Hinton v. D'Yarmett

212 S.W. 518, 1919 Tex. App. LEXIS 679
CourtCourt of Appeals of Texas
DecidedMarch 29, 1919
DocketNo. 9152.
StatusPublished
Cited by12 cases

This text of 212 S.W. 518 (Hinton v. D'Yarmett) 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
Hinton v. D'Yarmett, 212 S.W. 518, 1919 Tex. App. LEXIS 679 (Tex. Ct. App. 1919).

Opinions

CONNER, C. J.

The only question presented on this appeal is whether the trial court erred, in sustaining a general demurrer to appellant’s amended petition, which, omitting formal parts, appellees ’ thus set forth, viz.:

“That plaintiff resides in the county of Montague and the state of Texas. That defendant E. C. D’Yarmett resides in the county of Muskogee, Okl. That the defendant O. M. Topley resides in the county of Oklahoma and the state of Oklahoma, and that defendant Assurance Oil & Refining Company is a corporation duly incorporated under the laws of the state of Oklahoma, its principal office in the city of Oklahoma and the state of Oklahoma; Wallance is its president, and defendant O. M. Topley is, and has been since the 3d day of October, 1917, and continuously thereof its vice president and general manager, and H. W. Munsen its secretary and treasurer.
“That on and prior to the 1st day of October, 1917, plaintiff was the owner and holder of certain leasehold estate in and to various tracts of land situated in Montague county, [519]*519Tex., about 4 miles south from, lying in a body, and consisting of 4,000 acres. That on said date he made and entered into a contract with the defendant E. O. D’Yarmett whereby the latter agreed to drill a well for oil or gas upon the said leasehold estate to the depth of 2,500 feet unless oil or gas, or either of them, are found in paying quantities at a lesser depth, said defendant to furnish all of the necessary tools, labor, casing, and other materials necessary for the proper prosecution of the work, including the tubing and other equipment, plaintiff to furnish certain steel rig then located at a point where it was proposed that the said well should be drilled, of which said defendant should have the exclusive use for the purpose of performing said contract, and it was agreed in said contract that, in the event said well so to be drilled should be productive of oil and gas or either of them, the said material, equipment, tubing, tools, and other personal property thereon, except the drilling tools, shall belong to and be the property of the said Harley R. Hinton, plaintiff aforesaid, and he hereby binds himself and agrees to pay unto said-defendant for the same the market price therefor at the time of the completion of said well, said contract being as follows:
“ ‘Memorandum of Agreement..
“ ‘This memorandum of agreement made and entered into at Muskogee, Okl., this the 1st day of October, 1917, by and between E. O. D’Yar-mett first party, and Harley R. Hinton, second party, witnesseth:
“ ‘Whereas the second party is the owner of certain leasehold estate in and to a tract of real estate situated in Montague county, state of Texas, and desirous to have a test well drilled thereon for oil and gas or either of them; and
“ ‘Whereas, there .is located on the lands above described one certain steel rig, the location thereof being known to both parties to this contract:
“ ‘Now, therefore, for the consideration herein mentioned and agreed upon to be paid and performed by the second party, the said first party hereby agrees to drill a well for oil and gas upon this leasehold estate belonging to the second party, such well to be located at the place where the above-recited derrick now is upon said property, and the same to be drilled to the depth of twenty-five hundred (2,500) feet unless oil or gas or either of them be found in paying quantities at a lesser depth, it being understood that the said first party shall furnish all the necessary tools, labor, casing, and other materials necessary for the proper prosecution of the work, including the tubing and other equipment, in the event the well should produce oil, but including the rig, it being the further understanding and agreement of the parties that the said first party, for the purpose of drilling said well, shall have the exclusive use of the above-mentioned rig for the purpose of performing this contract. And the said first party agrees to commence the operations under this contract within a period of fifteen (15) days from and after the date when abstracts are furnished covering the leasehold estate to be assigned unto the first party, in accordance with the provisions of this contract hereinafter contained.
“ ‘It is further understanding and agreement of the parties hereto that, in the event the test well so to be drilled should prove to be nonr productive of oil and gas or either of them in paying quantities, all material, equipment, casing, tubing, tools, and other personal property thereon, with the exception of the steel - rig above mentioned, shall belong to and be the property of the said first party, but in the event such well should be productive of oil and gas, or either of them, the said material equipment, casing, tubing, tools, and other personal property therein, except the drilling tools, shall belong to and be the property of the said second party herein, and the said' second party hereby binds himself and agrees to pay unto the first party' for the same the market price thereof at the time of the completion of. said well.
“ ‘And in consideration of the premises and agreement heretofore contained to be by the first party performed, and for the drilling of such well, the said party hereby sells and transfers to the first party two hundred and fifty thousand (250,009) shares of the capital stock of the Big Six Petroleum Company, a corporation of the state of Delaware, and further sells, assigns, and transfers unto the said first party all of his rights, title, and interest in and to certain oil and gas leases which are particularly mentioned and set forth in schedule A which is hereto attached and made a part of this contract.
“ ‘And for the sum consideration the said second party hereby binds unto the first party the exclusive right and option of six (6) months to purchase from the second party five hundred thousand (500,000) shares of the capital stock of the Big Six Petroleum Company, a corporation, at the price of twenty (20) cents per share.
“ ‘The said second party further agrees to furnish abstracts of title to all of the real estate mentioned and described in Schedule A hereunto attached, such abstract to show valid oil and gas leases on each of said tract in the name of the belonging to the second party herein, and the title to the real estate therein described to be good and marketable, free and clear of and from all incumbjance and prior leases in the name of the respective leasors therein mentioned.
“ ‘It is the intention of the parties hereto that actual transfers of the two hundred and fifty thousand (250,000) shares of stock herein mentioned and the oil and gas leases mentioned in Schedule A shall be made at any time after the date hereof when requested by the first party, and to the effect that end the second party has executed concurrently herewith an order upon the United States Corporation Company at No. 38 Nassau street, New York, the register and transfer agent for the said Big Six Petroleum Company, to issue unto the said first party herein the said two hundred and fifty thousand (250,000) shares of the capital stock.

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Cite This Page — Counsel Stack

Bluebook (online)
212 S.W. 518, 1919 Tex. App. LEXIS 679, Counsel Stack Legal Research, https://law.counselstack.com/opinion/hinton-v-dyarmett-texapp-1919.