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February 3, 2014

MM&A Railway sues crude oil owners

The bankruptcy trustee for the Montreal, Maine & Atlantic Railway has filed a lawsuit against the owner and shipment coordinator for the crude oil aboard the train that derailed in the town of Lac-Megantic, Quebec, last July in an accident that killed 47 people.

The Bangor Daily News reported trustee Robert Keach filed the lawsuit Thursday against the Miami-based World Fuel Services Inc., which owned the oil, and the Wayzata, Minn.-based Western Petroleum Co., which leased the tank cars and arranged the oil’s transportation. The lawsuit, according to the newspaper, alleges that the fuels were mislabeled as hazardous material with a “low danger” when the fuel from the Bakken fields of North Dakota was actually “highly volatile.”

The lawsuit that also names three other affiliated entities seeks damages from the two companies for an amount to be determined at trial, the newspaper reported.

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