Gulf Refining Co. v. Davis

80 So. 2d 467, 224 Miss. 464, 4 Oil & Gas Rep. 983, 1955 Miss. LEXIS 509
CourtMississippi Supreme Court
DecidedMay 23, 1955
Docket39675
StatusPublished
Cited by17 cases

This text of 80 So. 2d 467 (Gulf Refining Co. v. Davis) is published on Counsel Stack Legal Research, covering Mississippi Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Gulf Refining Co. v. Davis, 80 So. 2d 467, 224 Miss. 464, 4 Oil & Gas Rep. 983, 1955 Miss. LEXIS 509 (Mich. 1955).

Opinion

Lee, J.

This is a suit by Malcolm Davis against Gulf Refining Company, a corporation, to recover for damages to his land and timber on account of the seepage and overflow from a salt-water pit, and the construction of a larger pit, on land of which he is the surface owner. There was a verdict and judgment for $1,500, and the Company appealed.

The declaration alleged that' the plaintiff is the owner of 40 acres of land, as therein described, on which the defendant maintained a salt-water pit in connection with its production of natural gas; that salt-water seeped out and overflowed onto his land, rendering about 2 1/2 acres useless, and destroying 497 trees, which ranged from 2 to 10 inches in diameter; and that thereafter the defendant constructed another larger salt-water pit, on account of which he was further damaged.

The defendant, in its answer, admitted the construction of the salt-water pit, prior to the plaintiff’s ownership of the land and its subsequent use, but it denied *468 that salt water from the pit caused damage to the land or timber. It admitted the construction of thhe larger pit, and that it cut and removed trees of the value of $25.08. It pled that its actions in the matter were pursuant to a certain oil, gas and mineral lease, of which it was the assignee, and that the original salt-water pit was constructed prior to the plaintiff’s ownership of the land; that its operations, in connection with the smaller and in the construction of the larger pits, were conducted in a diligent and workmanlike manner, and were reasonably necessary. It attached thereto a copy of the original lease. Among the rights therein granted were “the right to construct and use on said land ® * * facilities for the * * * storage of minerals produced therefrom, as well as salt water * and all rights necessary to the full enjoyment of this lease * It also provided that “lessee shall be responsible for all damages caused by lessee’s operations other than damages necessarily caused by the exercise of the rights herein granted.”

At the conclusion of the answer, ii vas stated that the defendant had an additional defense thereto, which it styled “first defense,” and in which it was stated, “the declaration fails to state a cause of action against this defendant upon which relief can be granted,” denied that it had damaged the plaintiff, and prayed for the dismissal of the cause with costs. The pleading was signed by the defendant’s attorneys, but it did not represent that it was a demurrer. Section 1287, Code 1942. Nor did the attorneys attach their certificate that they believed it ought to be sustained. Section 1288, Code 1942. See also Section 1490, Code 1942.

If the pleading had amounted to a demurrer, the plaintiff could have amended his declaration by merely interposing the adverb “negligently,” and it would have been sufficient. On motion of the defendant, a separate *469 hearing on its first defense was granted, and the motion was properly overruled.

The -proof showed that the original pit was about 23 feet long, 19 feet wide, and 2 1/2 or 3 feet deep; and that the plaintiff purchased the land in 1951, together with another 40 acres, long after the pit had been dug.

Davis testified that about six months after he purchased the land, salt water began to run out of the pit; that it overflowed about the middle and also drained out along the pipe; that it drained in an easterly direction and spread out and killed the vegetation and timber in its wake; that between 2 and 3 acres of his land was ruined; that 497 trees of varying diameters, mostly small, of a value of $500.00, were killed; that he made complaint several times to the defendant, but without result; that finally the defendant’s agents came upon the land, without his consent, and constructed the larger pit, the dimensions of which were 90 yards long, 60 yards wide and 15 feet deep, and which covered a part of the previously damaged area, and on which about 250 of the trees had been growing. Although he paid only $3,000.00 for his 80 acres in 1951, ho was of the opinion that, prior to the damage, the 80 acres was worth $10,000.00 and that, after the damage, it was worth only $7,500.00. However, h.e testified that he was not asking for damage as to -the whole 80 acres. Several witnesses gave corroboration of the plaintiff’s version as to the nature and extent of the damage to the land and as to the number and value of the trees.

Several responsible employees of the defendant conceded that some salt water did get out of the small pit either by seepage or otherwise, and that it caused a small amount of damage. One witness admitted that he counted 75 trees that were injured, and then stopped. But most of the witnesses testified that the damage was nominal. Photographs of the scene were introduced in evidence.

*470 Now “a grant or reservation of mines or minerals gives to the mineral owner the incidental right of entering, occupying, and making such use of the surface lands as is reasonably necessary in exploring, mining, removing, and marketing the minerals.” 58 C. J. S., Mines and Minerals, Section 159 b. page 332. See also Section 159 c, page 334 thereof, as follows: “A mineral owner, in the absence of additional rights expressly conveyed or reserved, is limited to as much of the surface and such uses thereof as are reasonably necessary properly to mine and carry away the minerals.” See also Grimes v. Goodman Drilling Co., 216 S. W. 202, a Texas case; Pure Oil Co. v. Gear, 83 P. 2d 389, an Oklahoma case.

But, “if the lessee, under the gas and oil lease, wrongfully injures the crops, he may be held liable for the damages.” 24 Am. Jur., Gas and Oil, Section 41, page 548. And if he negligently occasions injury to the lessor, he niay be held liable for any resultant damages. See 24 Am. Jur., Gas and Oil, Section 103, page 602. See also Phoenix v. Graham, 110 N. E. 2d 669, an Illinois case; Placid Oil Co. v. Lee, 243 S. W. 2d 860, a Texas case.

Thus under the law and under this particular oil and gas lease, the defendant had the right to dig the original pit and to use it for the storage of salt water. When it became insufficient, as the proof here disclosed, the defendant had the right to construct another; and it was the judge as to the kind of pit it should construct. Its act in so doing was not unreasonable, oppressive, or capricious. The plaintiff had complained that salt water from the small pit was overflowing onto his land. Besides the field was making more salt water, and it was necessary to increase the capacity of the then existing pit, or to dig a larger one.

However, it was not shown to be reasonably necesfiiry for salt water to escape from the pit. Salt water *471 was shown to be a menace to vegetation, trees and land; and if the defendant negligently permitted it to overflow or escape from the pit, it is liable for the resultant damage.

Under the evidence in this case, there was an issue for the jury as to whether or not the defendant negligently permitted the salt water to seep or overflow onto the plaintiff’s land; and the governing principles of the law as to negligence in this regard were fairly stated in the given instructions both for the plaintiff and the defendant.

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Bluebook (online)
80 So. 2d 467, 224 Miss. 464, 4 Oil & Gas Rep. 983, 1955 Miss. LEXIS 509, Counsel Stack Legal Research, https://law.counselstack.com/opinion/gulf-refining-co-v-davis-miss-1955.