Halliburton Hits KBR With $256M Suit Over Spinoff Tax Pact

Law360, New York (July 11, 2012, 4:28 PM EDT) -- Halliburton Co. on Tuesday sued former subsidiary KBR Inc. in Texas state court seeking to compel arbitration over $256 million Halliburton says it overpaid for taxes related to the companies' 2007 split.

In connection with KBR's 2007 spinoff from Halliburton, the companies signed a tax sharing agreement in order to reconcile the parties' tax obligations for the years between initially agreeing to and finalizing the split, according to the complaint.

Halliburton argued that the current dispute is subject to the TSA's arbitration provision, which states that...
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