• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia
FinanceNorfolk Southern

Residents torn over $600 million Norfolk Southern derailment settlement as crucial deadline looms

By
Josh Funk
Josh Funk
and
The Associated Press
The Associated Press
Down Arrow Button Icon
By
Josh Funk
Josh Funk
and
The Associated Press
The Associated Press
Down Arrow Button Icon
August 19, 2024, 7:43 PM ET
Alan Shaw
Alan Shaw, CEO of Norfolk Southern, testifies before the Senate Commerce, Science, and Transportation Committee on March 22, 2023 in Washington, DC. Photo by Win McNamee/Getty Images

Some East Palestine, Ohio, residents want more time and more information before they have to decide by a deadline this week whether to accept their share of a $600 million class-action settlement with Norfolk Southern over last year’s disastrous train derailment.

Recommended Video

But it’s not clear whether the judge will rule on their motion before Thursday’s deadline for people who live within 20 miles (32 kilometers) of the derailment to file a claim.

Residents who live within 10 miles (16 kilometers) of the Feb. 3, 2023, crash near the Ohio-Pennsylvania border also have to decide whether to accept up to $25,000 per person for personal injuries, although accepting that money will force them to give up the right to sue later if someone develops cancer or other serious illness because of the chemical exposure.

The amount residents can receive varies by how close they lived to the derailment, with people who lived within 2 miles receiving $70,000 for property damage. People who lived at the outer edge of the area might only receive a few hundred dollars.

One of the key complaints in the motion filed by attorney David Graham is that attorneys who represented residents in the lawsuit haven’t disclosed any of the results of testing done around town by their own expert, Stephen Petty, who has testified in hundreds of lawsuits about contamination concerns, to determine the extent of the contamination caused when toxic chemicals spilled and burned after the derailment.

Some of the attorneys involved in the case promised residents in news interviews early on that Petty’s data would be disclosed in court filings to lay out the impact on East Palestine. So Graham asked the judge to order that information to be released to try to address residents’ concerns.

“Fast forward to their present, post-settlement posture, and class counsel and their PR machine have now forgotten all about their star testing expert, Petty,” Graham wrote.

Instead of Petty, the lawyers brought out a different expert at an online town hall meeting a couple weeks ago who told residents he didn’t think anyone in town would develop cancer as a result of the derailment. But Dr. Arch Carson didn’t make clear what data he relied on for that opinion other than a brief mention of tests from the Environmental Protection Agency.

Researchers studying the health of residents in the area and tracking respiratory problems, rashes and other ailments they are reporting say it may not be clear for years what the long-term implications of the derailment will be.

“I completely disagree with Dr. Arch Carson – there is no research data that suggest that his statement is correct,” said Dr. Erin Haynes, who is leading one of the main studies in town and is chair of the Department of Epidemiology and Environmental Health at the University of Kentucky College of Public Health.

Graham suggested that the plaintiffs’ attorneys might be more interested in collecting their up to $180 million in legal fees than representing residents’ interests.

The plaintiffs’ lawyers didn’t immediately respond to the motion Monday, but they have previously defended the settlement that was announced in the spring. They have said the settlement is bigger than any past derailment settlement that has been made public, and that the amount of time residents received to evaluate the deal is similar to other settlements.

Some residents have complained that the initial opt-out deadline in the lawsuit came less than a week after the National Transportation Safety Board held a hearing on its findings in the investigation.

Join us at the Fortune Workplace Innovation Summit May 19–20, 2026, in Atlanta. The next era of workplace innovation is here—and the old playbook is being rewritten. At this exclusive, high-energy event, the world’s most innovative leaders will convene to explore how AI, humanity, and strategy converge to redefine, again, the future of work. Register now.
About the Authors
By Josh Funk
See full bioRight Arrow Button Icon
By The Associated Press
See full bioRight Arrow Button Icon

Latest in Finance

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Fortune Secondary Logo
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • Future 50
  • World’s Most Admired Companies
  • See All Rankings
Sections
  • Finance
  • Fortune Crypto
  • Features
  • Leadership
  • Health
  • Commentary
  • Success
  • Retail
  • Mpw
  • Tech
  • Lifestyle
  • CEO Initiative
  • Asia
  • Politics
  • Conferences
  • Europe
  • Newsletters
  • Personal Finance
  • Environment
  • Magazine
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
  • Group Subscriptions
About Us
  • About Us
  • Editorial Calendar
  • Press Center
  • Work At Fortune
  • Diversity And Inclusion
  • Terms And Conditions
  • Site Map
  • About Us
  • Editorial Calendar
  • Press Center
  • Work At Fortune
  • Diversity And Inclusion
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • Pinterest icon

Latest in Finance

Middle EastIran
Trump gives Iran 48 hours on Hormuz, threatens power plants
By Jennifer A. Dlouhy and BloombergMarch 21, 2026
58 minutes ago
AIOpenAI
OpenAI plans to almost double its headcount this year, FT says
By Liza Tetley and BloombergMarch 21, 2026
3 hours ago
Arts & EntertainmentMusic
BTS begins comeback tour to reclaim status as one of the world’s biggest pop acts after completing Korea’s mandatory military service
By Juwon Park, Kim Tong-Hyung, Hyung-Jin Kim and The Associated PressMarch 21, 2026
3 hours ago
Middle EastIran
U.S. allows sale of stranded Iran oil to cap fuel-price rises
By Se Young Lee, Millie Munshi, Yongchang Chin and BloombergMarch 21, 2026
3 hours ago
Politicsarms, weapons, and defense
The U.S. has the world’s most advanced military, but the unforgiving economics of wars in Iran and Ukraine show quantity has a quality all its own 
By Jason MaMarch 21, 2026
4 hours ago
EnergyAirline industry
United Airlines plans for oil hitting $175 a barrel and staying above $100 next year as industry faces worst shock since COVID
By Jason MaMarch 21, 2026
9 hours ago

© 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.