$4.58 Million Jury Verdict for Plaintiff Client


Following a complex five-week trial, a Houston jury returned a verdict for client SourceGas Distribution LLC (SourceGas) against Noble Energy, Inc (Noble).  The jury determined that Noble breached its Gas Purchase Agreement (GPA) with SourceGas by selling SourceGas natural gas at above-market prices that SourceGas was not obligated to purchase under the GPA.  The Honorable Patricia J. Kerrigan submitted the question of contract interpretation to the jury.  In addition to a claim for damages, the contract dispute involved tens of millions of dollars worth of impact on future performance under the contract.  On November 17, 2011, the jury determined that SourceGas’ contract interpretation was correct, found that Noble breached the GPA, and awarded damages of approximately $4.58 million.  The jury also rejected Noble’s counterclaims for breach of contract against SourceGas, under which Noble sought approximately $1.5 million in damages.  On April 24, 2012, the court entered final judgement in favor of SourceGas for over $6 million, including attorneys’ fees.