Enter GRB, LLC v. Stull Ranches, LLC

113 F. Supp. 3d 1113, 2015 WL 4036250
CourtDistrict Court, D. Colorado
DecidedJuly 1, 2015
DocketCivil Action No. 11-cv-01557-PAB-KLM
StatusPublished
Cited by3 cases

This text of 113 F. Supp. 3d 1113 (Enter GRB, LLC v. Stull Ranches, LLC) is published on Counsel Stack Legal Research, covering District Court, D. Colorado primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Enter GRB, LLC v. Stull Ranches, LLC, 113 F. Supp. 3d 1113, 2015 WL 4036250 (D. Colo. 2015).

Opinion

ORDER

PHILIP A. BRIMMER, United States District Judge

This matter is before the Court bn the Opinion [Docket No. 185] and Mandate [Docket No. 189] issued by the United States Court of App'eals for the Tenth Circuit in this case and the Renewed Motion to Dismiss for Failure to Join the United States, a Required Party [Docket No. 192] and the Motion for Summary Judgment for Failure to Satisfy Conditions Precedent [Docket No. 193] filed by defendant Stull Ranches, LLC (“Stull”).

1. BACKGROUND

The background facts have been set forth elsewhere and will not be restated here except as relevant to -resolving the present matter, See Docket No. 173 at 1-5; Entek GRB, LLC v. Stull Ranches, LLC, 763 F.3d 1252, 1253-54 (10th Cir.2014).1 Entek’s. first claim for relief seeks a declaration that it has the right to: (1) stake, survey, drill, and develop well locations on Stull’s surface (Count One); (2) use Stull’s surface to reach well locations on adjacent property, if those wells will develop. Entek’s mineral estate subjacent to Stull’s surface (Count Two); and (3) access all surface areas within the unitized federal exploratory unit because of the unitization agreement (Count Three).2 Docket No. 81 at 11-14. The second claim for relief is for a permanent injunction. Id. at 14.

[1116]*1116On July 31, 2012, the parties filed cross motions for summary judgment. Docket Nos. 146, 149]. On March 29, 2013, the Court ruled that Entek was entitled to summary judgment as to Count One and that Stull was entitled to summary judgment as to Count Two and Count Three, Docket No. 173 at 9-10, 20, 25, and Final Judgment was entered accordingly. Docket No. 174. On April 25, 2013, Entek filed a Notice of Appeal [Docket No. 175].3 On August 14, 2014, the Tenth Circuit issued its Opinion. Docket No. 185. The Tenth Circuit held that “the Focus Ranch Unit Agreement has the effect of providing En-tek [GRB, LLC] all the relief it seeks (under what it calls claim three),” vacated the grant of summary judgment in defendant Stull Ranches, LLC’s favor, and remanded the case for further proceedings. Entek, 763 F.3d at 1259.

On October 22, 2014, the Mandate issued [Docket No. 189] and the Court directed the parties to file draft orders granting summary judgment to Entek on Count Three of plaintiffs first claim for relief. Docket No. 190. Both parties submitted draft orders. Docket Nos. 191, 194. On November 17, 2014, Stull filed the present motion to dismiss and motion for summary judgment. Docket Nos. 192,193.4

II. ANALYSIS

“ ‘[T]he scope of the mandate on remand in the Tenth Circuit is carved out by exclusion: unless the district court’s discretion is specifically cabined, it may exercise discretion on what may be heard.’” Dish Network Corp. v. Arrowood Indem. Co., 772 F.3d 856, 864 (10th Cir.2014) (quoting United States v. West, 646 F.3d 745, 749 (10th Cir.2011)). Thus, when a remand is general, “the district court is free to decide anything not foreclosed by the mandate.” Procter & Gamble Co. v. Haugen, 317 F.3d 1121, 1125 (10th Cir.2003) (quotations omitted). In other words, although the district court is bound by the- mandate, “and the mandate controls all matters within its scope, ... a district- court on remand is free to pass upon any issue which was not expressly or impliedly disposed of on appeal.” Id. at 1126 (quotations omitted). Here, the Tenth Circuit stated: “The district court’s grant of summary judgment in favor of Stull is vacated and the case is remanded for further proceedings consistent with the terms of this opinion.” Entek, 763 F.3d at 1259. Thus, the mandate does not expressly limit the Court’s discretion to hear matters on remand that are not foreclosed by the terms of the Tenth Circuit’s opinion. Cf. Hicks v. Gates Rubber Co., 928 F.2d 966, 968-69 (10th Cir.1991).

A. Entek’s Motion for Summary Judgment

As to Count Three, Entek’s motion for summary judgment sought a declaration [1117]*1117that it “has the right to use any of the surface, overlaying minerals committed to the Focus Ranch Unit to develop minerals anywhere in the unit.” Docket No. 149 at 22. In considering whether Entek was entitled to relief under Count Three, the Tenth Circuit determined that the FRU agreement granted Entek the right to “use any portion of the surface in the unit to aid its mining activities in the unit without respect to individual lease or surface boundaries.” Entek, 763 F.3d at 1256. The Tenth Circuit concluded that, because the FRU agreement as contemplated- by Count Three provided Entek “all the relief it seeks,” the Tenth. Circuit..declined to address Count One and. Count Two of En-tek’s first claim for relief. Entek, 763 F.3d at 1259.

As the parties’ proposed draft orders recognize, the'Tenth Circuit’s opinión dictates that Entek be granted summary judgment as to Count Three of its first claim for relief. See Docket No. 194-1 at 7; Docket No. 191 at 4. Because Count Three provides Entek with complete relief, Entek’s and Stull’s motions for summary judgment as to Count One and Count Two are denied as moot.

Stull contends that Entek’s rights should be expressly made “subject to Stull Ranches’ rights, such as those set forth in Colo.Rev.Stat. § 34-60-127(1)(a) and (b), otherwise recognized by law.” Docket No. 194-1 at 8. On September 26, 2011, Stull filed its third amended counterclaim against Entek for violation of the common law accommodation doctrine and § 34-60-127. Docket No. 61 at 3. Entek moved to dismiss Stull’s counterclaim on ripeness grounds. Docket No. 87. The Court dismissed Stull’s counterclaim without prejudice, ruling that, “because Stull’s counterclaim is contingent on future events and Stull is unlikely to face a hardship by a delay, Stull’s counterclaim is not fit for judicial resolution.” Docket No. 167 at 6. Because Stull’s counterclaim was dismissed, and because Stull does not provide any other reason to subordinate Entek’s rights to “Stull Ranches’ rights,” the Court has no basis to modify Entek’s rights in the manner Stull suggests.5 Entek is therefore entitled to “ ‘reenter and occupy’ so much of the surface in the unitized area as may be ‘reasonably incident’ to extracting materials from the unit.” See Entek, 763 F.3d at 1256.6

B. Stull’s Renewed Motion to Dismiss

Stull’s Renewed Motion to Dismiss seeks dismissal of . Entek’s complaint for failure to join the BLM, which Stull contends is a required party. Docket No. 192 at 1. Stull concedes that the Court has already ruled that the BLM is not a required party pursuant to Fed.R.Civ.P. 19(a), see Docket No.

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Bluebook (online)
113 F. Supp. 3d 1113, 2015 WL 4036250, Counsel Stack Legal Research, https://law.counselstack.com/opinion/enter-grb-llc-v-stull-ranches-llc-cod-2015.