Alabama Judge Cuts Exxon Mobil Damages
An Alabama circuit court judge reduced an $11.8-billion punitive damages award against Irving, Texas-based Exxon Mobil Corp. to $3.5 billion in a lawsuit filed by the state seeking unpaid royalties on offshore natural gas leases.
The decision comes two weeks after Circuit Judge Tracy McCooey declined to order a new trial over the verdict, which was awarded by a Montgomery state court jury Nov. 14.
The initial $11.8-billion award was the largest handed down by a U.S. jury last year.
The case stretches back to 1999, when Alabama sued predecessor Exxon Corp., alleging underpayment of royalties.
Shares of Exxon Mobil rose 35 cents to $41.09 on the New York Stock Exchange.
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