New Lockerbie Act Funds $42 Million Trust for Specific Group of Pan Am Employees

The “Justice for the Living Victims of Lockerbie Act” establishes a dedicated trust fund of $42,066,338 within the U.S. Treasury specifically for compensating a very narrow group of individuals affected by the 1988 Lockerbie bombing. The bill mandates the Secretary of the Treasury to set up the fund within 30 days of enactment and appropriates the money immediately. This legislation is laser-focused on providing financial relief to a specific cohort of victims who have been waiting for resolution.

The Ultra-Specific Eligibility Checklist

This bill doesn’t just cover anyone affected by the Libyan-sponsored terrorism; it creates one of the most restrictive definitions you’ll see in a compensation bill. To qualify as a “compensable living victim of Libyan State-sponsored terrorism,” you must meet all four of these requirements: you must be a U.S. person; you must have been 45 years or older on December 3, 1991; you must have been employed by Pan American World Airways, Inc. (Pan Am) on that date; and you must have been a named claimant in a specific lawsuit (Abbott et al. v. Socialist Peoples Libyan Arab Jamahiriya) and alive on August 14, 2008 (SEC. 2). Essentially, if you were a former Pan Am employee who was part of a specific legal fight and met the age and survival criteria, this bill is for you. If you were impacted by the same events but don't tick all four boxes—say, you were a family member of a victim or worked for a different company—this fund does not cover you.

The Race to File a Claim

The bill sets up a tight, fast-moving administrative schedule. The Foreign Claims Settlement Commission (FCSC) has 30 days to publish a notice detailing the claims process, and victims then have a maximum of 60 days to file their claims (SEC. 4). If you are one of the eligible victims, you need to be ready to move quickly once the notice hits the Federal Register. The FCSC then has another 60 days after the filing period closes to review the claims, determine who qualifies, and certify the approved list to the Treasury for payment. This rapid timeline is designed to ensure that compensation is finally delivered without years of bureaucratic delay.

Calculating the Final Payout

Here’s the key detail for anyone watching their bottom line: the total compensation pool is fixed at $42,066,338 (SEC. 3). The final payout for each certified victim is determined by dividing that total amount by the exact number of approved claimants (SEC. 4). If 100 people qualify, the individual award is $420,663.38. If 200 people qualify, the award drops to $210,331.69. The bill ensures that the money is distributed fairly among the eligible group, but it also means that the individual benefit is entirely dependent on how many people ultimately meet the very strict criteria. For those who meet the criteria but are now deceased, the bill allows a personal representative to file a claim on behalf of their estate, ensuring the compensation reaches the families.