 2 years ago

The only way to that Sinclair refinery is to cross tribal land. This will probably shift those loads to the Phillips and BP refineries up in Ferndale.

Imagine a 3200 foot stretch of rail way costing you $400 million because you just couldn’t be bothered to live up to your end of a basic agreement.

BNSF ordered to pay $395M after years of trespassing on Swinomish land

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