Default Judgment in Pipeline Condemnation: Court Awards Just Compensation Based Solely on Condemning Party's Remainder Damages Methodology

Mountain Valley Pipeline secured summary judgment awarding $9,291 in just compensation for 1.96 acres of easements (0.12 permanent, 1.84 temporary) on the Rust property in Pittsylvania County after landowners failed to answer the condemnation action. The Western District of Virginia relied exclusively on MVP's appraiser's valuation methodology—allocating $594 for permanent easement, $5,964 in remainder damages, and $2,733 for temporary construction easements—following FERC's December 2025 amended certificate authorizing increased pipeline diameter.

Standing Rock Challenges Army Corps Easement for Dakota Access Lake Oahe Crossing on NEPA Spill Risk Grounds

Standing Rock Sioux Tribe filed suit in D.D.C. on October 11, 2026, challenging the Army Corps' May 2026 easement grant for Dakota Access Pipeline's Lake Oahe crossing, alleging the December 2025 final EIS inadequately analyzed spill risks to tribal drinking water intakes and treaty-protected water rights. The complaint seeks both rescission of the easement and invalidation of PHMSA's spill response plan approvals, threatening operational continuity for the 570,000 bpd crude pipeline serving Bakken production.

District Court Grants Transcon Immediate Possession Under Natural Gas Act Section 7(h) Over Township Opposition

Transcontinental Gas Pipe Line Company secured immediate possession of 1.451 acres of permanent pipeline easement in Franklin Township, New Jersey, following oral argument on February 17, 2026, with the district court deferring just compensation determination to subsequent proceedings. Franklin Township's opposition to the order to show cause failed to prevent the condemnation order, demonstrating the challenges municipalities face when contesting Natural Gas Act condemnation applications.

El Paso Court of Appeals Issues Precedential Guidance on Indemnification Claim Notice Requirements in Permian Basin M&A Dispute

The El Paso Court of Appeals issued precedential guidance on indemnification claim notice requirements in Sitio Permian's post-closing dispute with PRP Delaware Basin following a private-target acquisition of Permian assets. The opinion addresses whether buyers satisfied contractual notice provisions when asserting breaches of representations and warranties, providing binding authority on indemnification claim procedures in upstream asset purchase agreements.

Court of Federal Claims Denies Damages for Void Federal Lease Issued Over Indian Trust Lands in Violation of IMLA

Lario Oil and Gas Company sought damages after BLM improperly issued a federal oil and gas lease covering portions of MHA Nation trust lands without complying with Indian Mineral Leasing Act procedures, forcing Lario to pay higher royalties and bonus payments under a subsequent IMDA-compliant tribal lease. The Court of Federal Claims held the original lease void ab initio but denied Lario's claim for damages arising from BLM's administrative error, leaving the operator to absorb the differential between federal and tribal lease terms.

District of New Mexico Allows Antitrust Claims by Indirect Fuel Purchasers Against Major Shale Producers to Proceed, Rejects Act-of-State Defense

District of New Mexico denied motions to dismiss in MDL alleging Hess, Pioneer, Occidental, EOG and four other major shale producers conspired starting in 2021 to restrain domestic oil production to inflate crude prices, finding antitrust standing for indirect purchasers of refined products in a proposed nationwide class seeking injunctive relief and 35-state damages class of end purchasers. The court rejected defendants' OPEC act-of-state defense and allowed claims to proceed on behalf of fuel purchasers downstream of the alleged production restraint conspiracy.

RRC Assesses $1.25 Million in October 2026 Enforcement Actions for Plugging, Water Protection, and Pipeline Severance Violations

The Texas Railroad Commission assessed $1,245,802 in penalties against operators in October 2026, with $1,050,129 resolved through Master Agreed Orders and $195,673 imposed via Master Default Orders for violations of plugging, water protection, and disposal well requirements. The enforcement actions targeted noncompliance with Statewide Rules 3.8, 3.14, and 3.73, including failures to meet pipeline severance obligations and maintain adequate well abandonment procedures.

Eleventh Court Holds Unproduced Letter Agreement Defeats Summary Judgment on ORRI Chain of Title

The Eleventh Court of Appeals reversed summary judgment for Endeavor Energy Resources in its suit to recover overriding royalty interest payments allegedly made in error to the Browns, holding that Endeavor's failure to produce an unrecorded letter agreement expressly incorporated into a 1998 ORRI assignment created a fact issue on chain of title. The court determined that when an assignment is made 'subject to the terms and conditions' of an extrinsic document, the party claiming superior title must produce that document to establish ownership as a matter of law.

Fifth Circuit Holds 'Prevent' in Force Majeure Clauses Requires Only Impracticability, Excludes Expert Testimony on Contract Interpretation

Fifth Circuit affirmed that Winter Storm Uri constituted force majeure excusing Pioneer Natural Resources' failure to deliver contracted gas volumes, holding that 'prevent' in force majeure clauses requires impracticability rather than literal impossibility of performance. The panel also excluded buyer Mieco's expert witness who offered testimony on the meaning of contractual terms, reaffirming that contract interpretation is a question of law for the court.

Untitled