United States v. Louisiana

Background

The federal government (the United States) and the State of Louisiana disputed who controls offshore submerged lands and the natural resources found there. The Court resolved the remaining issues, the parties submitted a proposed final decree to a Special Master, and the Special Master recommended that the Court enter the decree.

Reasoning

The central question was which government has the right to explore and exploit areas on each side of a three-mile line. The Court entered a final decree defining that three geographic mile line in Exhibit A and awarded the United States exclusive rights seaward and Louisiana exclusive rights shoreward, subject to statutory exceptions. Each government and persons claiming under them are enjoined from interfering with the other’s rights. The decree supersedes earlier coastline descriptions and stays in effect for purposes of the Submerged Lands Act until a later final decree or agreement changes it. The Court also resolved prior accountings, set deadlines for new accountings (both parties must file by December 1, 1981), allowed objections by January 1, 1982, and directed payment of undisputed net balances thereafter; the Interim Agreement of October 12, 1956 is terminated effective January 1, 1982 or when objections are finally resolved.

Real world impact

The ruling clarifies which government manages offshore mineral exploration, leases, and royalties along the defined line. Oil, gas, and other resource companies, plus state and federal revenue programs, will be affected by the allocation. The decree fixes procedures and dates for accounting and revenue transfers, and the Court keeps power to resolve future disputes.