Beware: Southern California Edison Rolls Out Eaton Fire Settlement Offer

The devastating Eaton Fire is once again making headlines as Southern California Edison rolls out a new compensation program for victims whose lives were forever changed by the flames that swept through Altadena and surrounding areas between Jan. 7 and Jan. 31, 2025.

The fire destroyed and damaged thousands of homes and claimed 19 lives. And while victims are doing their best to rebuild and return to a sense of normalcy after losing loved ones and entire homes, the harsh truth is that no amount of money can ever replace what was lost.

Yet, as Edison faces potential legal consequences after most evidence is pointing at a faulty piece of equipment as the cause of the disaster, the company is offering a settlement to those affected. However, this agreement requires participants to waive their right to sue or receive future compensation from a larger class-action lawsuit.

A Closer Look at Edison’s Offer

The Wildfire Recovery Compensation Program includes payments for:

• Homeowners and tenants for total structure loss, partial structure loss, or non-burn damage such as from smoke, soot, and ash on eligible properties.

• Business owners for property and interruption losses on eligible properties.

• Physical injury (hospitalization or outpatient treatment between Jan. 7-15, 2025)

• Personal representatives of estates for those who died before Jan. 31, 2025 as a result of physical injuries directly caused by the Eaton Fire.

There are four types of compensation available through the program:

• Economic Loss

• Non-Economic Loss

• Direct Claim Premium

• Attorneys’ Fees

You can find more information on each category HERE.

The amount SCE pays fire victims will be determined on a case-by-case basis. They will be paid according to the level of damage their home has sustained. The only fixed rates being offered, BEFORE insurance offsets, are from the Direct Claim Premium. The Direct Claim Premium is a uniform amount applied per claimant group per category.

This “comprehensive” program feels far less like justice and far more like a get-out-of-jail-free card for Edison. It is also targeting the victims’ weak spot as the sooner they accept a large sum of money, the sooner they can get ahead on their journey to recovery.

Under Edison’s plan, survivors can choose between two tracks:

• An option known as “Fast Pay”, provides an offer within 90 days for a limited review of the victim’s damage. This option provides victims with low non-negotiable payments and applies insurance offsets.

• A slow-pay option known as the “Detailed Review” can take up to nine months for a more detailed assessment which in turn could mean a higher payment than the “Fast Pay” option.

The company has emphasized that this program “is not an admission of guilt.” And that’s exactly the issue, Edison has not yet been held legally responsible for the fire.

Our Client’s Story: Cecilia’s Escape From the Eaton Fire

Our client, Cecilia Turcios, is among the many Altadena residents who lost everything in the Eaton Fire. Without any official evacuation order or warning, Cecilia was forced to rely on instinct alone to survive the night her house went up in flames.

In the middle of the night, she smelled smoke, which was her only warning, and rushed to wake her neighbor, Ana Medina, before fleeing her home with seconds to spare.

Click HERE to hear more about Cecilia’s inspiring story.

It’s people like Cecilia behind each payout. They’re not just numbers or people you can throw checks at and hope for smiles in return. They are all people with traumatic yet inspiring stories. They are living and grieving a life and pushing through unexplainable pain and unimaginable loss.

We Want Justice, Not Just a Pay Out

While Edison’s settlement may seem like a straightforward solution, and a quick way to get victims back on their feet, it’s critical to remember what’s at stake. Once you accept their offer, you lose your right to pursue further legal action, even if new evidence or a class-action verdict later provides a much larger recovery.

At CD Law, we believe your losses deserve more than a quick payout. Miguel Custodio says, “This settlement may seem convenient, but it’s designed to protect Edison, not the victims. You only get one chance to fight for what’s fair. Don’t let them decide what your loss that they caused is worth.”

Before you sign anything, talk to an attorney. You deserve experienced legal counsel who will stand up to powerful corporations and make sure you get the maximum compensation possible for the unimaginable losses you’ve endured.