Judge Says First BP (NYSE:BP) Trial Starting in 2011

In a hearing on Friday, U.S. District Judge Carl Barbier said the first trial for BP (NYSE:BP) in relationship to the Gulf of Mexico oil spill could be as early as June 2011.

The comments by Barbier were made at a hearing concerning claims filed against BP under the 1990 Oil Pollution Act.

According to the Act, BP and others have an economic cap of $75 million. While BP has stated in the past they would honor claims beyond that amount, recently they've signaled they may pull back on that assertion.

Another trial has been set for February 2012 where it will be determined how much liability, measured by percentage, each company will hold in connection to the disaster.

BP (NYSE:BP) to be Sued by Justice Department

In a court filing on Monday, the Justice Department said they will probably sue BP (NYSE:BP) for damages related to the Gulf of Mexico oil spill from the Deepwater Horizon.

The filing was with the U.S. District Court in New Orleans, Louisiana.

If they proceed, claims against BP would be based on the Clean Water Act and the Oil Pollution Act,

The Oil Pollution Act was put in place after the oil spill from the Exxon-Valdez (NYSE:XOM).

It wasn't clear if they're going to wait to see if BP will be tagged with a "gross negligence" label, which would significantly increase the potential penalties.