Won an arbitration award for an oil and gas client facing a $50 million demand following an asset purchase.
WTO attorneys won an arbitration involving a $50 million claim that was brought by a joint venture partner against the firm’s oil and gas company client. The arbitration involved claims for breach of contract and declaratory relief.
WTO attorneys Joel Neckers and Jasmine Reed
The claimants took the position that WTO’s client was required to charge $50 million of the price it paid to acquire certain oil and gas interests to a “project payout” account, which would have accelerated the claimants’ reversionary interest (in proceeds from the sale of oil and gas) and significantly devalued the assets WTO’s client purchased.
The arbitrator ultimately rejected all of the claimants’ arguments and ruled for WTO’s client. Thanks to a fee-shifting provision, WTO’s client is entitled to collect its legal fees from the claimants.