Ethanol Fuel Tank Damage Suit

Posted by Alan Sorum Apr 7, 2008

Problems related to use of ethanol blended gasoline have been highlighted here in the Boating and Sailing Section of Suite101. Now the law firm of Kabateck Brown Kellner, a business known for tackling consumer related issues, is suing a number of major oil industry companies for the damage caused to fiberglass fuel tank from ethanol blended fuel.

Ethanol has been linked to problems with fiberglass fuel tanks, phase separation of water in tanks, damage to fuel system components, and engine failures. ExxonMobil, Chevron, British Petroleum, Shell, Valero, Tesoro, ConocoPhillips, Tower Energy, PetroDiamond, and Big West are among the companies that manufactured and sold ethanol to boaters named in the law suit.

In a press release, Managing Partner Brian Kabateck says, "The price of gas is bad enough, but selling gasoline that dissolves gas tanks is a new low even for the oil companies. The oil companies know this fuel is corrosive, but they're keeping consumers in the dark to pump up their profits. The cost to the consumer is thousands of dollars in repairs." The law firm points out that ExxonMobil recorded a profit of $40.6 billion and Chevron $18.7 billion in 2007.

Ethyl alcohol has become a popular additive to gasoline. Oil companies used MTBE or methyl tert-butyl ether to boost octane and oxygenate fuel, but MTBE has been linked extensive groundwater contamination problems throughout the country. Boaters found out that adding ethanol blended gasoline to fuel tanks containing fuel blended with MTBE created problems. The ethyl alcohol used in ethanol is a powerful solvent and dissolved the resins used in some fiberglass fuel tanks.

The suit was filed in U.S. District Court, Central District of California in Los Angeles. Kabateck Brown Kellner are seeking to represent all boat owners that filled their fiberglass fuel tanks with ethanol from a California retailer.