The takeaway from DDR Weinert, Limited et al v. Ovintiv USA Inc. is that equitable recoupment rescued a royalty payor from its mistaken payment of royalties. But first,
The events.
The Richters were mineral lessors...more
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
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
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
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
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
An understanding of Willis v. Barry Graham Oil Service LLC requires knowledge of two principles underlying the Louisiana Anti-Oilfield Indemnity Act:
The LOAIA bars an oilfield agreement to the extent that the agreement...more
The growling and barking presented by a claim for tortious interference is often far worse than the bite. Consider Segundo Navarro Drilling, Ltd. v. Chilton , which is a good example of that phenomenon in an oil and gas...more
Texas Crude v. Burlington Resources Oil and Gas considers the relationship between the operator and non-operators under Articles V and VI of the 1982 Model Form Joint Operating Agreement....more
In Steelhead Midstream Partners, LLC v. CL III Funding Holding Company, LLC, the Texas Supreme Court authorized a pipeline owner’s breach-of-contract claim—alleging a co-owner used foreclosure to avoid cost-sharing...more
3/14/2025
/ Appellate Courts ,
Breach of Contract ,
Contract Terms ,
Dispute Resolution ,
Enforcement Actions ,
Foreclosure ,
Jurisdiction ,
Oil & Gas ,
Pipelines ,
State and Local Government ,
TX Supreme Court
Boren Descendants et al v. Fasken Oil and Ranch, LTD, offers something to talk about beyond interpretation of the fixed-or-floating NPRI question. At issue was this reservation, expressed as a double fraction, in a 1933...more
Kouatli v. Endeavor Energy Resources L.P. offers valuable (and obvious) lessons on how NOT to perform a Master Service Agreement in the oil patch (or, per Billly Bob and friends, “The Patch”), to wit...more
The message in RSM Production Corporation v. Gaz du Cameroun SA: According to the federal Fifth Circuit, an arbitration tribunal’s construction of a contract and the arbitration rules governing the dispute “hold, however...more
MDC Enegy LLC v. Crosby Energy Services Inc. et al. was an indemnity dispute in which the players were many and the facts complicated.
But first...more
Maverick Natural Resources, LLC at al v. Glenn D. Cooper Oil & Gas, Inc. is for control freaks wherever you are … and for those of you who advise the aforesaid control freaks....more
The outcome of a multimillion-dollar suit was in the hands of a jury of 12 good and honorable citizens. The question: Was a certain party an agent, consultant, contractor, or none of the above? One side wanted the jury to be...more
And what a difference it was! In Apache Corp. v. Apollo Expl. LLC et al, Apache and others acquired an oil and gas lease on 100,000+ acres in the Texas Panhandle. The primary term was three years. The effective date was...more
As you negotiate your master service agreements are you confident that you know how insurance choices might affect indemnity obligations? Me neither. That’s why I turn to my Gray Reed partner Darin Brooks and his insurance...more
4/19/2023
/ Breach of Contract ,
Commercial Insurance Policies ,
Contract Disputes ,
Contract Terms ,
Denial of Insurance Coverage ,
Exxon Mobil ,
Indemnity ,
Insurance Claims ,
Master Service Agreement ,
National Union ,
Oil & Gas ,
Umbrella Policies ,
Workplace Injury
Ellison v. Three Rivers Acquisition LLC et al., on remand from the Texas Supreme Court, is the third round of a boundary dispute between mineral lessees in Irion County.
For the history of Ms. Ellison’s odyssey from...more
Let’s begin with a quiz. Armour purchases non-recourse mortgage notes, becoming a lienholder in 99 oil and gas leases and 13 wells; fails to record the transfer documents in the real property records; assigns the leases to...more
The question in litigation is usually “WHAT”: what happened, what contract was breached, what did someone do or fail to do, and so on. In Hughes v. CJM Resources, LP, the question was, “WHO” had the right to file the suit in...more
5/12/2022
/ Breach of Contract ,
Contract Terms ,
Critical Infrastructure Sectors ,
Deeds ,
Energy Projects ,
Mineral Exploration ,
Mineral Extraction ,
Mining ,
Natural Resources ,
Notice of Right to Sue ,
Oil & Gas ,
Standing
Here we go again, in Gary and Theresa Poenisch Family Ltd. P’Ship v. TMH Land Servs., Inc., learning that a purported Texas land transaction will not be enforced if the parties fail to comply with the Statute of Frauds....more
Let’s begin with a question: Master service agreements (“MSA’s” in the trade), once agreed upon, often remain in force for years. As time passes and circumstances change, the parties amend, sometimes losing sight of the...more
Sometimes writing too many alternatives into an oil and gas lease invites confusion … which provokes litigation … which results in disappointment for somebody … or everybody. ...more
Most bills filed in each legislative session fail. For the most part we are thankful for that. But today we summarize a few that survived while you weren’t paying attention. ...more
9/9/2021
/ Breach of Contract ,
Cause of Action Accrual ,
Emergency Management Plans ,
Eminent Domain ,
Energy Policy ,
Energy Reform ,
Fracking ,
Horizontal Wells ,
Land Owners ,
Legislative Agendas ,
Natural Gas ,
Natural Resources ,
Oil & Gas ,
Public Utilities Commission ,
Quitclaim Deeds ,
Regulatory Agenda ,
Regulatory Standards ,
Royalties ,
Solar Energy