News & Analysis as of

Contract Interpretation Breach of Contract

Gray Reed

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

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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

DarrowEverett LLP

The Business Value of Engaging a Litigator Before You Are In Court

DarrowEverett LLP on

The point when what began as a negotiation, or even a conversation, ripens into a full-blown lawsuit is rarely clear. Yet it is certainly clear that the courtroom is not where any of the parties to a once-promising business...more

Bennett Jones LLP

What Class Action Settlement Costs Will A Defendant’s Insurer Cover? The Ontario Superior Court of Justice Provides Some Answers

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In Tokio Marine & Nichido Fire Insurance v Honda Canada, 2025 ONSC 2856, the Ontario Superior Court upheld an arbitral panel's conclusion that an umbrella insurance policy covered settled class counsel fees, but not...more

Gray Reed

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

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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

Bradley Arant Boult Cummings LLP

Whose Terms Govern? An Introduction to the Battle of the Forms

For construction lawyers, the Battle of the Forms presents a familiar fact pattern. A material supplier/seller provides a potential buyer with a price quote along with its standard terms. The buyer, usually a contractor or...more

McGinnis Lochridge

Texas Supreme Court Clarifies Limits of Shut-In Payment Notations in Lease Disputes

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In this case (Scout Energy Mgmt., LLC v. Taylor Properties, No. 23-1014, 2024 WL 5249490 [Tex. Dec. 31, 2024]), the Texas Supreme Court held that vague notations on shut-in royalty check receipts cannot modify an unambiguous...more

Gray Reed

Operator Excused from Texas Relinquishment Act Claims

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In Williams O & G Resources, LLC v. Diamondback Energy, Inc., a federal magistrate judge concluded that the Texas Relinquishment Act does not apply to public-school lands patented after 1931. The report and recommendation was...more

Blake, Cassels & Graydon LLP

Nouvelle clause contractuelle : Efforts raisonnables et diligents sur le plan commercial à la date la plus rapprochée possible

Dans l’affaire récente Epix Developments Ltd. v. Bonnis Development Union Street Limited Partnership (l’« affaire Epix ») (en anglais), un tribunal en Colombie-Britannique s’est penché sur l’interprétation d’une nouvelle...more

Mayer Brown

Legal Developments in Construction Law: May 2025

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1. ABSENCE OF NOVATION SINKS ADJUDICATION AWARD AGAINST ASSIGNEE - A contractor obtained an adjudication award against an assignee of its employer, which had gone into administration.  But was that assignee the correct...more

Warner Norcross + Judd

Michigan Court of Appeals Splits with Federal Courts and Holds Standard Stellantis Contract Terms Enforceable

Warner Norcross + Judd on

Earlier this week, the Michigan Court of Appeals issued its opinion in FCA US, LLC v. Kamax Inc., et al., the latest in a string of court decisions interpreting the enforceability of supply chain contracts in the wake of the...more

McGinnis Lochridge

All Depths or Just One Formation? Court Clarifies Royalty Conveyance in Rock River v. Pioneer

McGinnis Lochridge on

This recent case (Rock River Minerals, LP v. Pioneer Nat. Res. USA Inc., No. 08-23-00216-CV, 2024 WL 4528917 [Tex. App.—El Paso Oct. 18, 2024, no pet. h.]) explored whether an assignment of an overriding royalty interest,...more

Blake, Cassels & Graydon LLP

From Court to Contract: Navigating Recent Supreme Court and Appellate Decisions

Recent Canadian case law is reshaping how legal drafters should approach contractual clauses. Key decisions, including rulings from the Supreme Court of Canada and appellate courts in British Columbia, Alberta, Ontario and...more

Robinson+Cole Construction Law Zone

The Importance of Indemnification Clauses in Managing Post-Completion Project Risk

Claims against design professionals often pose unique challenges when such claims are dually rooted in both tort and contract theories, and therefore subject to competing time limitations. In order to reconcile these...more

Gray Reed

Uri Force Majeure Cases Still Percolating

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Thought you’d heard the last of force majuere cases arising from Winter Storm Uri? Think again. In Marathon Oil Company v. Koch Services LLC. the question was how to measure damages suffered by Koch for Marathon’s...more

Husch Blackwell LLP

Fifth Circuit: "Manifest Disregard of the Law" Cannot Be Grafted to FAA as a Basis for Vacatur of Arbitration Award

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In affirming a district court’s denial of a petition to vacate an arbitration award, the U.S. Court of Appeals for the Fifth Circuit recently rejected the argument “that manifest disregard of the law remains viable as an...more

Blake, Cassels & Graydon LLP

Commercially Reasonable and Diligent Efforts at the Earliest Possible Date: A Novel Contract Clause

The recent case of Epix Developments Ltd. v. Bonnis Development Union Street Limited Partnership (Epix) addressed the interpretation of a novel compound contractual clause following the termination of an agreement due to a...more

Conn Kavanaugh

Update Your Construction Contract! Massachusetts Supreme Judicial Court Holds that Breach of Contractual Indemnity Provision is...

Conn Kavanaugh on

Under the Massachusetts statute of repose, tort claims involving improvements to real estate generally must be initiated within six years of the improvement’s opening to use. So, for example, if a worker suffers a jobsite...more

Gray Reed

Geophysicist’s Claims Turn on Definitions

Gray Reed on

Sewak v. Sutherland Energy Co. Ltd. is of interest for how the court defined terms commonly used in consulting contracts in the oil and gas industry, and how difficult it is to foresee all contingencies when negotiating a...more

Clark Hill PLC

California Supreme Court holds that limitations of liability provisions are unenforceable for willful conduct under Civil Code...

Clark Hill PLC on

In response to a request from the Ninth Circuit Court of Appeals to interpret the scope of California Civil Code section 1668 and its rule that parties may not contract away liability for “willful injury to the person or...more

Marshall Dennehey

General Contract May Be Entitled to Award of Attorneys’ Fees Against Subcontractor, Despite Jury’s Apportionment of Damages

Marshall Dennehey on

Babin Builders and Development Inc. v. Quinones, Fla. 1st DCA, No. 1D2022-4103, February 12, 2025 - For construction defect litigation, many times we are called into action to defend a subcontractor who has been included as a...more

BCLP

Does “Back to Back” Mean “Pay When Paid” in Construction Contracts?

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In Sze Fung Engineering Limited v Trevi Construction Company Limited [2025] HKCA 278, the Hong Kong Court of Appeal (“CA”) ruled that the “back to back” wording in that case was not a “pay when paid” clause, but governed only...more

Allen Matkins

Nevada Supreme Court: Judge, Not Jury, Decides Unambiguous Contract

Allen Matkins on

In 2011, a local water district in Nevada entered into a lease agreement with Paradise Canyon, LLC to provide shares of water for irrigating the Wolf Creek Golf Club.   The lease agreement granted Paradise Canyon a right of...more

BCLP

Reminder of the Principles of Assignment

BCLP on

In this Insight, Katharine Tulloch takes a look at the case of Grove Construction (London) Limited v Bagshot Manor Limited [2025] EWHC 591 (TCC) which provides a welcome reminder of the care which should be taken when...more

Jenner & Block

The Importance of Drafting Precise Earnout Provisions in M&A Transactions

Jenner & Block on

In spring 2019, Pacira Biosciences, Inc. (Pacira) acquired MyoScience, Inc. (MyoScience). At the time of the merger, MyoScience only had one product, called “iovera,” which is a handheld device used primarily for pain relief....more

Zelle  LLP

Any is Not All and The Future is Not Now: The Contours of the Cosmetic Damage Exclusion Taking Shape

Zelle LLP on

In Iyengar v. Liberty Insurance Corporation, No. SA-21-CV-1091-FB, 2024 WL 5505300 (W.D. Tex. Dec. 13, 2024), District Judge Biery denied Plaintiffs’ Motion for Clarification regarding Magistrate Judge Bemporad’s...more

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