January 27, 2012 7:16 AM

Cruise passengers offered $14K compensation

(AP) 

ROME - Costa Crociere SpA offered uninjured passengers euro11,000 ($14,460) apiece Friday to compensate them for lost baggage and the psychological trauma they suffered after their cruise ship ran aground and capsized off Tuscany.

But some passengers are already refusing to accept the deal, saying they can't yet put a figure on the costs of the trauma they endured.

Costa announced the offer after negotiations with consumer groups who say they are representing 3,206 passengers from 61 countries who suffered no physical harm when the massive Costa Concordia cruise ship hit a reef on Jan. 13.

In addition to the lump-sum indemnity, Costa, a unit of the world's biggest cruise operator, the Miami-based Carnival Corp., also said it would reimburse uninjured passengers the full costs of their cruise, their return travel expenses and any medical expenses they sustained after the grounding.

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The deal does not apply to the hundreds of crew on the ship, many of whom have lost their jobs, the roughly 100 people who were injured in the chaotic evacuation or the families who lost loved ones. Sixteen bodies have already been recovered from the disaster and another 16 people who were on board are missing and presumed dead.

Passengers are free to pursue legal action on their own if they aren't satisfied with the deal and it was clear Friday — two weeks after the grounding — that some would.

"We're very worried about the children," said Claudia Urru of Cagliari, Sardinia, who was on board the ship with her husband and two sons aged 3 and 12. Her eldest child, she said, is seeing a psychiatrist: He won't speak about the incident or even look at television footage of the grounding.

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"He's terrorized at night," she told The Associated Press. "He can't go to the bathroom alone. We're all sleeping together, except my husband, who has gone into another room because we don't all fit."

As a result, she said, her family has retained a lawyer because they don't know what the real impact — financial or otherwise — of the trauma will be. She said her family simply isn't able to make such decisions now.

"We are having a very, very hard time," she said.

Some consumer groups have already signed on as injured parties in the criminal case against the Concordia's captain, Francesco Schettino, who is accused of manslaughter, causing a shipwreck and abandoning the ship before all those aboard were evacuated. He is under house arrest.

In addition, Codacons, one of Italy's best-known consumer groups, has engaged two U.S. law firms to launch a class-action lawsuit against Costa and Carnival in Miami, claiming that it expects to get anywhere from euro125,000 ($164,000) to euro1 million ($1.3 million) per passenger.

German attorney Hans Reinhardt, who currently represents 15 Germans who survived the accident and is in talks to represent families who lost loved ones, said he is advising his clients not to take the settlement.

Instead, he, like Codacons, is working with the U.S. law firm to pursue the class-action suit in Miami.

"What they have lost is much more than euro11,000," he told the AP.

But Roberto Corbella, who represented Costa in the negotiations, said the deal provides passengers with quick and "generous" restitution that consumer groups estimate could amount to some euro14,000 ($18,500) per passenger when it includes the other reimbursements.

"The big advantage that they have is an immediate response, no legal expenses, and they can put this whole thing behind them," he told AP.

Angry passenger Herbert Greszuk, a 62-year-old German who left behind everything he had with him, including his tuxedo, camera, jewelry, and even his dentures, told the AP before the compensation deal was announced that it was an issue of accountability.

"Something like this must not be allowed to happen again. So many people died; it's simply inexcusable," he said.

The Concordia gashed its hull on reefs off the island of Giglio after Schettino made an unauthorized deviation from its approved route to bring it closer to Giglio. Some 4,200 passengers and crew were hastily evacuated.

Search efforts for the missing resumed Friday as salvage crews set up to begin extracting some 500,000 tons of heavy fuel oil on Saturday before it leaks into the pristine waters surrounding the ship. That pumping operation is expected to last nearly a month.

Italy's civil protection office on Friday released a list of some of the other possibly toxic substances aboard the cruise liner, including 50 liters of insecticide and 41 cubic meters of lubricants, among other things.

But so far, even though some film has been detected in the waters around the ship, tests on the waters indicate nothing outside the norm, according to Tuscany's regional environment agency.

"Toxic tests have all resulted negative," the agency said.

The crystal clear seas around Giglio are a haven for scuba divers and form part of a marine sanctuary for dolphins, porpoises and whales.

Passengers have said the evacuation was chaotic, with crew members unprepared to deal with an emergency and constantly downplaying the seriousness of the situation. Coast guard data shows the captain only sounded the evacuation alarm an hour after the initial collision, well after the Concordia had listed to the point that many lifeboats couldn't be lowered.

Schettino has admitted he had taken the ship on "touristic navigation" near Giglio but has said the rocks he hit weren't charted on his nautical maps.

Codacons has called for a criminal investigation into the not-infrequent practice of "tourist navigation" — steering huge cruise ships close to shore to give passengers a view of key sites.

The chief executive of Costa, Pier Luigi Foschi, told Italian lawmakers this week that "tourist navigation" wasn't illegal, and was a "cruise product" increasingly sought out by passengers and offered by cruise lines to try to stay competitive.

© 2012 The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed.
Add a Comment See all 22 Comments
by talkin2u January 27, 2012 7:56 PM EST
I read here the deal does not include the staff. goooood don't take care of the people in your own company. I hope the victims in this SINK this company and take all if it's money....NOW!
Reply to this comment
by PourpaixPourpaix January 27, 2012 6:22 PM EST
Well, not so fast. With my first boat, I was too cheap to buy the detailed chart and ended up tearing my prop to pieces on a rock not on my chart. So, I guess it could happen to any numbofnuts fooling around on the bridge. But here's the kicker ..... the repair shop just a mile from my accident admitted to fertilizing the rocks! Before we go accusing this captain of being a complete idiot, shouldn't we investigate whether some sinister salvage company's been fertilizing the Giglio rocks? Sure seems like a better excuse that what the captain's come up with so far......
Reply to this comment
by Samlv January 27, 2012 4:47 PM EST
No way. Attorneys will lay siege to that company for years and they know it. That legal entity and every one up to the US parent Carnival. The gross negligence already in the public domain make each case worth well into 6 figures per living passenger. For each dead one, ten, twenty times that.

This is one case where massive lawyer assault is the only way to cost the company something they value. Cash.
Reply to this comment
by Montana5 January 27, 2012 3:56 PM EST
The emotional trauma of having to deal and spend time with sleeze-bag attorneys should be added into the settlement amount. It may be worse than the wreck itself.
Reply to this comment
by Goofer-Buddy January 27, 2012 10:41 AM EST
Review: Per passenger amounts in $USD$

The ships captain did not practice any emergency drills... Add 50,000

The ship sailed off course to show off.... Add 100,000

The ship hit a rock and sank: Add 200,000

The ships captain abandoned ship first:..... Add 500,000

The ships management gave false and misleading instructions...Add 200,000

The Carnival Company ruined everyone's vacation and killed some people in doing so: Add 50,000 to 3,000,000

The Carnival company is not telling the truth.... Add 100,000

The Carnival Company is cheepwads: Get a really good Lawyer and get the rest....
Reply to this comment
by Forty-Four January 27, 2012 11:59 AM EST
Matters of personal opinion.

For me, I think they made out, depending on what they lost on board and if they will be able to get it back or not/level of water damage.

Pay a couple grand or so for a cruise, don't get to go on said cruise and get $14K for it. Pretty good trip in my book....again, depending on what I lost onboard and if it will be returned and how much damage it has sustained
by Goofer-Buddy January 27, 2012 1:26 PM EST
Forty-four You sound like a Carnival Propaganda plant.... Some people do pay more than 14k for a cruise, but maybe not this one...

Also people may have used all of their vacation, risked their lives unnecessarily, were traumatized, injured, killed, etc etc etc......
See all 5 Replies
by ralphing January 27, 2012 10:36 AM EST
The rocks weren't charted on his maps?

There is no need to chart rocks in places where you shouldn't go, even though he is lying. The rocks were on the map.
Reply to this comment
by Goofer-Buddy January 27, 2012 10:30 AM EST
Is that for the living passengers or the dead ones? Also what are the stow-aways being offered? 14k What a joke!
Reply to this comment
by irreverentasever January 27, 2012 9:56 AM EST
Only fools would take this bird feed settlement.
Reply to this comment
by retiredgustav January 27, 2012 7:10 PM EST
This maybe the only settlement offered. It wouldn't surprise me if Carnival takes this entity into bankruptcy just to avoid the lawsuits. I'll bet the lawyers aren't telling those victims that.
by pete_in_az January 27, 2012 9:14 AM EST
Whatever. There are risks associated with driving, flying, etc etc etc. People who are looking to get rich from peril are the spawn of lawyers.
Reply to this comment
by hypnotoad72 January 27, 2012 5:40 PM EST
Yeah. And you would accept your own righteous comment, go on a trip, get caught in the middle, refuse any "compensation", and not sue...

Granted, there are people who do that... but most of them certainly don't come across as cynical or as haughty as you just did.

But deliberate wrongdoing - why should the customer take the loss? It's not their job to keep the ship going properly...

Or ANY wrongdoing - does the company, along with doing whatever it takes to make a profit, have ANY responsibility to the cargo, I mean passengers, they are transporting?
by livingtxlife January 27, 2012 9:01 AM EST
Life has risks and when you head out on this kind of adventure - as people should - things might happen. I don't think companies are responsible for the psychological trauma of the mishaps of living. Compensation for their belongings, expenses for getting back home and a new trip should be acceptable. If $14k could cover that is another question.
Reply to this comment
by hypnotoad72 January 27, 2012 5:42 PM EST
See my post above.

Your rationalization would escape you the moment you got caught in the middle... or if you had to, oh my, be responsible for something and then F'd up...

Peoples' rationalizations do seem to be handed out fairly freely...

People in other lines of work aren't treated with nearly as much compassion as some of you here, and there's a reason why these people in high positions get paid so much to begin with: Because their decisions can do a lot of harm if they do things wrong.

So, if we can be compassionate to them, I offer a number of people and situations where they should be completely forgiven as well.

Wanna call me on this? Because I will accept your terms freely and with ease...

If you do the same for me and mine...
See all 22 Comments
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