Patricia Robinson MacGuigan

In this workers' compensation case, a claimant employed at the Oklahoma State Penitentiary was injured during a 1985 riot, suffering a right arm injury with psychological overlay and later claiming additional issues including neck injury and post-traumatic stress syndrome. The trial court awarded benefits for 15% permanent partial disability due to the psychological condition, while finding no permanent partial disability to the arm or compensable neck injury. The appellate court upheld the award, holding that psychological injuries are compensable under the Workers' Compensation Act if accompanied by a physical injury arising from the same event, without requiring the psychological harm to flow directly from the physical injury or permanent disability to the physical injury. The court further determined that the claimant's medical evidence substantially complied with statutory requirements and the AMA Guides, providing competent support for the trial court's findings.

labor & employment

This case concerned a dispute under Oklahoma's Oil and Gas Drilling Surface Damages Act between an oil well operator and surface owners over compensation for drilling-related damages. The operator petitioned for appraisers, paid the $18,000 award from their report, and dismissed the action; the surface owners then sought confirmation of the award plus treble damages, interest, and attorney's fees. The trial court confirmed the award, denied treble damages and interest, and granted $4,200 in attorney's fees to the owners as the prevailing party. On appeal, the court reversed the attorney's fees award, holding that the statute authorizes such fees only after a jury trial demand and verdict, and no other statutes or doctrines supported fees; it affirmed the denial of treble damages because the Act requires a separate action showing willful entry without proper notice, which was not established here, and the denial of prejudgment interest because the Act provides no authority for it. The decision was affirmed in part and reversed in part.

propertyprocedurebusiness & regulatory

In Howell v. Ballard, Appellee Howell sued Appellants Tate, Ballard, and Tate-Page Enterprises to rescind a 1982 business investment transaction, alleging that the interest sold constituted an unregistered security under the Oklahoma Securities Act. The trial court granted summary judgment for Howell, ordering the return of his $35,000 investment plus interest, costs, and attorney fees. The appellate court affirmed, holding that the transaction qualified as an investment contract or risk-capital investment under the Act's definition because Howell invested money in a common enterprise with profit expectations dependent on others' management efforts. The court rejected the exemption claim under § 401(b)(9) due to the absence of a required restrictive legend on ownership documents and found that Tate and Ballard materially participated in the sale, making them jointly liable under § 408(b). Summary judgment was proper as no material facts were in dispute.

business & regulatoryprocedure

The case involved homeowners who suffered damage from a sewer backup and filed tort claims against the City of Moore under the Governmental Tort Claims Act. The city council initially considered paying the claim but later denied it at a December 15, 1986 meeting; the homeowners then filed suit on June 15, 1987. The trial court dismissed the action as barred by the 180-day limitations period following denial of the claim, but the appellate court reversed. The court held that the limitations period began only upon the city's own denial (not an insurer's earlier action) and that the filing was timely because the 180 days from December 15 ran until the following Monday.

torts & liabilityprocedure

This case arose from an oil field pipeline explosion in which three plaintiffs obtained a judgment against Producers Gas Company and Briggett, Inc., consisting of $500,000 in compensatory damages (joint and several) and separate punitive damages of $360,000 against Producers and $40,000 against Briggett. Briggett's insurer paid $120,000 to each plaintiff under a covenant not to execute, and the dispute concerned whether any portion of that payment could be credited against Briggett's punitive damages or had to be applied solely to the joint compensatory award. The trial court ruled that the entire payment must reduce the compensatory damages, and the Court of Appeals affirmed. The court reasoned that Oklahoma public policy treats punitive damages as punishment rather than compensation, so insurance proceeds may not be used to satisfy them; it further held that the contribution statute and the terms of the covenant required the payment to be credited against the joint compensatory liability.

torts & liability

The case involved a 1982 merger agreement between Cities Service Company and Gulf Oil Corporation (through its subsidiary GOCA) for the acquisition of Cities via a tender offer at $63 per share followed by a merger, which Gulf terminated after FTC action blocked it. Cities sued to enforce the agreement on behalf of its shareholders as alleged third-party beneficiaries, while two shareholders (Bader and Friel) brought separate claims for breach of contract and fraud under the tender offer. The trial court dismissed these claims, and the appellate court affirmed, ruling that the merger agreement's explicit clause (Section 10.8) stated it conferred no rights or remedies on any other persons, barring third-party beneficiary status, and that the shareholders' claims arose from a separate transaction (the tender offer) not properly joined with Cities' merger-agreement claims under Oklahoma joinder rules.

business & regulatoryprocedure