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When the Storm Hits: What a $123 Million Jury Verdict Teaches Us About Contracts, Force Majeure, and Playing Fair


Snow covered power lines.
Snow covered power lines.


If you thought your week was wild, imagine being in a courtroom where $123 million is on the line—all because of a Texas-sized winter storm and a contract clause called “force majeure.” (Don’t worry, we’ll break that down in a minute.)


Here’s the scoop: In May 2025, a Houston jury decided Marathon Oil didn’t owe Koch Energy Services a penny of the $123.7 million Koch claimed for undelivered natural gas during the infamous Winter Storm Uri. Instead, Koch ended up owing Marathon $9.8 million! Talk about flipping the script.


So, what happened? During the February 2021 storm, natural gas production in Oklahoma froze up, prices skyrocketed, and everyone scrambled to keep the lights (and heat) on. Koch said Marathon should have bought replacement gas to fulfill its contract. Marathon said, “Not so fast—the contract only required us to do our best to keep our own wells running, not go shopping for gas in a blizzard.”


The jury agreed with Marathon. In less time than it takes to binge-watch a true crime docuseries, they decided that “reasonable efforts” didn’t mean risking life, limb, and wallet to buy gas at record prices. The verdict also echoed a recent Fifth Circuit decision, giving the energy industry some much-needed clarity: When disaster strikes, you’re expected to try your best—not perform miracles.


Why does this matter for you? Whether you’re running a business, signing a contract, or just trying to keep your pipes from freezing, it’s a reminder to read the fine print and know what “reasonable efforts” really means. Contracts can’t predict every curveball Mother Nature throws, but they can set fair expectations.


And if you ever find yourself in a contract dispute during a snowpocalypse, remember: Sometimes, playing fair and doing your best is all the law requires. (And maybe keep a lawyer’s number handy—just in case.)



 
 
 

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