Monday, Dec 13, 2010 7:20 PM UTC

BP Gulf spill fund pays accelerated claims

Kenneth Feinberg: Two-week option offers $5,000 to individuals and $25,000 to businesses agreeing not to sue

The administrator of a $20 billion fund paying damages from the Gulf oil spill says claimants who want quick resolution can receive a one-time payment worth thousands of dollars, but they would get no more money.

Attorney Kenneth Feinberg said Monday that the new option, which would pay claimants within two weeks, is for people who just want to get on with their lives.

Feinberg says that individuals who have already received compensation from the fund can now get a $5,000 check, but they would have to relinquish their right to sue BP PLC and would not be eligible for a final settlement. Businesses would receive a check for as much as $25,000.

The other options are to seek quarterly interim payments for losses, or file for a lump sum final settlement, also giving up the right to sue BP over its April 20 oil well blowout.