Aracoma Alma Mine accident
On January 19, 2006, a belt line fire killed miners Don I. Bragg, 33, and Ellery Elvis Hatfield, 47, at Massey's Aracoma Alma Number 1 Mine in Logan County, West Virginia. Efforts to fight the fire were hampered by inadequate fire extinguishers, fire hose couplings which did not match the water line, and a lack of water in the lines. On December 22, 2008, Massey Energy agreed to pay $4.2 million in civil and criminal penalties for the accident. It is the largest financial settlement in the coal industry's history. The Charleston (WV) Gazette reported on January 15, 2009 that Aracoma widows Delorice Bragg and Freda Hatfield urged U.S. District Judge John T. Copenhaver to reject Massey's plea bargain and fine for the accident. Widow Bragg stated that it was clear "that Massey executives expected the Alma Mine to emphasize production over the safety of the coal miners inside."
Upper Big Branch mine disaster
On April 5, 2010, an explosion at Massey owned Performance Coal Co. mine in Montcoal, West Virginia resulted in the deaths of 29 miners. The explosion, which has become known as the Upper Big Branch Mine disaster, is the worst mining disaster in 40 years, with a greater loss of life than in any mining accident since the 1970s. The federal Mine Safety and Health Administration (MSHA) released its final report on December 6, 2011, concluding that flagrant safety violations contributed to a coal dust explosion. It issued 369 citations at that time, assessing $10.8 million in penalties. Investigators also noted the historical record of safety violations at the Upper Big Branch mine, which amassed more than 1,100 violations in the past three years, many of them serious, including 50 of them in March 2010 for violations including improper ventilation of methane and poor escape routes. Federal regulators had ordered portions of the mine closed 60 times over the year preceding the explosion. It was claimed, that the FBI had launched a probe investigating the possible bribery of federal officials overseeing mining industry regulation by Massey Energy.
Court rulings
In 1998, Hugh Caperton filed a lawsuit against A.T. Massey Coal Company alleging that Massey fraudulently canceled a coal supply contract with Harman Mining, resulting in its going out of business. In 2007, when the case came before the West Virginia Supreme Court, Caperton petitioned for Justice Benjamin to recuse himself. Benjamin declined and was ultimately part of the 3 to 2 majority that overturned the jury's $50 million verdict. In November 2008, the United States Supreme Court agreed to hear the appeal. Wal-Mart, PepsiCo, Intel Corporation, Lockheed Martin, Common Cause and Public Citizen filed briefs in the case urging the United States Supreme Court to reject the West Virginia Supreme Court's decision. The briefs contended that Justice Brent Benjamin was biased in the case. On June 8, 2009, The US Supreme Court agreed 5–4, sending the case back to the West Virginia Supreme Court, and forcing Justice Benjamin to recuse himself from the case. The New York Times opined that the case involved "egregious ethical myopia" on the part of Justice Benjamin.
In February 2003, a judge ordered Massey to pay the residents of Sylvester, West Virginia $473,000 to settle complaints that coal dust from Massey's Elk Run Processing Plant had caused health problems and lowered property values in the nearby town. In addition, the payment to the residents of Sylvester, Massey Energy was ordered to construct a cloth dome over their coal processing plant to reduce the dust.
On September 16, 2004, a civil jury ordered Massey to pay $1.54 million in damages to 245 residents of Mingo County, W. Va., who lost their water wells after Massey had mined beneath the homes. The jury concluded that Massey acted “with malicious, willful, wanton, reckless or intentional disregard for plaintiffs’ rights.”
In 2005, Wheeling, W.Va.-based steelmaker Wheeling-Pittsburgh Steel sued Virginia-based Massey Energy claiming Massey failed to deliver on a contract of 104,000 tons of coal monthly. In July 2007, a Circuit Court in Brooke County, W.Va. upheld the jury award of more than $267 million, including accrued interest. Massey appealed the case to the US Supreme Court, which declined to hear the appeal in December 2008.
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In 2005, some residents of Raleigh County, West Virginia, complained that Massey's Goals Coal Company was endangering the health and well-being of students at the adjacent Marsh Fork Elementary School. In July 2005, the West Virginia Division of Environmental Protection revoked a permit for construction of a coal silo near the school. However, some local employees and residents supported Massey Energy by arguing that the economic benefits received from the company outweigh the environmental impact to the area. 30 non-violent protestors were arrested, including actress Daryl Hannah, NASA climatologist James E. Hansen, and former West Virginia Congressman Ken Hechler. In June 2009, the West Virginia Supreme Court concluded that the Massey was allowed to build their second silo; "We therefore find that the circuit court did not err, and properly affirmed the decision of the West Virginia Surface Mine Board."
In December 2008, residents of Prenter, West Virginia filed a lawsuit claiming that underground slurry injection from a Massey coal facility, and other coal preparation plants, contaminated their underground water supply. On June 12, 2012, a confidential settlement was reached between Massey Energy and the residents of Prenter, West Virginia.
On Oct 30, 2009, Fayette County West Virginia Judge Paul Blake ruled in an age discrimination lawsuit that more than 200 miners who were not rehired after Massey Energy Co. bought a bankrupt West Virginia mine were entitled to a settlement of $8.75 million. The suit covers 229 miners, including 82 union miners. Massey has been ordered to rehire the miners. Under the terms of the settlement, the 82 union miners will each receive $38,000. The remaining miners will receive $19,000.