An Ohio jury has ruled that Norfolk Southern must cover the full $600 million East Palestine settlement. GATX, the company that owned the railcar where the failure began, was not held financially responsible.
The jury agreed with GATX’s claim that it had no role in train operations. The company argued that Norfolk Southern maintained full control over inspections and cargo delivery. This decision means Norfolk Southern alone bears responsibility for the derailment that devastated the Ohio community.
The 2023 incident occurred when a railcar bearing failed. The train, carrying plastic pellets, derailed on February 3 in East Palestine. Chemicals spilled and caught fire, prompting evacuations. Three days later, officials vented and burned vinyl chloride from five tank cars, causing a massive smoke plume.
Although Norfolk Southern paid for the damages, the company tried to shift the burden. It argued that GATX and OxyVinyls, the chemical supplier, shared responsibility for the derailment. Norfolk Southern has already spent more than $1 billion on cleanup and recovery efforts.
Last week, OxyVinyls reached a separate settlement with Norfolk Southern. That deal followed revelations that OxyVinyls gave inconsistent information. Norfolk Southern claimed the vent-and-burn operation was unnecessary. Experts had advised otherwise, but officials never received that input.
The National Transportation Safety Board supported that conclusion. Investigators said the tank cars had started to cool, making the explosive risk minimal. They also confirmed that sensors detected the bearing’s heat, but not early enough to stop the train.
Norfolk Southern still believes GATX should have maintained the railcar better. The railroad said prior flood damage from Hurricane Harvey might have weakened the bearing. GATX, however, maintained it followed every regulation.
Ultimately, the jury placed all responsibility for the derailment on Norfolk Southern. Despite the verdict, the railroad pledged continued support for the impacted community.
For more updates on this story, visit DC Brief.
