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ALAMEDA CORP. v. TRANSAMERICAN NATURAL GAS

No. 14-96-00044-CV.

950 S.W.2d 93 (1997)

ALAMEDA CORPORATION, Appellant, v. TRANSAMERICAN NATURAL GAS CORPORATION, Appellee.

Court of Appeals of Texas, Houston (14th Dist.).

Rehearing Overruled July 3, 1997.

Attorney(s) appearing for the Case

Murray Fogler, Thomas R. McDade, William P. Maines, Houston, for appellant.

David M. Gunn, Bellaire, Graham Kerin Blair, Richard P. Bianchi, Houston, for appellee.

Before MURPHY, C.J., and ANDERSON and O'NEILL, JJ.

OPINION

O'NEILL, Justice.

TransAmerican Natural Gas Corporation ("TransAmerican")1 and El Paso Natural Gas Co. ("El Paso") were parties to a long term gas purchase contract under which El Paso agreed to take or pay for gas produced by TransAmerican. When the market took a dramatic downturn, a dispute arose between the parties over their contractual obligations. El Paso ultimately paid TransAmerican some $360 million in exchange...

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