The Energy Law Blog

Federal Court Remands Mineral Lease Dispute for Lack of Evidence of Amount in Controversy

Kelly Becker — Tue, 02 Feb 2010 10:27:45 -0500

By Emma J. Hinnigan

In Sullivan v. Chesapeake Louisiana, L.P., 09-0579, 2009 WL 3735798 (W.D. La. Nov. 6, 2009), the Western District of Louisiana remanded a case seeking rescission of a mineral lease back to state court after the defendant failed to provide proof of the amount in controversy, namely the total value of the lease. The Sullivan plaintiff filed suit in state court seeking rescission, alleging that (1) the bonus payment was paid untimely, and (2) the defendant had violated Louisiana’s Blue Sky Law. The defendant filed a notice of removal, in response to which the plaintiff argued that the market value of the lease bonus fell far short of the requisite jurisdictional amount. However, because the plaintiff was seeking declaratory relief, the amount in controversy was not merely the potential monetary judgment, but the total value of the lease, including the value of any undisturbed minerals. The court explained that because the value of the undisturbed minerals was not “facially apparent,” it would look to affidavits or other “summary judgment-type” evidence to determine the amount in controversy. However, the defendant only offered two unauthenticated press releases that referenced production rates for wells in the same area. The court concluded that the press releases were inadmissible hearsay, and ultimately held that the defendant failed to satisfy its burden of showing that federal jurisdiction existed.

Courts as Battlefields in Climate Fights

Kelly Becker — Tue, 02 Feb 2010 10:24:15 -0500

By Elisabeth Lorio Baer

Kivalina, Alaska, an Inupiat Eskimo village of 400 inhabitants perched on a barrier island north of the Arctic Circle, is bringing suit against two dozen fuel and utility companies, including ExxonMobil and Shell Oil, accusing them of helping to cause the climate change that it alleges is accelerating the island’s erosion. The village wants the companies to pay the costs of relocating to the mainland, which could amount to as much as $400 million.

The case is one of three major climate change lawsuits. In the other two cases, a Connecticut and a Mississippi case, the federal appeals courts reversed the district courts’ dismissal of the actions. With actions in three circuit courts, Supreme Court review may be on the horizon. President Obama’s senior advisor for energy and climate change, Carol M. Browner, however, urges that setting environmental standards is best left to the legislature.

Kivalina alleges in its Complaint that the industry conspired “to suppress the awareness of the link” between emissions and climate change through “front groups, fake citizen organizations and bogus scientific bodies.” These claims echo those alleged in the tobacco cases and could result in settlement negotiations, increased government regulation, and the eventual large recovery for plaintiffs.

For the full article, see http://www.nytimes.com/2010/01/27/business/energy-environment/27lawsuits.html?th&emc=th

Fifth Circuit Considers Gas Price Manipulation Allegations

Kelly Becker — Thu, 21 Jan 2010 09:36:53 -0500

By Michael A. Mahone, Jr.

In U.S. Commodity Futures Trading Commission v. Dizona, the United States Court of Appeals for the Fifth Circuit recently considered allegations by the United States Commodity Futures Trading Commission that a natural gas trader had attempted to manipulate the price of natural gas by knowingly delivering false and inaccurate price and volume data to reporting services. These data gathering services would solicit bid data at the end of each month and would analyze this data to postulate an index price for natural gas, which would in turn set the price for the following month. Supposedly, the data reported to the reporting service was not based upon actual trades but was instead fabricated by the defendant to affect these indices, either positively or negatively. The Fifth Circuit ultimately agreed with the district court that there was insufficient evidence of price manipulation, once incriminating hearsay evidence was excised. Specifically, the Court explained that the Commission’s expert’s “general findings of biased reporting” and the vague incriminating statements made by the defendant on an audiotape (i.e., wherein he implicitly indicated that he would make sure to set the price at a particular level) were insufficient to show that the defendant delivered false reports in an attempt to manipulate the market price of natural gas. Yet, while the Commission was unable to prove its case in this instance, the theory advocated could very well be successful in the future, provided that better evidence is available.

http://caselaw.lp.findlaw.com/data2/circs/5th/0820418cv0p.pdf

Secretary of Interior Announces Reform in Nation's Oil and Gas Development Policy

Kelly Becker — Wed, 06 Jan 2010 15:57:55 -0500

By Matthew Simone

On January 6, 2010, the Secretary of the Interior, Ken Salazar, announced plans to reform the nation’s policy on oil and gas development in an effort to shift from the Bush Administration’s “anywhere, anyhow” policy. The goals of this reform are to improve environmental protection and to reduce costly litigation and protests. Under the reformed policy, the Bureau of Land Management (BLM) will provide more detailed environmental review prior to leasing oil and natural gas resources. Secondly, the BLM will make forums available for public involvement in the development of Master Leasing and Development Plans prior to leasing areas where intensive new oil and gas development is anticipated. The new policy will also include a comprehensive parcel review process taking a site-specific approach to individual lease sales, which will include public participation, interdisciplinary review of available information, and visits to parcels when necessary to supplement or validate existing data. Lastly, Secretary Salazar’s reforms will provide guidance regarding the use of categorical exclusions (CXs) established by the Energy Policy Act of 2005 which allows the BLM to streamline the environmental review process for certain oil and gas exploration and development activities. The new policy will require more extensive environmental review on CXs when the BLM is presented with “extraordinary circumstances.” Secretary Salazar also created the Energy Reform Team which is charged with implementing the new policies and helping other agencies to coordinate and manage public energy resources in the future.

To read further, please go to http://7lmoganewsbits623.blogspot.com/

EPA Issues Final Greenhouse Gas Endangerment Finding

Kelly Becker — Wed, 06 Jan 2010 15:53:52 -0500

By Stephen Wiegand

On December 15, 2009, EPA published in the Federal Register its final endangerment findings with respect to greenhouse gases. See 74 Fed. Reg. 66496 (Dec. 15, 2009) [http://www.epa.gov/climatechange/endangerment/downloads/Federal_Register-EPA-HQ-OAR-2009-0171-Dec.15-09.pdf]. This rulemaking is a response to Massachusetts v. EPA, 549 U.S. 497 (2007), in which the Supreme Court held that greenhouse gases were “pollutants” under the Clean Air Act and ordered EPA to determine whether greenhouse gases “may reasonably be anticipated to endanger public health or welfare” under Section 202 of the Act.
In its findings published on December 15, EPA concluded that six greenhouse gases taken in combination may reasonably be anticipated to endanger public health and public welfare. These gases include carbon dioxide, methane, nitrous oxide, hydroflourocarbons, perflourocarbons, and sulfur hexafluoride. In reaching these conclusions, EPA considered the extent to which elevated concentrations of greenhouse gases may cause changes in air quality, increases in temperature, changes in extreme weather events, increases in food- and water-borne pathogens, and changes in aeroallergens. EPA relied on assessments by the U.S. Global Climate Research Program, the Intergovernmental Panel on Climate Change, and the National Research Council.
While these findings do not in themselves impose any requirements on regulated entities, they are a prerequisite to future regulation of greenhouse gases under existing Clean Air Act authority. Many view the existing Clean Air Act as ill-suited to the regulation of greenhouse gases. This endangerment finding, along with EPA’s proposal to regulate greenhouse gases under existing Clean Air Act authority, see EPA Proposed PSD and Title V Greenhouse Gas Tailoring Rule [http://www.hss.energy.gov/nuclearsafety/env/rules/74/74fr55292.pdf], is being used as a forcing function to accelerate the passage of stand-alone greenhouse gas legislation by Congress.

Texas Court Holds Produced and Stored Oil Transferrable as Personal Property in Assignment

Kelly Becker — Tue, 24 Nov 2009 16:14:48 -0500

By Sarah Steward-Lindsey

In ERG Resources, LLC v. Merlon Texas, Inc., the First Court of Appeals in Houston held that oil which had been severed and stored in tanks on site was personal property and thus was transferred by an assignment of the oil and gas property on which the tanks were located. Merlon agreed to purchase oil and gas property owned by ERG pursuant to an “Assignment and Bill of Sale,” which stated that oil produced before January 1, 2008, and contained in the storage tanks on the land subject to the assignment “was the sole property of ERG.” After the assignment became effective, ERG submitted an invoice to Merlon for the value of the oil, which Merlon refused to pay. The court noted that the assignment expressly conveyed ERG’s “right, title, and interest in [the land], . . . inclusive, without limitation, the properties and/or oil and gas units located thereon, . . . together with . . . the personal property thereon, appurtenant thereto, or used or obtained in connection with said properties and/or oil and gas units.” (Emphasis by the court). The oil was personal property on the land as of the effective date of the assignment, and was thus conveyed to Merlon under the terms of the assignment.

To read the case, please go to http://www.1stcoa.courts.state.tx.us/opinions/PDFOpinion.asp?OpinionId=87174.

Louisiana Supreme Court Holds that Act 136 of the Mineral Code is Inapplicable to Remediation Suits

Kelly Becker — Fri, 23 Oct 2009 15:11:20 -0500

By Matt Simone

In Broussard v. Hilcorp Energy Co., the Louisiana Supreme Court held that a plaintiff is not required, pursuant to Article 136 of the Louisiana Mineral Code, to provide a defendant with pre-suit written notice and an opportunity to perform prior to a judicial demand for property restoration related to oil and gas production contamination. Article 136 mandates these requirements for claims “arising from drainage of the property leased or from any other claim that the lessee has failed to develop and operate the property leased as a prudent operator….” The defendants argued that Article 136’s requirements should apply to any claim alleging that a lessee failed to act as a prudent operator. The court rejected the defendants’ position noting that the plain language of Article 136 is limited to claims regarding drainage of property or failure to develop and operate leased property. Since this case essentially involved a remediation/restoration claim, the court found that Article 136’s pre-suit requirements were inapplicable.

To read the case, go to http://www.lasc.org/news_releases/2009/2009-064.asp

Fifth Circuit Holds that Individual Citizens Have Standing to Sue Energy Companies for Global Warming

Kelly Becker — Thu, 22 Oct 2009 13:06:32 -0500

By April Rolen-Ogden

In Comer v. Murphy Oil, the Fifth Circuit left open the possibility that the oil and gas industry may be privately sued for alleged contributions to global warming. In this putative class action lawsuit, Plaintiffs claimed that the defendants’ operation of energy, fossil fuels, and chemical industries in the United States contributed to global warming. Plaintiffs further claimed that those contributions caused a rise in sea levels and added to the devastation wreaked by Hurricane Katrina, which destroyed Plaintiffs’ property and some public property. The Fifth Circuit concluded that Plaintiffs had standing for their nuisance, trespass and negligence claims, which were premised on the alleged causal link between global warming and Hurricane Katrina’s destruction of Plaintiffs’ property. The Fifth Circuit also held these claims were justiciable and thus ripe for determination by a court. Based on these findings, the Fifth Circuit reversed the District Court, which had dismissed Plaintiffs’ claims, and remanded for further proceedings.

To read further, please go to http://www.ca5.uscourts.gov/opinions/pub/07/07-60756-CV0.wpd.pdf

Fifth Circuit Royalty Decision Stands -- Supreme Court Denies Cert

Kelly Becker — Mon, 05 Oct 2009 16:52:54 -0500

The United States Supreme Court has denied the Petition for Certiorari filed by the United States Department of the Interior in Kerr-McGee Oil & Gas Corp. v. U.S. Dep't of the Interior, 554 F.3d 1082 (5th Cir. 2009). The high court's refusal to consider Interior's appeal allows the Fifth Circuit's January 2009 decision to stand.

As explained in detail in the attached link (http://www.liskow.com/liskownewsletter/2009-01/newsletter.htm), the Fifth Circuit held that the MMS had no authority to insert "price threshold" provisions into thousands of deep water Gulf of Mexico leases granted during the period 1996-2000.

New Permit Requirements for Hydraulic Fracturing of the Haynesville Shale

Kelly Becker — Tue, 29 Sep 2009 11:40:03 -0500

By Stephen Weigand

The Shreveport Times reports that federal authorities have added additional permit requirements for companies who pump water from the Red River for hydraulic fracturing of the Haynesville Shale. The requirements were added after the U.S. Fish and Wildlife Service raised concerns that the pumping process could be disturbing the habitat of three federally endangered and threatened Red River species. These species include the pallid sturgeon as well as a bird known as the interior least tern and a plant known as earth fruit. According to the Times, one of the new requirements is that a pump not be placed within 600 feet of an active least tern colony. This requirement effectively forces companies to survey the area before submitting a permit application. Additionally, the Times reports that the Fish and Wildlife Service is also requesting the use of smaller pipes and a diffuser to eliminate the possibility of sucking in fish during the pumping process.

For the full story, see http://www.shreveporttimes.com/article/20090921/NEWS01/909200332

Caddo Parish Commissioners Approve Ordinances Affecting Oil and Gas Operations

Kelly Becker — Tue, 22 Sep 2009 15:45:34 -0500

By Matthew Simone

After seven months of discussion and postponement, Caddo Parish Commissioners approved new regulations affecting oil and gas operations. These regulations involve three directives. First, loud operations within five hundred feet of hospitals, residences, religious, commercial, or public buildings in urban areas, may only take place Monday through Saturday between 8 A.M. and 5 P.M. Second, oil and gas operations may not use public water supplies unless permitted by state or parish approval. Last, lighting within three hundred feet of public roads or adjacent property may not shine directly on those sites. These regulations are scheduled to take affect on November 1, 2009. However, they will not affect wells that were in use prior to January 2008 in an effort to protect smaller companies which have been operating in the area before that time.

The new laws also mirror current state and Bossier City ordinances affecting the use of public roads and acceptable noise levels, but Caddo officials may re-visit these areas and increase the level of regulation at a later date. Caddo Parish Attorney Charles Grubb stated that the aim of the new ordinances is to “end up in the future with a more comprehensive system of permits and advanced notification.”

For more information go to:
http://www.shreveporttimes.com/article/20090917/NEWS01/90917043

White House Wants to End Royalty-in-Kind Program

Kelly Becker — Thu, 17 Sep 2009 16:40:00 -0500

by Elisabeth Lorio Baer

Interior Secretary Ken Salazar informed Congress on September 17, 2009 that he would kill a controversial program, currently in effect, that allows energy companies to pay the government royalties for drilling on public lands in actual oil and gas in lieu of cash. The announcement was made during testimony to the House Natural Resources Committee which is holding a hearing on a proposal by Chairman Nick Rahall, D-W.V. to revamp the manner in which the nation leases and collects royalties for drilling on public land.

Salazar stated that he would begin a “phased-in termination” of the royalty-in-kind program. The program, previously promoted by the Mineral Management Service, has reportedly been so badly managed that the government has failed to collect an estimated $21 million in oil and gas royalties from about 29,000 productive leases. Salazar said that the royalty-in-kind program was outdated and difficult to administer. Jack Gerard, president of the American Petroleum Institute, defended the program, and urged Salazar to reconsider ending it.

For the full story, see http://www.chron.com/disp/story.mpl/business/energy/6621406.html

The Tiber Prospect Well: BP Makes Giant Oil Discovery Deep in the Gulf

Kelly Becker — Fri, 04 Sep 2009 08:52:04 -0500

By Kerry Murphy

On Wednesday September 2, BP drilled the world’s deepest oil well – the Tiber Prospect Well – and discovered a huge pool of crude oil. The Tiber well is located in the western Gulf of Mexico, southwest of New Orleans in U.S. waters. It is expected to rank among the largest petroleum discoveries in the United States, potentially producing as much oil as BP’s Thunder Horse well and half as much as Alaska’s famous North Slope oil field. The Tiber well is below 4,000 feet of water and more than 30,000 feet into the earth. As is common in deep-water operations, it will take years of work and millions of dollars before oil can be drawn from the well. The Tiber well promises to make a major impact on the economy of south Louisiana. Developing Thunder Horse required “countless” workers, and created increased business for shipyards, refiners, and manufacturers and retailers of industrial equipment. For more information on the Tiber well, see http://www.nola.com/business/index.ssf/2009/09/bp_makes_giant_discovery_in_gu.html.

Local Louisiana tax assessor files 29 additional lawsuits against "big oil" companies alleging underpayment of millions in ad valorem taxes

Kelly Becker — Fri, 21 Aug 2009 11:59:27 -0500

By Emma J. Hinnigan

This entry updates an earlier blog entry posted on May 4, 2009, discussing two lawsuits filed by the tax assessor for Terrebonne Parish against Burlington and LL&E for alleged underpayment of property taxes. The attorneys responsible for filing these lawsuits have held true to their promise that the lawsuits would be the first of many. On August 17, 2009, they filed an additional 29 new lawsuits against “big oil” companies. To date, the tax assessor for Terrebonne Parish is the only plaintiff involved. However, the attorneys do claim that they have assessors from other parishes on board and will file further suits in the future.

The link below is to the website created by the attorneys responsible for filing these lawsuits.

For more information, please contact Robert Angelico, Jim Exnicios, or Cheryl Kornick.
www.paytaxesoil.com

First Circuit Holds That Common Carrier Cannot Expropriate Private Property to Perform Routine Service and Maintenance on its Ethylene Pipeline

Kelly Becker — Tue, 28 Jul 2009 12:19:30 -0500

By Emma J. Hinnigan

In ExxonMobil Pipeline Co. v. Union Pacific Railroad Co., 08-2347 (La. App. 1. Cir. 5/13/09), the First Circuit held that ExxonMobil was not entitled to expropriate land owned by Union Pacific because the expropriation was not for a public purpose. ExxonMobil wanted to build an access road so that it could perform routine service and maintenance on one of its ethylene pipelines. Under Louisiana law, a common carrier does have the right to expropriate private property for use in its common carrier business. However, to exercise this right, the common carrier must prove that the expropriation is for a public and necessary purpose. For there to be a public purpose, there must be a general public right to a definite use of the property, as distinguished from the public benefiting due to property being used by a corporation or an individual. The court held that ExxonMobil failed to prove that the expropriation served a public purpose because only ExxonMobil would be able to use the access road due to a locked gate. Further, the routine inspection and maintenance of such a pipeline does not promote the health, safety and morals of the public, which is typically considered a public purpose. Judge Kuhn dissented. In his dissent, he explained that the expropriation of private property to perform routine service on a pipeline does serve a public purpose. He further noted that ExxonMobil did not have to prove that the public would have direct use of the access road to establish a public purpose.

Caddo Parish Commissioners Postpone Decision on Oil and Gas Ordinances

Kelly Becker — Fri, 10 Jul 2009 13:15:26 -0500

by Elisabeth Lorio Baer

Despite the urging of Caddo Parish property owners to pass regulating ordinances and appeals from the oil and gas industry to leave regulation to other governing bodies, Caddo Parish commissioners decided to postpone the passage of oil and gas ordinances on Thursday. The Caddo Commission has been studying the proposals since February, but has decided to postpone a final vote by the Commission until August pending further discussion with the Commission’s oil and gas committee. The parish ordinances will further regulate certain state regulations instituted by the Louisiana Office of Conservations, scheduled to go into effect in August, such as hours of operation, noise, lighting, dust and other conditions at well and pipeline sites. The Caddo Parish Commissioners are striving to develop a set of ordinances that both protect the citizens of Caddo Parish, but also keep costs down to allow the continuation of drilling by smaller oil companies that have been drilling in Caddo Parish for years without local regulation. Commissioner Doug Dominick is recommending grandfathering language in the ordinance to protect the existing oil companies drilling in the area.

For more information go to: http://www.shreveporttimes.com/article/20090710/NEWS01/907100336/1060

States Challenge Attempted Federal Power Grab in Hydraulic Fracturing Issue

Kelly Becker — Thu, 18 Jun 2009 09:57:34 -0500

By Emma J. Hinnigan

On June 10, 2009, the Interstate Oil and Gas Compact Commission (IOGCC) reaffirmed its strong stance that the states remain best positioned to regulate the use of hydraulic fracturing for the production of oil and natural gas. The IOGCC’s response comes on the heels of two bills introduced in the House and the Senate calling for the repeal of the exemption of hydraulic fracturing from the Safe Drinking Water Act (SDWA), which would effectively give the federal government jurisdiction over the regulation of the technology. Hydraulic fracturing plays a major role in the development of unconventional oil and natural gas resources, and some claim the process contaminates underground drinking water sources. The Executive Director of the IOGCC, Carl Michael Smith, explained that states do a “superb job of protecting human health and the environment through sound regulation.” Smith warned that an “unnecessary shift to federal regulation of hydraulic fracturing could greatly inhibit the production of much-needed oil and natural gas resources when our nation’s energy security is critical.”

For more information, go to
http://www.prweb.com/releases/2009/06/prweb2522454.htm

Fifth Circuit remands case regarding lessee's breach of a settlement agreement

Kelly Becker — Thu, 11 Jun 2009 11:57:50 -0500

By Jessica Gladney

The Fifth Circuit recently reversed the district court’s grant of partial summary judgment in Dore Energy Corp. v. Prospective Investment & Trading Co. Ltd., No. 08-30186 (5th Cir. 5/28/09). The dispute in Dore centers on the interpretation of a 2002 settlement agreement between the parties to certain mineral leases in Cameron Parish. Dore Energy Corp. filed suit in 2000 against the lessees of a 1927 mineral lease seeking to cancel underdeveloped portions of the lease. The parties reached a settlement agreement on January 28, 2002, in which the lessees agreed to release their interest in all of the mineral lease except for three specified sections of land, referred to as the “Retained Area.” The settlement agreement provided that three years after the agreement, the portions of the Retained Area that were not then in “producing units” would be released. The agreement also imposed an obligation on the parties to attempt to negotiate in good faith the size and extent of the producing units before instituting a proceeding before the Louisiana Commissioner of Conservation to settle any disputes.

On January 28th, 2005, only one of twenty-five existing wells in the Retained Area was still producing from the depth identified in its unit designated by the Commissioner of Conservation. In March 2005, Dore sent letters to the lessees demanding that they surrender the lease to all acreage other than that related to the one well producing at the unit designation depth. The lessees offered to negotiate with Dore regarding the shape and configuration around the wells, to include wells that had been recompleted into shallower zones than those specified in unit designations, but Dore instead filed suit in September 2005 seeking enforcement of the settlement agreement. The district court granted Dore partial summary judgment, finding that since only one well was producing at its unit designation depth and no voluntary units had been formed between 2002 and 2005, only one well in the Retained Area constituted a “producing unit.” The district court therefore canceled the lease on the rest of the Retained Area, effective January 28, 2005.

The Fifth Circuit determined the provision in the settlement agreement that required the parties to negotiate in good faith as to the size and extent of producing units before pursuing a determination from the Louisiana Commissioner of Conservation was not subject to the three-year time limit. Since no time limit for this provision was provided by the agreement, the obligation must be performed within a reasonable time. The Fifth Circuit remanded the case to the Western District of Louisiana for a determination as to whether the lessees breached the settlement agreement by failing to institute negotiations within a reasonable time. While recognizing that the agreement may have been breached, the court emphasized specific performance as a potential remedy and expressly stated, “The remedies available under Louisiana law and by these pleadings for such a breach do not include forfeiture.”

Fifth Circuit Reverses, Allows Texas to Intervene in Cy Pres

Kelly Becker — Tue, 02 Jun 2009 08:52:13 -0500

By Marie Carlisle

On May 28, 2009, the Fifth Circuit decided In the Matter of: Lease Oil Antitrust Litigation, case no. 08-40230, reversing the District Court’s denial of the State of Texas’ motion to intervene in a matter concerning unclaimed settlement money from the oil antitrust action. The Fifth Circuit found that Texas met the requirements to intervene as it presented a timely motion, demonstrated an interest in the litigation which was direct and substantial and would be impaired without intervention, and that Texas’ interest was not represented by any of the existing parties. The appeal stemmed from a 1999 settlement in a class action where the Plaintiffs claimed oil companies were not paying the fair market value of oil at the well. After distribution of settlement checks to members of the class who could be located, $4,638,283 in funds remained and were owed to class members who could not be located, but whose last known addresses were in the State of Texas. The District Court decided to distribute the funds to a third party, under the doctrine of cy pres. The State of Texas was not a party to these hearings. On December 12, 2007, the district court approved the cy pres distribution but, anticipating an intervention and appeal by the State, set the funds aside rather than immediately distributing them. On January 11, 2008, Texas filed a motion to intervene and a motion to reconsider with the district court. Both motions were denied and Texas then appealed the denials to the Fifth Circuit, arguing that it should have been granted leave to intervene in the district court. The Fifth Circuit reversed the district court, finding that Texas met the requirements for intervention as of right—it filed a timely motion, presented a direct and substantial interest in the litigation which would be impaired absent intervention, and had demonstrated that its interests were not represented by the existing parties.

Louisiana Fourth Circuit Court of Appeals Affirms Denial of Class Certification in Alleged Chemical Exposure Case

Kelly Becker — Wed, 20 May 2009 16:57:47 -0500

By Jessica Gladney

In Thomas v. Mobil Oil Corp., No. 2008-0541 (La. App. 4 Cir. 3/31/09), the Fourth Circuit affirmed the trial court’s denial of class certification against the defendants, Exxon Mobil Corporation and Chalmette Refining, L.L.C. The proposed class consisted of approximately 7,000 claimants from Algiers and St. Bernard, and the plaintiffs alleged personal injury and property damages from emissions of petrochemical facilities operated by the defendants over a fourteen-year period. The claims forms submitted did not specify dates that claimants allegedly suffered from any of the alleged damages, and the trial court concluded that the claims among the purported class members varied so greatly that the putative class representatives could not adequately represent the class. The Fourth Circuit recognized that the Louisiana Supreme Court’s holding in Ford v. Murphy Oil, U.S.A., Inc., 1996-2913 (La. 9/9/97), 703 So. 2d 542 was controlling and affirmed the trial court’s holding denying class certification. The court noted that the wide variances in geographic location, claimed exposure, and types and degree of damages claimed by the putative class members demonstrated that the claims were too individualized and the certification of the class should therefore be denied.