• Skip to content
  • Skip to primary sidebar

liskow_lewis_white_new

future-focused

  • Team
  • Practices
  • Insights
  • Perspectives
Blogs

Third Circuit Affirms Trial Court’s Refusal to Adopt DNR’s Most Feasible Plan in Sweet Lake Land & Oil Co. v. Oleum Operating Company

10.31.17 | 3 minute read

Practices

  • Litigation

The Louisiana Legislature passed “Act 312,” La. R.S. 30:29, in 2006 to provide a procedure for ensuring that amounts awarded to remediate environmental damage are actually spent on remediation.  Act 312 sets forth a multi-step scheme that is triggered once a party is found responsible for environmental damage, culminating with Department of Natural Resources (“DNR”) approving a plan “to evaluate or remediate” the environmental damage. La. R.S. 30:29(C)(2)(a). Thereafter the trial court “shall adopt the plan approved by the [DNR] unless another party proves by a preponderance of the evidence that another plan is more feasible,” id. 30:29(C)(5). 

On October 18, 2017, the Court of Appeal, Third Circuit, issued an opinion that discards the mandate of this final step, affirming the trial court’s refusal to adopt DNR’s most feasible plan, even though, indisputably, there was no evidence in the record that another plan was more feasible.  Years earlier, Sweet Lake sued multiple oil and gas operators, including four BP entities (collectively, “BP”), alleging environmental damage to property caused by exploration and production activities.  In May 2015, a jury found BP was responsible for the damage.

In September 2015, the trial court ordered BP to submit a remediation plan to DNR, and it also referred the matter to DNR for a public hearing and development of a most feasible plan.  DNR held a public hearing the following year, and, in late 2016, it filed its most feasible plan and supporting written reasons.  BP moved to adopt DNR’s plan, but the trial court denied the motion.  The court also ordered DNR to perform additional work, reasoning that the plan was only partially remedial in nature, inasmuch as some aspects of the plan called for evaluation in the form of further testing.  Its order required DNR to supplement the plan to address the questionable areas and provide a remediation plan for them.

BP sought supervisory writs, which the Third Circuit granted for briefing and opinion.  BP’s primary argument in the Third Circuit was that the trial court’s failure to adopt the DNR plan violated the plain terms of La. R.S. 30:29(C)(5).  According to BP, the DNR’s plan was final under the statutory scheme, which, by its express terms, includes plans for “evaluation or remediation.” Any plan, argued BP, whether for evaluation or remediation or both, that is submitted to the trial court should be considered final and must be adopted, unless another party proves by a preponderance of the evidence that another plan is more feasible.

The Third Circuit panel defined the issue before it as “whether the trial court can order LDNR to resubmit a plan for remediation when the judgment called for such a plan and the originally submitted plan still requires evaluation.”  The panel conceded that Act 312 does not provide for such a resubmission but rather explicitly mandates adoption of the plan, and also acknowledged that the record contained no evidence, much less a preponderance of the evidence, that Sweet Lake’s plan was more feasible.  Nonetheless, the Court ignored the express statutory language and held that the trial court did not err in rejecting DNR’s plan and issuing its order.  Citing La. R.S.30:29(F), M.J. Farms, Ltd. v. Exxon Mobil Corp., 07-2371 (La. 7/1/08), 998 So. 2d 16, and State v. Louisiana Land & Exploration Co., 12-884 (La. 1/30/13), 110 So. 3d 1038, it observed that the trial judge acts as a gatekeeper to ensure that property is remediated to the extent of the public’s interest.  Inherent in its authority as gatekeeper, reasoned the panel, is the power to reject a DNR plan it determines is incomplete—i.e., not wholly remedial but partially evaluative.  The Court held, “Based on our interpretation of the statute and the authority granted to the trial court under the statute, we find no error in the trial court’s failure to approve the final plan or in its order to supplement the plan.”

The Third Circuit’s decision is at odds with the plain language of Act 312, which expressly contemplates that final plans may be wholly or partially “for evaluation.”  Moreover, it casts doubt on plans calling solely for monitoring and whether they would be subject to the mandatory adoption provision of La. R.S. 30:29(C)(5).

Disclaimer: This Blog/Web Site is made available by the law firm of Liskow & Lewis, APLC (“Liskow & Lewis”) and the individual Liskow & Lewis lawyers posting to this site for educational purposes and to give you general information and a general understanding of the law only, not to provide specific legal advice as to an identified problem or issue.  By using this blog site you understand and acknowledge that there is no attorney client relationship formed between you and Liskow & Lewis and/or the individual Liskow & Lewis lawyers posting to this site by virtue of your using this site.  The Blog/Web Site should not be used as a substitute for legal advice from a licensed professional attorney in your state regarding a particular matter.

Primary Sidebar

Related Team

  • Media item displaying: Jamie D. Rhymes

    Jamie D. Rhymes

    Shareholder

    Lafayette
    337.267.2360337.267.2360
    995
  • Media item displaying: Kelly Brechtel Becker

    Kelly Brechtel Becker

    Shareholder

    New Orleans
    504.556.4067504.556.4067
    995
Liskow & Lewis, APLC
Arrow Icon

future-focused

  • Baton Rouge
  • Houston
  • Lafayette
  • New Orleans
  • New York City
  • © 2026 Liskow & Lewis, APLC
  • Sitemap
  • Disclaimer
  • Employee Login
Site by
We use cookies on our website to give you the most relevant experience by remembering your preferences and repeat visits. By clicking “Accept All”, you consent to the use of ALL the cookies. However, you may visit "Cookie Settings" to provide a controlled consent.
Cookie SettingsAccept All
Manage consent

Privacy Overview

This website uses cookies to improve your experience while you navigate through the website. Out of these, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. But opting out of some of these cookies may affect your browsing experience.
Necessary
Always Enabled
Necessary cookies are absolutely essential for the website to function properly. These cookies ensure basic functionalities and security features of the website, anonymously.
CookieDurationDescription
cookielawinfo-checkbox-analytics11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Analytics".
cookielawinfo-checkbox-functional11 monthsThe cookie is set by GDPR cookie consent to record the user consent for the cookies in the category "Functional".
cookielawinfo-checkbox-necessary11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookies is used to store the user consent for the cookies in the category "Necessary".
cookielawinfo-checkbox-others11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Other.
cookielawinfo-checkbox-performance11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Performance".
viewed_cookie_policy11 monthsThe cookie is set by the GDPR Cookie Consent plugin and is used to store whether or not user has consented to the use of cookies. It does not store any personal data.
Functional
Functional cookies help to perform certain functionalities like sharing the content of the website on social media platforms, collect feedbacks, and other third-party features.
Performance
Performance cookies are used to understand and analyze the key performance indexes of the website which helps in delivering a better user experience for the visitors.
Analytics
Analytical cookies are used to understand how visitors interact with the website. These cookies help provide information on metrics the number of visitors, bounce rate, traffic source, etc.
Advertisement
Advertisement cookies are used to provide visitors with relevant ads and marketing campaigns. These cookies track visitors across websites and collect information to provide customized ads.
Others
Other uncategorized cookies are those that are being analyzed and have not been classified into a category as yet.
SAVE & ACCEPT
  • Team
  • Practices
  • Insights
  • Perspectives
  • Offices
  • Pro Bono
  • About Us
  • Careers
  • DEI
  • The Energy Law Blog
  • Gulf Coast Business Law Blog
  • The Maritime Law Blog