Double v. Sawtell

• Decision Date: 09 April 1925
• Docket Number: (No. 211.)
• Citation: 271 S.W. 646
• Parties: DOUBLE et al. v. SAWTELL et al.
• Court: Texas Court of Appeals

271 S.W. 646

DOUBLE et al. v. SAWTELL et al.

(No. 211.)

Court of Civil Appeals of Texas. Waco.

April 9, 1925.

Appeal from District Court, McLennan County; James P. Alexander, Judge.

Action by J. B. Sawtell and others against C. C. Double and others. Judgment for plaintiffs, and defendants appeal. Affirmed.

Keys & Mason, of Mexia, for appellants.

Weatherby & Rogers, of Waco, for appellees.

STANFORD, J.

This suit was filed by appellees to recover $1,162.46 on deposit in the First National Bank of Normangee, Tex., in the name of C. C. Double, appellees alleging that they entered into a contract, by the terms of which they purchased an interest in certain oil leases on which appellants were then drilling a well, and made deposits in said bank in the name of appellant Double in payment therefor, said money to be used only in payment for drilling said well for oil on said lands. Appellees alleged further that appellant Double had breached said contract by abandoning the drilling of said well, etc., and that there remained in said bank $1,162.46 of the money so deposited by appellees, etc. The case was tried before the court without a jury. The court filed findings of fact and conclusions of law, which are in no way challenged by appellants, and are hereby adopted by this court, as follows "Findings of Fact.

"I find as a fact that on July 3, 1923, the plaintiffs J. B. Sawtell and W. J. Laidlaw entered into a contract with the defendant C. C. Double in words and figures as follows:

"The State of Texas, county of McLennan:

"`This agreement this day entered into by and between C. C. Double of Leon county, Texas, acting for himself and as attorney in fact for William W. Guelph of New York City, New York, and J. B. Sawtell and W. J. Laidlaw of McLennan county, Texas, witnesseth:

"`(1) That the said C. C. Double and William W. Guelph are the owners of oil and gas leases on 2963 acres of land in Leon county, Texas, and are engaged in the drilling of an oil well on one of the tracts of land embraced in the said leases, and in consideration of ten thousand dollars ($10,000) paid, and to be paid, the said Sawtell and Laidlaw have this day executed an assignment of an undivided one-half interest in and to the said oil and gas lease contracts, which assignment is hereto attached and referred to as a part of this agreement.

"`(2) The said Sawtell and Laidlaw have paid this day to the said C. C. Double, the sum of two thousand dollars ($2,000) in cash, by placing same on deposit in the First National Bank of Normangee, Texas and they agree to place on deposit in said bank, the additional sum of five hundred dollars ($500) per week until the full amount of ten thousand dollars ($10,000) has been placed on deposit in said bank to the credit of the said C. C. Double, at which time, the said bank shall deliver to the said Sawtell and Laidlaw or their authorized agent, the assignment of an undivided one-half interest in the said 2963 acres of land, which assignment is hereto attached, and which it is agreed between the parties hereto shall be placed in escrow with the said bank for the purpose aforesaid.

"`(3) In the event the said Sawtell and Laidlaw shall fail to place the sum of five hundred dollars ($500) per week in the said bank, as above provided for, and after the expiration of one week after such installment is due, the said C. C. Double at his election, shall have the privilege of executing to the said Sawtell and Laidlaw an assignment of the oil and gas lease interest of himself and the said William W. Guelph in and to 1 acre of land out of the tract hereinafter mentioned for each ten dollars ($10) in money theretofore placed to the credit of the said C. C. Double by the said Sawtell and Laidlaw in the said bank, and thereupon the said bank is authorized and directed to deliver up to the said C. C. Double the assignment of the undivided one-half interest in the said 2963 acres hereto attached, and thereafter the same shall be null and void, and the said assignment of 1 acre for each ten dollars ($10) in money already paid shall be a full and final settlement between the parties hereto; that the land out of which the acreage may be conveyed to the said Sawtell and Laidlaw herein provided for, is that certain 1323 acres, being a part of the John Schritchfield league as described in deed from Arthur Geissler and wife to J. A. Heath, which is recorded in the deed records of Leon county, Texas, in Volume 21, pages 375, 376, and 377, to which reference is hereby made for full description of said land, and being the same land referred to in oil and gas lease from J. A. Heath and wife, Runnie Heath, to J. A. Heath, R. McDonald, and W. T. Hollis, dated January 2, 1922, and recorded in Volume 59, page 2 et seq. of the deed records of Leon county, Texas.

"`(4) The said C. C. Double agrees and binds himself to use the money placed on deposit in said bank only for the expenses of the drilling of the well, which is now being drilled on the above described 1323-acre tract of land, and to give the said Sawtell and Laidlaw immediate written notice of his intention to exercise his option of cancelling the assignment of the undivided one-half interest above referred to and substituting therefor specific acreage out of the 1323-acre tract on the basis of ten dollars ($10) per acre as above provided for.

"`(5) This contract is executed in triplicate, and one copy is delivered to the said C. C. Double, and one copy to the said Sawtell and Laidlaw and the third copy to the First National Bank of Normangee, Texas, for its guidance as escrow holder of the papers herein referred to, and the said bank, in determining whether or not it shall accept the lease to specific acreage out of the 1323-acre tract, and deliver up the assignment of the undivided one-half interest, shall refer to its books and if no deposit of the sum of five hundred dollars ($500) has been made by the said Sawtell and Laidlaw to the credit of the said C. C. Double within the period of two weeks and copy of one week's notice of C. C. Double's intention to exercise his option as above provided for, is presented to it, together with a registered letter receipt...