I reported last week on BP’s suggestion that it would appoint an independent mediator to help resolve claims relating to the Deepwater Horizon disaster. Now, BPs hand has been forced by the Obama Administration. BP announced today that it would establish a $20 billion fund to compensate victims, and that the fund would be overseen by Ken Feinberg, who oversaw the 9/11 Victim’s Compensation Fund. So BP’s process is likely to look much like that process, although we won’t know for some time whether the actual resources available will be sufficient to pay the claims that result. The success of the 9/11 fund was widely credited to the generous payments made. That may not be so easy this time around. In any event, it won’t be the mediation process BP initially outlined.