Hosey v. Mobil Oil Corp.

542 F. Supp. 1033, 1981 U.S. Dist. LEXIS 10128
CourtDistrict Court, S.D. Mississippi
DecidedApril 6, 1981
DocketCiv. A. No. H74-82(R)
StatusPublished

This text of 542 F. Supp. 1033 (Hosey v. Mobil Oil Corp.) is published on Counsel Stack Legal Research, covering District Court, S.D. Mississippi primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Hosey v. Mobil Oil Corp., 542 F. Supp. 1033, 1981 U.S. Dist. LEXIS 10128 (S.D. Miss. 1981).

Opinion

OPINION

DAN M. RUSSELL, Jr., Chief Judge.

This is a diversity action which was filed by the Plaintiffs, Ruth Hosey and Hope Carol Hosey, as the widow and minor child of James N. Hosey, deceased, both residents of Mississippi, against Mobil Oil Corporation, a foreign corporation, to recover damages for the wrongful death of James N. Hosey.

The case was tried before the Court without a jury, and based upon all the evidence of record, the pre-trial order, pleadings and proposed findings of fact and conclusions of law and memoranda of authority submitted by the parties, this Court makes the following findings of fact and reaches the following conclusions of law.

FINDINGS OF FACT

In August of 1968, Mobil Oil Corporation (hereinafter Mobil) completed its Gatlin No. 1 Well, the discovery well in South Cypress Creek Field, Wayne County, Mississippi, and later drilled four additional wells on the Gatlin lease. Trans-State Oil Company, a division of Hess Oil and Chemical Corporation (hereinafter Hess) contracted to purchase all oil from this lease.

Under the contract Mobil was responsible for producing the oil and putting it in the storage tanks at the Gatlin tank battery (six 1,000 barrel storage tanks) in a merchantable form. Hess was responsible for determining the temperature, gravity and the basic sediment and water content of the oil and for loading the oil onto its trucks.

On October 7, 1968, R. G. Sparrow, in charge of the Houston Crude Oil Department of Mobil, who had negotiated the sale and purchase of the Gatlin lease oil with B. W. Andrus of Hess, received a report that a test of the Gatlin crude disclosed that it released hydrogen sulfide gas (H2S) in excess of six percent and that Hess truck drivers were using a canister-type mask, which provided protection only up to two percent. Sparrow promptly notified Andrus by telephone of the dangerous concentration of hydrogen sulfide at the hatch on the top of the Gatlin tanks and advised that Mobil would provide self-contained air packs for the use and protection of Mobil and Hess employees.

On instructions from Sparrow, E. E. Campbell, production superintendent for Mobil with jurisdiction over Mississippi, by letter of October 11, 1968, to Rene Bourg, Hess general manager at its terminal in Heidelberg, Mississippi, gave further warning to Hess of the dangerous concentration of hydrogen sulfide emitted from the Gatlin crude.

On instructions of Campbell shortly thereafter, Hugh Hopper, Mobil’s safety supervisor in the Shreveport area, purchased four self-contained air packs and several large reserve tanks for use in recharging the portable air packs and placed these at the Gatlin tank battery.

Hess engaged the Shilstone Testing Laboratory of New Orleans, Louisiana, an independent laboratory, to test the crude oil produced from the Gatlin lease. On October 29, 1968 Shilstone Lab sent their report to Hess. The purpose of the report to Hess was “to evaluate possible health hazards in relation to high concentrations of hydrogen sulfide and to consider safety practices for workers.” (Def. Exh. # 8).

The tests conducted by Shilstone for Hess confirmed the extremely high concentration of hydrogen sulfide that had been previously reported by Mobil to Hess. Shilstone’s tests were performed at tank hatches and various other spots around tank batteries. [1035]*1035Shilstone observed the handling and loading of Hess tank trucks and demonstrated safety practices in the use of self-contained air packs to Hess personnel.

In the report Shilstone informed Hess that human exposure to hydrogen sulfide in concentrations of 600 ppm and greater was fatal in 30 minutes, and that Hess personnel when they were near the top hatch covers may be exposed to such concentrations under Hess’s then present method of operation.

On November 11, 1968, Shilstone Lab made another report to Hess. The purpose of this report was to evaluate possible toxic hazards to personnel relative to transporting sour crude. In this report, the hydrogen sulfide concentration at the Mobil-Gatlin tank battery was reported to be 9.7% by volume or 97,000 ppm. Concentrations of hydrogen sulfide were reported to Hess to be higher at the top of tanks especially during the opening of the tank hatches, and the top of tanks was considered dangerous to human life. Shilstone suggested 14 separate minimum safety practices for Hess to follow in handling crude at the various tank batteries Hess was purchasing crude from which contained hydrogen sulfide.

By letter dated January 13, 1969, Mobil acknowledged receipt of a copy of the Shilstone report to Hess and again gave Hess notice that Mobil had provided self-contained air packs at the Gatlin battery.

On the afternoon of March 15, 1971, Hosey and another Hess driver, Walter E. Cook, were assigned to haul crude to the pipeline terminal from the Gatlin tank battery. At approximately 9:00 p.m. that evening, upon arriving at the Gatlin tank battery, Cook found Hosey’s truck parked in position for loading, but with the loading hose disconnected. Hosey was found lying unconscious at the top of the stairway leading to the catwalk connecting the tanks which was used by Hess drivers for measuring the oil by hand line dropped through the open hatch.

At the time Cook found Hosey, Hosey’s hand light was on top of the tank, the tank hatch was open, and his gauge line was wrapped around his right arm and shoulder. Hosey was wearing a canister type mask provided by Hess in its trucks.

Efforts to revive Hosey were unsuccessful and he was pronounced dead upon arrival at Waynesboro Hospital. Autopsy determined that the cause of death was asphyxiation due to inhalation of hydrogen sulfide.

The decedent, James N. Hosey, was employed by Hess on February 20,1971. Prior to that time he had been self-employed as a long haul truck driver and worked as a truck driver for Miller Transporters. Hosey had no experience in the hauling of crude oil. He had worked a total of 24 days for Hess before his death. On seven of those days, Hosey hauled crude oil from tank batteries where the concentrations of hydrogen sulfide exceeded two percent thus requiring the use of a self-contained air pack.

The uncontradicted evidence in this case reveals that Hosey had been specifically instructed on different occasions that when going on the tanks at the Mobil-Gatlin battery he was to use a self-contained air pack; that the hydrogen sulfide gas at the open hatch on the tanks at the Mobil-Gatlin battery was deadly; that the canister type masks supplied by Hess in its trucks were inadequate protection at the Gatlin battery and other batteries containing sour crude; and that if Hosey ever encountered a situation where the air supply was exhausted at any sour crude battery where self-contained air packs were required, he should either go elsewhere to obtain air, continue to another battery, or radio in to the dispatcher for further instructions, but in no event was he to go atop the tanks without a self-contained air pack.

Each time the hatch was opened atop the Mobil-Gatlin tanks, deadly concentrations of hydrogen sulfide vapor were released. This condition never varied. Hess had been made aware of this danger by Mobil and this information was confirmed by independent efforts to verify this condition as set forth in the Shilstone reports. There is no dispute that Hosey’s employer, Hess, was [1036]

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Bluebook (online)
542 F. Supp. 1033, 1981 U.S. Dist. LEXIS 10128, Counsel Stack Legal Research, https://law.counselstack.com/opinion/hosey-v-mobil-oil-corp-mssd-1981.