Economic Loss Zones

In order to have a compensable claim your business has to be located in an Economic Loss Zone. You can easily locate your loss zone by visiting this link. In basic terms, any business or charity located anywhere in Louisiana, Mississippi, or Alabama is in an Economic Loss Zone. Additionally, large areas of Florida (particularly coastal areas in the Panhandle, Clearwater, and the Florida Keys) are included. Finally, four counties in Texas (Galveston, Chambers, Orange and Jefferson) are included.

If your business is not located in an Economic Loss Zone it is highly unlikely that the Deepwater Horizon Claim Center will pay the claim. We do not accept new clients outside of the Economic Loss Zones for this reason.

Causation Testing

Unless your business is in Zone A, you have to establish loss causation. Loss causation is a function of your businesses’ monthly financial performance from 2007 through 2011. Generally speaking, a business in Zone D has to show a decline of 15% between 2010 and prior years, and then a 10% increase between 2010 and 2011. The decrease and increase have to occur in at least 3 consecutive months between May and December. Zone B and C have less stringent requirements. Other formulas and tests exist if a claimant doesn’t satisfy the primary Loss Causation Test.

Our internal staff of lawyers and legal assistants can determine whether a business passes loss causation in just a few minutes. In order to make this determination we will need to obtain your businesses monthly gross revenue for 2007-2011. Without that information it is impossible to know whether your business will qualify.

There is no charge or obligation for this service.

Risk Transfer Premium

Where a business is located also affects the Risk Transfer Premium, which is the multiple that BP will pay to eligible claimants. A business located in Zone D that is not defined as “tourism” gets an additional 25% applies to their losses. So, if that business had losses of $100,000, they would get a total of $125,000. On the other hand, a tourism business in Zone A would receive 250% of their damages.

If you are unclear on what zone your business is in, what RTP multiplier should apply, or have other questions please contact us. There is no cost or obligation for this service.

States Affected

All five of the Gulf Coast states experienced damage from the oil spill. The Gulf Coast oil spill lawyers of Williams Kherkher have information concerning the states which are, or could soon be, affected by the oil spill, including:

In order to get more information on the zone maps, please contact us today by calling 800-821-1544.






Get news about the areas in the destructive path of Gulf oil spill.

Learn more about the affected areas of the Gulf oil spill
home  |  about us  |  environmental impact  |  economic loss  |  affected areas  |  types of claims  |  contact us  |  articles  |  law resources  |  faqs  |  blog  |  locations  |  Log in

Copyright ©2010 Williams Kherkher. Attorneys are licensed only in the state of Texas unless otherwise indicated in the biographical section. Past performance is no guarantee of future results. Williams Kherkher's primary office is located in Texas. The choice of a lawyer is an important decision and should not be based solely upon advertisements.
Terms of Use  |  Disclaimer  |  Sitemap

8441 Gulf Freeway, Suite 600, Houston, TX 77017-5051
Call toll free today: 800-821-1544
John Eddie Williams +