Impact Energy Resources, LLC, et al v. Salazar, et al

Appellants in this case are companies that submitted high bids on certain oil and gas leases at a Bureau of Land Management (BLM) auction (collectively, the Energy Companies). After the auction but before the leases were issued, newly appointed Secretary of the Interior Ken Salazar decided not to lease the parcels at issue. Salazar announced his decision at a February 4, 2009, press conference and memorialized his determination in a February 6 memorandum to the BLM’s Utah State Director. On February 12, 2009, a subordinate BLM official mailed letters to the high bidders indicating that the leases would not be issued. Exactly ninety days later, the Energy Companies filed suit challenging the Secretary’s authority to withdraw the leases. The district court dismissed their suit as time-barred under the Mineral Leasing Act (MLA), which provides that “[n]o action contesting a decision of the Secretary involving any oil and gas lease shall be maintained unless such action is commenced or taken within ninety days after the final decision of the Secretary relating to such matter.” A majority of the Tenth Circuit agreed with the district court that the Secretary’s final decision in this matter occurred no later than February 6, and thus, the suit was time-barred. The panel majority also agreed with the district court that the Energy Companies were not entitled to equitable tolling in this matter: the BLM notified the high bidders just six days after the Secretary made his decision. And the government notified the Energy Companies of its position that February 6 was the operative date during agency proceedings. Although the Energy Companies had time to prepare their claims before the limitations period expired, they gambled that a court would accept their proffered limitations theory. Accordingly, the Court affirmed the district court. View "Impact Energy Resources, LLC, et al v. Salazar, et al" on Justia Law