Amtrak to Pay $265M in Settlements After Deadly Derailment

Amtrak was ordered to pay $265 million in settlements this week from claims related to the crash near Philadelphia that killed eight people and injured more than 200 on May 12, 2015.

Two Maryland families filed suit against Amtrak after the crash.

Among the passengers who died were three with ties to Maryland: an Elkridge businessman who worked in Towson, a midshipman from the U.S. Naval Academy in Annapolis and a Wells Fargo executive who had lived in Rockville.

Bob Gildersleeve, 45, of Elkridge was sitting in the front passenger car when the train crashed. Gildersleeve, vice president for corporate accounts at Ecolab in Towson, was on his way to a business meeting in New York when the train derailed at 106 mph. He left behind two children, a wife and his parents.

Justin Zemser, 20, of Rockaway Beach, New York, was a sophomore returning home on leave from the U.S. Naval Academy at the time of the crash. He was an only child.

Abid Gilani, 55, was a senior vice president at Wells Fargo who had lived in Rockville. He was on the train after attending a relative's funeral in Virginia and leaves behind a wife and two children.

The National Transportation Safety Board (NTSB) said the derailment occurred after the engineer received radio communication that a disabled train nearby had been struck by debris.

Shortly after passing the disabled train and traveling around a curve, the engineer applied full throttle for about 40 seconds, increasing its speed from 65 to 106 miles per hour, investigators found.

"Given that the maximum authorized speed was 80 miles per hour, this maneuver was not an appropriate action at this location. However, this maneuver would have been appropriate after the curve just past the derailment site," the NTSB said.

Officials said the darkness likely contributed to the engineer's confusion about where he was. The derailment occurred at approximately 9:30 p.m., according to investigators, who reported the engineer had no medical issues and extensive toxicology testing came up negative.

Amtrak accepted responsibility for the crash, and was ordered to pay $265 million to those affected. People must apply by Nov. 21 to be eligible for settlement money, which CBS News reports they will have by Feb. 28.

Judge Legrome D. Davis of Federal District Court in Pennsylvania appointed two masters to oversee the settlement claims process, according to the New York Times, which said this was one of the largest payouts among rail cases; in fact, Congress in December increased the cap on how much Amtrak could pay in settlements because of the scale of the incident.

Already, the Times reports Amtrak has processed approximately $7 million in individual settlement cases and medical filings, which will go toward the $265 million total.

Those who agree to be part of the settlement process by Nov. 21 waive their right to appeal or open separate lawsuits.

The Gilani family’s lawsuit, filed in July 2015, claimed Amtrak officials knew the curve was dangerous since another fatal derailment happened at the site in 1943. The lawsuit also says that Amtrak failed to use available safety technologies in order to save money, putting passenger lives at risk, reports WTOP.

Among the safety measures not in place on that northbound stretch of track was Automated Train Control, which manually slows trains. This was reportedly installed at the derailment site shortly after the crash.

A wrongful death lawsuit filed in June 2015 by the Gildersleeve family accused Amtrak of negligence and outrageous conduct. The lawyer for Gildersleeve’s widow said 106 mph was a “grotesquely excessive speed that cost the lives and limbs of others,” according to the Daily Times, which reported the family was seeking compensation for funeral and medical expenses and loss of the family’s breadwinner.

Officials estimated the crash caused more than $9 million in damage.

• Elkridge Man's Family Sues Over Amtrak Derailment
• Wells Fargo Executive's Family Sues Following Death in Amtrak Crash
• ‘Greatest Man We Have Ever Known,’ Midshipman Recalled by Teammates After Crash

Image via Shutterstock.

This article has been updated.