Judge refuses to dismiss lawsuit against company responsible for decade-old Gulf oil leak

MarketsAssociated Press

A federal judge has refused to dismiss a lawsuit that environmental groups filed against a New Orleans-based company responsible for a decade-old oil leak in the Gulf of Mexico.

U.S. District Judge Susie Morgan ruled Tuesday that a trial is necessary to determine whether several plaintiffs led by the New York-based Waterkeeper Alliance have a right to sue Taylor Energy Company.

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The company claims federal regulators agree nothing more can be done to stop the leak off Louisiana's coast. But Morgan concluded there is a "genuine factual dispute" over whether Taylor can and should do more to mitigate its impacts.

Since 2004, oil has been leaking at the site where a Taylor-owned platform toppled during Hurricane Ivan. Authorities estimate the leak could last a century or more if left unchecked.