## Facts

- Chevron operated a fixed offshore production platform on the Outer Continental Shelf off Louisiana.
- PBW, a contractor, supplied workers to Chevron under a May 5, 1982 contract containing defense and indemnity language tied to PBW’s work, including a joint-negligence provision.
- Alton Knapp, a PBW employee, was assigned to blast and paint on Chevron’s platform.
- Knapp worked from a safety net suspended about 30 feet above the platform floor.
- PBW provided, installed, moved, and removed the nets and related rigging; the net was attached by removable cables, clamps, and bolts, and connected by stabilizing ropes.
- At the time of the accident, the net had only one stabilizing rope; when it broke or became unfastened, Knapp fell and was seriously injured.
- Knapp sued Chevron alleging negligence and strict liability under Louisiana law.
- Chevron filed a third-party claim against PBW and its insurers seeking contractual defense and indemnity.
- Louisiana’s Oilfield Indemnity Act (La. Rev. Stat. § 9:2780) was in effect and voided, to the extent specified, contractual defense/indemnity for an indemnitee’s own negligence or strict liability.
- The district court granted summary judgment for Chevron on Knapp’s tort claims and later awarded Chevron defense costs against PBW and its insurers.
- Knapp appealed the tort dismissal; PBW and its insurers appealed the defense-cost award.

## Issues

1. Whether the safety net was an “appurtenance” of the fixed platform for Louisiana strict liability based on defect or ruin of a building and its appurtenances.
2. Whether the summary-judgment record raised a genuine fact dispute on Chevron’s negligence.
3. Whether PBW owed Chevron a contractual duty to defend and indemnify against Knapp’s negligence and strict-liability allegations, and whether the Louisiana Oilfield Indemnity Act barred Chevron’s recovery of defense costs under the contract (as applied via OCSLA).

## Decision

- Affirmed summary judgment for Chevron dismissing Knapp’s strict-liability claim because the safety net was not an appurtenance of the platform.
- Affirmed summary judgment for Chevron dismissing Knapp’s negligence claim for lack of evidence creating a triable issue on Chevron’s fault.
- Reversed the award requiring PBW and its insurers to reimburse Chevron’s defense costs.
- Held Louisiana law governed the platform contract under OCSLA and was not displaced by maritime law in this context.
- Held the contract did not clearly and expressly require PBW to defend or indemnify Chevron for Chevron’s own negligence or strict liability; additionally, the OIA rendered any such obligation void to that extent.

## Legal Principles

- Under Louisiana law, equipment is not an appurtenance of a structure absent sufficient permanence and integration; temporary, removable work gear installed and controlled by a contractor generally does not qualify.
- Summary judgment is appropriate on negligence where the nonmovant produces no evidence showing the defendant created, knew of, or failed to correct an unreasonably dangerous condition.
- Louisiana indemnity agreements are strictly construed; an undertaking to indemnify or defend an indemnitee for the indemnitee’s own negligence or strict liability must be stated in clear and unequivocal terms.
- The Louisiana Oilfield Indemnity Act voids, to the extent specified, contract provisions in oilfield-related agreements that purport to require defense or indemnity for loss caused by the indemnitee’s own negligence or strict liability.
- The duty to defend under Louisiana law is determined by the allegations in the plaintiff’s petition; when pleadings allege the indemnitee’s negligence or strict liability, an asserted contractual defense obligation is subject to the OIA’s nullification.
- For fixed platforms on the Outer Continental Shelf, adjacent-state law applies as surrogate federal law under OCSLA when not inconsistent with federal law and not displaced by maritime law.

## Conclusion

The Fifth Circuit upheld dismissal of the worker’s negligence and strict-liability claims because the safety net was not an appurtenance of the platform and the record showed no Chevron negligence, but it reversed Chevron’s recovery of defense costs because the contract did not expressly shift liability for Chevron’s own fault and the Louisiana Oilfield Indemnity Act independently barred any such defense/indemnity obligation under OCSLA-applied Louisiana law.


Knapp v. Chevron U.S.A., Inc., 781 F.2d 1123 (5th Cir. 1986)