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Litigation Roundup: Exxon Gets SCOTUS Review in Climate Change Litigation

In this edition of Litigation Roundup, the U.S. Supreme Court on Monday granted a petition for writ of certiorari that Exxon Mobil and Suncor filed more than six months ago that could have a major impact on climate-change litigation the oil companies are facing nationwide. We also provide details on a San Antonio investment company executive who copped to a nearly $70 million Ponzi scheme and a wrongful death lawsuit against Valero stemming from a refinery fire.

Michelle Casady

Fifth Circuit Sanctions Opinion Gives Practical Advice for AI Use

In an opinion released Wednesday, the U.S. Court of Appeals for the Fifth Circuit sanctioned a lawyer $2,500 for filing a reply brief with several “hallucinated” case citations and then providing evasive responses to the court when it asked the lawyer about those references. Chief Judge Jennifer Elrod wrote the opinion and was joined by Judges Jerry Smith and Cory Wilson. The opinion provides a strong statement about the Fifth Circuit’s view of this highly relevant topic, as well as practical pointers to avoid this kind of problem going forward.

David Coale

Fifteenth Court Holds, with Caveats, that Pleading Amendments May Defeat Business Court Jurisdiction

The Texas Court of Appeals for the Fifteenth District has issued an opinion deciding an issue of first impression on the Texas Business Court’s jurisdiction that will prove important for commercial litigation in Texas over: Can a plaintiff amend its petition so as to defeat the Business Court’s jurisdiction after removal? The rule announced in the opinion will bear prominently on pleading and removal practice for the Business Court, and it raises further questions for consideration.

Ben L. Mesches & Ryan P. Pitts

Fifth Circuit Gives Trump Admin Win on Immigration Detention Policy 

A divided panel of the U.S. Court of Appeals for the Fifth Circuit on Friday sided with the Trump administration’s interpretation of immigration law, allowing the government to detain noncitizens without the opportunity to seek bond while they contest deportation. The opinion comes as federal district courts across the country confront a surge of lawsuits challenging the Administration’s approach. 

Krista Torralva

Hot-Button Issues Shaped Kyle Hawkins’ Advocacy

Before he was appointed as a justice on the state’s highest court in October, Kyle Hawkins argued five cases before the U.S. Supreme Court and nine at the Texas Supreme Court. His advocacy included cases targeting abortion, the Affordable Care Act and New York’s school vaccination law. Hawkins’ appointment came shortly after he argued a tobacco tax case before the court he now sits on.

Janet Elliott

The Texas Supreme Court’s Revamped Review Process

The Texas Supreme Court recently adopted extensive amendments to the Texas Rules of Appellate Procedure that will have a dramatic effect on litigation before the Court.

Most notably, the Court all but eliminated its practice of requesting merits briefs before deciding whether to grant review of a case. Going forward, the Court will ordinarily decide whether to grant review, request merits briefs and schedule oral argument based on the petition-stage briefing alone. This combined decision now requires a minimum of four votes, whereas requesting merits briefing previously required only three.

Allyson N. Ho, Brad Hubbard & Stephen Hammer

The 40-Year Legacy of Pennzoil v. Texaco — An Appeal for the Ages

Executives at Texaco woke up Nov. 20 — exactly 40 years ago today — like it was the morning after aliens attacked in the movie Independence Day. A day earlier, a Houston jury ruled the New York-based oil and gas giant had tortiously interfered with a 1984 agreement Getty Oil made to merge with Pennzoil and awarded Pennzoil $10.53 billion. Texaco’s stock took a beating — dropping from $80 per share when the litigation started to $32 the week following the trial. Some Wall Street analysts were openly warning about bankruptcy. The company’s convertible bonds plummeted in value. Texaco’s debt rating was cut by Standard & Poor’s. Interest accruing on the judgment was $2.8 million every single day.

Between Thanksgiving 1985 and Christmas 1987, the two energy companies and their ever-expanding roster of litigators did battle. The litigation itself multiplied, including a precedent-setting federal case in New York over Texaco’s appeals bond, a monumental appellate battle, a bizarre decision by the Texas Supreme Court, the world’s largest corporate bankruptcy at the time and a historic settlement.

Both sides hired major reinforcements — fresh legs and fresh eyes, if you will — as the trial teams had been going full speed for 21 straight months. The appeals team for Texaco beefed up with several heavy hitters from Fulbright & Jaworski and David Boies of Cravath in New York. Pennzoil added a Texas superstar in V&E’s Harry Reasoner and Laurence Tribe of Harvard Law School.

In Part II of our series looking back at the significance of the Pennzoil v. Texaco trial, The Lawbook examines the post-verdict appeals, which were historic and precedent-setting.

Mark Curriden & Alexa Shrake

Former SCOTX Chiefs Make Case for Judicial Independence

Nathan Hecht, Wallace B. Jefferson and Thomas Phillips held court in a large tent on Austin’s Congress Avenue last weekend to discuss issues related to the Third Branch of government. They fielded questions about a recent constitutional amendment that gave the governor greater authority over judicial discipline and the rise of claims under the Texas Constitution.

Janet Elliott

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