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The utility whose equipment has been linked to the devastating Eaton fire in January is offering to pay fire survivors. But if they accept, they would be giving up their right to sue.
Oct. 29, 2025Updated 12:20 p.m. ET
It has been almost 10 months since the ferocious, wind-whipped Eaton fire tore through neighborhoods in eastern Los Angeles County, upending life for thousands of residents. Now, the victims are preparing to learn what their suffering may be worth.
Southern California Edison — the utility that owns the decommissioned power line that may have started the fire — made a sweeping offer on Wednesday to pay families affected by the blaze hundreds of thousands or even millions of dollars in compensation.
The Eaton fire ravaged Altadena, an idyllic foothill community northeast of downtown Los Angeles, killing 19 people, destroying thousands of homes and damaging thousands more. Although state fire investigators have not officially determined the cause, evidence suggests that the utility’s equipment played a key role.
The company on Wednesday launched its program to compensate victims for rebuilding costs, lost rental income, physical injuries and other economic damages. Altadena residents are also eligible for other payouts for “non-economic losses,” such as pain and suffering and emotional distress, depending on their circumstances. Each adult resident of a house that burned down, for instance, is eligible to receive $115,000 and each child is eligible for $75,000. A surviving spouse of someone who died in the fire is eligible for $2 million.
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Survivors have until Nov. 30, 2026, to decide whether to take the utility up on its offer — and forfeit the right to sue — or to hold out for a legal settlement that could be larger but take years to be resolved.
