Haggard v. Sunray Oil Co.

1936 OK 166, 54 P.2d 662, 176 Okla. 81, 1936 Okla. LEXIS 107
CourtSupreme Court of Oklahoma
DecidedFebruary 18, 1936
DocketNo. 22536.
StatusPublished
Cited by12 cases

This text of 1936 OK 166 (Haggard v. Sunray Oil Co.) 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
Haggard v. Sunray Oil Co., 1936 OK 166, 54 P.2d 662, 176 Okla. 81, 1936 Okla. LEXIS 107 (Okla. 1936).

Opinion

RILEY, J.

This is an appeal from a judgment denying plaintiffs a lien upon certain casing drawn from an abandoned oil well. ■

The action was commenced by O. A. Haggard against Sam C. Hall, H. C. McIntyre, Sunray Oil Company, and John Osborn. He aPeged in substance that on or about May 28, 1939, he entered into a contract with Sam C. Hall, who represented that he was associated with McIntyre and another party, and had the permission of the Sunray Oil Company as the owner to pull certain casing from the well, describing it; that his contract was upon the1 basis of 30 cents per foot for pulling the casing, and the further sum of ?25 per day for “fishing” or “plugging.” That under said contract he pulled three strings of casing of different sizes from said well, amounting in all to some 9,830 feet; that he spent some 40 days in “fishing” and ten days in “plugging” the well; that under the contract Hall was to furnish certain fishing tools, which he failed to do, and which plaintiff was compelled to rent at a cost of $263, and he added cost for certain hauling, amounting to $80. In all, his claim amounted to $4,542.76; he filed his lien statement in the office of the county clerk of Logan county, in which the well was located, claiming a lien on said casing, which he alleged was still in his possession. He alleged that Hall and Sunray Oil Company were jointly interested in said enterprise and were partners therein. He asked for judgment against Hall, McIntyre, and the Sunray Oil Company for said amount, and an order establishing his lien and for the foreclosure thereof.

He alleged that defendant Osborn claimed some interest in or a lien on said casing, but that same, if any he had, was junior and inferior to the claim of plaintiff.

Osborn answered and by cross-petition set up a claim of $300, and lien for services rendered in “shooting” the casing, and asked that his lien be declared a first and prior lien on said easing.

Defendant Sunray Oil Company answered by general denial, admitting, however, that lit was the owner of the easing. It specifically denied the joint enterprise allegations. It then alleged that Sam C. Hall was an independent contractor employed by it to wiiLdraw and remove said casing under a written contract, a copy of .which was attached to and made a part of the answer. Said contract is somewhat involved, but provides in substance that Hall should convey to the Sunray Company an undivided one-eighth interest in the nature of an overriding royalty in the oil and gas to be produced from an 80-acre tract of land upon which Hall had an oil and gas lease; that Hall was to commence the actual drilling of a well on said land within 60 days, and complete same to a depth of 5,000 feet unless oil or gas be found in paying quantities at a lesser depth, all to be completed within twelve months, all at the expense of Hall and without the participation of the Sunray Company in any way; that in consideration therefor the Sunray Oil Company was to rent, lease, and let to Hall all the casing in the well mentioned; that Hall should at his own expense draw • all of said casing and transport same to the location of the well to be drilled by Hall; should have the use of the *82 casing, so far as it would go, in drilling the proposed well; all to be done at bis own expense and • be at all times and in any event to keep said pipe and casing free and clear of all liens and incumbrances of any kind or nature, the title thereto to remain in the Sunray Oil Company. Hall was to draw and remove the easing from said well in case it should not be productive. But if such well should be productive and it be ■necessary to keep the casing therein, then Hall should have the option and right to purchase same.

It also provided that Hall should sell and assign to the Sunray Company an oil and gas lease running for approximately five years covering SO acres adjoining- the SO acres upon which the proposed well was to be drilled, the Sunray Company agreeing to pay therefor the sum of $4,000. Two thousand dollars thereof was to be paid when the well had been spudded in and drilling commenced, the remaining $2,000 to be paid on completion of the well. The contract then provided in substance that upon failure of Hall to complete the well, the Sunray might go in, take possession of all machinery, tools and equipment, and complete the well, and should have a lien upon the interest of Hall for all expense incurred.

The record discloses that the petition of plaintiff and the cross-petition of Osborn were both filed within 60 days after the last work was alleged to have been done by either of them.

The cause was tried to the court without a jury, resulting in a judgment in favor of •plaintiff and cross-petitioner against Sam C. Hall, and in favor of the Sunray Company as against both and denying the lien claims of both.

They both appeal, filing separate petitions in error, but join in one brief.

It is contended that the court erred in failing and refusing to render judgment against the Sunray Company and in favor of each of the plaintiffs in error.

The plaintiffs were not e'ntitled to a personal judgment against the Sunray Company.

The evidence wholly fails to show that they had a contract, express or implied, with the Sunray Company. The most that is shown is that, when they learned that the casing in the abandoned well would likely be pulled, they went to the Sunray Company and inquired about it, and were informed that the Sunray Company had made a deal with 1-Iall to pull said casing. The evidence is somewhat in conflict as to whether or not they were informed of the specific provisions of said contract. But Haggard then went to Hall, and whatever contract he had for the work was with Hall. As to the Sun-ray Company, neither Haggard nor Osborn were more than subcontractors.

They contend, however, that their lieu should have been allowed under the provisions of section 7464, C. O. S. 19-21. Said section, as amended by chapter 42, S. L. 1927, provides that any person, corporation or copartnership who shall, “under contract, express or implied, with the owner of any leasehold for oil and gas purposes, or the owner of any gas pipe line or oil pipe line, or with the trustee or agent of such owner, perform labor or furnish material, machinery and oil well supplies used in the digging, drilling, torpedoing, completing, operating or repairing of any oil or gas well * * * or perform any labor in constructing or putting together any of the machinery used in drilling, torpedoing, operating, completing or repairing of any gas well, or performing.any labor upon any oil well supplies, tools or other articles used in digging, drilling, torpedoing, operating, completing or repairing r(iy oil or gas well, shall have a lien,” etc.

There is a suggestion that plaintiffs in error in now asserting their right to a lien under the provisions of section 7464, supra, are departing from the theory upon which they asserted their right to a lien upon the casing in the trial court. It is said that they were then claiming under the provisions of section 7432,' C. O. S. 1921.

It may appear that plaintiffs in error were to some extent relying upon section 7432, since the lien therein provided for is made dependent upon possession, of the property, and plaintiff Haggard alleged in his petition that the easing involved was still in his possession.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

H2K TECHNOLOGIES v. WSP USA
2021 OK 59 (Supreme Court of Oklahoma, 2021)
Eriksson v. Jones
2001 OK 84 (Supreme Court of Oklahoma, 2001)
Semke v. Security State Bank
1979 OK 133 (Supreme Court of Oklahoma, 1979)
Metropolitan Water Company v. Hild
1966 OK 96 (Supreme Court of Oklahoma, 1966)
Taylor v. B. B. & G. Oil Co.
1952 OK 344 (Supreme Court of Oklahoma, 1952)
Indo Oil Co. v. Bennett
1949 OK 233 (Supreme Court of Oklahoma, 1949)
First Nat. Bank of Alex v. Southland Production Co.
1941 OK 87 (Supreme Court of Oklahoma, 1941)
Consolidated Cut Stone Co. v. Seidenbach
1937 OK 701 (Supreme Court of Oklahoma, 1937)

Cite This Page — Counsel Stack

Bluebook (online)
1936 OK 166, 54 P.2d 662, 176 Okla. 81, 1936 Okla. LEXIS 107, Counsel Stack Legal Research, https://law.counselstack.com/opinion/haggard-v-sunray-oil-co-okla-1936.