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MOBIL OIL EXPLORATION & PRODUCING SOUTHEAST, INC. v. UNITED STATES

No. 99-244.

530 U.S. 604 (2000)

MOBIL OIL EXPLORATION & PRODUCING SOUTHEAST, INC. v. UNITED STATES

United States Supreme Court.

Decided June 26, 2000.

Attorney(s) appearing for the Case

Carter G. Phillips argued the cause for petitioners in both cases. With him on the briefs for petitioner Marathon Oil Co. were Richard D. Bernstein, Griffith L. Green, Michael S. Lee, and Richard L. Horstman. E. Edward Bruce and Steven J. Rosenbaum filed briefs for petitioner Mobil Oil Exploration & Producing Southeast, Inc.

Kent L. Jones argued the cause for the United States in both cases. With him on the brief were Solicitor General Waxman, Acting Assistant Attorney General Ogden, Dep- uty Solicitor General Wallace, David M. Cohen, Douglas N. Letter, Thomas M. Bondy, and Mark A. Melnick.†

Breyer, J., delivered the opinion of the Court, in which Rehnquist, C. J., and O'Connor, Scalia, Kennedy, Souter, Thomas, and Ginsburg, JJ., joined. Stevens, J., filed a dissenting opinion, p. 624.

Justice Breyer, delivered the opinion of the Court.

Two oil companies, petitioners here, seek restitution of $156 million they paid the Government in return for lease contracts giving them rights to explore for and develop oil off the North Carolina coast. The rights were not absolute, but were conditioned on the companies' obtaining a set of further governmental permissions. The companies claim that the Government repudiated the contracts when it denied them certain...

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