pjc-oil-and-gas-2022-lib

D AMAGES

PJC 313.12

PJC 313.12 Question and Instruction on Damages for Breach of Express Pooling Provisions and Implied Duty to Pool in Good Faith [Insert predicate, PJC 313.1.] QUESTION ______ What sum of money, if any, if paid now in cash, would fairly and reasonably compensate Paul Payne for his damages, if any, that resulted from Larry Les see ’s failure to pool Paul Payne ’s lease in [ good faith/in accordance with the express pooling provision ]? [Include the following if the well is a vertical well.] Paul Payne ’s damages, if any, are measured by the difference in royalty Paul Payne would have received had the unit not been formed, less royalties already received from the unit, if any. [Include the following if the well is a horizontal well.] Paul Payne ’s damages, if any, are measured by the royalty Paul Payne would have received on the production attributable with reasonable probability to Paul Payne ’s lease as if the pooled unit had not been formed, less royalties already received from the pooled unit, if any. Do not add any amount for interest on damages, if any. Answer in dollars and cents for damages, if any. Answer: _______________ COMMENT When to use. PJC 313.12 should be used when the plaintiff’s lease is a drillsite tract in the unit and should be predicated on a “Yes” answer to PJC 303.2 or 303.3. The applicable instruction regarding either a vertical well or a horizontal well should be included depending on the facts of the case. Source of question and instruction. The question and instruction are derived from Browning Oil Co. v. Luecke , 38 S.W.3d 625, 645, 647 (Tex. App.—Austin 2000, pet. denied), and Circle Dot Ranch, Inc. v. Sidwell Oil & Gas, Inc. , 891 S.W.2d 342, 346 (Tex. App.—Amarillo 1995, writ denied).

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