50,000 people displaced. Thanksgiving ruined. Homes and businesses damaged. Lives disrupted. Many in fear of the next blast. And who knows what the environmental impacts are. This is the aftermath of the two huge explosions and raging fires at the TPC Group chemical plant in Port Neches, Texas
Many folks have insurance for the damage to their buildings but will that insurance cover all the damages? What about damages that are hidden or not easily found? What about lost business and profits? What about environmental damages or the loss of value to their business?
In the first few days after a major chemical plant explosion, most people are just trying to put their lives back together again… cleaning up debris, making arrangements for contractors to repair damages.
In our experience, not all the damage is easily identified and even when it is, getting an insurance company to pay can be difficult. For example, we know that many buildings suffered broken windows. Even on windows that didn’t break, however, the seals may have been irreparably damaged allowing water intrusion and mold. Something very familiar to those living along the Gulf Coast.
TPC Port Neches Plant Manufactures Toxic Chemicals
The TPC factory in Port Neches has been around since 1944. It manufacturers a variety of products including butadiene and methyl tera-butyl ether (MTBE). MTBE is an additive to gasoline. It replaced tetraethyllead as octane booster in gasoline. Because it is so toxic and dangerous, its use has been banned in many states. Although its use has diminished in the US, it is exported to other countries.
TPC Group’s factory in
How much MTBE may have been spilled or released into groundwater remains to be seen. The investigation into the blast and the environmental impacts are likely to take months.
Butadiene is another major product at the TPC Port Neches plant. It is a gas used in the production of synthetic rubber. The EPA classifies it as a known human carcinogen.
The TPC Group plant already has air monitoring equipment in place. Initial reports are that the release of this toxic gas is not a major threat at the moment. The real long-term risk remains the MTBE. Once in the groundwater, it spreads quickly and may be impossible to clean up.
Two Blasts at TPC Port Neches Plant Rock Community
The first blast rocked the quiet town of Port Neches around 1:00 Wednesday, November 27th. The powerful blast shattered windows and pushed in doors up to 1 mile away (although the damage from the blast zone is probably much larger).
13 hours later a second blast ripped through the TPC Group plant. The 2:00 pm blast was so powerful that it lifted a massive steel reactor tower high into the sky. We believe it also caused significant but hidden structural damages to nearby homes, businesses and schools.
The blasts caused Jefferson County officials to require mandatory evacuation of approximately 50,000 people in a four mile radius around the plant. Towns affected included Port Neches, Groves, Nederland and Port Arthur, Texas.
Blasts Cause Hidden Structural Damage
The Houston Chronicle has posted many pictures of the damage caused by the blast. What you see are broken windows and doors. Shattered glass is always the most obvious sign of a major explosion. Reports say that the blast was so severe that some residents claim both the front and rear doors of their homes were destroyed. A blast of that magnitude is powerful enough to cause long term structural damage, damage that is often not seen or ignored by insurance adjusters.
Were buildings in Port Neches structurally damaged? We certainly think so, although only onsite inspections will be able to show those damages.
Insurance Bad Faith and Structural Damage Analysis – How We Can Help
As with any major disaster, many lawyers will come out to help. Hopefully the TPC Group will immediately address the small claims, hotel reimbursements and the like. In our experience, plant operators often do, although the speed in handling claims often leaves something to be desired.
Our interest lies in long term environmental impacts and major structural damages. Chances are that if you have hidden damages, TPC Group won’t easily write a check. Nor will your own insurance, assuming you have insurance. Lost profits and business interruption are other areas where business owners can expect a fight.
With hidden damage, time isn’t on your side. It could take months before you realize windows on commercial buildings have broken seals or learn of mold from water intrusion or foundation cracks are found. By then, insurance adjusters from either TPC Group or your own carrier won’t want to pay. Ditto if you already accepted a check in “full payment” of your damages.
If you have a commercial property or public building that has suffered a loss as a result of the Port Neches or any other plant or refinery explosion, let us know. Don’t let a claims adjuster, TPC or an insurance company hide behind exclusions in the policy or claim the damage was existing.
We can help with:
- Wrongful Denial of Claims
- Hidden Damage Claims
- Business Interruption or Lost Profit Claims
- Underpayment of Claims
- Improper Claims Handling
- Insurance Bad Faith
- Insurance Company Negligence
Through our partners, we can provide blast analysis, industrial claim analysis, evaluation and business interruption analysis.
To learn more, contact attorney Brian Mahany online, by email brian@mahanylaw.com or by phone at 202-800-9791. We also invite you to visit our insurance bad faith information page.
*We regret that we do not handle structural damage claims to single family residents.
TPC Group Long Term Environmental Damage
It’s more than just the blast damage
Fortunately, firefighters were able to finally douse the fires at the TPC Group plant. Our hats are off to the first responders in Port Neches and surrounding communities who sacrificed their Thanksgiving and risked their lives to fight the fire.
Thankfully no lives were lost, although several plant workers were hurt. It is a miracle that no one died.
We know (believe) that there was no major release of toxic gasses too. That means the firefighters should be okay in the weeks and months ahead. We know from our Roundup weed killer cases, however, that health effects can take years to surface.
Of more immediate concern are what other toxins were releases into the ground and the effect that they will have on the environment and long-term property values.
Years of studies by the military also indicate that the shock waves of large explosions can sometimes cause injuries. Ear injuries (hearing loss tinnitus) are the most common injuries but depending on the proximity to the blast, damages can occur to the lungs and hollow organs of the gastrointestinal tract. A Johns Hopkins University study found a link between explosions and traumatic brain injuries.
Primary blast injuries are characterized by the absence of external injuries; thus internal injuries are frequently unrecognized and their severity underestimated. Most people were inside at the time of the 1:00 am blast but had gathered to watch the fire and were therefore outside for the 2nd blast at 2:00 pm.
TPC Group has not exactly been a model corporate citizen. While it provides a couple hundred jobs to area residents, those jobs have come with a high cost. (The company’s website says, “Our employees are committed to safely making these products in a manner that is protective of our environment and respectful of the communities where we have operations.”)
Since 2012, the Port Neches plant has been owned by two private equity firms. We worry that private equity firms don’t always invest for the long haul. Many have a reputation of trying to squeeze as much profits as possible with as little investment as possible.
The Houston Chronicle says the plant has been steadily depreciating in value for years. They say the facility has been fined over $100,000 since 2014. This year it was fined after failing to report pollution incidents. US Environmental Protection Agency records show that has been out of compliance with the federal Clean Air Act 12 of the last 12 quarters.
Those figures are troubling. We worry about groundwater contamination, long term health effects and diminished property values. We would love to hear from current or former employees with inside information about major pollution and environmental violations. (All “whistleblower” inquiries are held in strict confidence.)
We also wish to hear from residents with long term health effects related to exposure to chemicals released by TPC Group plants in Port Neches or Port Houston.
Once again, to learn more, contact attorney Brian Mahany online, by email brian@mahanylaw.com or by phone at 202-800-9791.
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