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Texas Supreme Court Rules in Favor of Exxon Twice in Less Than a Month in Employment Cases

In two separate recent decisions, the Texas Supreme Court exonerated Exxon from liability in employment related cases.

On May 26, 2017, in Exxon Mobil Corp. v. Rincones, the Court explicitly refused to recognize a theory of compelled self-defamation, stating it is inconsistent with Texas’ at-will employment system.

On June 23, 2017, in Pagayon v. Exxon Mobil Corp., the Court reversed a $2 million jury verdict against Exxon where a fistfight between two employees led to the death of one of the employee’s father. The Court ruled that even though Exxon management could have prevented the fight, placing such a duty on the employer in this specific situation would “significantly burden the employment relationship.”  The Court declined to provide any guidance to employers, employees, or lower courts as to what would be an appropriate duty in similar situations when supervising employees.

Congratulations to Exxon. The company only had $4 billion in profits last quarter, so it’s good to know that our state judicial system is making sure the company does not suffer anymore.