Guilbeau v. Hess Corp.
Opinion Date: April 18, 2017
Judge: Priscilla R. Owen
Areas of Law: Energy, Oil & Gas Law, Real Estate & Property Law
Plaintiff purchased property on which oil and gas operations had been conducted. Plaintiff filed suit against Hess, asserting claims for damages stemming from contamination caused by the oil- and gas-related activities on the tract. The oil and gas leases expired in 1973 and plaintiff purchased the property in 2007, when all wells had been plugged and abandoned. The district court granted Hess's motion for summary judgment, concluding that the subsequent purchaser rule barred plaintiff's claims. The court explained that a clear consensus has emerged among all Louisiana appellate courts that have considered the issue, and they have held that the subsequent purchaser rule does apply to cases, like this one, involving expired mineral leases. Because this case presented no occasion to depart from precedent, the court deferred to these precedents, and held that the subsequent purchaser doctrine barred plaintiff's claims. The court noted that although the denial of a writ is not necessarily an approval of the appellate court's decision nor precedential, the Louisiana Supreme Court has had multiple opportunities to consider this issue and has repeatedly declined to do so. Finally, the court declined to certify questions to the state court. Accordingly, the court affirmed the judgment.
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