Producers' Oil Co. v. Stephens

• Decision Date: 28 November 1906
• Citation: 99 S.W. 157
• Court: Texas Court of Appeals
• Parties: PRODUCERS' OIL CO. et al. v. STEPHENS et al.<SMALL><SUP>*</SUP></SMALL>

99 S.W. 157

PRODUCERS' OIL CO. et al. v. STEPHENS et al.^*

Court of Civil Appeals of Texas.

November 28, 1906.

Rehearing Denied January 9, 1907.

Appeal from District Court, Travis County; V. L. Brooks, Judge.

Suit by Producers' Oil Company and others against John W. Stephens and others. From a judgment in favor of defendants, complainants appeal. Reformed and affirmed.

A. D. Lipscomb, for appellants. R. V. Davidson, Atty. Gen., and Claude Pollard, Asst. Atty. Gen., for appellees.

EIDSON, J.

This is a case in which were consolidated the suits of the Producers' Oil Company, the Moonshine Company, and the Little Jap Oil Company against appellees for injunction to restrain them from taking any action looking to the enforcement against appellants of the provisions of chapter 148, p. 358, of the Acts of the Twenty-Ninth Legislature of the State of Texas, known as the "Kennedy Bill." Appellants' petitions assail said act as being obnoxious to various provisions of the Constitution of this state and that of the United States. Appellees' answer, in so far as necessary to be stated, contained an exception in limine, to the effect that the suits were against the state of Texas, and for that reason could not legally be maintained, and a cross-bill praying for judgment against appellants for the taxes and penalties imposed upon them by said act of the Legislature. Appellants excepted to appellees' cross-action. The court overruled appellees' exception in limine, and sustained appellants' exception to appellees' cross-action in so far as it related to penalties, but overruled same as to Texas. The court gave judgment in favor of appellees for the taxes claimed, but refused to render judgment for any penalties. While according to the holding of the Supreme Court in Stephens v. Railway Co., 97 S. W. 309, 16 Tex. Ct. Rep. 918, this suit by appellants was a suit against the state and could not be maintained without its consent, and therefore the action of the court below in overruling appellees' exception in limine was error, such action becomes immaterial, in view of the refusal of the court below to grant any relief to appellants under their petition for injunction. The taxes recovered in this suit were only such as are imposed by section 13 of said act, which is as follows:

"Section 13. Every individual, joint stock company, co-partnership or corporation, whether incorporated under the laws of this State, or any state or territory of the United States or of any foreign country, which owns, controls, manages or leases any oil well within this state, shall, on or before the first day of April of each and every year, and quarterly thereafter, through its superintendent, president, secretary or other authorized agent, or in person or by agent (if said well belongs to or is managed or controlled by any individual) file with the Comptroller a report under oath, showing the total amount of oil produced by each of said parties, during said next preceding quarter, and also its market value. Said oil well companies or individuals owning, controlling or managing oil wells, at the time of filing the required report, shall pay to the treasurer of the state of Texas one per cent. on the gross products, as shown by said reports, said amount in money to be fixed at the average market value of said product during the preceding quarter. The receipt of the Treasurer of the state shall be evidence of they payment of such taxes. Should any person, association of persons, the officers or agents of any such persons, association of persons or corporations herein named, fall to make the report provided for in this chapter, for more...