Blackwell Oil & Gas Co. v. Berry's Estate

1937 OK 606, 74 P.2d 373, 181 Okla. 459, 1937 Okla. LEXIS 197
CourtSupreme Court of Oklahoma
DecidedOctober 26, 1937
DocketNo. 25272.
StatusPublished
Cited by1 cases

This text of 1937 OK 606 (Blackwell Oil & Gas Co. v. Berry's Estate) 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
Blackwell Oil & Gas Co. v. Berry's Estate, 1937 OK 606, 74 P.2d 373, 181 Okla. 459, 1937 Okla. LEXIS 197 (Okla. 1937).

Opinion

RILEY, J.

This is an action commenced by defendant in error, herein referred to as plaintiff, against plaintiff in error, herein referred to as defendant.

The petition contains three causes of action. The first cause of action is for damages for alleged breach of contract, whereby defendant sold plaintiff certain secondhand or used oil well casing. The second and third causes of action are for the purchase price of certain oil well supplies alleged to have been sold and delivered to defendant by plaintiff. Defendant admits the purchase of the supplies mentioned in the second and third causes of action, but claims an offset based upon an alleged balance due on certain of the casing delivered by defendant to plaintiff under the contract-set up in the first cause of action. That contract is in writing as follows:

“Sold to Berry Pipe & Supply Company, Cushing, Oklahoma.
“All 12%" casing @ $1.25 per foot
“All 10" casing @ 90c per foot
“All 5 3/16" easing @ 32c per foot, except 15 joints.
“All 6 5/8" casing @ 45e per foot, except one string of Lapwell and all seamless.
“All of the above is at McDaniel and Kum-ber Warehouses and Cushing tract.”

Plaintiff alleged that the pipe mentioned in the written contract consisted of: 2,709 feet of 12%" casing, 4,504.7 feet of 10" casing, 13,992 feet of 6 5/8" casing, and 8,734 feet of 5 3/16" casing.

Plaintiff alleged that after defendant had delivered 2,704.7 feet of the ten-inch casing under said sale contract, it breached said contract by refusing to deliver the balance of the casing, whereby plaintiff alleges he was damaged in the sum of $8,399.67, for which sum judgment was prayed.

Defendant in its answer admits the sale and admits the contract was as stated in plaintiff’s petition. It also admits that plaintiff took delivery under the contract of 2,-704.7 feet of ten-inch easing. It then pleaded an alleged breach of the contract by plaintiff in that plaintiff picked out and loaded the 2.704.7 feet of ten-inch casing on plaintiff’s trucks and removed it from defendant’s premises; that the purchase price thereof under the contract was 90e per foot, or $2,-434.13, and: “that on the 19th day of November, 1929, the plaintiff paid on said account the sum of $2,177.30, leaving a balance due the defendant of $256.83; that under said agreement said pipe was sold for cash with no deductions, and the plaintiff claimed after it had removed some 10-inch pipe from the premises that part of the same was defective and refused to pay the balance of $256.83; that accordingly the defendant notified the plaintiff that it would deliver no more pipe to the plaintiff under said agreement until this balance was settled; that *460 the plaintiff refused to settle the balance due and thus breached said contract; that the defendant was at all times ready, able, and willing to deliver all of said pipe to the plaintiff under said memorandum of agreement, but the plaintiff refused to take the same unless it was privileged to select therefrom only the best joints thereof and to pay for the balance at $5 per ton, which was in violation of the agreement and to which this defendant refused to accede.”

The answer then admitted liability to plaintiff under the second and third causes of action of plaintiff’s petition in the sum of $191.73, and alleged a balance due defendant, after allowing said credit of $191.73, in the sum of $65.10, for which it prayed judgment.

Plaintiff replied by general denial of all matters in the answer inconsistent with the allegations contained in plaintiff's petition.

The cause was tried to a jury, resulting in a verdict and judgment for plaintiff in the sum of $1,000, and defendant appeals.

There are 17 specifications of alleged error presented under three propositions.

Under the first proposition defendant in substance contends that the evidence shows that plaintiff first breached the contract and is therefore not entitled to recover.

There is but little controversy over the facts in this case. The evidence is not in conflict as to most of the controlling facts. In substance the evidence is that plaintiff was engaged in the business of buying and selling secondhand or used oil well supplies, including casing; that it was, as a rule, necessary to recondition such casing, and plaintiff reconditioned most of the casing which it bought before reselling same.

Defendant was engaged in the business of producing oil and gas and had on hand a large quantity of casing which had been removed after the wells ceased to produce, and which it desired to sell. Some of this was in the Tonkawa field near Blackwell, some in Kansas, and most of it was racked in defendant’s yard at Blackwell.

Aaron Berry entered into negotiations for the purchase of said casing. He received from defendant’s agent a list which showed the approximate amount of the different sizes of casing defendant had for sale. He went to defendant’s yard and inspected the casing. Thereafter, on October 18, 1929. he met Mr. Arters, defendant’s superintendent, and they came to an agreement on the sale of the casing. The contract was reduced to writing by Mr. Berry as quoted above and was signed by Mr. Arters. While the contract itself does not specify the number of feet of easing of the several dimensions mentioned, it is agreed that the amount of casing involved was substantially that set out in plaintiff’s petition.

About the time the contract was signed, possibly a few days before, plaintiff went to defendant’s yard, and hauled away 2,490.4 feet of ten-inch casing. The next day he hauled away 214.3 feet of ten-inch easing.

Under date of October 24, 1929, defendant mailed plaintiff a statement for 2,490.4 feet ten-inch easing at 90 cents, in the sum of $2,241.30, indicating therein that the casing therein mentioned was received by plaintiff on October 14th.

Under date of November 4, 1929, defendant mailed plaintiff a similar statement for 214.3 feet of ten-inch easing at 90 cents, in the sum of $192.83.

Plaintiff mailed defendant a check dated November 18, 1929, in the sum of $2,177.30, with the following notation thereon:

“This check is in full settlement of account as shown hereon, acceptance by endorsement constitutes receipt in full.
“In payment of October statement of 10-inch pipe purchased.”
With the cheek he mailed the following statement:
“Deductions for junk joints measured;— 2 joints pitted through,
approximately 40 feet
2 joints cable cut
approximately 40 ”
“Total deduction of footage 80 feet $72.00 “Junk value, $5.00 per ton, weight 3200 lbs, credit 8.00
$64.00
“Our check 2,177.30
“Tour October statement.”

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Bluebook (online)
1937 OK 606, 74 P.2d 373, 181 Okla. 459, 1937 Okla. LEXIS 197, Counsel Stack Legal Research, https://law.counselstack.com/opinion/blackwell-oil-gas-co-v-berrys-estate-okla-1937.