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Contract Terms Liability Oil & Gas

McGinnis Lochridge

Winter Storm Uri and Force Majeure: The Legal Battles Continue

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Winter Storm Uri sent shockwaves through Texas, freezing gas supplies at a time of critical need and plunging the state into widespread power outages. In the aftermath, the courts have been flooded with force majeure claims,...more

Gray Reed

Louisiana Oilfield Anti-Indemnity Act Nullifies an Indemnity Obligation

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In In the Matter of Offshore Oil Services, Inc., Offshore owned and operated the M/V Anna. Offshore sued Island Operating Company for exoneration and/or limitation of liability for a personal injury claim by an employee of...more

BakerHostetler

The 5th Circuit’s Second Thoughts on Oilfield Indemnity Limitations

BakerHostetler on

The Fifth Circuit’s recent opinions in Cimarex Energy Co., et al. v. CP Well Testing, L.L.C. (2022) and Century Surety Co. v. Colgate Operating, L.L.C. (2024) provide divergent interpretations of how the Texas Oilfield...more

Gray Reed

Broad Form Indemnities in Construction Contracts (UPDATED)

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Broad form indemnities are common in Texas construction contracts, even though indemnifying someone for their own negligence is a tough pill to swallow.  ...more

Oliva Gibbs

The Texas Division Order Statute: How It Works and Who It Serves to Protect

Oliva Gibbs on

A division order is a statement executed by all owners of interests in an oil and gas well.  The division order’s essential purpose is to “authorize and direct to whom and in what proportion to distribute” proceeds from the...more

Gray Reed

Who is responsible for the negligence of the “company man” on the well?

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Parkman v. W&T Offshore, Inc., et al features two contractors playing hot potato over liability for a company man’s alleged negligence. The takeaway: Write your Master Service Agreement to address your liability concerns, and...more

Gray Reed

Texas Court Addresses MSA Indemnity Obligations

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At issue in RKI Exploration and Production LLC v. AmeriFlow Energy Services LLC and Crescent Services, LLC. were two Master Service Agreements.  RKI was the operator of a well in Loving County; AmeriFlow and Crescent were...more

Gray Reed

Coronavirus and the Energy Industry: Drilling into Force Majeure Clauses

Gray Reed on

Many oil and gas contracts – leases and JOAs for example – have force majeure clauses. The purpose is to allow contracting parties to suspend or terminate performance when certain circumstances arise that are beyond their...more

Gray Reed

Original Louisiana Lessee Can’t Escape Liability

Gray Reed on

Louisiana practitioners and their clients tend to know this particular point of Louisiana law, but it could surprise out-of-staters (known in their native habitat as “Texans”), so it’s worth a reminder...more

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