Is BP subject to punitive damages due to the Benzene leak from its Texas City refinery?

A:

Yes.  BP may be required to pay punitive damages because it released massive amounts of dangerous chemicals in to the air around its Texas City refinery.

Under Texas law, a company is liable to pay punitive damages if its conduct subjects people to an "extreme degree of risk," and if the company is aware of this risk but proceeds anyway.

In the case of the BP Benzene leak, there is evidence BP knew its refinery was leaking dangerous chemicals, including Benzene, into the air in the Texas City community.  Of course, BP is aware that Benzene can cause cancer. 

Nevertheless, BP tried to save money and allowed operations to continue, knowing a cancer causing agent was being spewed in to the Texas City community.

Under these circumstances, BP can be required to pay punitive damages.