Massive Settlement Reached in Baltimore Port Incident Involving Maritime Companies

Bag labeled "Fine" next to gavel.

Grace Ocean and Synergy Marine navigated a legal tempest to reach a $101.9 million settlement with the DOJ following the Dali vessel’s devastating collision with the Francis Scott Key Bridge.

At a Glance

  • Grace Ocean and Synergy Marine faced a $102 million fine for the Baltimore bridge disaster.
  • The settlement resolves the costs of federal cleanup efforts, not taxpayer burden.
  • The Dali vessel incident caused six casualties and widespread disruption.
  • The firms’ attempt to limit liability under an 1851 law was unsuccessful.

Background of the Incident

The collision occurred on March 26, when the Motor Vessel Dali lost power and crashed into the Francis Scott Key Bridge, resulting in its collapse. Six construction workers tragically lost their lives. A fallout of blocked shipping lanes and severed highway connections followed, causing significant disruptions.

The state of Maryland is independently addressing the bridge reconstruction expenses. Federal investigators suspect recurrent power loss was a factor in the accident. The Motor Vessel Dali’s compromised configuration and maintenance have been highlighted as contributing elements.

Legal Proceedings and Settlement

A fast-tracked settlement spared prolonged litigation, as Grace Ocean and Synergy Marine settled $101.9 million for the U.S. federal cleanup expenses. Despite their efforts to invoke the Limitation of Liability Act of 1851 to cap liabilities at $43.7 million, the Justice Department countered, arguing the mishap was “entirely avoidable” with proper preventive measures.

“Nearly seven months after one of the worst transportation disasters in recent memory, which claimed six lives and caused untold damage, we have reached an important milestone with today’s settlement” – Principal Deputy Associate Attorney General Benjamin C. Mizer

The DOJ emphasized that the costs incurred for federal disaster response, with over 50,000 tons of debris removed, are being recouped by the settlement, removing taxpayer burden. Maryland attorneys are separately pursuing damage claims related to bridge reconstruction.

Implications Going Forward

Maryland’s congressional delegation is pushing for federal contribution towards full bridge replacement costs, with the White House requesting $3.1 billion from Congress for emergency relief funds, including this disaster. The Dali incident serves as a critical example of the vital importance of stringent ship maintenance and protocols to prevent future tragedies.

“Thanks to the hard work of the Justice Department attorneys since day one of this disaster, we were able to secure this early settlement of our claim, just over one month into litigation. This resolution ensures that the costs of the federal government’s cleanup efforts in the Fort McHenry Channel are borne by Grace Ocean and Synergy and not the American taxpayer.” – Principal Deputy Associate Attorney General Benjamin C. Mizer

The settlement highlights DOJ’s decisive stance on infrastructural accountability without shifting financial responsibility to public funds. The resolution acts as both a cautionary tale and a reaffirmation of legal recourse in cases of corporate negligence.

Sources

1. Singaporean firms whose ship ignited the Baltimore Bridge catastrophe fined $100 million

2. Owners of Ship Involved in Baltimore Bridge Collapse Settle DOJ Lawsuit for $100 Million