Rogers v. Milliken Oil Co.
| Decision Date | 24 October 1916 |
| Docket Number | 7326. |
| Citation | 161 P. 799,62 Okla. 147,1916 OK 893 |
| Parties | ROGERS v. MILLIKEN OIL CO. ET AL. |
| Court | Oklahoma Supreme Court |
Rehearing Denied Nov. 14, 1916.
Second Petition for Rehearing Denied Jan. 9, 1917.
Syllabus by the Court.
Assuming without deciding, that an action in damages lies for failure by the lessee or his assigns to execute upon demand a release of an oil and gas mining lease which had become forfeited held that, the plaintiff having relied for proof of measure of damages upon an alleged contract for sale of a lease upon the same land, he must prove either that he had a valid contract with such prospective purchaser, enforceable according to its terms, had the release by defendant been executed, or that such prospective purchaser would have completed the contract, regardless of its enforceability, had such release been executed.
Evidence examined, and held, that the plaintiff in this case failed to prove a contract enforceable had the defendant executed a release, or that the prospective purchaser would have completed the same upon the execution of such a release and that therefore a demurrer to the evidence was properly sustained.
Commissioners' Opinion, Division No. 2. Appeal from District Court, Pawnee County; L. M. Poe, Judge.
Action by J. L. Rogers against the Milliken Oil Company and another. From a judgment for defendants on a demurrer to the evidence plaintiff appeals. Affirmed.
McNiell & McNiell and L. V. Orton, all of Pawnee, for plaintiff in error.
Rice & Lyons, of Tulsa, for defendants in error.
The gist of plaintiff's action was that he was the owner of 160 acres of land in Pawnee county; that he had executed an oil and gas mining lease thereon which had passed by various assignments thereof to one Turner and the Milliken Oil Company; that such lease provided that it should continue for a term of 2 years, or as long as oil or gas was found in paying quantities. By certain provisions it appeared that upon the payment of certain sums the life of the lease might be extended for a period of about 2 1/2 years from the date of its execution; that a dry hole had been drilled upon the land by the Milliken Oil Company, and that no payments having been made and no oil or gas having been found within the 2 years, that the lease became forfeited by its terms; that thereafter a well was drilled near this land which caused its leasing value to become quite large, and that plaintiff had an opportunity to lease the same to one P. D. McConnell for the sum of $8,000 bonus and $3,000 rental, upon procuring an abstract of title to said land which "would show the same free and clear from any defect"; that the abstract of title was submitted and a release from the Milliken Oil Company and Turner requested by the examining attorney to perfect the title; that plaintiff requested the execution of such release, which was refused, and that by reason thereof the plaintiff could not complete his contract with McConnell, to his damage in the amount of the bonus and the rental. It was also alleged that shortly after the release was demanded and refused a dry hole was drilled near plaintiff's land, which caused it to entirely lose its leasing value. It was further pleaded that there was a general custom in the neighborhood of this land, known to defendant, to execute releases of oil and gas leases which had expired.
Upon the trial the evidence developed facts in relation to the execution and delivery of the lease assigned to the Milliken Oil Company; that such lease had become forfeited, and that the Milliken Oil Company claimed no interest in the land, but had refused to execute the release requested because both Turner, its assignor, and plaintiff, the original lessor were each...
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