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Kinder Gas, Inc. v. Reynolds
84 So. 3d 695
La. Ct. App.
2012
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Background

  • 1960 surface lease of 15 acres in Kinder between Reynolds family (landowners/lessors) and Hunt Petroleum and successors; Kinder Gas later acquired the lease and is the plaintiff in reconvention.
  • Reynolds family filed reconventional demand alleging damage from gas processing facilities, contamination, and ongoing nuisance/ trespass; Gas Company Defendants asserted defenses including prescription and prematurity.
  • Reynolds asserted tort claims (strict liability, nuisance, continuing trespass) and contract claims (breach of lease/restoration obligations) against the Gas Company Defendants.
  • Trial court dismissed Reynolds’ tort claims as prescribed and contract claims as premature, and denied other motions; Reynolds appealed.
  • Evidence chronology showed ongoing discussions about contamination since 1997, with a key knowledge trigger in a January 14, 2008 letter noting possible environmental problems; surface oil stains known since 2003.
  • Court affirmed trial court’s rulings, applying Marin, Hogg, Corbello, and Dore to conclude prescription and prematurity were proper.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Prescription for tort claims Reynolds argues no knowledge of damages before 2010; contra non valentem applies. Gas Defendants contend knowledge of possible contamination by Jan 14, 2008 triggered prescription. Affirmed: prescription valid; knowledge by Jan 14, 2008 started one-year period.
Prematurity of contract claims Marin/Corbello logic allows ongoing lease claims; prematurity not applicable. Corbello/Dore show restoration claims arise after lease ends; prematurity bars ongoing claims. Affirmed: contractual claims arising during ongoing lease are premature; dismissed without prejudice.

Key Cases Cited

  • Marin v. Exxon Mobil Corp., 48 So.3d 234 (La. 2010) (knowledge/ damages in property contamination prescriptive analysis)
  • Hogg v. Chevron USA, Inc., 45 So.3d 991 (La. 2010) (application of Marin to contamination cases)
  • Corbello v. Iowa Production, 850 So.2d 686 (La. 2003) (duty to restore does not arise until lease expiration; some claims during existence are premature)
Read the full case

Case Details

Case Name: Kinder Gas, Inc. v. Reynolds
Court Name: Louisiana Court of Appeal
Date Published: Feb 1, 2012
Citation: 84 So. 3d 695
Docket Number: No. 11-1012
Court Abbreviation: La. Ct. App.