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Primrose Operating Co. v. Senn

161 S.W.3d 258 (2005)

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Primrose Operating Co. v. Senn

Texas Court of Appeals
161 S.W.3d 258 (2005)

  • Written by Tanya Munson, JD

Facts

Wilford Senn and Wanda Senn (plaintiffs) purchased the surface of a ranch in 1997 for $3,164,000. The ranch had been subject to a number of leases to oil and gas production companies since 1939. When the Senns purchased the ranch, hundreds of wells had already been drilled. A portion of the ranch was leased to Primrose Operating Company, Inc. (Primrose) (defendant). Primrose began operations on the ranch in 1992 and operated until 1999. The Senns had the ranch inspected and discovered that Primrose had 86 spill sites where petroleum hydrocarbons and chlorides had leaked from flow lines. Primrose failed to properly clean up the spill sites. The cost of remediation for the contamination was determined to be $2,110,000. The Senns brought suit against Primrose and alleged that the oil company had negligently caused contamination to the surface of the Senns’ ranch. A jury found that Primrose had negligently caused the contamination, causing a diminution of the property value of the ranch equal to the cost of remediation of $2,110,000. Primrose challenged the jury findings, asserting that the damage findings were based upon unscientific evidence, were excessive, and were not legally or factually supported.

Rule of Law

Issue

Holding and Reasoning (Arnot III, C.J.)

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