Parish should consider oil company suit potential

Sharon Kay Lirette
September 27, 2016
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Sharon Kay Lirette
September 27, 2016
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A day can make a big difference, and that’s what happened when Gov. John Bel Edwards announced the state’s intention to sue oil companies for permit violations in connection with its coastal management laws and programs.

In 2014 the Terrebonne Parish Council went on record opposing suits against the oil companies for coastal damages, which at that time had been instituted by Jefferson and Plaquemines parishes. The state’s Executive Branch at that time had no interest in such actions, so nothing was lost by the Council making its view known.


But the governor’s intention is – or could be – a game changer.

The Terrebonne Parish Consolidated Government, along with the governments of fifteen other coastal parishes, have received letters informing them that if they do not take legal action for alleged violations against oil companies, the state will do so on its own on their behalf, whether they wish it or not. According to a complex set of laws governing coastal management in the state, indications are that direct actions by the parishes will allow them greater control over settlement money they may receive or, if things go that far, what is approved by a jury.

Parish President Gordon Dove has made clear his opposition to such a lawsuit, and maintains that the 30-day window for parishes to file on their own is too short to merit consideration.


No such suit, he has decided, will be filed here. A proven advocate for coastal protection, Dove has said the cause of Louisiana’s wetlands difficulties is rooted in work done by the U.S. Army Corps of Engineers many decades in the past. But the suit the governor proposes is for specific violations of law alleged to have occurred in this lifetime, not the early 20th Century.

In the past, the Parish Council – echoing the desires of the Houma-Terrebonne Chamber of Commerce, as evinced in its own resolutions, and other industry advocates – has cited the jobs and economic benefits the oil industry has brought to justify opposition to lawsuits against it.

But how much opportunity have the people of Terrebonne Parish had to weigh in on this matter, now that a new element has emerged? How much of the details concerning the manner in which the litigation would move forward is being given fair hearing for consideration? What written legal opinion exists that this would not be in the parish’s best interests? And how many attorneys with knowledge of the law’s complexities have been heard from?


The money that could be obtained through settlement or verdict, by law, must be used for specified purposes. But there is a difference in how such apportionments are made in terms of geography, which could result in Terrebonne being shut out or severely deprived if that ever comes to pass. The awarding of money is a matter for judicial consideration. The distribution of that money – even with strictures built into the law – can be highly political and therefore volatile. A parish suit could arguably protect its interest and remove the political considerations.

Parish officials have done a good job thus far of presenting the alterative arguments – those that might be more properly advanced by oil company attorneys – with the result being this determination that a parish suit would not be practical.

Maybe that is the right decision. But maybe it should be made with input from the Parish Council, which has so far not indicated an interest in learning more, if for no other purpose than the opportunity to give its own opinion for guidance purposes and for the record.


Opponents to the idea of the parishes suing say that doing so would be kicking the oil and gas industry while it is down, and that doing so would be unfair.

The downturn in the local economy has resulted from the oil industry’s decision to do what is best for the industry, for the various shareholders at the various companies, with no consideration for welders, mechanics, roughnecks, store clerks, newspaper reporters, even waiters and waitresses, relegated to the unemployment lines.

A suit is being filed whether Terrebonne Parish wants one or not.


Without a full public discussion prompted by the recent change in circumstances, parish officials would appear to be giving the oil industry greater consideration than the industry has given its workers, its small businesses and the parish itself.

Parish should consider oil company suit potential