In a significant ruling, the Court of Appeal has denied an appeal from BHP Group regarding the liability judgment in the Fundão Dam collapse case in Brazil. The court’s decision pertains to the group claim of Município de Mariana & Ors v BHP Group (UK) Ltd & Anor, which revolves around the catastrophic event that occurred in 2015.
BHP’s Appeal Denied
The court characterized the case as “the very definition of a heavy case,” as noted by Lord Justice Fraser. He emphasized that even among complex cases in the Technology and Construction Court, this one stands out in terms of scale and implications.
BHP sought permission to challenge a ruling made by Mrs. Justice O’Farrell, who previously declared the company strictly liable as ‘polluters’ for the disaster. The appeal focused on whether the trial judge’s conclusions were substantively flawed.
Court’s Findings
Lords Fraser and Lewison, in their judgment, supported the initial finding that BHP holds strict liability under Article 3(IV) of the Environmental Law. Lord Justice Fraser stated that BHP failed to provide reasonable grounds to overturn the trial judge’s decision.
- Lord Justice Fraser highlighted ample evidence supporting the trial judge’s conclusions.
- BHP’s arguments alleging procedural failures were deemed “groundless.”
- The judge noted BHP did not demonstrate any errors of principle in the initial ruling.
The court determined there was no lack of engagement from the trial judge regarding Brazilian law of limitation. Fraser noted that the findings were not only supported but also meticulously explored during the lengthy trial, which included several expert testimonies over many hearing days.
Next Steps in the Litigation
The Court of Appeal did approve an expedited schedule for the next stage of the trial, addressing financial compensation. This secondary trial is scheduled for next year and will focus on quantifying the damages incurred due to the disaster.
According to legal representatives from Pogust Goodhead, the claimants have faced considerable financial burdens, with total costs exceeding £213 million. Jonathan Wheeler, the lead partner for the Mariana litigation, emphasized the importance of justice for the victims impacted by this environmental catastrophe.
- Claimants have been fighting for over a decade for compensation.
- Wheeler asserts BHP remains liable for the worst environmental disaster in Brazil’s history.
The denial of BHP’s appeal marks a crucial step in the long-running legal battle stemming from the Fundão Dam collapse, highlighting the ongoing quest for justice by the affected communities in Brazil.
