Hardee v. Atlantic Richfield

926 So. 2d 736, 2006 WL 861889
CourtLouisiana Court of Appeal
DecidedApril 5, 2006
Docket05-1207
StatusPublished
Cited by4 cases

This text of 926 So. 2d 736 (Hardee v. Atlantic Richfield) is published on Counsel Stack Legal Research, covering Louisiana Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Hardee v. Atlantic Richfield, 926 So. 2d 736, 2006 WL 861889 (La. Ct. App. 2006).

Opinion

926 So.2d 736 (2006)

Daniel A. HARDEE, III, et al.
v.
ATLANTIC RICHFIELD, et al.

No. 05-1207.

Court of Appeal of Louisiana, Third Circuit.

April 5, 2006.

*737 Donald T. Carmouche, Victor L. Marcello, John H. Carmouche, Kenneth Jay De-Louche, William R. Coenen, III, Talbot, Carmouche & Marcello, Gonzales, LA, Grady J. Abraham, Attorney at Law, Lafayette, LA, Harry T. Lemmon, New Orleans, LA, John R. DeRosier, DeRosier Law Firm, Lake Charles, LA, for Plaintiffs/Appellants, Daniel A. Hardee, III, et al.

Richard E. Gerard, Jr., Scofield, Gerard, Singletary & Pohorelsky, Lake Charles, LA, for Defendants/Appellees, Appearing by consent on behalf of Marathon Oil, Company and the following Defendants/Appellees: Union Oil Company of California, Triumph Energy, Inc., Petroleum Engineers, Inc., Proton Energy, L.L.C., Siesta Oil and Exploration Company, Inc., BP America Production Successor in Interest to Atlantic Richfield Company Saxon Energy, Inc., Great Southern Oil & Gas Company, Inc., Billingsley Engineering Company.

Court composed of JIMMIE C. PETERS, MICHAEL G. SULLIVAN and GLENN B. GREMILLION, Judges.

PETERS, J.

The plaintiffs[1] are property owners in the Gueydan Oil Field in Vermilion Parish, Louisiana. They filed suit to recover damages from seventeen oil companies[2] who operate well sites in that field and have appealed a trial court judgment granting exceptions of prematurity filed by some of *738 the defendant oil companies. In granting the exceptions, the trial court dismissed all of the plaintiffs' claims against all of the defendants, but without prejudice. For the reasons that follow, we reverse the judgment granting the exceptions and remand the matter to the trial court for further proceedings.

DISCUSSION OF THE RECORD

On April 8, 2004, the plaintiffs filed this suit in Calcasieu Parish, Louisiana, seeking to recover damages they claim to have suffered as a result of the named defendants' operation of over one hundred well sites on several tracts of land located in the Gueydan Oil Field. They claimed damages under several theories of recovery, including contract, tort, and the Louisiana Mineral Code, and asserted that the defendants were solidarily liable.

In their petition, the plaintiffs alleged that they "own[,] reside [on] and/or use" their individual property and that they derive their individual rights in the litigation from "certain oil, gas and mineral leases between plaintiff and defendants, or own[] property contaminated by the oil and gas activities conducted or controlled by one or more of the defendants." The petition further asserted that, by their conduct or control pursuant to the mineral leases at issue, the defendants had contaminated or otherwise damaged the property belonging to the plaintiffs. According to the plaintiffs' pleadings, the contamination or damage was caused by the improper disposal of oilfield wastes and this conduct caused the soil, surface water, and groundwater on their individual properties to be contaminated. Furthermore, the plaintiffs asserted that "[r]ather than remove these substances during and after oil and gas exploration and production activities" the defendants "chose to conceal and cover up this contamination." The defendants' actions and inactions, according to the plaintiffs, have allowed the contamination to migrate and spread throughout the properties at issue and the contamination will continue to occur in the future absent remedial action. In pleading the conduct of the defendants and the damage sustained as a result thereof, the plaintiffs used such terms and phrases in their pleadings as "contamination," "pollution," "knew or should have known," "actively concealed from plaintiffs," and "ongoing migration of this oilfield waste."

The plaintiffs based their right of recovery on both contract and tort theories. Specifically, in support of their claims, they point to the language of the mineral leases; the provisions of the Louisiana Mineral Code, particularly the "prudent operator" requirement of La.R.S. 31:122; the Louisiana Civil Code articles dealing with leases, particularly La.Civ.Code arts. 2719 and 2720; and La.Civ.Code art. 2315 as it relates to their claim in tort.

The various defendants individually responded to the petition by filing either answers or exceptions, with some of the defendants filing dilatory exceptions of prematurity. On October 12, 2004, the trial court held a hearing on, among other matters, the exceptions of prematurity. With regard to that exception, most of the defendants sought relief on two specific grounds: First, they asserted that the plaintiffs had failed to exhaust their administrative remedies before the Louisiana Office of Conservation or the Department of Environmental Quality, and, second, they asserted that the plaintiffs' rights will arise only upon termination of the mineral leases at issue. At the hearing on the exceptions, those defendants abandoned the first ground, but argued the second.

On November 10, 2004, the trial court filed written reasons for judgment granting the exceptions of prematurity and on *739 December 17, 2004, executed a judgment to that effect, dismissing the plaintiffs' demands against all the defendants. In its judgment, the trial court specifically found that, because of its ruling on the exceptions of prematurity, "all remaining motions and exceptions are moot." After the trial court rejected the plaintiffs' request for a new trial, they perfected this appeal. The primary issue on appeal involves determining the point at which a property owner can bring an action against a mineral lessee to recover for property damages caused by the actions or inactions of the mineral lessee.

OPINION

The dilatory exception of prematurity provided for in La.Code Civ.P. art. 926(A)(1) raises the question of whether the cause of action has matured to the point where it is ripe for judicial determination. Williamson v. Hosp. Serv. Dist. No. 1 of Jefferson, 04-0451 (La.12/1/04), 888 So.2d 782. Its function is to assert that a judicial cause of action does not yet exist because of some unmet prerequisite condition. Steeg v. Lawyers Title Ins. Corp., 329 So.2d 719 (La.1976). The action is premature when it is brought before the right to enforce it has accrued. La.Code Civ.P. art. 423.

When a dilatory exception is tried, "evidence may be introduced to support or controvert any of the objections pleaded, when the grounds thereof do not appear from the petition." La.Code Civ.P. art. 930. The defendant pleading the exception of prematurity has the burden of establishing that the action is premature. Cook v. AAA Worldwide Travel Agency, 360 So.2d 839 (La.1978).

In the matter now before us, the defendants introduced no evidence in support of their exception. Therefore, we must look to the petition alone to determine whether the objection of prematurity was properly granted. See Williamson, 888 So.2d 782; Dore Energy Corp. v. Carter-Langham, Inc., 04-1202, 04-1233, 04-1373, 05-0006 (La.App. 3 Cir. 5/4/05), 901 So.2d 1238, writs denied, 05-1484, 918 So.2d 1042, 05-1493, 918 So.2d 1043, 05-1496, 918 So.2d 1043, 05-1492, 918 So.2d 1043, 05-1503, 918 So.2d 1044, 05-1521, 918 So.2d 1045, 05-1576, 918 So.2d 1046, 05-1577, 918 So.2d 1047, 05-1582 (La.1/9/06), 918 So.2d 1047. Based on our review of the record before us, we conclude that an examination of the petition alone does not establish that the action is premature.

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Bluebook (online)
926 So. 2d 736, 2006 WL 861889, Counsel Stack Legal Research, https://law.counselstack.com/opinion/hardee-v-atlantic-richfield-lactapp-2006.