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Judgment Grows to $180 Million

The current appeal stems from the court’s 2023 adoption of a revised allocation plan that layered in additional prejudgment interest, boosting the final judgment to nearly $180 million. Sunoco asked the Tenth Circuit to vacate the ruling outright or slash it substantially — and to decertify the class along the way.

Panel Rejects Sunoco’s Bid to Unravel the Class

The judges were unswayed. During oral arguments last year, the panel had already signaled skepticism, and Monday’s opinion confirmed it: the class met the legal tests for predominance and commonality.

According to the ruling, the class demonstrated Sunoco relied on a “uniform scheme or policy” across the entire member pool. The heart of the dispute — whether Sunoco breached its obligations by failing to pay interest automatically — overshadowed any minor individualized damages questions.

Sunoco’s Record-Keeping Backfires

Sunoco argued that not all class members could be individually identified because the company lacked names for many accounts. The panel turned that argument back on the company itself.

“Sunoco failed to gather and produce the owner information it was statutorily required to maintain,” the court wrote. “Gaps in a defendant’s records cannot be used to defeat class certification.”

Standing and Interest Calculations Upheld

The panel also rejected Sunoco’s challenge to standing, noting that each class member suffered a traceable monetary injury when Sunoco withheld automatic interest payments.

Majority Backs 12% Compounded Interest

The majority sided with the district court’s use of 12% annual compound interest, finding the PRSA mandates such accrual until the relevant proceeds and interest are paid.

Judge Moritz disagreed, contending that once proceeds are paid, interest should stop accruing, and she would have remanded for recalculation of the nearly $104 million interest award.

What Comes Next

Counsel for the landowners declined to comment, and Sunoco did not respond to inquiries late Monday. The panel consisted of Judges Matheson, Moritz, and Federico. The class is represented by Russell S. Post and Owen J. McGovern of Beck Redden LLP.

The ruling leaves Sunoco facing more than $100 million in liability — even with the Sunoco Oil Ruling $75M Knock Off eliminating punitive damages — as the high-stakes fight over Oklahoma oil royalties rolls into its next phase.