Insurance and Liability Issues Relating to an Oil Spill Caused by Terrorism

Following the attacks of September 11, 2001, the U.S. government responded quickly with new laws that patch together some international law concepts with solicitude for U.S. businesses. The President and Congress have embraced some concepts found in international conventions such as strict or no-fault liability, caps on liability, and a large role for private insurance. The new legislation also features payments to the victims of the September 11th attacks with funds from the U.S. government and guarantees by the U.S. government for payments to victims of terrorism. The focus of this Article is the effect of these new laws on oil spills caused by terrorist acts.