News & Analysis as of

Contract Disputes Supreme Court of the United States Oil & Gas

Gray Reed

It’s Been Decided, In Texas the Mineral Lessee, Not the Surface Owner, Owns Produced Water

Gray Reed on

In Cactus Water v. COG Operating, the Supreme Court affirmed that mineral lessee COG, not water rights owner Cactus (who derived it rights from the surface owner), has the right to possession, custody, control, and...more

Pillsbury - Gravel2Gavel Construction & Real...

From Waste to Wealth: Texas Supreme Court Ruling in Cactus Water Defines Produced Water Ownership, Sets Stage for Clarity on...

On June 27, 2025, the Texas Supreme Court issued its long-awaited decision in Cactus Water Services, LLC v. COG Operating, LLC, No. 23-0676, resolving a high-stakes dispute over the ownership of produced water—a vexing...more

Morgan Lewis

Supreme Court to Resolve Federal Officer Removal Circuit Split in WWII Contracts Case

Morgan Lewis on

The US Supreme Court on June 16, 2025 granted certiorari for an appeal from a divided opinion by the US Court of Appeals for the Fifth Circuit relating to the federal officer removal statute. The appeal comes after a jury...more

Bracewell LLP

Texas Supreme Court Affirms Mineral Estate Ownership of Produced Water in Landmark Ruling

Bracewell LLP on

In a significant decision for Texas property and energy law, the Texas Supreme Court has affirmed the Eighth Court of Appeals’ ruling in Cactus Water Services, LLC v. COG Operating, LLC, holding that produced water — a...more

WilmerHale

SCOTUS to Decide the Scope of Federal Officer Removal for Federal Contractors

WilmerHale on

On Monday, June 16, 2025, the U.S. Supreme Court granted certiorari in Chevron U.S.A. Inc. v. Plaquemines Parish, a case about the extent to which federal contractors can remove lawsuits to federal court under the federal...more

Vinson & Elkins LLP

Texas Supreme Court Clarifies Ownership of Salt Caverns

Vinson & Elkins LLP on

On May 16, 2025, the Texas Supreme Court issued a decision ruling that, absent specific contractual language, surface owners retain ownership of the caverns created by salt mining operations. The issue of ownership of salt...more

Gray Reed

Two Words = Six Million Dollars: SCOTX Reverses Trial Court That Added Words to a Gas Transportation Agreement

Gray Reed on

In American Midstream (Alabama Intrastate), LLC v. Rainbow Energy Marketing Corporation, the Texas Supreme Court held that the trial court improperly inserted the words “scheduled” and “physical” into a contract. By...more

Gray Reed

Texas Supreme Court Decides Who Must Produce to Maintain an Oil and Gas Lease

Gray Reed on

In Cromwell v. Anadarko E & P Onshore LLC the Supreme Court of Texas did what it so often does: In order to provide “legal certainty and predictability”, the Court considered the plain language of a contract in order to...more

Bracewell LLP

Surface vs. Mineral Owners: Texas Supreme Court Settles Salt Cavern Ownership Dispute

Bracewell LLP on

The Texas Supreme Court has settled the issue of who owns the voids, known as salt caverns, created in subsurface salt formations (whether naturally occurring or caused as a result of salt mining operations). In...more

McGinnis Lochridge

Who Owns the Empty Space? Texas Supreme Court Affirms Surface Ownership of Salt Caverns in Landmark Ruling

McGinnis Lochridge on

In Myers-Woodward, LLC v. Underground Services Markham, LLC, No. 22-0878, 2025 WL 4356581 (Tex. May 16, 2025), the Texas Supreme Court resolved two significant issues affecting mineral owners and surface owners: (1) who owns...more

Baker Botts L.L.P.

Write it Down or Forever Hold Your Peace: Texas Supreme Court Rejects Fraud Claims Based on Oral Representations in Mineral Deals

Baker Botts L.L.P. on

On Friday, May 9th, the Supreme Court of Texas addressed important issues regarding the enforcement of written contractual representations in its per curiam opinion styled Roxo Energy Co., LLC et al. v. Baxsto, LLC, ---...more

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