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Force Majeure Clause Fails to Protect Oil and Gas Lessee From Mistakenly-Scheduled Deadline

The Energy Law

In compliance with that obligation, MRC created a drilling schedule listing June 2, 2017 as the spud date of a new well based on its belief that the deadline to spud that well was June 19, 2017. On June 13, 2017, MRC sent force majeure letters to the lessors claiming that it experienced a delay in the well’s drilling around April 21, 2017.

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Louisiana Second Circuit Addresses: (1) Creation of Mineral Servitudes Via Notarial Acts of Correction; (2) Obstacles Suspending the Prescription of Nonuse from Running Against Mineral Servitudes; and (3) Payment of Court Costs in Concursus Actions

The Energy Law

Flat River Farms, L.L.C. , the Louisiana Second Circuit addressed issues affecting the creation and preservation of mineral servitudes and payment of court costs in a concursus action. [1] 1] In the case, an operator initiated a concursus action seeking to resolve ownership interest in minerals underlying property on which it was operating.

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Fifth Circuit Identifies Potential Conflict with Supreme Court on Jones Act Seaman Test

The Energy Law

3d 550, a three-judge panel of the United States Fifth Circuit Court of Appeal held on August 14, 2020, that seaman status under the Jones Act may apply to an injured welder on a jack-up oil rig adjacent to an inland pier. Its employees work at its shop and yard and occasionally on jacked-up drilling rigs, often docked to inland piers.

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Fifth Circuit Identifies Potential Conflict with Supreme Court on Jones Act Seaman Test

The Energy Law

3d 550, a three-judge panel of the United States Fifth Circuit Court of Appeal held on August 14, 2020, that seaman status under the Jones Act may apply to an injured welder on a jack-up oil rig adjacent to an inland pier. Its employees work at its shop and yard and occasionally on jacked-up drilling rigs, often docked to inland piers.

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Possible Change to Jones Act Interpretations Regarding Coastwise Activities

The Energy Law

Customs and Border Protection’s (CBP) ten-year effort to amend its interpretation of key components of the Jones Act continues. Unlike its recent, unsuccessful efforts to amend its interpretations, the current proposal attempts to expand one prohibition while narrowing another. Merchandise/Vessel Equipment Vessel equipment is not merchandise.