'Trespass: Good Versus Bad Faith: Measure of Damages

摘要

In earlier litigation, Moore v. Jet Stream Investments, Ltd., 261 S.W.3d 412,168 0.&G.R. 661 (Tex. App.—Texarkana 2008), an oil and gas lease held by Moore is determined to have been terminated by lack of production in the secondary term. Moore, however, continues to produce from several existing wells and the earlier decision finds that he is a good faith trespasser so that damages are measured by the revenues received from the sale of hydrocarbons less the expenses incurred in producing those hydrocarbons. The matter is remanded to the trial court to redetermine the amount of damages under a good faith trespasser model and to revisit the award of attorney's fees in the light of the potential for substantially lower damages to be awarded. The trial court then awards Jet Stream around $50,000 in trespassory damages and $10,000 in attorney's fees.