A panicked client calls to say that they acquired leases and assets tied to oil and gas operations in Cameron Parish, Louisiana and Jefferson County, TX. A lawsuit has been filed in both locales, alleging environmental damages perhaps caused by the properties’ predecessors. Are they liable? What is the governing law?

In 2003, claims by landowners for environmental damages resulting from oil and gas operations took a dramatic turn. The Louisiana Supreme Court in Corbello v. Iowa Production Co., ruled that property value ($110,000 in Corbello) was not a factor in determining damages for failing to remediate polluted land, adding that the court could not require that the money be used to undertake remediation.

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