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ARTICLE · 07 APRIL 2017

Contract Calling For Work On Fixed Platform Deemed Maritime Contract

On October 12, 2005, Apache Corporation and Specialty Rental Tools & Supply ("STS") entered into a Master Services Contract ("MSC").

United StatesCorporate/Commercial Law

Case:   Larry Doiron, Inc. v. Specialty Rental Tools & Supply LLP (In re Larry Doiron, Inc.)
             U.S. Fifth Circuit Court of Appeals
             2017 U.S. App. LEXIS 3331 (5th Cir. La. Feb. 23, 2017)

On October 12, 2005, Apache Corporation and Specialty Rental Tools & Supply ("STS") entered into a Master Services Contract ("MSC"). The MSC contemplated future tasks to be performed under subsequent work orders. The MSC contained an indemnification agreement, whereby STS was required to defend and indemnify the Apache Company Group against all claims for property damage or bodily injury.

In early 2011, Apache hired STS to perform flow-back services on its offshore well, located in West Lake Verret in the Atchafalaya Basin. The flow-back process was designed to dislodge solid objects from inside the well. The work was to be performed on Apache's fixed production platform. The flow-back services were arranged by an oral work order.

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