When must a neighbor sue for nuisance and trespass or else be barred by limitations? It’s a tricky question. In Town of Dish et al v. Atmos Energy et al, the Texas Supreme Court concluded that the claims were time-barred. The...more
We know that in Texas the mineral owner has the right to explore for and produce the minerals. What does that leave for the surface owner? In Lightning Oil Company v. Anadarko E&P Onshore, LLC the Texas Supreme Court tells us...more
You are a service company and you’ve been sued for a defective frac job. It looks scary but there’s no detail in the petition and no certificate of merit is attached. ...more
Sierra Club v. Chesapeake Operating LLC et al is news more shocking than “Man Bites Dog”! A federal court has acknowledged that others are better equipped to address certain issues than the judiciary!...more
4/27/2017
/ Abstention ,
Earthquakes ,
Energy Sector ,
Environmental Claims ,
Environmental Protection Agency (EPA) ,
Fracking ,
Oil & Gas ,
Public Health ,
RCRA ,
Seismic Data ,
Underground Injection Wells ,
Wastewater
One of the hottest issues from 2016 was whether an E&P debtor can reject, under section 365 of the Bankruptcy Code, an above-market midstream contract. Given the potential for a “no-win” situation, in all but one case where...more
In BP America v. Laddex, Ltd. the Texas Supreme Court affirmed that in a lease termination case the trial court cannot limit the jury’s consideration of production in paying quantities to an arbitrary time period. The court...more
How to distinguish an oil and gas lease from a mineral deed? In Richardson v. Mills, it was a deed when the instrument uses words like “forever” and imposes no duty to explore for and develop minerals....more
A phrase currently in common usage begins with “‘cluster” and ends with a vulgarity that has been around for centuries. Saheid v. Kennedy presents facts that pretty much exemplify the meaning of the phrase...more
McCabe Trust v. Ranger Energy LLC, is the consequence of failing to comply with the Texas Property Code when correcting real property conveyances....more
Prevails over what, you ask? In Gladney v. Anglo-Dutch Energy, LLC, a conditional allowable from the Office of Conservation didn’t supersede lease royalty obligations....more
It was a bad day for the Parrs in Aruba Petroleum v. Parr. The trial court judgment was against the operator for intentional nuisance. The Parrs recovered $2.9 million for pain and suffering and mental anguish and for loss of...more
2/14/2017
/ Contamination ,
Damages ,
Discharge of Pollutants ,
Energy Sector ,
Evidence ,
Fair Market Value ,
Land Owners ,
Nuisance ,
Oil & Gas ,
Oil Wells ,
Pain and Suffering ,
Residential Real Estate Market
First, a promise: I won’t report on another arbitration case until there is more to say than “business as usual”. Second, an opinion: Arbitration is still the right forum in many situations. Third, remember: An award and a...more
According to Enterprise Te Products Pipeline Company v. Avila, it is the value of the expropriated property, even if it is as little as 33 cents each to the landowners. This seemingly small case must have had big potential...more
We begin with an existential question:
“The philosophy behind all of the model form agreements is that aggressive drilling under the JOA should be promoted and rewarded.
Agree or disagree?
...more
Today’s “pay attention” edition begins with a quiz. What is the most important thing to read carefully:
a. Speed limit sign in small-town (insert name of Southern state).
b. Itinerary for that dream vacation, the...more
Let’s look back at a cavalcade of crooks, criminals and miscreants who met up with justice in 2016. We do it to be reminded of the others who will be lurking in the 2017 shadows....more
1/6/2017
/ Biofuel ,
Cease and Desist Orders ,
Criminal Conspiracy ,
Energy Sector ,
Enforcement Actions ,
Fraud ,
Hackers ,
Mail Fraud ,
Oil & Gas ,
Ponzi Scheme ,
Popular ,
Securities and Exchange Commission (SEC) ,
Securities Exchange Act ,
Securities Fraud ,
Securities Violations ,
Tax Fraud ,
Wire Fraud
You might conclude that the but-for-the-grace-of-God-that-could-be-me nightmare presented in In re: RPH Capital Partners is instructive only for lawyers. If so, you would be mistaken. The lesson: If you want to win the...more
Westport Oil & Gas Company, L.P. v. Mecom et al. presented this question: Was the lease royalty based on a gas purchase agreement formula or on the royalty clauses’s market value at the well provision?
Spoiler alert:...more
It’s a multiple choice question:
a. The royalty interest reserved by the lessor.
b. The drillbit, courtesy of fearless, risk-taking entrepreneurs, the backbone of the great American free enterprise system and the...more
Are Louisiana courts as enamored with arbitration as their Texas counterparts? Looks like it. East of the Sabine, submitting your dispute to arbitration means you are pretty much saying adieu, farewell and bye-bye to...more
Today we venture into Oklahoma, to be instructed on the Supreme Court’s treatment of the Rule Against Perpetuities. First, the Rule: No property interest is good unless it must vest, if all, not later than 21 years after...more
North Shore Energy v. Harkins interpreted an Option Agreement between landowners and a producer over a 400 acre tract. In football they would say the Texas Supreme Court pancaked the plaintiff. In the law, some would call it...more
11/17/2016
/ Ambiguous ,
Appeals ,
Breach of Contract ,
Contract Interpretation ,
Contract Terms ,
Energy Sector ,
Mineral Leases ,
Oil & Gas ,
Property Owners ,
Tortious Interference ,
TX Supreme Court
Just received notice of a Texas subcontractor’s mineral lien? DO NOT continue to pay the contractor. He hasn’t paid the subcontractor. Think you owe nothing on the well on which the lien will be filed? Think what you owe the...more
We begin with a Rorschach test. As the big election day approaches, which candidate do you see in the photograph? Discuss among yourselves.
Get ready for lots of musical interludes. The nation’s despair runs deep and...more
The lessons in Craddick Partners Ltd. v. EnerSciences Holdings, LLC are three: Parties who have not signed an agreement to arbitrate have standing to compel arbitration; artful pleading to avoid arbitration won’t work; and...more