In a case of first impression, the U.S. 5th Circuit recently held that the Louisiana Oilfield Anti-Indemnity Act (LOAIA) does not contain a universal well requirement.
Louisiana is only one of four states that has passed an oilfield anti-indemnity act. Enacted in 1981, the LOAIA renders “null, void and unenforceable” certain indemnification provisions in “agreement[s]
Indemnity provisions are widely used in the energy industry as a method of contractually apportioning liability between parties. These provisions are a staple in Master Service Agreements and can be unilateral or mutual. Often, agreements contain knock-for-knock provisions where each party assumes responsibility for claims made by its own employees or subcontractors. When disputes arise,