"Appeal Stalls $600 Million Settlement Payments for East Palestine Residents Following Train Derailment"

Settlement payments linked to Norfolk Southern’s catastrophic train derailment in East Palestine, Ohio, are facing delays of up to two years due to an appeal filed against a federal judge’s recent approval of a $600 million class action settlement.

Residents expressed frustration online over the weekend, as many had been counting on these payments to aid their recovery from the disaster that released toxic chemicals into their community. Some had intended to use the funds for relocation.

Plaintiffs’ attorneys had aimed to begin disbursing checks before the end of the year, but this timeline has now been disrupted. The 6th Circuit Court of Appeals must first address concerns regarding the adequacy of compensation and whether residents were provided sufficient information about the settlement’s fairness.

“We will do everything in our power to quickly resolve this appeal and prevent any further burdens on the residents and local businesses that want to move forward and rebuild their lives,” the attorneys stated. They criticized the decision to appeal, suggesting that one individual’s judgment should not override the community’s desire for closure.

The lawyers estimated that the payments will be delayed by at least six to twelve months while the appellate court considers the appeal, which was filed on Friday. If the case escalates to the U.S. Supreme Court or is sent back for additional hearings in Judge Benita Pearson’s court, the delays could extend even longer.

Under the settlement terms, affected households could receive up to $70,000 for property damage and $25,000 per person for injuries, provided they lived within two miles of the derailment. Compensation diminishes for those living further away, with only a few hundred dollars offered to residents up to 20 miles from the site.

Some residents in the “East Palestine off the rails!” Facebook group criticized the pastor who filed the appeal, labeling it as a greedy move. His objections include concerns that any prior payments received from the railroad for temporary relocation or damaged belongings would be deducted from the final settlement.

However, the few vocal dissenters argue their objections stem from deeper concerns regarding the undisclosed extent of chemical exposure, citing a lack of transparency from both the plaintiffs’ lawyers and the Environmental Protection Agency.

The East Palestine community remains divided, with some residents eager to move past the disaster while others grapple with ongoing health issues and lingering uncertainties about the contamination. The appeal process only exacerbates these divisions.