In a recent decision, the United States Supreme Court held that Section 3 of the Federal Arbitration Act requires a court to stay a proceeding pending arbitration and provides no discretion for the court to dismiss the action. In Smith v. Spizzirri,1 the Supreme Court settled a significant circuit split on the interpretation
litigation
Liskow Secures Success at the Louisiana First Circuit Court of Appeal in Legacy Case Involving Excess Remediation Claims Under Act 312
The availability of excess remediation damages, which are damages for additional remediation beyond state regulatory standards that can be pocketed by landowners instead of deposited with the court, has been a hotly contested issue in Louisiana legacy cases involving oilfield remediation claims governed by Act 312 (La. R.S. 30:29).
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Fifth Circuit Narrows CAFA’s Local Controversy Exception Requiring All Plaintiffs Incur Their Principal Injuries in the Forum State
As a matter of first impression, in Cheapside Mins., Ltd. v. Devon Energy Prod. Co., L.P., No. 23-40591, 2024 WL 886951 (5th Cir. Mar. 1, 2024), the Fifth Circuit held that an oil-and-gas royalties class action belongs in federal court based on its interpretation that the “principal injuries” prong of the CAFA local controversy…
All Bark and No Bite: Middle District Finds Conclusory Intentional Tort Allegations Against Employer Insufficient to Prevent Removal on Improper Joinder Grounds
On March 11, 2024, Liskow lawyers Kathryn Gonski and Melanie Derefinko secured the denial of a motion to remand on improper joinder grounds and the dismissal of an intentional tort claim against Methanex, a major Louisiana plant owner, in Knight v. Turner Industries Group, L.L.C., et al., No. 23-469 (M.D. La.). The court’s rulings…
At the Well vs. Off the Lease: The Fifth Circuit Asks the Texas Supreme Court to Determine Whether Off-Lease Fuel May be Deducted from Royalties Valued at the Well
The United States Court of Appeals for the Fifth Circuit recently certified a question to the Texas Supreme Court asking what effect a free-use clause and an off-lease clause have on a royalty clause valuing royalties at the well. At issue was whether gas used as fuel off the leased premises could be deducted from royalties when the royalties were to be valued at the well under an oil and gas lease containing an off-lease clause and a free-use clause. Texas Supreme Court precedent provides that when a lease states that royalties must be valued on the gross proceeds received by lessees, free-use clauses do not allow for gas used as fuel off the leased premises to be deducted, but it is not clear on whether that same rationale would apply when royalties are valued at the well. Given that uncertainty, the Fifth Circuit could not confidently make an Erie guess on the issue and instead opted to certify the question to the Texas Supreme Court.
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EJ Evolution: Court Enjoins EPA from Imposing Disparate Impact Requirements via Title VI in Louisiana Permitting
A Louisiana federal court recently blocked EPA and DOJ from enforcing Title VI against the State of Louisiana to require disparate and cumulative impact analyses under federal environmental justice (EJ) policies for its state permitting. Read more about this decision and its ramifications here. …
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Louisiana Appeals Court Finds Environmental Justice Is Part of the Louisiana Public Trust Duty
In the recent First Circuit Court of Appeal decision reinstating the Formosa facility permits, the court clarified that consideration of environmental justice is included in the Louisiana Public Trust Doctrine. To learn more about how this opinion may affect permit challenges and permit requirements, read more here. …
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Fifth Circuit Applies U.S. Supreme Court’s Sackett Decision to End Long-Standing WOTUS Dispute
In the Fifth Circuit’s first application of Sackett v. EPA, the court ends a ten-year conflict regarding federal Clean Water Act jurisdiction over a Louisiana property, holding that under the new Supreme Court standard no WOTUS exist on the property.
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When It Comes to Pilot Errors: State Statutes Preempt General Maritime Law
On December 4, 2023, in Marquette Transportation Co. Gulf-Inland, LLC v. Navigation Maritime Bulgare JSC, et al., the Court of Appeals for the Fifth Circuit held that state law—and specifically in this case, Louisiana law—governs the applicable negligence standard and burden of proof for a pilot’s error. …
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Climate-Related Lawsuits Continue to Return to State Courts: Understanding The Latest Ruling from District of Columbia v. Exxon Mobil Corporation
A federal appeals court has affirmed that a “greenwashing” lawsuit by the District of Columbia against several major energy companies should not be heard in federal court. In doing so, the court found itself “in accord with the other courts of appeals, which have unanimously found there is no federal jurisdiction where state or local governments have brought state-law actions against energy companies for conduct relating to climate change.” District of Columbia v. Exxon Mobil Corporation, et al., No. 22-7163 (Dec. 19, 2023) (“D.C. v. Exxon”).
Continue Reading Climate-Related Lawsuits Continue to Return to State Courts: Understanding The Latest Ruling from District of Columbia v. Exxon Mobil Corporation