BP America Production Co. v. Burton, 549 U.S. 84 (2006), was a United States Supreme Court case about whether a statute of limitations on government actions for contract claims applies to actions by a federal administrative agency to recover royalties on federal oil and gas leases. After two members recused themselves, the court ruled unanimously that it does not apply, in an opinion by Justice Samuel Alito.
The Mineral Leasing Act of 1920 (MLA) ...
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BP America Production Co. v. Burton, 549 U.S. 84 (2006), was a United States Supreme Court case about whether a statute of limitations on government actions for contract claims applies to actions by a federal administrative agency to recover royalties on federal oil and gas leases. After two members recused themselves, the court ruled unanimously that it does not apply, in an opinion by Justice Samuel Alito.
The Mineral Leasing Act of 1920 (MLA) authorizes the Department of the Interior to lease public lands to private parties for the production of oil and gas. In 1982, Congress enacted the Federal Oil and Gas Royalty Management Act (FOGRMA) to address inadequacies with the system of accounting for royalties due on oil and gas produced from lease sites. FOGRMA ordered the Secretary of the Interior to audit those leases and collect what was owed the government. The Secretary, in turn, has assigned these duties to the Department of the Interior’s Minerals Management Service (MMS).
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