Hobart v. Patrick

1953 OK 101, 257 P.2d 825, 208 Okla. 560, 2 Oil & Gas Rep. 1143, 1953 Okla. LEXIS 831
Supreme Court of Oklahoma·Decided March 31, 1953·No. No. 35581·Published·Cited by 1 cases

Opinion

ARNOLD, Justice.

This is an action by Fred L. Patrick and L. W. McEwen against Ethel F. Brock and P. M. Hobart, et al., to quiet title to %4ths of the mineral interests in each of plain[826] tiffs in and under the Southeast Quarter of Section 8, Township 17 North, Range 10 East, in Creek County.

Mrs. P. M. Hobart was the owner of the fee simple title to said quarter section. • On May 15, 1940, she gave a deed to %ths of the mineral interest therein to her husband,' P. M. Hobart. He in turn deeded %2nds interest in the minerals to W. C. Brock, on May 16, 1940. On January 31, 1946, Ethel F. Brock deeded said %2nds mineral interest to L. W. McEwen, reciting in the deed that she was the “widow of W. C. Brock, deceased, and sole beneficiary of his estate.” In April, 1947, McEwen conveyed the interest to R. H. Lovett. On December 2, 1949, Lovett conveyed the interest to F. L. Patrick, who, on January 18, 1950, re-, conveyed to McEwen one-half of the %2nds interest (it never being intended that Patrick should have more than one-half of the interest of McEwen).

Hobart admits that Ethel Brock is the widow of his grantee, W. C. Brock, but pleads and contends that his deed to Brock in 1940 was not intended as an outright conveyance but was made as a part of a written transaction between him and Brock under the provisions of which Brock assigned the working interest of a certain lease in Illinois (which he never did) and gave a bill of sale to the equipment on said lease to Hobart, and Hobart assigned to Brock a half interest in the lease on the Northwest Quarter of the Southeast Quarter of Section' 8, Township 17 North, Range 10‘ East, Creek County (the record does not disclose whether this was done or not), and conveyed the %2nds mineral interest here in question to Brock “as additional security”, with the further provision that Hobart was to drill a well on the Northwest Quarter of the Southwest Quarter of said section, and if said well were not a commercial well he would return to Brock $4100 in cash and if the well were a commercial well Brock would reassign the %2nds mineral interest here in question to Hobart.

As to Patrick Hobart contends that Patrick knew or should have known of his claim of title.

The court refused introduction of testimony offered by Hobart consisting of'the; written contract and correspondence between Brock and Mrs. Hobart concerning the transaction, as well as various assignments showing that the Illinois lease referred to in the written contract had been transferred to another party. The letter from Brock to Mrs. Hobart told her that he would send Hobart the assignment of the mineral interest if Hobart would return to him what he had received in furtherance of the provisions of the contract. The court refused this evidence upon the objection of Mrs. Brock upon the theory that Hobart was an incompetent witness under 12 O.S.1951 § 384, commonly known as the “Dead Man” statute.-

The court found that Patrick was an innocent purchaser,' and entered judgment quieting title in %4ths of the minerals under said land in him and found that Mc-Ewen was not an innocent purchaser and quieted title in %4ths of the minerals in defendant and cross-petitioner Mrs. Ethel Brock.

McEwen did not appeal from the judgment against him quieting title in Mrs. Brock in the %4ths interest claimed by him. Mrs. Brock did not cross-appeal from the judgment quieting title in %4ths of the mineral interest in Patrick. Hobart appeals complaining only of the judgment in favor of Mrs. Brock and F. L. Patrick. As to the judgment in favor of Patrick he complains that the evidence is not sufficient to sustain the holding of the court, that Patrick was an innocent purchaser. As to Brock he claims prejudicial error in excluding his proffered testimony as to the written contract or transaction between him and Brock.

The testimony on behalf of Patrick generally is that McEwen offered to sell him one-half of the %2nds mineral interest in the tract of land involved; that he checked the title and the land; that he found the deeds on record as hereinbefore set forth; that he looked at the land which was located between two farms which he owned and observed a small stripper well in operation thereon; that he checked with the operator of the well and learned it was making only two barrels,'but that the operator contemplated drilling another well within [827] the near future; that upon the -return of McEwen they agreed upon a price and Mc-Ewen procured a deed from Lovett to Patrick, as instructed, which he delivered' to Patrick and received therefor the balance of the purchase price agreed upon, and Patrick filed the deed of record; that very shortly thereafter Patrick gave back to Mc-Ewen a deed to the %4ths of the mineral interest to correct the inadvertent mistake made by McEwen in giving him a deed for the full %2nds interest; that he never heard of any claim asserted by Hobart or Mrs. Brock until after his deal with McEwen was entirely closed; that he knew of Brock’s deed and knew there was no transfer from him to Mrs. Brock of record, but that he knew from the recitation in the deed from Mrs. Brock - to McEwen that she claimed to be the widow and sole beneficiary of W. C. Brock, deceased.

Hobart offered no evidence of any kind which would show that Patrick had any knowledge of Hobart’s claim, nor did he offer any evidence which would show that Patrick knew of the written contract between him and Brock. However, he .argues that because (1) there was no conveyance of record from W. C. Brock to Ethel Brock, which was an obvious defect in title, (2) there was a special clause in the quitclaim, deed from Ethel Brock to McEwen purporting to convey only such interest as vested in her as beneficiary of the estate of W. C. Brock, deceased, (3) there was a producing well on the property, and (4) that when Patrick checked the record he found that both Hobart and Mrs. Brock executed a lease to Skelly, he knew or should have known that somebody other than Mrs. Brock claimed an interest and all of these facts were sufficient to put a reasonably prudent person on notice that there was an adverse claim to the mineral interest. Incidentally he argues that Patrick failed to check possible suspended royalties and the lease to Gulf which he says if followed up would have disclosed the claim of Hobart.

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Hobart v. Patrick, 1953 OK 101, 257 P.2d 825, 208 Okla. 560, 2 Oil & Gas Rep. 1143, 1953 Okla. LEXIS 831 (Okla. 1953).

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