Pamela Pirl v. Rice Drilling D, LLC

CourtCourt of Appeals for the Sixth Circuit
DecidedMay 12, 2025
Docket24-3838
StatusUnpublished

This text of Pamela Pirl v. Rice Drilling D, LLC (Pamela Pirl v. Rice Drilling D, LLC) is published on Counsel Stack Legal Research, covering Court of Appeals for the Sixth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Pamela Pirl v. Rice Drilling D, LLC, (6th Cir. 2025).

Opinion

NOT RECOMMENDED FOR PUBLICATION File Name: 25a0240n.06

Case No. 24-3838

UNITED STATES COURT OF APPEALS FOR THE SIXTH CIRCUIT FILED May 12, 2025 KELLY L. STEPHENS, Clerk

) PAMELA K. PIRL; SHANNON R. PIRL, ) ON APPEAL FROM THE Plaintiffs - Appellants, ) UNITED STATES DISTRICT ) COURT FOR THE SOUTHERN ) DISTRICT OF OHIO v. ) ) RICE DRILLING D, LLC, successor in interest to ) OPINION Equinor USA Onshore Properties, Inc., ) ) Defendants - Appellees. )

Before: COLE, McKEAGUE, and RITZ, Circuit Judges.

McKEAGUE, Circuit Judge. This case involves a contract dispute. Plaintiff-Appellant

Pamela Pirl and her now-deceased husband Joseph Pirl leased their property to Rice Drilling D,

LLC so that Rice could drill for oil and gas. To facilitate drilling, the Pirls negotiated and entered

a surface use agreement with Rice to build, operate, and maintain a well pad and related facilities.

However, the resulting infrastructure on the property hindered the Pirls’ ability to use the land for

their cattle business. The Pirls sued Rice for breach of contract, trespass, and quiet title. The district

court granted Rice summary judgment. We AFFIRM.

I.

Plaintiff Pamela Pirl owns about 146 acres of real property in Monroe County, Ohio. She

and her husband Joseph operated a cattle business on the property. In 2012, Pamela and Joseph No. 24-3838, Pirl v. Rice Drilling D, LLC

entered an oil, gas, and coalbed methane lease with Defendant Rice Drilling’s predecessor. Under

the lease, the Pirls granted Rice exclusive “right, title[,] and interest” to “all oil and gas” underlying

the leased premises in exchange for twenty percent of the resulting oil and gas sales proceeds.

Lease, R. 29-2 at PageID 323–24. An addendum to the lease included a restriction that “[n]o well

pad shall exceed 10 acres unless approved by Lessor in writing” along with a requirement that

“[l]essor[s] will be compensated for the use of the surface on a per acre basis at a rate of $5,000.00

per acre utilized.” Id. at PageID 330.

In line with these requirements, the parties negotiated and entered into a surface use and

damages settlement agreement that gave Rice “the exclusive right to build, operate, and maintain

a well pad, and appurtenant equipment and facilities[.]” Surface Use Agreement, R. 36-1 at PageID

959. Pamela, Joseph, and their son Shannon Pirl participated in the negotiations, but only Pamela

and Joseph signed the agreement. The agreement contains the following granting language:

NOW, THEREFORE, for and in consideration of Ten Dollars ($10.00) and other good and valuable consideration paid by Operator to Surface Owner, the receipt and sufficiency of which are hereby acknowledged, Surface Owner does hereby grant, convey and assign to Operator the exclusive right to build, operate, and maintain a well pad, and appurtenant equipment and facilities (whether above or below the surface) upon the Lands, pipelines to transport gas, condensate, oil and any associated hydrocarbons from the well pad and other lands, temporary above-ground pipelines to transport water to and from the well pad or to other well pads in the area (see below), and the right of ingress and egress across the Lands, temporary storage for equipment that is in transport from one well pad to other well pads and further described and/or depicted, for informational purposes only, on the plat attached hereto as Exhibit “A” and made a part hereof by reference . . .

Id. (emphasis added). As described, the agreement included a topography plat labeled “Exhibit

‘A’” describing the “Surface Use Plans” of the Pirl property. Id. at PageID 964. This plat was

“made a part” of the agreement “by reference” but “for informational purposes only[.]” Id. at

PageID 959.

2 No. 24-3838, Pirl v. Rice Drilling D, LLC

Id. at PageID 964. The plat shows a 3.2-acre well pad, two topsoil stockpiles, filter fabric fencing,

and a 14.6-acres limit of disturbance.

In addition, the agreement provides that “[n]ew fences and relocated fences will be gated

and locked and Surface Owner will be provided keys to said locks.” Id. at PageID 961. The

agreement also requires that the “[p]ad site . . . be fenced.” Id. Finally, it states that “an area of

approximately 8 acres of pasture will be fenced off for cattle grazing,” the location of which was

left for the parties to decide.1 Id.

1 In 2018, parties executed the First Amendment to the agreement which deletes this provision from the agreement. First Amendment, R. 29-8 at PageID 365. The Pirls relieved Rice of its duty to fence the 8 acres in pastureland in exchange for a payment of $160,000. Id.

3 No. 24-3838, Pirl v. Rice Drilling D, LLC

The parties executed the agreement in 2014. To compensate for any “damages[,] . . . , loss

of use, crops, timber or other value” that would result from the operations, Rice paid the Pirls

$73,000, which equates to $5,000 per acre within the limit of disturbance. Surface Use Agreement,

R. 36-1 at PageID 959. Construction commenced the same year.

But all was not well. Joseph raised several complaints to Rice during construction. These

complaints included flooding issues on the property, road restoration problems, issues with

fencing, and the presence of a rockpile. In October 2016, once construction wrapped up, Joseph

identified several locations on an as-built survey—which depicted the well site as it existed at the

time—and provided photographs detailing his issues at those locations.

4 No. 24-3838, Pirl v. Rice Drilling D, LLC

Email, R. 29-6 at PageID 344; Existing Conditions Plan Markup, R. 29-7 at PageID 355. Relevant

here are numbers 5 and 7, located south of the well pad. At number 5, Joseph claimed that “large

boulders uncovered from the site were not removed . . . but instead were left exposed or packed

into the fill of the [t]opsoil stockpile[.]” Existing Conditions Plan Markup, R. 29-7 at PageID 360.

At number 7, Joseph claimed “that there was supposed to be a wide access path around the entire

well pad for his tractor and livestock.” Id. at PageID 362. But “the [t]opsoil

[s]tockpile . . . increased during construction” causing this path “to neck down just beyond the silt

fence” and “narrows down 7 to 8 feet in several locations between the silt fence and his existing

barbed wire fence.” Id. The resulting chokepoints made it difficult for the Pirls to move cattle

around the construction area. The Pirls wanted Rice to move the fence to ensure a wider path to

allow for the easy movement of cattle. Rice and the Pirls were unable to reach a solution on these

issues before Joseph passed away in 2018.

In 2020, Shannon resumed the conversation. First, he complained that large rocks were

rolling down the topsoil stockpile into pastureland and hindering the use of farm equipment. To

resolve this issue, Rice proposed to move the rockpile further north-northeast from its current

location away from the fence line. Next, to create a wider path to move cattle, Shannon requested

that Rice move the fence—located south of the topsoil stockpile—further north by fifty feet. Rice

initially thought it could accommodate Shannon’s request, but later realized that by relocating the

fence as Shannon requested, Rice would risk violating its obligations to Ohio Department of

Natural Resources (ODNR). Topsoil is required to restore the well site after the well is no longer

operational, and Rice was obligated to ODNR to maintain the topsoil stockpile for this purpose.

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