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ALASKA OIL CO. v. STATE OF ALASKA

Civ. A. Nos. A83-428, A83-429, Bankruptcy Nos. 1-82-0000-1, 1-82-0000-2.

45 B.R. 358 (1985)

ALASKA OIL COMPANY, a general partnership, and Charter Oil (Alaska), Inc., a corporation, Appellants, v. STATE OF ALASKA, Appellee.

United States District Court, D. Alaska.

January 4, 1985.

Attorney(s) appearing for the Case

Charles E. Cole, Law Offices of Charles E. Cole, Fairbanks, Alaska, Stuart L. Kadison, Lee L. Blackman, Monica Bachner, Kadison, Pfaelzer, Woodard, Quinn & Rossi, Los Angeles, Cal., Stephen D. Busey, Douglas P. McClurg, Smith & Hulsey, Jacksonville, Fla., Richard B. Levin, Anthony Castanares, members of Stutman, Treister & Glatt, Professional Corp., Los Angeles, Cal., for appellants.

Norman C. Gorsuch, Atty. Gen. of State of Alaska, Juneau, Alaska, Haley J. Fromholz, Jonathan M. Landers, Kenneth M. Glazier, Steven S. Rosenthal, Morrison & Foerster, Los Angeles, Cal., for appellee.

OPINION

FITZGERALD, District Judge.

Background

The original dispute had to do with the sale of oil which the State of Alaska was entitled to receive as "in kind" royalties under its North Slope mineral leases. Appellant Alaska Oil Co. (AOC) succeeded in 1979 to the obligations to purchase the royalty oil under a 1978 contract. Charter Oil (Alaska), Inc. (COA) owns a majority interest in AOC.

A dispute arose as to whether AOC fulfilled...

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