Failure To Procure Correct Coverage Does Not Justify Nonpayment, Judge Says

Failure To Procure Correct Coverage Does Not Justify Nonpayment, Judge Says

HOUSTON - An offshore well operator's failure to procure the correct amount of operator's extra expense (OEE) insurance coverage did not substantially impair the other owners' interests to justify no payment from the other owners for damages sustained to the well as a result of Hurricane Ike, a Texas federal judge said Oct.5 (SM Energy Co. v. Smacko Ltd. et al.,  No. 11-3028, S.D. Texas; 2012 U.S. Dist. LEXIS 144533).

Find full version on lexis Advance®
Access this news story on lexis.com®