Hedick v. Lone Star Steel Company

277 S.W.2d 925, 4 Oil & Gas Rep. 1163, 1955 Tex. App. LEXIS 2592
CourtCourt of Appeals of Texas
DecidedMarch 24, 1955
Docket6796
StatusPublished
Cited by15 cases

This text of 277 S.W.2d 925 (Hedick v. Lone Star Steel Company) 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
Hedick v. Lone Star Steel Company, 277 S.W.2d 925, 4 Oil & Gas Rep. 1163, 1955 Tex. App. LEXIS 2592 (Tex. Ct. App. 1955).

Opinion

FANNING, Justice.

This appeal involves the construction of an instrument executed in 1916 by G. H. Allen and wife delivered to Reagan S. Wyche, affecting iron ore on the Allen lands lying in Cass, Morris and Marion Counties. Eight tracts of land aggregating some 3,000 acres, were involved in the 1916 instrument, but the case at bar involves only two surveys in Morris County, claimed by appellants the “Hedick Heirs” (Stephen Stone Survey) and claimed by appellants the “Little Heirs” (G. H. Allen Survey), said appellants being heirs of G. H. Allen and wife. Appellee herein, Lone Star Steel Company, is the successor in title to the rights of Reagan S. Wyche, and claims ownership to the iron ore on the said Allen " lands. There were two trespass to try title suits originally, but upon agreement of the parties the trial court consolidated the causes and the causes proceeded to trial with the heirs of Allen and wife as plaintiffs and Lone Star Steel Company as defendant.

. The 1916 instrument in question is in the form of a warranty deed and is called a warranty deed on the back thereof and for the sum of $6,000 cash purports to convey *927 io Reagan S. Wyche, Trustee, quoting from the instrument as follows:

“ ⅜ ⅝ ⅜ and singular the iron ore, mines, veins, seams, and pockets of iron ore, and all manner of iron ore in its natural state, in, on or under the lands and premises hereinafter described — that is to say so much of said acreage as contains iron ore in paying quantities, to be determined by survey of at the expense of the grantee — together with the full right and power of making, sinking, maintaining and using all such pits, shafts, drifts, levels, drains, watercourses and reservoirs, and of constructing, erecting, maintaining and using all such railroads, tramroads, and other roads, bridges, culverts, buildings, works, engines, machinery and conveniences whatsoever, and doing all such things in, under, upon, through or over the said lands, or any part thereof, as may be necessary or convenient for searching for, working, getting, preparing, carrying away and disposing of said mines, veins, seams and pockets of iron ore, and the iron ore to be gotten therefrom and from lands adjacent thereto, or beyond the same, in which grantee, his heirs or assigns, may have or hereafter acquire an interest.” (Here follows a description of eight tracts of land in Cass, Marion and Morris Counties, Texas.)

(Note the above-quoted provision of the instrument is a printed provision.)

Following said land description there appears a separate typewritten, clipped-on, additional provision which reads as follows :

“This is intended to convey the Iron Ore on all the lands owned by G. H. Allen in the counties of Cass, Morris and Marion. It is agreed and understood by and between the parties hereto that the land on which residences and out buildings are situated shall be exempt from this sale, and if any damage should accrue to any growing crops, Grantee shall pay fair valuation for same, the damage to be determined by arbiration. The Grantor to pick one ■ man and the Grantee to pick one man and then those two men to pick the third man — their decision to be final.”

The remaining portion of the instrument follows the standard warranty deed form, and is shown to have been executed and acknowledged by Allen and wife with all the legal formalities, and the instrument shows to have been duly recorded in Morris and Cass Counties in 1924.

In answer to four special issues the jury found: (1) That a survey was made to determine what constituted iron ore in paying quantities; (2) that the survey was not made within four years after the instrument of May 18, 1916; (3) that the survey was not made within a reasonable time after May 18, 1916; and (4) that iron ore in paying quantities was situated on the land on May 18, 1916. The trial court entered judgment for appellee, awarding title to the iron ore (and appurtenances) on the lands involved here, and overruled appellants’ motion for new trial. Appellants have appealed.

Appellants present four points where they contend (in essence) that: (1) The description contained in the deed is not sufficient to describe the land sought to be conveyed under Art. 3995, V.A.C.S.; (2) if any interest was conveyed by the deed it was merely an equitable right to enter and make the survey called for, and to compel an additional conveyance of the acreage containing iron ore in paying quantities, and such right is now lost by laches; (3) if either a legal or an equitable title to any of the iron ore passed by the deed under which appellee claims, it was only such iron ore as was merchantable at the time of the conveyance, that none of the iron ore was merchantable at the time of the deed in 1916 and that no iron ore passed under the deed; and (4) that the trial court erred in not submitting to the jury a correct definition of the term “paying quantities,” etc.

*928 Appellee contends that the instrument in question was a deed to the iron ore under the land in question, that the printed clause calling for a survey was merely a covenant or at most a condition subsequent personal to grantors and not extending to their heirs, which had long since been waived by grantors and their heirs. Appellee also contends specifically that the typewritten addenda to the deed (above quoted) controls over the printed provision with' respect to the survey feature, and is not language pertinent to a mere equitable right but would properly apply only to a grant of title. Appellee also says that the jury found that there were paying quantities of iron ore on the land in question in 1916 and that the trial court’s definition of the term “paying quantities” was correct. . , .

All of the parties to the original deed were dead at the time of the trial of this case. It is undisputed in the record that neither G. H. Allen, who signed the original deed to Reagan S. Wyche, nor H. Lane Allen, his son who had signed the contract' to convey as attorney in fact for G. H. Allen, ever questioned the conveyance. Neither of these men ever made the contention that the deed did not convey the iron ore under the property described. No claim was made either by G. H. Allen or his heirs before the year 1949.

It js undisputed in the record that the consideration of $6,000 for the deed in question was paid. It was also shown in the record that in order to precisely fix the boundaries on the surface of the deposits of iron ore, it would be necessary to drill test holes not over 100 feet apart; that such a program of test drilling on the land in controversy in this case would require 2,000 test holes and would cost at least $200,000 or maybe more; that such a testing program would require at least a year and maybe two years; and that such a testing program would not be feasible long in advance of mining. There is other evidence in the record with reference to surveys actually made many years prior to the trial.

Mr. Drescher, a geologist and mining engineer, testified that he worked at investigating the iron ore deposits on the land in question beginning in 1941. At that time he found evidence of old test pits on the land. In fact, he went down in some of them on ropes or ladders. Some of these old pits were 20 feet deep or even deeper.

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Bluebook (online)
277 S.W.2d 925, 4 Oil & Gas Rep. 1163, 1955 Tex. App. LEXIS 2592, Counsel Stack Legal Research, https://law.counselstack.com/opinion/hedick-v-lone-star-steel-company-texapp-1955.