Bartholomew v. Clausen

1937 OK 573, 72 P.2d 718, 181 Okla. 88, 1937 Okla. LEXIS 47
CourtSupreme Court of Oklahoma
DecidedOctober 19, 1937
DocketNo. 27398.
StatusPublished
Cited by4 cases

This text of 1937 OK 573 (Bartholomew v. Clausen) is published on Counsel Stack Legal Research, covering Supreme Court of Oklahoma primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Bartholomew v. Clausen, 1937 OK 573, 72 P.2d 718, 181 Okla. 88, 1937 Okla. LEXIS 47 (Okla. 1937).

Opinion

PHELPS, J.

This was an action for specific performance of an alleged contract of sale of mineral rights, brought by the vendee against the vendor. The judgment was for defendant, and the plaintiff appeals. The principal contention of the plaintiff is that certain correspondence exchanged between the parties constituted a contract of sale, while the defendant denies that it did, and also contends that the plaintiff is prevented from maintaining the action by operation of the doctrine of laches.

The defendant owned 160 acres of land in Payne county, Okla., but lived in the state of Iowa. The plaintiff lived in Payne county. The plaintiff desired to purchase all of the royalty of 40 acres of the defendant’s land or an undivided one-fourth of the royalty covering the entire 160 acres. On April 26, 1935, the plaintiff addressed a letter to the defendant, in Iowa, telling him that he wanted to buy royalty and asking the defendant to make an offer. Thus began the negotiations. From that date until June 24, 1935', the correspondence continued, during which period 11 letters were written between the parties, including one letter from the defendant to a bank at Stillwater which was serving as agent of both parties. These are the letters which plaintiff claims constituted the contract. We have thoroughly considered each of them, and all of them together, and have come to the conclusion that it is necessary to copy parts of but four of them in this opinion. The question is whether there was ever a complete meeting of the minds of the parties, such as is necessary to constitute a contract by exchange of letters.

On May 13, 1935, after several letters had been written between the parties, the defendant replied to the plaintiff that he would sell his royalty on the southwest 40 acres for $2,000. On May 22, 1935, the plaintiff answered that letter, writing:

“I am accepting your royalty at $50 per acre or $2,000 for all the royalty under the southwest 40 acres. I will mail papers through the bank to you at once with instructions.- Please sign and return at once.”

(There had been no mention, so far, of the defendant’s furnishing the plaintiff any abstract of title.) Pursuant to the above Letter the plaintiff on the next day, May 23, 1935, sent the defendant two mineral deeds, for the defendant to sign, and the grantees therein named were parties other than the plaintiff, an additional point which the defendant argues as barring- the plaintiff from the right to specific performance, but which we need not decide. Accompanying the deeds he enclosed a draft on himself for the defendant to sign. This draft contained certain conditions, among which was that the defendant would forward to the plaintiff a complete abstract of title to the land. In the same envelope the plain.tiff inserted a letter to the defendant, in which he said:

“You will have to furnish an abstract or a supplement from the date of the last certificate on the one the company has who holds the lease. If you know who made the last abstract you can write them and have them to make a supplemental from their records, or write me authorizing me to have it done for you and I will hold it out of the draft or mail you a statement.”

*90 The above letter, which was the one with the “instructions” mentioned, by the plaintiff in his letter of May 22d, was a departure from the offer of defendant of May 13, 1935, because in that offer the defendant had made no suggestion concerning the furnishing of an abstract. Thus the plaintiff, in the letter which he says completed the contract, imposed a new condition which had to be accepted by the defendant before it could be said that there was a complete meeting of the minds.

The plaintiff contends that said meeting of the minds was accomplished by the act of the defendant in signing the drafts, with the aforesaid provisions therein to the effect that defendant should furnish an abstract. But this overlooks the fact that when the defendant signed the drafts, and forwarded them to the bank in Stillwater, which bank by the terms of the draft was made the agent of both parties, the defendant enclosed a letter to said agent, in the same envelope with the drafts and the deeds, wherein he instructed the agent as follows, under date of Mlay 25, 1935:

“As to said abstracts the letter of Mr. Bartholomew suggests that a supplement can be secured from the abstracter who certified to the last continuation secured and we prefer such a continuation to be secured for the grantee and you are authorized to secure the same; providing the expense thereof is small, if it runs into any considerable sum, we would prefer that you first communicate with us, as we are not willing to expend any fancy money to secure any abstracts, at these figures.”

Since the bank was concededly the agent of both parties, and since the plaintiff had suggested that he himself be authorized to complete the abstract, and testified that he called at the bank upon receipt of the aforesaid letter, and knew of the terms thereof, we think it is obvious that the defendant did not unconditionally agree to furnish an abstract to the plaintiff. Though the draft which was prepared by the plaintiff and sent to the defendant for signature did contain a stipulation to that effect, the letter which, defendant sent to plaintiff or plaintiff’s agent, in the same envelope with the drafts, contained the reservation that if the cost of preparing the supplement should amount to any considerable sum, there would need be further correspondence, because the defendant would not be willing “to expend any fancy money to secure any abstracts at these figures.”

The president of the bank testified that as soon as the letter from defendant was received, enclosing the drafts' and the deeds, he notified the plaintiff and that the plaintiff came into the bank and examined the papers; that he told the plaintiff then that plaintiff “would have to rustle this abstract business” because the bank “wouldn’t take the responsibility to order an abstract on the advice that he received in that letter.”

The aforesaid letter of the defendant to the bank was dated May 25', 1985. Neither the bank nor the plaintiff ever did anything to obtain completion of the abstract. This is partly explained by the fact that on June 10, 1935, plaintiff wrote the defendant that it would not be advisable for plaintiff to purchase royalty under 40 acres, because of the fact that the lease covered the entire 160 acres, and that he would prefer purchasing an undivided one-fourth interest under the entire 160 acres, instead of the entire royalty interest under 40 acres. The defendant replied to the plaintiff, refusing to agree to the suggested change, land gave plaintiff until June 19th to accept the deeds and honor the drafts. This was in a letter dated June 14, 1935.

The plaintiff testified that on June 17, 1935, he wrote another letter to the defendant, further demanding an abstract, but the defendant denied receiving any such letter, which created a question of fact (Keeling v. Travelers Ins. Co., 180 Okla. 99, 67 P. (2d) 944), and the trial court evidently believed the testimony of the defendant. Under the rules applicable to review, we must therefore assume that no such letter was written or received. After-wards, upon demand of the defendant, the bank returned the deeds to him.

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Cite This Page — Counsel Stack

Bluebook (online)
1937 OK 573, 72 P.2d 718, 181 Okla. 88, 1937 Okla. LEXIS 47, Counsel Stack Legal Research, https://law.counselstack.com/opinion/bartholomew-v-clausen-okla-1937.