ChemTreat demands arbitration with Motiva

By David Yates | Apr 5, 2007

ChemTreat, Inc. has filed a petition to compel arbitration against Motiva Enterprises. The water treatment company is claiming Motiva breached its contract.

Motiva operates an oil refinery in Port Arthur and is currently building the nation's first refinery in more than 20 years.

According to the plaintiff's petition, ChemTreat entered into a five-year contract with Motiva on April 1, 2000. ChemTreat was contracted to treat the water and provide other services at the Port Arthur refinery.

The company is claiming on Sept. 1, 2004, it renewed its contract with Motiva for a fixed period until Aug. 31, 2007.

"However, without just cause or proper notice, Motiva terminated the contract on Jan. 31, 2007, and ordered ChemTreat off the premises of the Port Author refinery," the petition stated.

A copy of the contract attached to the lawsuit stated the agreement could only be canceled by the buyer or seller with 90 days of written notice. The value of the contract may be in excess of $100,000.

ChemTreat tendered a written demand to arbitrate the breach of contract claims back in February, "but Motiva refused and continues to refuse to commence arbitration and has engaged in stalling tactics," the petition stated.

"Instead, Motiva insists on delaying the arbitration of this matter until the resolution of tort claims filed on Feb. 20, 2007, by ChemTreat in another lawsuit styled: ChemTreat, Inc. v. Chemtech Chemical Services and Todd C. Monette, in the 136th Judicial District Court of Jefferson County," the petition said.

The petition was filed on April 4 with the Jefferson County District Court. Court assignment is pending.

ChemTreat is represented by the by the Beaumont law firm Mehaffy Weber, located at 2615 Calder Ave.

Case No. D179-065

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