A Quiz:
“Sazerac”: (a) The bar in the Roosevelt Hotel in New Orleans, (b) A wholly-owned subsidiary of the oil field company with the blue trucks, (c) Cyrano, the French guy with the big nose, (d)
Bonus Post – In Search of the Perfect Sazerac
Reformation For Mutual Mistake Is Not Available to a Negligent Party
My, how times change! In a suit that brings the chaos, frenzy, and all-embracing madness of 2008 Haynesville leasing activity into focus, Hall Ponderosa LLC vs. Petrohawk Properties L.P. held that reformation of an oil and
Buyer Recovers Damages for Over-Produced Gas Wells
Petro-Hunt L.L.C. vs. Wapiti Energy L.L.C. causes one to think about the effect of a gas imbalances on a producing property acquisition and the importance of so-called “boilerplate” in the purchase agreement. It is also the saga of a bad day at the plate for the seller.
Let’s say I sold you an interest in
An Operating Agreement Can Be a Covenant Running With the Land
I promise this will be the last post in a while on covenants running with the land. I think we all get it by now (This topic was discussed in my August 1 post).
The Result
A Joint Operating Agreement referenced in documents that is in a party’s chain of title and is, by its
Reservoir Engineers Could be Liable for Aiding and Abetting
Highland Capital Mgmt., L.P. et al v. Ryder Scott Co. shows how far a plaintiff will reach to find deep pockets to pay for a bad investment. Here, the plaintiffs went after the reservoir engineers who made reserve estimates and to a purchaser who acquired notes after the plaintiff acquired theirs. There was a question
Louisiana Addresses Legacy Pollution Claims
Louisiana Governor Bobby Jindal signed into law two bills significantly revising Louisiana’s oilfield cleanup statute, La. R. S 30:29. The new law affects the procedures for remediating oil field pollution and resolving oilfield contamination claims. The purupose is to expedite the remediation process and the resolution of claims.
For the highlights that were important
The Corporate Shield is Not Invincible
This non-oil and gas case should be of interest to startups and those of you who run “lean and mean” operation. Thanks to Jerry Murray at Goldin Peiser & Peiser, LLP for bringing it to my attention.
You file the paperwork to set up a corporation so that your personal assets are shielded from assault
Right of First Refusal Was a Covenant Running With the Land
Question: Can a landowner enforce a right of first refusal bargained for by his predecessor? Answer: It depends. (Note to self: Why do you always say that in your posts? Because, as Texas Rangers’ manager Ron Washington might say, “That’s the way the law go”.) The answer in MPH Production Co. v. Smith et
Texas Supreme Court Limits U.C.C. “Cover” Damages in Gas Supply Dispute
Here in the south, we know all bourbon is whisky, but not all whisky is bourbon. In El Paso Marketing, LP and Enterprise Pipeline LLC v. Wolf Hollow I, L.P., the Texas Supreme Court held that all natural gas is power, but not all power is natural gas.
The Dispute
This case
In the Sale of Unregistered Securities, Knowledge of the Crime Does Not Matter
Finally, a criminal case those who raise money should consider. Hays v. State informs us of several basic rules to follow when selling oil and gas interests to strangers. They are simple but important:
Rule 1: If you tell your targets that you are raising the money to drill a well, you should go ahead