CLAIM SUMMARY/DETERMINATION FORM

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 02 February 2012, Johnny Frank Stennis, Jr. (the Claimant), presented an optional Oil Spill 

Liability Trust Fund (OSLTF) Claim Form to the National Pollution Funds Center (NPFC) 

seeking $25,000.00 in loss of profits and impairment of earnings capacity that allegedly resulted 

from the Deepwater Horizon oil spill.

The Claimant lives in Tampa, Florida1 and worked at Univar USA Inc 2 (Univar) prior to the 

Deepwater Horizon oil spill. Univar is the leading chemical distributor in the United States.3

 

The Claimant asserted that Univar lost earnings due to the Deepwater Horizon oil spill, which 

led to Univar terminating the Claimant’s employment.4 

APPLICABLE LAW

The Oil Pollution Act of 1990 (OPA) provides that each responsible party for a vessel or facility 

from which oil is discharged into or upon the navigable waters or adjoining shorelines or 

exclusive economic zone is liable for removal costs and damages. 33 U.S.C. § 2702(a). 

Damages include the loss of profits or impairment of earning capacity due to the injury, 

destruction or loss of real property, personal property, or natural resources, which shall be 

recoverable by any claimant. 33 U.S.C. § 2702(b)(2)(E).

The OSLTF, which is administered by the NPFC, is available to pay claims for uncompensated 

damages pursuant to 33 U.S.C. § 2712(a)(4) and § 2713 and the OSLTF claims adjudication 

1 Optional OSLTF Claim Form, dated 18 January 2012.

2 2009 Form W-2 Wage and Tax Statement from Univar USA Inc. 3 http://www.univar.com/us/About.aspx, accessed by the NPFC on: 01 May 2012. 4 Optional OSLTF Claim Form, dated 18 January 2012.

Claim Number N10036-1663

Claimant Johnny Frank Stennis, Jr. 

Type of Claimant Private (US) 

Type of Claim Loss of Profits and Impairment of Earnings Capacity

Amount Requested $25,000.00

 
regulations at 33 C.F.R. Part 136. With certain exceptions a claim must first be presented to the 

responsible party. 33 U.S.C. § 2713(a). If the claim is either denied or not settled by any person 

by payment within 90 days after the date on which it was presented, the claimant may elect to 

commence an action in court or present the claim to the OSLTF. 33 U.S.C. § 2713(c).

Pursuant to the claims regulations, 33 C.F.R. § 136.233, a claimant must establish the following 

to prove loss of profits or impairment of earning capacity:

(a) That real or personal property or natural resources have been injured, destroyed, or lost.

(b) That the claimant’s income was reduced as a consequence of injury to, destruction of, or 

loss of property or natural resources, and the amount of that reduction.

(c) The amount of the claimant’s profits or earnings in comparable periods and during the 

period when the claimed loss or impairment was suffered, as established by income tax 

returns, financial statements, and similar documents. In addition, comparative figures for 

profits or earnings for the same or similar activities outside of the area affected by the 

incident also must be established.

(d) Whether alternative employment or business was available and undertaken and, if so, the 

amount of income received. All income that a claimant received as a result of the 

incident must be clearly indicated and any saved overhead and other normal expenses not 

incurred as a result of the incident must be established.

Under 33 U.S.C. § 2702(b)(2)(E) and 33 C.F.R. Part 136, a claimant must prove that any loss of 

income was due to injury, destruction or loss of real or personal property or of a natural resource 

as a result of a discharge or substantial threat of a discharge of oil. 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.

Under 33 C.F.R. § 136.235, the amount of compensation allowable for a claim involving loss of 

profits or impairment of earning capacity is limited to the actual net reduction or loss of earnings 

or profits suffered. Calculations for net reductions or losses must clearly reflect adjustments for:

(a) All income resulting from the incident;

(b) All income from alternative employment or business undertaken;

(c) Potential income from alternative employment or business not undertaken, but reasonably 

available;

(d) Any saved overhead or normal expenses not incurred as a result of the incident; and

(e) State, local, and Federal taxes.

DETERMINATION OF LOSS

The Claimant’s Submission to the OSLTF

In support of his claim, the Claimant presented the following documentation to the NPFC: 

- Optional OSLTF Claim Form, dated 18 January 2012; 

- Page 1 of the Claimant’s 2008 Form 1040, U.S. Individual Income Tax Return; 

- 2009 Form W-2 Wage and Tax Statement from Univar USA Inc; 

- Page 1 of the Claimant’s 2010 Form 1040, U.S. Individual Income Tax Return; and
- Denial Letter on Interim Payment/Final Payment Claim. 

 

Prior to presenting his claim to the NPFC, the Claimant filed an Interim IV (ICQ42011) claim 

with the GCCF for loss of earnings on 14 November 2011 in the amount of $25,000.00.5 He was 

assigned Claimant ID # 3566036 and Claim # 9534450. This claim was denied by the GCCF on 

19 January 2012.6 Additionally, the Claimant filed a Full Review Final (FRF) claim with the 

GCCF for loss of earnings in the amount of $25,000.00 on 23 November 2011.7

 He was 

assigned Claim # 9537400; this claim was also denied by the GCCF.8

Based upon the evidence provided by the Claimant, it appears that the subject matter for the 

Claimant’s GCCF claim is the same as the subject matter of the claim before the NPFC, i.e., that 

due to the Deepwater Horizon oil spill, the Claimant’s employer lost earnings which resulted in 

the termination of his employment. The NPFC deems that the Claimant’s GCCF claims were 

properly presented to the responsible party and properly presented to the NPFC. Accordingly, 

this Claim Summary Determination for NPFC Claim N10036-1663 considers and addresses the 

earnings claimed in the claims presented to the responsible party, specifically; GCCF Claim #’s 

9534450 (ICQ42011) and 9537400 (FRF). 

NPFC Determination

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. The NPFC considered all documentation presented by the Claimant.

This claim is denied because the Claimant failed to prove that he experienced a financial loss as 

result of the Deepwater Horizon oil spill. The Claimant asserted he lost his job because his 

employer lost earnings due to the Deepwater Horizon oil spill. The Claimant’s submission to the 

NPFC consisted solely of partial tax return information from 2008 through 2010. On 12 March 

2012, the NPFC requested that the Claimant provide additional information to verify the losses 

asserted and to establish a connection between the alleged loss and the Deepwater Horizon oil 

spill. 

The NPFC requested that the Claimant provide, among other things, full and complete federal 

tax returns from 2008-2010, paystubs from 2008 through 2010, and a letter from his employer 

verifying the Claimant’s assertions and describing how the company was affected by the 

Deepwater Horizon oil spill.9 To date, the NPFC has not received any response or additional 

information from the Claimant. Accordingly, the Claimant failed to meet his burden to prove 

that he lost his job and experienced a loss of earnings due to the Deepwater Horizon oil spill. 

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

was a loss in the amount claimed, and (2) the Claimant failed to meet his burden to demonstrate 

5 Report from the GCCF dated 17 April 2012.

6 Denial Letter on Interim Payment/Final Payment Claim, dated 19 January 2012. 

7 Report from the GCCF dated 17 April 2012. 8 Report from the GCCF dated 17 April 2012.

9 Letter from the NPFC to the Claimant, dated 12 March 2012. 

 
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. 

Claims Supervisor: NPFC Claims Adjudication Division

Date of Supervisor’s Review: 5/3/12

Supervisor’s Action: Denial approved

Supervisor’s Comments: