Smith was one of three judges on a panel that heard the appeal to "Hornbeck Offshore Services LLC v. Salazar", a case challenging the U.S. Department of the Interior's six-month moratorium on exploratory drilling in deep water that was adopted in the wake of the Deepwater Horizon explosion and the subsequent oil spill. The lower court had struck down the Department of the Interior's moratorium as arbitrary and capricious government action, and the Fifth Circuit panel denied the government's emergency request to stay the lower court's decision pending appeal.