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Costa Concordia passengers join class action suit vs Costa Crociere

January 18, 2012 1:36am
MILAN  - Passengers of the doomed Costa Concordia launched a legal battle for compensation Tuesday, but experts expect the cruise operator to offer a settlement to stave off a court case.
 
In Italy, consumer rights' association Codacons said 70 passengers have joined a class action suit against the shipowner Costa Crociere.
 
"Over 70 passengers who were on board the ship have joined the class action suit initiated by our association," Codacons head Carlo Rienzi said in a statement.
 
"Our objective is to get each passenger at least 10,000 euros compensation for material damage and also for ... the fear suffered, the holidays ruined and the serious risks endured," he said.
 
The legal action will have to be judged admissible by a magistrate in a procedure that could take "some months," according to the co-head of the consumer rights association, Marco Ramadori.
 
Ramadori said he was "fairly confident" that the action would be allowed.
 
The Costa Concordia was carrying more than 4,200 people when it ran aground on Friday shortly after starting a seven-day Mediterranean cruise, leaving at least 11 dead and about two dozen still missing.
 
In France, two survivors will also file a suit against the cruise operator for "failure to help people in danger, putting in danger the lives of others, involuntary homicide and lack of security information," said their lawyer Frederic Casanova.
 
His clients, Patrice and Tatiana Vecchi, who live in southeastern France, are also collecting signatures from survivors and are expected to gather 100 names.
 
"The emergency procedure was launched too late," Patrice Vecchi said. "It was completely confusing. It is not normal that several among us were unable to find any life jackets while the crew was equipped.
 
"And once we were off the ship, Costa completely disappeared. We saved ourselves," he added.
 
Olivier Carrasco, from Bordeaux, also said Sunday that he wanted to bring a suit against the company.
 
However, the passengers will not have an easy battle, said Stefano Zunarelli, a maritime law professor at the University of Bologna.
 
"For historic reasons, the balance of rules in maritime law tends in a certain way to protect the shipowner due to the risks of its business," he said.
 
Maritime transport firms are regulated by European rules.
 
In case of death or bodily harm, compensation paid out by the company starts at 21,000 euros ($27,000) but it does not constitute an acknowledgement of responsibility.
 
If responsibility is proven, total indemnity is limited to 400,000 Special Drawing Rights (SDR) -- international reserve assets allotted to countries by the International Monetary Fund, equivalent to 480,000 euros.
 
For loss of baggage, the compensation is limited to 2,250 SDRs, or 2,700 euros.
 
But the "problem is proving it," said Zunarelli, as passengers must provide evidence of assets lost.
 
According to a maritime industry observer, the "usual practice in the sector is to reach a mutual agreement" with survivors and family members.
 
On Monday, Costa Crociere's boss, Pier Luigi Foschi, who estimated the economic impact of the disaster at $93 million, expressed confidence that the group would be able to "find a solution that, in the material sense, would satisfy" the passengers.
 
The chairman of Costa's French subsidiary, George Azouze, said Tuesday that French passengers would receive compensation along with "other things" such as a refund of the tickets. He did not elaborate.
 
Italian association Codacons also expressed its preference for a mutual agreement. Such deals were particularly welcomed in Italy where justice "does not work," Ramadori said.
 
Meanwhile, Italian prosecutors have also opened an investigation against ship captain Francesco Schettino, who is facing manslaughter charges.
 
Costa Crociere has disassociated itself from the captain, indicating that the route he took was at his own initiative and contrary to the company's written rules. — Agence France Presse
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