Carnival Could Escape Large Damages Payments From COVID-19 Deaths
Carnival (NYSE: CCL) (NYSE: CUK) and other cruise lines could be largely off the hook for monetary damages related to the deaths of passengers from COVID-19, Bloomberg reports this morning. A federal judge in Los Angeles ruled lawsuits related to cruise ship coronavirus deaths should be handled in federal courts, where the Death on the High Seas Act of 1920 applies, potentially setting a precedent that sharply curtails awards.
The Death on the High Seas Act covers situations where the "death of an individual is caused by wrongful act, neglect, or default occurring on the high seas beyond 3 nautical miles from the shore of the United States," allowing certain family members to bring action for "a fair compensation for the pecuniary loss sustained." Bloomberg says the damages are usually limited to lost wages that would have supported the relatives bringing the suit. In the case of retirees, that may consist solely of burial costs.
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Source Fool.com
