Search
 
News

Texas Utility ERCOT Hit with Two Lawsuits over Winter Storm Damages

The lawsuits filed against ERCOT allege that the utility failed to prepare residents for possible rolling blackouts and failed to winterize its equipment.

X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.
Workers clear snow from a parking lot in Midland, Texas, U.S, on Monday, Feb. 15, 2021. Blackouts triggered by frigid weather have spread to more than four million homes and businesses across the central U.S. and extended into Mexico in a deepening energy crisis that's already crippled the Texas power grid. Photo: Matthew Busch/Bloomberg Workers clear snow from a parking lot in Midland, Texas, U.S, on Monday, Feb. 15, 2021.  Photo: Matthew Busch/Bloomberg

The Texas utility responsible for shutting off power to millions of Texas residents last week during a record winter storm now faces at least two lawsuits claiming negligence in its failure to prepare for the state’s power needs. The lawsuits both seek punitive damages against the Austin-based Electric Reliability Council of Texas Inc., or ERCOT, which operates 90 percent of the state’s power grid. They claim the utility did not prepare residents for possible rolling blackouts and failed to winterize electrical equipment.

One lawsuit, filed on Thursday in Harris County District Court, seeks $10 million in damages on behalf of a man using medical equipment while recovering from Covid-19. Prominent plaintiffs lawyer Mikal Watts of Watts Guerra in San Antonio filed the second lawsuit in Nueces County Court at Law.

Complete your profile to continue reading and get FREE access to Treasury & Risk, part of your ALM digital membership.

Your access to unlimited Treasury & Risk content isn’t changing.
Once you are an ALM digital member, you’ll receive:

  • Critical Treasury & Risk information including in-depth analysis of treasury and finance best practices, case studies with corporate innovators, informative newsletters, educational webcasts and videos, and resources from industry leaders.
  • Exclusive discounts on ALM and Treasury & Risk events.
  • Access to other award-winning ALM websites including PropertyCasualty360.com and Law.com.

Already have an account?

Recommended Stories

GE Increases Debt Buyback

Molly Smith & Ryan Beene |

The company is looking to buy back $7 billion of bonds, as part of a large-scale push to reduce its debt burden.

New Crypto Balance Sheet Alternative

Olga Kharif |

New fund option promises up to 7% annual return on a “stablecoin”-based account that would function much like a CD.

Treasury & Risk

Join Treasury & Risk

Don’t miss crucial treasury and finance news along with in-depth analysis and insights you need to make informed treasury decisions. Join Treasury & Risk now!

  • Free unlimited access to Treasury & Risk including case studies with corporate innovators, informative newsletters, educational webcasts, and resources from industry leaders.
  • Exclusive discounts on ALM and Treasury & Risk events.
  • Access to other award-winning ALM publications including PropertyCasualty360.com and Law.com.

Already have an account? Sign In Now
Join Treasury & Risk

Copyright © 2021 ALM Media Properties, LLC. All Rights Reserved.