Daily law MCQ Today
Which of the following statements about the Bhopal gas tragedy case, Union Carbide…
Law of Torts Hard
Which of the following statements about the Bhopal gas tragedy case, Union Carbide Corporation v. Union of India, is correct?
Show answer and explanation
Answer: D. In 1989 the Supreme Court recorded a settlement under which Union Carbide paid US$ 470 million for the benefit of all the victims.
Explanation
The Bhopal case did not end with a court applying absolute liability; in 1989 the Supreme Court recorded a settlement of US$ 470 million for the benefit of all victims, and in 1991 it left that settlement undisturbed. The most tempting wrong statement is that absolute liability was laid down here, but that rule was laid down in M.C. Mehta v. Union of India (the oleum gas case). The settlement amount was expressly paid not as fines, penalties or punitive damages.