Yes. In Texas, subcontractors have a robust legal pathway to file injury claims against negligent third parties on an oilfield site. Because a subcontractor is not a direct employee of the oil company (the operator) or other onsite vendors, they are not restricted to the limited benefits of workers compensation. This allows injured subcontractors to pursue “third party claims” for 100% of lost wages, future earning capacity, and significant non economic damages like physical impairment and mental anguish.

1. The Subcontractor’s “Third Party” Advantage

On a West Texas rig, you likely work for a service company (e.g., casing, trucking, or wireline) rather than the operator itself. This distinction is critical:

• Workers Comp (The Floor): If your direct employer carries workers comp, you can get medical bills and partial wages immediately.

• Third Party Lawsuit (The Ceiling): You can simultaneously sue the Oil Company, a General Contractor, or another Subcontractor if their negligence caused your injury. This “third party” status is what allows for multi million dollar settlements that workers comp cannot provide.

2. Overcoming the Chapter 95 Barrier

The biggest hurdle for any subcontractor in Texas is Chapter 95 of the Civil Practice and Remedies Code. This law protects property owners (operators) from lawsuits by subcontractors unless the victim can prove two specific things:

1. Actual Control: The operator’s “Company Man” or supervisor exercised direct control over the specific task that caused the injury.

2. Actual Knowledge: The operator knew of a dangerous condition (e.g., a faulty derrick or gas leak) and failed to warn the subcontractor.

Legal Tip: Chapter 95 is a “Double Burden.” To win, your legal team must prove both control and knowledge. If the operator was just “standing around” and didn’t know about the hazard, the claim could be dismissed.

3. Common Targets for Subcontractor Claims

Subcontractors often have valid claims against parties other than the site operator.⁵ These “Third Party Defendants” include:

• The General Contractor: If the “Rig Manager” or “Toolpusher” failed to coordinate crews safely, leading to a “struck by” accident.

• Neighboring Subcontractors: If a different company’s truck driver or crane operator acted recklessly.

• Equipment Rental Companies: If a rented tool or machine (like a power tong or mud pump) failed due to poor maintenance by the rental house.

4. Why Subcontractors Pursue Claims

A subcontractor’s claim is often worth significantly more than a standard employee claim because the damages are not capped by state statutes.

Key Steps for Subcontractors After an Injury

1. Identify the “Company Man”: Write down the name of the operator’s rep who gave you instructions.

2. Photographs: Take pictures of the equipment before the rig is moved or the “well site” is cleaned.

3. Check Your Contract: Many Master Service Agreements (MSAs) have “indemnity clauses” that try to prevent you from suing. However, the Texas Oilfield Anti Indemnity Act (TOAIA) often makes these clauses illegal if the other party was negligent.

4. Statute of Limitations: You generally have two years from the date of the accident to file a claim in Texas.

Frequently Asked Questions

1. Can I still file a claim if I am receiving workers compensation?

Yes. This is the most common misconception. You can collect workers compensation benefits from your direct employer while simultaneously filing a third party lawsuit against a negligent operator or another contractor. However, if you win your lawsuit, the workers comp insurance company may have a “right of subrogation” to be reimbursed for the medical bills they already paid.

2. What if my injury was caused by another subcontractor’s employee?

You have a direct third party claim against that employee’s company. Under Texas law, companies are responsible for the negligent actions of their employees (vicarious liability). Because you do not work for that specific company, they are not protected by the “exclusive remedy” rule that protects your own employer.

3. How long do I have to file an oilfield injury lawsuit in Texas?

In Texas, the statute of limitations for personal injury is generally two years from the date of the accident. However, workers compensation claims must be reported to your employer within 30 days and filed with the state within one year. Because oilfield evidence (like rig data and JSAs) disappears quickly, waiting even a few months can damage your case.

4. What is the “Company Man’s” role in my lawsuit?

The “Company Man” represents the oil company (operator). If he gave you specific instructions that led to your injury, such as telling you to work faster or ignore a safety alarm,his actions can be used to prove that the operator exercised “actual control” over your work, which is the key to overcoming Chapter 95 protections.

5. Do I have to prove someone was 100% at fault to win?

No. Texas follows Modified Comparative Fault. As long as you are 50% or less at fault for the accident, you can still recover damages. For example, if a jury finds you were 10% at fault and a third party was 90% at fault, your total award will simply be reduced by 10%.