PG&E Officially Announces That it is Headed Toward Bankruptcy

Since the Camp Fire of 2018 across California, the spotlight has been on PG&E, who could very well be at the center of a huge lawsuit after its failure to maintain equipment and other negligent actions that contributed to the deadliest and costliest wildfire in California. Unfortunately, when it comes to these horrific incidents, someone has to pay – and even for large corporations, the devastation that can range in the millions or billions might not be possible for these companies to handle.

For months, it has become a realistic fear that the company’s liability would not be fully covered by insurance, which has caused extreme worries to those who have suffered the most – those who have lost their homes, have lost loved ones, or dealt with the reality of a personal injury. Unfortunately, PG&E’s ability to update and better maintain their equipment came down to gaining financial stability, which will now falter following the Camp Fire.

Last month, when bankruptcy filings were at the forefront of conversations regarding PG&E, many individuals shared their fears about the fact that they would be unable to move forward to the best of their abilities if the company went under. Bankruptcy would automatically trigger a ‘stay’, which means that the lawsuits would essentially be put on hold. In the meantime, many people would have to take care of medical bills, funeral costs, and more completely on their own. No matter what, injured parties or those who have suffered even more devastating losses would not receive the results they deserve, which means that they would never fully be repaid by the company until bankruptcy proceedings would determine what comes next.

The Reality of Bankruptcy for PG&E 

Now, today, January 14, PG&E announced that they would be headed toward bankruptcy court to settle these matters, which brings realistic fears to life for many individuals. They claim that they will file on January 29, which is following the 15-day waiting period that is required by California law. To stay in business and pay those back who damages are owed to, the company will have to make this decision so that they can stay ahead.

PG&E is facing the fact that they have at least $7 billion in claims from the Camp Fire. This stemmed from 86 deaths, the destruction of 14,000 homes, and over 500 businesses. The fire possibly began when a PG&E power line came into contact with trees, but this is still under investigation at this time. PG&E has caused many other fires and explosions in the past, which puts them at the center of this investigation. Now, the company claims that they believe bankruptcy is in the best interests of all the victims of the Camp Fire, as well as creditors, shareholders, and customers.

So, is there hope in this case when it comes to the future of personal injury claims brought by those regarding the Camp Fire of 2018? Many believe so. With the help of an experienced attorney at the Marlene Leiva Law Group, you might be able to move forward and receive damages you deserve so that you can compensate for a variety of losses during this difficult time. Our experienced attorneys have helped many victims in the past as they stood up against large corporations to receive the compensation they deserved to move forward. If you are thinking of filing a claim related to the Camp Fire lawsuits, we are here for you and would like to help. Contact us today for more information at 415-459-7300.