The oil rig Payamino 22 was operated by the French oil company Perenco in the Province of Orellana in Ecuador. Part of its infrastructure encroached upon the peasant Jose Daniel Jungal land property. This landholding as well as other properties are highly polluted. It affected the local inhabitants health as well as their livelihoods. In 2005 Jose Daniel Jungal along with other peasants reported the situation to the National Direction of Environmental Protection (DINAPA). After several inspections, this institution concluded that the two properties as well as the surrounded rivers had high levels of contamination. Moreover, it stated that the levels of noise in the area exceeded the legal limit. As such, it exhorted the oil company to remedy the two properties and compensate their owners. Perenco rejected the DINAPAs decision, so both peasants filed a lawsuit against Perenco. Finally in 2010 the Court ruled in favor of them and Perenco was obliged to remedy the area and compensate them. The significance of the case lies in the application of a principle of environmental liability in oil extraction damage in Ecuador, where there would be potentially so many other cases related to compnies like POetroecuador, Chevron-Texo, Repsol etc.