In a decision that could have far-reaching implications, the United States Supreme Court issued a June 10 opinion holding that California’s wage-and-hour laws do not apply to workers on oil and gas platforms located in open water on the Outer Continental Shelf. The plaintiffs in Parker Drilling Management Services, Ltd. v. Newton, were offshore rig workers who filed a class action asserting that their employer violated California’s minimum wage and overtime laws by failing to pay them for stand-by time while they were on the drilling platform. Both parties agreed that the platforms were governed by the Outer Continental Shelf Lands Act (“OCSLA”), but they disagreed regarding whether the California’s wage-and-hour laws were incorporated into OCSLA and therefore applicable to workers on the platform.
Continue Reading Supreme Court Holds State Wage and Hour Laws are Inapplicable to Offshore Drilling Platforms

This week three Liskow & Lewis associates, Hilary Soileau, Trinity Brown, and Jackie Hickman, were invited to attend the BP legal department’s Summer Associate Diversity & Inclusion Day.

The program gave attendees the opportunity to gain insights into the behind-the-scenes workings of one of the world’s largest oil companies, including touring BP’s drilling simulator, the wind energy control room, and the commodities trading floor.
Continue Reading BP Hosts Diversity & Inclusion Day

On Thursday, a divided panel of the Texas Court of Appeals in Houston held that the 2014-2015 drop in oil prices is not a force majeure for purposes of general force majeure contractual protection. In TEC Olmos, LLC v. ConocoPhillips, the court addressed a dispute between ConocoPhillips Company and TEC Olmos over a farmout agreement that required Olmos to commence drilling by a specified date. No. 01-16-00579, 2018 WL 2437449 (Tex. App. —Houston May 31, 2018). During the interval between execution of the agreement and commencement of drilling, however, changes in the global supply and demand of oil caused the price of oil to drop significantly. As a result, Olmos was unable to secure financing for drilling and informed ConocoPhillips that it would be unable to meet its drilling obligations. ConocoPhillips filed suit against Olmos and the guarantor of the contract, Terrace Energy Company, for breach of the farmout agreement. The lawsuit sought $500,000 in liquidated damages.
Continue Reading Texas Court Holds Drop in Oil Prices is Not Force Majeure

The White House has announced the nominees to fill four vacant seats on the U.S. Fifth Circuit and two seats in the Eastern District of Louisiana.
Continue Reading Nominees Announced for U.S. Fifth Circuit and Eastern District of Louisiana Seats

On November 11, 2016, the EPA published a proposed rule designed to update its Renewable Fuel Standards Program and support the growth of renewable fuel use. With the stated goal of removing barriers to production and distribution of renewable fuels, the proposed rule has three main components:

(1) Updated Regulatory Structure to Address Biofuel Processing at Multiple Facilities – In some circumstances, biofuel producers can decrease the costs of production by processing feedstock at one facility and converting that material—called a biointermediary—into a biofuel at another facility.
Continue Reading EPA Publishes Proposed Renewables Enhancement and Growth Support Rule

Hours before a controversial set of new reporting requirements for government contractors was set to take effect, a federal court in Texas enjoined implementation of the requirements across the country.
Continue Reading New Government Contractor “Blacklisting” Reporting Requirements Put on Hold

Louisiana Flooding - Legal Update

The Liskow & Lewis family stands by our friends and neighbors throughout the unprecedented flooding in our community. As we begin the long process of recovery, here is a brief legal update on the response of various courts and state agencies:

  • State courts: Governor John Bel Edwards has issued an executive order which purports to

U.S. District Court Judge Dee Drell (Western District, LA) recently denied a motion to alter or amend the Court’s judgment against CITGO Petroleum Corp.– allowing an $81 million judgment against the oil company to stand.

The judgment is the latest in a suit the EPA filed against CITGO under the Clean Water Act for a