Feinberg Questions Wisdom of Applying His Compensation Model More Broadly
Kenneth Feinberg, the independent administrator of the Gulf oil spill compensation fund, questioned today whether his model used for massive compensation processes like the oil spill and Sept. 11, in which one independent administrator decides how much money victims receive, should be applied more broadly.
Speaking at the U.S. Chamber of Commerce today, Feinberg suggested that the model should only be used in rare instances. “Be very, very careful about these programs that delegate to one person this type of authority,” he said. But Feinberg said he can rationalize placing one person in charge of massive claims processes because they are so rare. “These are very important matters, but there are not that many of them,” he said