974 F.2d 1015 (8th Cir. 1992), 91-3690, South Cent. Petroleum, Inc. v. Long Bros. Oil Co.

Docket Nº91-3690.
Citation974 F.2d 1015
Party NameSOUTH CENTRAL PETROLEUM, INC.; Jerry R. Sawyer, Appellees, v. LONG BROTHERS OIL COMPANY; Charles L. Long; David B. Long; Kenneth F. Long; Pat W. Long; Imogene Long, Appellants. A. V. Beebe; Harold Wisenhunt.
Case DateSeptember 10, 1992
CourtUnited States Courts of Appeals, Court of Appeals for the Eighth Circuit

Page 1015

974 F.2d 1015 (8th Cir. 1992)

SOUTH CENTRAL PETROLEUM, INC.; Jerry R. Sawyer, Appellees,

v.

LONG BROTHERS OIL COMPANY; Charles L. Long; David B. Long;

Kenneth F. Long; Pat W. Long; Imogene Long, Appellants.

A. V. Beebe; Harold Wisenhunt.

No. 91-3690.

United States Court of Appeals, Eighth Circuit

September 10, 1992

Submitted: June 8, 1992.

Page 1016

Robert C. Compton, El Dorado, Ark., argued (William I. Prewett, on the brief), for appellants.

B. Michael Bennett, Dallas, Tex., argued, for appellees.

Before JOHN R. GIBSON, Circuit Judge, HEANEY, Senior Circuit Judge, and BEAM, Circuit Judge.

HEANEY, Senior Circuit Judge.

In this diversity action, Long Brothers Oil Company appeals the district court's grant of summary judgment and order that South Central Petroleum and Jerry Sawyer pay Long Brothers Oil Company $62,627 in exchange for one-half ownership of an oil well. We affirm.

FACTS

In 1985, Long Brothers Oil Company (Long Brothers), along with several other investors, purchased Fouke (oil) Field in Miller County, Arkansas, from Phillips Petroleum Company (Phillips). As part of the transaction with Phillips, Long Brothers bought all but an 11.22 percent interest in a gas well known as the Silberberg B-1. Long Brothers did, however, acquire from Phillips a preferential right to purchase the unsold interest, which was owned by Texaco Producing, Inc. (Texaco); Long Brother's preferential purchase right enabled it to successfully match any offer made to Texaco for the 11.22 percent interest.

Long Brothers began "producing" Fouke Field in 1986. On September 27, 1988, Long Brothers signed an agreement with South Central Petroleum and Jerry Sawyer "to work together in an effort to buy Texaco's one-eighth ( 1/8) working interest in the Silberberg # B-1 unit." To pursue this goal, Long Brothers agreed to contact Texaco and attempt to acquire Texaco's Silberberg B-1 interest "for a price not to exceed $400,000." If Long Brothers succeeded and if the property was not quickly resold, the parties agreed to purchase and own the interest according to a 50 percent (Long Brother's purchase and ownership share), 37.5 percent (South Central Petroleum), and 12.5 percent (Sawyer) arrangement. The parties further agreed that their agreement would become effective September 15, 1988 and "continue in effect for a period of six (6) months, and thereafter until terminated by any of the parties to this

Page 1017

agreement with thirty (30) days prior written notice."

On December 5, 1988, Texaco agreed to sell its Silberberg B-1 interest to a third party. On February 14, 1989, Long Brothers notified Sawyer that it was terminating their agreement pursuant to the thirty-day termination provision. Less than thirty days later, on March 15, 1989, Long Brothers exercised its preferential purchase right and purchased Texaco's interest in the Silberberg B-1 for $137,500. Long Brothers then divided its new acquisition among the partners who had originally organized to purchase Fouke Field. Long Brothers did not notify Sawyer or South Central Petroleum of the Texaco acquisition.

When Sawyer and South Central Petroleum learned of Long Brothers' acquisition of Texaco's interest on January 15, 1991, they demanded that Long Brothers convey one-half of the acquisition pursuant to the September 27, 1988 agreement. Long Brothers refused, and this action ensued.

Arguing that their contract with Long Brothers should be enforced, Sawyer and South Central Petroleum moved the district court for summary judgment. The district court granted their motion. After conducting a trial to determine a remedy, the district court ordered Long...

To continue reading

Request your trial
11 practice notes
  • 215 B.R. 726 (Bkrtcy.E.D.Ark. 1997), 95-43854, In re International Ventures, Inc.
    • United States
    • Federal Cases United States Bankruptcy Courts Eighth Circuit
    • 25 Noviembre 1997
    ...on the conduct or acts of the lessor and was injured by that reliance. See South Central Petroleum, Inc. v. Long Brothers Oil Company, 974 F.2d 1015, 1018 (8th Cir.1992); Philadelphia Indemnity Insurance Company v. Carco Rentals, Inc., 923 F.Supp. 1143, 1156 (W.D.Ark.1996); Arkansas Departm......
  • United States v. Johnson, 080715 NCMDC, 1:12cv1349
    • United States
    • Federal Cases United States District Courts 4th Circuit Middle District of North Carolina
    • 7 Agosto 2015
    ...to the weight and credibility of his testimony, not to its admissibility." (quoting S. Cent. Petroleum, Inc. v. Long Bros. Oil Co., 974 F.2d 1015, 1019 (8th Cir. 1992))). Thus, as with the traffic stop study, Dr. Banks' checkpoint analysis is sufficiently reliable to be admissible unde......
  • 122 F.Supp.3d 272 (M.D.N.C. 2015), 1:12cv1349, United States v. Johnson
    • United States
    • Federal Cases United States District Courts 4th Circuit Middle District of North Carolina
    • 7 Agosto 2015
    ...and credibility of his testimony, not to its admissibility." (quoting S. Cent. Petroleum, Inc. v. Long Bros. Oil Co., 974 F.2d 1015, 1019 (8th Cir. 1992))). Thus, as with the traffic stop study, Dr. Banks' checkpoint analysis is sufficiently reliable to be admissibl......
  • Gilliland v. Harley-Davidson Motor Co. Group, LLC, 102815 NEDC, 8:12CV384
    • United States
    • Federal Cases United States District Courts 8th Circuit District of Nebraska
    • 28 Octubre 2015
    ...opinion affect the weight and credibility of her testimony, not its admissibility. [South Central Petroleum, Inc. v. Long Bros. Oil Co., 974 F.2d 1015, 1019 (8th Cir. 1992)]. We have said that “[o]nce expert testimony has been admitted, the rules of evidence then place the full burden of ex......
  • Request a trial to view additional results
11 cases
  • 215 B.R. 726 (Bkrtcy.E.D.Ark. 1997), 95-43854, In re International Ventures, Inc.
    • United States
    • Federal Cases United States Bankruptcy Courts Eighth Circuit
    • 25 Noviembre 1997
    ...on the conduct or acts of the lessor and was injured by that reliance. See South Central Petroleum, Inc. v. Long Brothers Oil Company, 974 F.2d 1015, 1018 (8th Cir.1992); Philadelphia Indemnity Insurance Company v. Carco Rentals, Inc., 923 F.Supp. 1143, 1156 (W.D.Ark.1996); Arkansas Departm......
  • United States v. Johnson, 080715 NCMDC, 1:12cv1349
    • United States
    • Federal Cases United States District Courts 4th Circuit Middle District of North Carolina
    • 7 Agosto 2015
    ...to the weight and credibility of his testimony, not to its admissibility." (quoting S. Cent. Petroleum, Inc. v. Long Bros. Oil Co., 974 F.2d 1015, 1019 (8th Cir. 1992))). Thus, as with the traffic stop study, Dr. Banks' checkpoint analysis is sufficiently reliable to be admissible unde......
  • 122 F.Supp.3d 272 (M.D.N.C. 2015), 1:12cv1349, United States v. Johnson
    • United States
    • Federal Cases United States District Courts 4th Circuit Middle District of North Carolina
    • 7 Agosto 2015
    ...and credibility of his testimony, not to its admissibility." (quoting S. Cent. Petroleum, Inc. v. Long Bros. Oil Co., 974 F.2d 1015, 1019 (8th Cir. 1992))). Thus, as with the traffic stop study, Dr. Banks' checkpoint analysis is sufficiently reliable to be admissibl......
  • Gilliland v. Harley-Davidson Motor Co. Group, LLC, 102815 NEDC, 8:12CV384
    • United States
    • Federal Cases United States District Courts 8th Circuit District of Nebraska
    • 28 Octubre 2015
    ...opinion affect the weight and credibility of her testimony, not its admissibility. [South Central Petroleum, Inc. v. Long Bros. Oil Co., 974 F.2d 1015, 1019 (8th Cir. 1992)]. We have said that “[o]nce expert testimony has been admitted, the rules of evidence then place the full burden of ex......
  • Request a trial to view additional results