BP files lawsuit against US government for enacting ban on new business

BP files lawsuit against US government for enacting ban on new business

BP has filed a lawsuit against the US government following a ban on new federal contracts for the oil company, enacted after the company plead guilty to charges stemming from its 2010 oil spill in the Gulf of Mexico, the largest spill in American history. In November of 2012 the US Environmental Protection Agency cited BP’s “lack of business integrity” in the aftermath of the Deepwater Horizon incident that left 11 workers dead, and millions of barrels of oil spread into coastal waters. Though the suspension only impacts new contracts and not existing ones, BP has argued in its suit that the ban causes the company “irreparable harm.” BP has incurred about $42.4 billion in charges related to the April 20, 2010 oil spill, reports Reuters. "We believe that the EPA's action here is inappropriate and unjustified as a matter of law and policy, and we are pursuing our right to seek relief in federal court," said Geoff Morrell, BP's head of U.S. communications.