Philadelphia ( CNN ) -- The operators of two vessels involved in the `` duck boat '' accident on the Delaware River two summers ago have reached a $ 17 million settlement with the victims and the families of the two Hungarian students who died that day . The families of the Dora Schwendter and Szabolcs Prem will split $ 15 million , and nearly 20 other victims who involved in the accident will split $ 2 million . Schwendter , 16 , and Prem , 20 , died on July 7 , 2010 , when a sludge barge towed by a tugboat plowed into the disabled , 33-foot `` Ride the Ducks '' tour boat they were riding on the Delaware River , plunging the amphibious vessel and its 35 passengers and two crew members underwater . Their families filed wrongful death lawsuits against K-Sea Transportation of East Brunswick , New Jersey , which operated the tugboat guiding the barge along the river , and Ride the Ducks of Norcross , Georgia , which operated the tour boat . Ride the Ducks issued a statement saying it is `` glad to bring closure to this sad chapter '' and expressing sympathy , noting that `` as parents ourselves , we are sorry for what they have experienced . '' On the second day of a federal trial that began Monday , U.S. District Judge Thomas O'Neill , who presided in the nonjury trial , halted the proceedings and told the parties in the case to work out a settlement . The parties negotiated from noon Tuesday to late Wednesday afternoon . It was not disclosed how the payment of the settlement would be divided by the two companies . A lawyer representing the families of the two victims said the decision was a wake-up call for the transportation industry . `` To lose an only child is a parent 's worst nightmare , '' said Robert Mongeluzzi from Saltz , Mongeluzzi , Barrett & Bendesky law firm . `` They still remain in search of closure , but they wanted us to find out what happened and make sure it did n't happen again . '' During his opening statement , Mongeluzzi played a video clip of the accident that showed Schwendtner throwing a life preserver to Kyle Burkhardt , the duck boatÂ¹s first mate . `` Sixteen-year-old Dora Schwendtner throws her life preserver to Kyle Burkhard to save his life . And , because of the defendants ' failures , she lost hers , '' Mongeluzzi said . In testimony Tuesday , Kevin Grace of Waterloo , Illinois , who was aboard the duck boat with his 9-year-old daughter when it was struck , described the chaos of that day as `` the most horrific thing '' he had ever witnessed . `` The initial impact came with loud screams and cries from the rest of the people on the boat , '' Grace said . `` As I got near the window , the boat turned and pitched , and the river rose up and just swallowed us . '' He added that he was unable to secure a life jacket on himself and only managed to get one over his daughter 's head . `` The only thing I could do was reach up and grab a handful of hair and just hold on , '' he said . `` Under no circumstances was I going to let go . Her lifeline was my hand on her hair . '' `` It was like being a washing machine with a bunch of strange objects , shoes and clothes and people people flailing underwater , '' he said . The distracted tugboat pilot who crashed the barge into the sightseeing craft is serving time in federal prison for his criminal conduct associated with his role in the accident , federal prosecutors said . Matthew R. Devlin , 35 , of Catskill , New York , pleaded guilty on August 1 , 2011 , to one count of misconduct of a ship operator causing death , and was sentenced to a year and a day . In addition to the prison time , he also will spend three years on supervised release . Devlin admitted that he was distracted by his cell phone and laptop for an extended period of time before the collision , that he piloted the tug , the Caribbean Sea , from its lower wheelhouse where he had significantly reduced visibility , and that he did not maintain a proper lookout or comply with other essential rules of seamanship , according to federal prosecutors . He also surrendered his Coast Guard-issued license as a mate , according to federal prosecutors . Based on federal sentencing guidelines , Devlin could have received up to four years in prison . CNN 's Michael Teng contributed to this report .
The families of the Hungarian students who died will split $ 15 million . The disabled ` ` of the Ducks '' tour boat was struck by a barge on July 7 , 2010 . Survivors of accident receive $ 2 million in settlement for $ 17 M ##Y . Pilot of the tugboat is serving jail time for causing the accident .