Placid Oil Co. v. Ashland Oil, Inc.

792 F.2d 1127, 1986 U.S. App. LEXIS 24457
CourtTemporary Emergency Court of Appeals
DecidedMarch 6, 1986
DocketNo. 5-117
StatusPublished
Cited by13 cases

This text of 792 F.2d 1127 (Placid Oil Co. v. Ashland Oil, Inc.) is published on Counsel Stack Legal Research, covering Temporary Emergency Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Placid Oil Co. v. Ashland Oil, Inc., 792 F.2d 1127, 1986 U.S. App. LEXIS 24457 (tecoa 1986).

Opinion

DUNIWAY, Judge:

This case presents two technical questions: whether this court has jurisdiction, [1129]*1129and whether, on appeal from a judgment of dismissal without prejudice, we can review denial of a motion for partial summary judgment. It also presents a question of what remedy is available when a party repeatedly says that it has abandoned or will abandon certain claims with prejudice and then does not do so. In this respect, this case is almost sui generis to the members of this panel.

I. Facts.

Placid Oil Company filed this action in Texas state court in Dallas on March 20, 1985. The pertinent parts of Placid’s petition read:

4. Heretofore, Plaintiff sold and delivered to Defendant certain quantities of crude oil and thereafter, certified, or re-certified, as the case may be, certain amounts of those quantities of crude oil which qualified for certification or recertification under the Tertiary Incentive Program and pursuant to applicable regulations of the United States Department of Energy. Such regulations permitted Plaintiff to certify or recertify the price payable for such crude oil sold and delivered to Defendant and to invoice such amount to Defendant. Defendant was legally obligated to pay said amounts so certified or recertified.
5. Plaintiff has invoiced Defendant the sum of $2,921,655.08 for the price of crude oil sold and delivered to Defendant and certified pursuant to said Tertiary Incentive Program. Defendant has failed to pay for said crude oil as invoiced, for which it now owes Plaintiff said sum.

(Record pp. 1-2.)

Ashland Oil removed the action to the United States District Court, on the basis of diversity of citizenship.

Meanwhile, On March 29, 1985, Placid filed a substantially identical action against Ashland in Louisiana state court. That action has been removed to the United States District Court in Louisiana, and is still pending there. In the Louisiana case, Placid attached copies of its invoices to Ashland which formed the basis of both actions. The Louisiana case has been stayed, pending disposition of this action.

On May 10, Ashland moved to dismiss the Texas action. It changed its motion to one for summary judgment on May 17. Copies of the invoices, thirteen in number, were attached to its motion. In this appeal, we are concerned with six of them, as follows:

Ex.
1. Invoice No. 20940 — Searcy Mixture Date: February 4, 1981
Amount: $216,839.64
2. Invoice No. 20952 — Ship Shoal Date: February 9, 1981 Amount: $18,283.78
3. Invoice No. 20954 — Searcy Mixture Date: February 10, 1981
Amount: $516,544.61
6. Invoice No. 21039 — Searcy Mixture Date: March 4, 1981
Amount: $685,503.28
8. Invoice No. 21077 — Searcy Mixture Date: March 23, 1981
Amount: $129,337.22
12. Invoice No. 21165 — Searcy Mixture Date: April 30, 1981 Amount: $106,292.06

(Record pp. 24-25.)

Ashland argued before the District Court that the first three are barred by Texas’ four year statute of limitations. Ashland has abandoned its claim that, as a matter of law, Placid did not certify the sales represented by the remaining 7 invoices in the manner required by Federal regulations.

Placid did not respond directly to Ash-land’s motion for summary judgment. Instead, on June 12, 1985, it filed a Motion for Voluntary Dismissal, under F.R.Civ.P. 41(a)(2). The only reason given by Placid in support of its motion was:

Two suits were filed by Placid in order to preserve its cause of action pending a determination of which state would be the most appropriate forum. Placid has [1130]*1130now concluded that Louisiana would be the most appropriate forum for its action. Accordingly, Placid now seeks a dismissal of this Texas action so that it may pursue its claims in the proper forum.

(Record p. 84.)

Neither party has told us why Louisiana is “the most appropriate forum,” but Ashland points out that it is arguable that the applicable Louisiana statute of limitations is a ten year statute, while Texas has a four year statute.

Later, on June 18, Placid did file a brief in opposition to Ashland’s motion for summary judgment. (Rec. at 87.) In that brief it argued:

Although Placid does not object to the use of the four year statute of limitations, Placid will demonstrate that invoice numbers 21021 (Ex. 4), 21027 (Ex. 5), 21039 (Ex. 6) and 21054 (Ex. 7) are not time barred.

(Record p. 91.)

In the same brief, Placid said:
Placid hereby abandons the following invoiced claims: 20940, 20952, 20954, 21077 and 21165. (Record at 98.)

These are Exhibits 1, 2, 3, 8, and 12.

In its "Conclusion,” on the same page, Placid again said:

Finally Placid abandons any claims as to invoice numbers 20940, 20952, 20954, 21077 and 21165. (Id.)

These claims total $987,297.31.

In its response to Placid’s brief, Ashland argued that on the basis of this statement, the court should grant summary judgment for Ashland on those claims. (Record 107-108.)

Ashland also argued that it was entitled to summary judgment on exhibit 6, invoice 21039, dated March 4, 1981, because it is barred by the Texas four year statute. (Id. at 107.) An affidavit supplied by Placid states that the invoice was mailed on March 4. (Id. at 103.) An affidavit supplied by Ashland shows that it was received by Ashland on March 5. (Id. at 118-19.) Nowhere in the record is this contested. In its brief in opposition to summary judgment, one of Placid’s arguments was that this invoice arose from the sale of Searcy Mixture crude oil, as the invoice states, and that under a former, cancelled contract between the parties, relating to such oil, payment was to be made by the buyer within ten days of receipt of the invoice. The contract is in evidence, Record p. 39, and that is what it says, (SECTION VI — PAYMENT), Rec. 44-47.

The trial court, in a brief opinion, concluded that there were questions of fact as to whether any of the invoices were barred by limitations and whether there were proper certifications under Federal regulations, and denied summary judgment. It then granted the motion to dismiss, without prejudice, so that Placid could pursue its Louisiana case. (Rec. 126-28.)

In its Response to Plaintiff’s [Placid’s] Reply Brief to Motion for Summary Judgment, Ashland refers to Placid’s statement that it abandons the five claims, asks for summary judgment on them, argues that Ex. 6, invoice No. 21039, is barred by the four year Texas statute, and asks for summary judgment on that claim. It then says:

3. Ashland agrees that there are factual questions concerning the remainder of Placid’s claims.

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Bluebook (online)
792 F.2d 1127, 1986 U.S. App. LEXIS 24457, Counsel Stack Legal Research, https://law.counselstack.com/opinion/placid-oil-co-v-ashland-oil-inc-tecoa-1986.