UPDATE Hawaiian Telcom and Charter Communications (NASDAQ: CHTR) are part of a $4 billion settlement to resolve all legal claims related to the Maui wildfires. The state, Maui County, Hawaiian Electric, Kamehameha Schools, and West Maui Land Co. were the other parties to the settlement, according to Hawaii Governor Josh Green, M.D. The state did not disclose the individual financial liability of each party.
Under the terms of the settlement agreement, the seven defendants will pay a total of just over $4 billion to compensate all those who have brought claims arising from the August 8, 2023 windstorms and wildfires on Maui. The deal, which remains subject to final documentation and court approval, includes approximately 2,200 affected parties who filed lawsuits. “The state of Hawaii would contribute to the settlement in addition to its $65 million contribution to the One ʻOhana Fund,” according to Green.
Governor Green emphasized the complexity involved in the negotiations, stating, “This global settlement of over $4 billion will help our people heal. My priority as Governor was to expedite the agreement and to avoid protracted and painful lawsuits so as many resources as possible would go to those affected by the wildfires as quickly as possible. Settling a matter like this within a year is unprecedented, and it will be good that our people don’t have to wait to rebuild their lives as long as others have in many places that have suffered similar tragedies.”
The settlement resolves approximately 450 lawsuits filed by individuals, businesses, and insurance companies in state and federal courts for fires in Lahaina and Upcountry Maui. The agreement is conditional on the resolution of the insurance companies’ claims that have already been paid for property loss and other damages, with no additional payments from the defendants.
Early lawsuits following the wildfires targeted the state’s electric utility – Hawaiian Electric – for triggering the fire by allegedly failing to de-energize power lines that were knocked down by high winds. Charter and Hawaiian Telcom were accused in lawsuits of allegedly overloading some of the power poles with their communication lines and attachments, making the poles lean and eventually snap in high winds, Inside Towers reported.
“In the coming weeks, we’ll provide a detailed account of the numbers and costs and when resources will become available to survivors and their families,” said Green. “Overall, the total scope of the recovery, which includes past insurance claims, county, federal and state support, will approach $12 billion.”
By Leslie Stimson, Inside Towers Washington Bureau Chief
Reader Interactions