Dowell, Inc. v. Cichowski

540 S.W.2d 342, 55 Oil & Gas Rep. 199, 1976 Tex. App. LEXIS 2936
CourtCourt of Appeals of Texas
DecidedJune 23, 1976
Docket15489
StatusPublished
Cited by9 cases

This text of 540 S.W.2d 342 (Dowell, Inc. v. Cichowski) is published on Counsel Stack Legal Research, covering Court of Appeals of Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Dowell, Inc. v. Cichowski, 540 S.W.2d 342, 55 Oil & Gas Rep. 199, 1976 Tex. App. LEXIS 2936 (Tex. Ct. App. 1976).

Opinion

KLINGEMAN, Justice.

This is a suit for damages allegedly resulting from a squeeze tool or packing tool becoming lodged in an oil and gas well being drilled in Jim Wells County, Texas in connection with a “squeeze job” being performed on said well by defendant, Dowell, Inc.

Plaintiff, Joseph F. Cichowski, is the lessee under an oil and gas lease covering certain lands in Jim Wells County and was the operator of a well being drilled on said land, known as the Cichowski Well No. 2. The other plaintiffs are investors in such prospect, although the exact nature and extent of their interest is not shown. Do-well, Inc. is an oil field specialty company that conducted the squeeze job operations. Damages were sought by plaintiffs for remedial repairs made necessary because of defendant’s alleged negligent operations and for the destruction and loss of the well. Trial was to a jury who found the well to be capable of producing oil and gas in paying quantities prior to the squeeze job, and that such capacity to produce was completely destroyed as a direct and proximate result of the squeeze operations. The jury further found that defendant was negligent in failing to raise the squeeze tool above the top level of the cement after the squeeze job was conducted; that such failure was negligence, a proximate cause of the tool sticking in the well, and a proximate cause of the destruction of the well. Based upon such jury findings, the trial court entered judgment for plaintiffs against defendant in the sum of $76,706.33.

The well here involved is located on a tract of land leased by the trustee for Harry J. Mosser, Jr. and Suzanne Mosser Shanks to Joseph F. Cichowski. A prior well, designated as Cichowski Well No. 1, was drilled on the leased premises but was plugged and abandoned in April 1972 because an allegedly uncontrollable gas sand was encountered during the drilling process. After plugging this well, the well site was moved a short distance from the first well, and drilling operations commenced on Ci-chowski Well No. 2. Although Cichowski was the lessee under the lease and the operator of the well, Harry J. Mosser acted as a consultant and adviser. During the drilling of the well, numerous tests were conducted to determine if such well would be a producer. There is testimony that such tests were highly favorable, and there is testimony that the well would probably be oil productive. Based upon such tests, it was decided that casing be set and the well completed.

Several attempts to complete the well were made without any particular success, although there is testimony that on some tests some oil and water were produced. It was finally determined that salt water was invading the sand which was being tested, preventing the completion of the well as a producing well in such sand. Cichowski and Mosser decided to have an operation, known in the oil field as a squeeze job, conducted. A squeeze job is an operation, usually performed by an oil field service company, wherein cement is pumped down into the well and forced outside the casing through perforations deliberately made in the casing; such cement is forced into the strata and formations surrounding the well so as to create a seal or dam between the water *345 and the oil-bearing sand. Mosser contacted defendant to conduct such operations. Two employees of defendant, Earl Leach and Roy Bertram, were in charge of the squeeze job operations.

After the squeeze job was completed, an attempt was made to remove the squeeze tool from its attached position inside the well, but trouble was encountered. Such process culminated in the squeeze tool being lodged or embedded in the well at the original position where the squeeze job was conducted. After it was determined that the squeeze tool was lodged and stuck in the well, there is testimony that Leach made arrangements with Parsons & King, Inc., an oil field specialty company specializing in the removal of substances that are caught or lodged in a well, to remove the tool. Parsons & King thereafter commenced operations to remove the tool, with Leach directing and in charge of the removal operations. Considerable trouble was encountered in releasing or removing the tool, with various methods being tried and with some disagreement as to the best method to be used. It appears undisputed that removal of the lodged squeeze tool was absolutely necessary in order to complete the well. After several unsuccessful attempts to remove the tool were made, it was finally decided to mill or drill the tool out by use of special milling tools. This process continued over several days, and during the process, cuttings, consisting of debris and other substances, were flushed from the well, with Mosser testifying that he observed shale in the cuttings. After the squeeze tool was ultimately removed from the well, additional attempts were made to complete the well as a producer; none of which were successful. There is testimony by Mosser and Cichowski that they believed the well in the producing sand had been polluted and ruined, and the well was finally abandoned.

We first consider defendant’s point of error that the trial court erred in failing to grant defendant indemnity from plaintiff Cichowski, and/or in failing to enforce the limitation of liability provisions contained in the contract under which the work was done.

The contract or invoice relied upon by defendant was introduced into evidence as an exhibit and is dated June 14, 1972. The customer is shown as Joseph Cichowski. It lists various work and services performed by Dowell and the indemnity or limitation of liability provisions relied on by Dowell are contained on the back of the invoice. 1 On the face of the invoice there are two places for the signature of the customer. At the top of such invoice, above a line for signature by the customer, appears the following: “I have read, understood and agreed to the terms and conditions printed on the reverse side hereof and represent that I have full authority to accept same *346 and sign this order.” There is no signature whatsoever on the line marked “customer.”

At the bottom of the page there is another line for signature by the customer, and above such signature line the following appears: “RECEIPT: The undersigned hereby certifies that the materials and equipment listed above were received and the services were performed in a workmanlike manner.” The line marked “customer” is signed by Harry J. Mosser.

Leach, one of Dowell’s employees who was in charge of the squeeze job operations, testified that a work order receipt is usually written up before you leave the job and it is a verification that the work is being done. He stated that he did not discuss any terms or provisions with Mosser. He stated that the June 14th receipt is signed at the bottom part, not at the top, and that Mosser did not need to sign at the top because the job was completed when he signed it, but that usually customers signed at both the top and the bottom after the job was completed. There is evidence that at no time were any terms or conditions regarding indemnity and limitation of liability brought to the attention of Mosser by either Leach or Bertram. Mosser testified that the invoice was brought to him by Leach during the squeeze job; he signed it at the bottom; no special terms or conditions were explained to him; and, he did not orally agree to any of such terms.

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Bluebook (online)
540 S.W.2d 342, 55 Oil & Gas Rep. 199, 1976 Tex. App. LEXIS 2936, Counsel Stack Legal Research, https://law.counselstack.com/opinion/dowell-inc-v-cichowski-texapp-1976.