CLAIM SUMMARY/DETERMINATION FORM

Claim Number N10036-1509

Claimant Mr. Richard Paul Hough

Type of Claimant Private (US)

Type of Claim Real or Personal Property

Amount Requested $1,800.00

FACTS 

On or about 20 April 2010, the Mobile Offshore Drilling Unit Deepwater Horizon (Deepwater 

Horizon) exploded and sank in the Gulf of Mexico. As a result of the explosion and sinking, oil 

was discharged. The Coast Guard designated the source of the discharge and identified BP as a 

responsible party (RP). BP accepted the designation and advertised its OPA claims process. On 

23 August 2010, the Gulf Coast Claims Facility (GCCF) began accepting and adjudicating 

certain individual and business claims on behalf of BP.

CLAIM AND CLAIMANT

On 17 October 2011, Mr. Richard Paul Hough (the Claimant) presented a claim to the Oil Spill 

Liability Trust Fund (OSLTF) seeking $1,800.00 in real or personal property damages allegedly 

resulting from the Deepwater Horizon oil spill.1

At the time of the oil spill, the Claimant was storing his personal boat in a dry storage facility in 

Venice, Louisiana.2 The Claimant paid a fee of $1,800.00 to store the boat for a six-month 

period, from 1 January 2010 to 30 June 2010 which was paid in advance.

3

 The Claimant alleged 

that the oil spill caused the closure of offshore waters, which prevented the Claimant from using 

his boat for an unspecified period of time.4 The Claimant further noted that the storage fee was 

non-refundable, so the Claimant could not have recovered any portion of the fee had he chosen 

to move his boat to another location.5

The Claimant seeks the entirety of the six-month rental storage fee in the amount of $1,800.00, 

due to the Deepwater Horizon oil spill.

APPLICABLE LAW 

Under the Oil Pollution Act of 1990 (OPA), at 33 U.S.C. § 2702(a), responsible parties are liable 

for removal costs and damages resulting from the discharge of oil into or upon the navigable 

waters or adjoining shorelines or the exclusive economic zone, as described in Section 2702(b) 

of OPA. The OSLTF, which is administered by the NPFC, is available pursuant to 33 U.S.C. § 

2712(a)(4) and § 2713 and the OSLTF claims adjudication regulations at 33 C.F.R. Part 136, to 

pay claims for uncompensated damages. 

One type of damages available pursuant to 33 U.S.C. § 2702(b)(2)(B) and the promulgating 

regulations under 33 C.F.R. § 136.213 is a claim for real or personal property damages for injury 

to, or economic losses resulting from destruction of, real or personal property, which shall be 

recoverable by a claimant who owns or leases that property. 

1 Optional OSLTF Claim Form, dated 5 October 2011.

2 Optional OSLTF Claim Form, dated 5 October 2011.

3 Invoice, Cyprus Cove Marina, 31 October 2009 for dockage 1/1/10 – 6/30/10 4 Optional OSLTF Claim Form, dated 5 October 2011.

5 Optional OSLTF Claim Form, dated 5 October 2011.

 
33 C.F.R. §136.213 states: 

(a) A claim for injury to or economic losses resulting from the destruction of real or personal 

property may be presented only by a claimant either owning or leasing the property.

(b) Any claim for loss of profits or impairment of earning capacity due to injury to, 

destruction of, or loss of real or personal property must be included as subpart of the 

claim under this section and must include the proof required under §136.233.

33 C.F.R. § 136.215 establishes additional proof requirements:

(a) In addition to the requirements of subparts A and B of this part, a claimant must 

establish—

(1) An ownership or leasehold interest in the property;

(2) That the property was injured or destroyed;

(3) The cost of repair or replacement; and

(4) The value of the property both before and after injury occurred.

 

 (b) In addition, for each claim for economic loss resulting from destruction of real or 

personal property, the claimant must establish—

(1) That the property was not available for use and, if it had been, the value of that use;

(2) Whether or not substitute property was available and, if used, the costs thereof; and

(3) That the economic loss claimed was incurred as the result of the injury to or 

destruction of the property.

Under 33 C.F.R. § 136.217, the amount of compensation allowable for a claim involving real or 

personal property damage is limited to: 

(a) The amount of compensation allowable for damaged property is the lesser of—

(1) Actual or estimated net cost of repairs necessary to restore the property to 

substantially the same condition which existed immediately before the damage;

(2) The difference between value of the property before and after the damage; or

(3) The replacement value.

(b) Compensation for economic loss resulting from the destruction of real or personal 

property may be allowed in an amount equal to the reasonable costs actually incurred for 

use of substitute commercial property or, if substitute commercial property was not 

reasonably available, in an amount equal to the net economic loss which resulted from 

not having use of the property. When substitute commercial property was reasonably 

available, but not used, allowable compensation for loss of use is limited to the cost of the 
substitute commercial property, or the property lost, whichever is less. Compensation for 

loss of use of noncommercial property is not allowable (emphasis added).

(c) Compensation for a claim for loss of profits or impairment of earning capacity under 

§136.213(b) is limited to that allowable under §136.235.

Under 33 C.F.R. § 136.105(a) and § 136.105(e)(6), the claimant bears the burden of providing to 

the NPFC, all evidence, information, and documentation deemed necessary by the Director, 

NPFC, to support the claim. 

DETERMINATION OF LOSS 

Claimant’s Submission to the OSLTF

To support this claim, the Claimant submitted the following documentation:

• Optional OSLTF Claim Form, dated 5 October 2011;

• Invoice, Cyprus Cove Marina, 31 October 2009 for dockage 1/1/10 – 6/30/10.

Prior to presentment to the NPFC, the Claimant presented this claim to the RP/GCCF.6

 The 

Claimant was assigned Claimant ID 3037792.7

 The Claimant alleged that this claim was denied 

by the RP/GCCF prior to presentment of this claim to the NPFC.8

On 17 October 2011, the Claimant presented this claim to the NPFC, seeking $1,800.00 under 

OPA’s real or personal property damage category. The NPFC may adjudicate this claim to the 

extent that these damages have first been presented to and denied by the RP/GCCF.9

 Any 

damages now claimed before the NPFC, which have not first been presented to the RP/GCCF are 

denied for improper presentment.

NPFC Determination

Under the Oil Pollution Act of 1990 (OPA), at 33 U.S.C. § 2702(a), responsible parties are liable 

for removal costs and damages resulting from the discharge of oil into or upon the navigable 

waters or adjoining shorelines or the exclusive economic zone, as described in Section 2702(b) 

of OPA. One such damage is real or personal property damage pursuant to 33 U.S.C. § 

2702(b)(2)(B), which includes “damages for injury to, or economic losses resulting from 

destruction of real or personal property,” which shall be recoverable by a claimant who owns or 

leases that property.

Under 33 C.F.R. § 136.105(a) and § 136.105(e)(6), a claimant bears the burden of providing to 

the NPFC all evidence, information, and documentation deemed necessary by the Director, 

NPFC, to support his claim. 

The Claimant alleged that the Deepwater Horizon oil spill caused the closure of certain offshore 

waters, which prevented the Claimant from using his personal boat for an unspecified period of 

time.10 However, the Claimant’s loss of use of his personal boat is not compensable under OPA, 

6 Optional OSLTF Claim Form, dated 5 October 2011.

7 Optional OSLTF Claim Form, dated 5 October 2011.

8 Optional OSLTF Claim Form, dated 5 October 2011. 9 33 C.F.R. §136.103(a).

10 Optional OSLTF Claim Form dated 5 October 2011.

 
which specifically states that “[c]ompensation for loss of use of noncommercial property is not 

allowable.”11

Furthermore, the Claimant has not provided evidence to indicate which waterway he usually 

used his boat, nor has the Claimant provided documentation to show that he was actually unable 

to use his boat following the Deepwater Horizon oil spill. Additionally, the Claimant paid the 

six month storage fee of $1,800.00 in advance of the period it covered (January 2010 through 

June 2010) not to mention the invoice clearly stated the storage fee is non-refundable therefore 

the Claimant would not have been able to recover any amount of storage regardless of whether 

the Deepwater Horizon oil spill occurred or not therefore the payment of the storage fee is 

irrelevant.

This claim is denied because the Claimant failed to meet his burden to demonstrate (1) that he 

sustained an OPA compensable loss in the amount of $1,800.00, and (2) that the alleged loss is 

due to the injury, destruction or loss of property or natural resources as a result of a discharge or 

substantial threat of a discharge of oil.

Claim Supervisor: NPFC Claims Adjudication Division

Date of Supervisor’s Review: 10/25/11

Supervisor’s Action: Denial approved

Supervisor’s Comments:

11 33 C.F.R. § 136.217(b).