Quick Hit:

The owner and operator of a cargo ship that destroyed Baltimore’s Francis Scott Key Bridge have agreed to a $102 million settlement with the DOJ, compensating for the costly disaster that halted major port activity and killed six workers.

Key Details:

• The March 2024 collision of the cargo ship Dali led to the Francis Scott Key Bridge's collapse, blocking Baltimore's main shipping channel and delaying port operations for months.
• Singapore-based companies Grace Ocean Private Limited (owner of Dali) and Synergy Marine Private Limited (operator) were sued by the DOJ last month to cover federal response costs.
• Baltimore city officials have separately filed negligence claims against the companies.

Diving Deeper:

The U.S. Department of Justice (DOJ) announced Thursday that two Singapore-based companies, Grace Ocean Private Limited and Synergy Marine Private Limited, will pay a $102 million settlement following the March 2024 collapse of the Francis Scott Key Bridge. The accident, caused by the cargo vessel Dali colliding with the bridge, resulted in the deaths of six construction workers and paralyzed one of the nation’s busiest ports.

The lawsuit, filed by the DOJ last month, sought damages to cover federal costs associated with the cleanup of Baltimore’s Fort McHenry Channel. Following the settlement, Principal Deputy Associate Attorney General Benjamin Mizer commented that the agreement ensures that the government’s response and recovery costs will be covered by Grace Ocean and Synergy Marine, "not the American taxpayer."

The bridge collapse also sparked additional lawsuits, with Baltimore city authorities filing claims accusing the companies of negligence. The legal repercussions come as investigators continue to scrutinize safety measures and procedures aboard the Dali, with the FBI conducting "law enforcement activity" on the ship as part of their probe.

The accident, which disrupted shipping lanes until June, underscores the high stakes of managing maritime safety standards in the critical shipping channels of major U.S. ports.