Jury seated in oil field pollution trial
Published 6:00 am Monday, November 5, 2001
Plaintiffs say decades of oil and gas exploration and productionby Chevron contaminated and ruined property in the Brookhaven OilField while the company asserts that its field-related activitieswere “reasonable and prudent.”
After a lengthy preparation process and several days ofpre-trial motions last week by attorneys, a jury today begandeciding whose version of the facts is more accurate. Openingarguments were scheduled for 9 a.m. in Lincoln County Circuit Courtbefore Judge Keith Starrett.
“It will be a very interesting and informative case,” Starretttold jurors following their selection Friday afternoon.
The trial is expected to last about two weeks.
Plaintiffs in the case are Leland and Helen Smith, Nathan andMary Carter, Gene C. and Margaret S. Britt and Hal Ray and DorisCase Owens. They own various properties in the Brookhaven OilField, which covers over 10,000 acres west of Brookhaven and wasthe site of Chevron’s oil and gas exploration activities from 1943to 1990.
Chevron sold the field in 1990 to Florabama and that companylater sold the field to COHO Resources, Inc. in 1995, according tocourt document. Both Florabama and COHO are now bankrupt.
Plaintiffs contend Chevron’s activities violated state laws anddamaged their property values. The activities led to the generationof contaminants from leaking pits, pipes and tanks, and thecontaminants have or will impact surface water, ground water andthe air, the plaintiffs say in a pre-trial order outlining eachside’s position in the case.
“Chevron knew, based upon its own experience in other fields onupon it experience on other properties in the Brookhaven field thatits activities would result in substantial contamination and damageto plaintiff’s properties,” say the plaintiffs, adding that Chevroncontinued to operate the field in a “dangerous and reckless manner”despite its knowledge of the problems.
Chevron, however, offers a different view of the situation.
The defendant says there is no evidence of soil or water damageand no loss in property values. Chevron said what radiation andtrace metal that is in the field is the result of NaturallyOccurring Radioactive Materials (NORM).
With COHO’s limited resources, Chevron conducted a remediationplan on the field in mid-2000. The plan addresses typical oilexploration and production wastes, NORM in soil and oil fieldequipment and oil field debris such as abandoned pipe, tanks andequipment.
Regarding property values, Chevron contends the plaintiffssuffered no loss and the real estate market in the area is strongand healthy.
“Further, the market is especially strong for plaintiffs’properties because the oil field equipment, and facilities thatwere no longer being used by COHO…have been removed and theproperties remediated,” Chevron says in the pre-trial order.
Several other lawsuits over the oil field activities arepending.
The trial beginning today was originally expected to last aboutabout four weeks.
However, a decision by Chevron last week to acceptresponsibility for the condition of the property is expected tosignificantly reduce trial time. Jurors were to be informed of thatstipulation prior to opening arguments.
With that decision, the trial will focus on whether Chevron’sactivities damaged the plaintiffs’ property. The plaintiffs saythey did while the company says they did not.
The first part of the trial will focus on whether plaintiffs canprove their property was damaged and, if so, what compensation theyare entitled to. If they are successful, litigants will argue ifthere is cause to proceed to a punitive phase against Chevron.
Last week, Starrett instructed jurors on trial plans.
The jury will not be sequestered and Starrett said it isimportant that nothing heard outside the courtroom enters intotheir deliberations. The judge instructed the jury to not discussthe trial “in any way, shape or form” while it is under way.