Case No. RF272-98897

March 1, 1999

DECISION AND ORDER

OF THE DEPARTMENT OF ENERGY

Application for Refund

Name of Applicant: Purolator Courier Corp.

Date of Filing: July 6, 1994

Case Number: RF272-98897

Purolator Courier Corp. (Purolator) filed an Application for Refund in the crude oil refund proceeding that is administered by the Office of Hearings and Appeals of the Department of Energy pursuant to 10 C.F.R. Part 205, Subpart V. As set forth in detail below, we shall deny this Application because this Applicant was granted a refund under the Settlement Agreement in the Stripper Well Exemption Litigation (the Stripper Well proceeding). See In Re: The Department of Energy Stripper Well Exemption Litigation, 653 F. Supp. 108 (D. Kan. 1986).

OHA is responsible for administering a general crude oil refund process under the provisions of 10 C.F.R. Part 205, Subpart V. Under this process, an injured purchaser of refined petroleum products during the crude oil price control period may generally receive a refund from crude oil overcharge funds collected by the DOE. See Modified Statement of Restitutionary Policy, 51 Fed. Reg. 27899 (August 4, 1986). However, as explained below, a purchaser may not obtain a refund under Subpart V if it obtained a refund in the Stripper Well proceeding. Under the Stripper Well proceeding, certain crude oil overcharges were refunded to Refiners, Retailers, Resellers, Agricultural Cooperatives, Airlines, Surface Transporters, Rail and Water Transporters, and Utilities from eight escrow accounts.

Purolator received a refund in the Stripper Well proceeding for Surface Transporters. As a pre- condition to participating in that proceeding, the firm executed the " Surface Transporters Escrow Settlement Claim Form and Waiver" (Waiver Form). This Waiver Form provides, inter alia, that the signer waives:

present and future claims asserting rights to share in existing or future monies paid, ordered to be paid, or held for payment as restitution as a result of any judicial or administrative proceeding relating to the federal mandatory allocation and price regulations applicable to crude oil . . . .

The Waiver Form also provides that each signer:

hereby agrees to withdraw and to take all necessary steps to file appropriate withdrawals of any and all claims it now has or hereinafter may have for funds in any Court or agency proceedings, including "Subpart V" proceedings, where such funds are related to Alleged Crude Oil Violations ... [The signer] agrees it

will not file any such claims for refund of Alleged Crude Oil Violations in these or similar proceedings in the future.

Thus, by receiving a refund in the Stripper Well proceeding, this Applicant waived its right to a refund under Subpart V. See In Re: The Department of Energy Stripper Well Exemption Litigation, 653 F. Supp. 108 at 114 (D. Kan. 1986); Stripper Well Exemption Litigation (Final Settlement Agreement), 6 Fed. Energy Guidelines ¶ 90,509 (1986); Mid-America Dairyman, 17 DOE ¶ 85,760 (1988). Accordingly, we will deny the Application for Refund filed by Purolator.

It Is Therefore Ordered That:

(1) The Application for Refund filed by Purolator Courier Corp. is hereby denied.

(2) This is a final Order of the Department of Energy.

George B. Breznay

Director

Office of Hearings and Appeals

Date:March 1, 1999