Amoco Production Co. v. Stauffer Chemical Co.

Summary

The court held that the gas-price escalation clause required the contract price to rise to the highest FPC-approved ceiling price generally applicable to gas sold from the relevant area, without applying well-age-based vintaging. Because the contract's language, read as a whole, expressed that intent, the court concluded that the lower court erred in granting summary judgment to Stauffer and directed entry of judgment for Amoco. No separate opinions were filed.