Longview Energy, a small Dallas-based producer, sued a firm it accused of working with two of its directors to swipe an investment opportunity in the booming Eagle Ford Shale, and a Zavala County jury agreed. According to Law360, a legal news site, directors Bill Huff and Rick D'Angelo were among parties who directed Longview Energy to pursue properties in the Eagle Ford. But instead, Law 360 reported, "the jury found that Huff and D'Angelo breached their fiduciary duty to Longview when they took the corporate opportunities for themselves." The jury also found Huff Energy Fund L.P., a Longview shareholder, and Riley-Huff Energy Group were "responsible for knowingly participating in the directors' failure to comply with their duties." Longview Energy sought damages of $162 million -- $42 million for the current value of the properties and $120 million in past production revenues. Lawyers for the defendants said the amount due is $10.5 million -- the $162 million, minus the $24.5 million the defendants paid for the properties, minus the $127 million they spent developing the properties.
The Law360.com report is here (free registration required).
-- Jim Fuquay