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Crosstex Energy Servs., LP v. Tex. Brine Co.

Court of Appeal of Louisiana, First Circuit.
Nov 4, 2022
354 So. 3d 88 (La. Ct. App. 2022)

Opinion

2022 CA 0447 2021 CW 1268.

11-04-2022

CROSSTEX ENERGY SERVICES, LP, Crosstex LIG, LLC and Crosstex Processing Services, LLC v. TEXAS BRINE COMPANY, LLC, et al.


McDONALD, J.

This appeal relates to one of several lawsuits arising from an August 3, 2012 sinkhole that developed near Bayou Come in Assumption Parish, Louisiana. Here, multiple parties challenge a summary judgment rendered by the trial court on December 9, 2020. Texas Brine Company, LLC appeals the judgment insofar as it declares a lease, and other interdependent contracts, extinguished by confusion. In an answer to the appeal, and in a related writ application, Legacy Vulcan, LLC challenges the judgment as to the effects of those extinguished contracts. And, in their appeal, Occidental Chemical Corporation, Occidental Petroleum Corporation, and Oxy USA, Inc., (collectively, Oxy Parties) challenge the judgment's lack of a reservation of their right to arbitrate their contractual disputes with Texas Brine, including confusion of the lease at issue.

Legacy Vulcan filed a writ application seeking review of the trial court's denial of its motion for partial summary judgment, wherein Legacy Vulcan had sought dismissal of any remaining contract claims asserted by Texas Brine against it. A prior panel of this court referred the writ application to this panel for review in conjunction with the appeals of the December 9, 2020 judgment. Crosstex Energy Services, LP, Crosstex LIG, LLC and Crosstex Processing Services, LLC v. Texas Brine Company, LLC, et al, 2021 CW 1268 (La. App. 1 Cir. 1/12/22) (unpublished writ action).

This court has also previously considered and decided the arbitration issues the Oxy Parties raise in their appeal. See Crosstex Energy Services, LP v. Texas Brine Company, LLC, 18-1425 (La. App. 1 Cir. 4/11/22), 342 So.3d 83, writ denied, 22-00778 (La. 9/20/22), 346 So.3d 284, citing Florida Gas Transmission Company, LLC v. Texas Brine Company, LLC, 18-1391 (La. App. 1 Cir. 5/3/21), 324 So.3d 1090, 1094, writs denied, 21-00770, 21-00773 (La. 10/19/21), 326 So.3d 255, 260, and Pontchartrain Natural Gas System v. Texas Brine Company, LLC, 18-1249 (La. App. 1 Cir. 12/30/20), 317 So.3d 715, 745, writs denied, 21-00382, 21-00386 (La. 6/8/21), 317 So.3d 323 (holding that all claims between the Oxy Parties and Texas Brine be submitted for determination by the arbitration panel); and Florida Gas Transmission Company, LLC v. Texas Brine Company, LLC, 18-0075 (La. App. 1 Cir. 7/1/19), 285 So.3d 1093, 1101, writs denied, 19-01124 (La. 7/17/19), 277 So.3d 1180 and 19-01405 (La. 11/12/19), 282 So.3d 225 (holding that the determination of the issue of confusion of contracts as between the Oxy Parties and Texas Brine was appropriate for the arbitration panel rather than the trial court). Both of these rulings are final and definitive judgments, as the Louisiana Supreme Court has denied writs of certiorari; therefore, this is the law of the case and there is no need to re-examine these arbitration issues. See Slaughter v. Louisiana State Employees' Retirement System, 20-0881 (La. App. 1 Cir. 3/25/21), 322 So.3d 839, 845, writ denied, 21-00567 (La. 6/22/21), 318 So.3d 706, cert. denied, ___ U.S. ___, 142 S.Ct. 775, 211 L.Ed.2d 484 (2022) (noting that the law of the case doctrine embodies the principle that an appellate court generally does not revisit its own rulings of law on a subsequent appeal in the same case).

This court recently considered and decided these same issues in Florida Gas Transmission Company, LLC v. Texas Brine Company, LLC, 21-1267, 22-0004 (La. App. 1 Cir. 8/3/22), 348 So.3d 93, a related appeal of a judgment originating out of a different trial court number (Docket Number 34,316, 23rd Judicial District Court, Assumption Parish), but rendered by the same trial court judge on the same date and concerning the same parties. In Florida Gas, we affirmed the trial court's December 9, 2020 judgment granting Legacy Vulcan's motion for partial summary judgment regarding confusion of the Salt Lease and the cross-extinguishment of the Amended Operating Agreement, the Amended Facilities Lease, and the Assignment of the Salt Lease. Florida Gas, 348 So.3d at 99-100. We further affirmed the trial court's denial of Legacy Vulcan's motion for partial summary judgment regarding any claims by Texas Brine against Legacy Vulcan for damages arising before March 27, 2008. Id.

After the instant appeal was lodged, Texas Brine filed a peremptory exception of no right of action in this case, contending Legacy Vulcan has no right of action to assert confusion and extinguishment of the Salt Lease, because it was not privy to the Salt Lease. Legacy Vulcan opposed the exception. Texas Brine previously filed a similar exception in Florida Gas. See Florida Gas, 348 So.3d at 96-97. Because the arguments in favor of and in opposition to the exception are the same here as in Florida Gas, we adopt the analysis and conclusions regarding the exception as were set forth in Florida Gas, and deny the exception. Id.

After a thorough review of the record, we find no material distinctions between the evidence and arguments asserted in this appeal and those presented in the Florida Gas appeal. We acknowledge Texas Brine's refined arguments in its appellant brief in this appeal but find that essentially the same issues were presented in its Florida Gas brief, including confusion, extinguishment and termination of obligations, as well as the effects thereof, and cause and object of obligations. The Florida Gas court essentially addressed the same background, issues, and assignments of error raised by both Texas Brine and Legacy Vulcan in the instant appeal. We are bound to follow the Florida Gas decision under the "law of the circuit" doctrine. Labarre v. Occidental Chemical Company, 19-0624 (La. App. 1 Cir. 2/19/20), 2020 WL 813269 (unpublished); Pontchartrain Natural Gas System v. Texas Brine Company, LLC, 18-0001 (La. App. 1 Cir. 6/4/18), 253 So.3d 156, writ denied, 18-1124 (La. 9/28/18), 253 So.3d 147.

Accordingly, we affirm the trial court's December 9, 2020 judgment finding: that the obligations in the Salt Lease were extinguished as a result of confusion on March 27, 2008; that the Amended Operating Agreement and Amended Facilities Lease, along with the Assignment of Salt Lease, were cross-extinguished on that same date; and, dismissing with prejudice any actions brought by Texas Brine Company, LLC against Legacy Vulcan, LLC for damages arising after March 27, 2008, based on the aforementioned contracts.

We further affirm the trial court's August 13, 2021 judgment, denying Legacy Vulcan's motion for partial summary judgment regarding any claims by Texas Brine Company, LLC against Legacy Vulcan, LLC for damages arising before March 27, 2008 based on the aforementioned contracts.

We issue this summary disposition in accordance with Uniform Rules — Courts of Appeal, Rule 2-16.2(A)(2) and (6). Each party to this appeal shall bear its own costs.

JUDGMENT AFFIRMED; WRIT DENIED; EXCEPTION OF NO RIGHT OF ACTION DENIED.


Summaries of

Crosstex Energy Servs., LP v. Tex. Brine Co.

Court of Appeal of Louisiana, First Circuit.
Nov 4, 2022
354 So. 3d 88 (La. Ct. App. 2022)
Case details for

Crosstex Energy Servs., LP v. Tex. Brine Co.

Case Details

Full title:CROSSTEX ENERGY SERVICES, LP, Crosstex LIG, LLC and Crosstex Processing…

Court:Court of Appeal of Louisiana, First Circuit.

Date published: Nov 4, 2022

Citations

354 So. 3d 88 (La. Ct. App. 2022)

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