Arkansas contract cases

Anderson v. Hess Corp.

The word “or” can cause confusion in a contract that can be expensive to resolve when the assistance of lawyers and federal judges is required. Diligent drafters should be on the lookout for potential ambiguity in order to avoid unnecessary expense and litigation. Anderson v. Hess Corp. is a case in point.

The Andersons, along with the owners of several parcels of land that adjoin the Andersons’ land, were parties to an oil lease with Hess Corporation. The lease automatically renewed at the end of its term if Hess Corporation was then conducting “drilling or reworking operations.”

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