Johnson v. Bement

1925 OK 177, 235 P. 535, 109 Okla. 260, 1925 Okla. LEXIS 735
CourtSupreme Court of Oklahoma
DecidedMarch 3, 1925
Docket15266
StatusPublished
Cited by2 cases

This text of 1925 OK 177 (Johnson v. Bement) 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
Johnson v. Bement, 1925 OK 177, 235 P. 535, 109 Okla. 260, 1925 Okla. LEXIS 735 (Okla. 1925).

Opinion

Opinion by

FOSTER, C.

The controversy involved in this case had its inception in a transaction between the defendants in error. T. A. Bement, Allen Bement, and Elga Bement and J. A. Johnson, concerning the 'sale of an oil and gas mining lease upon 160 acres of land located in Hughes county.

A recovery was sought against Johnson upon the theory that an oil and gas lease had been executed by the Bements and delivered to Johnson which had not been fully paid for, their claim being that $3,750 of the agreed purchase price for said lease had been withheld.

The Producers National Bank of Tulsa, and the American National Bank of Wetumka were joined as defendants in the action instituted by the Bements in the district court of Hughes county and a recovery sought against the said banks upon the theory that the-banks had wrongfully permitted Johnson to withdraw the lease from their custody and place the same on record without collecting the full purchase price therefor, contrary to instructions, whereby damages resulted in the sum of $3,750.

It appears that the lease in controversy was attached to a six day sight draft for $7,500 made payable to T. A. Bement, signed by J. A. Johnson and accompanied by an abstract of title to the real estate covered by said lease, was forwarded through the American National Bank of Wetumka to the Producers National Bank of Tulsa for collection, with instructions to deliver said lease to Johnson upon payment of the draft.

It appears that Johnson, in some manner, obtained the lease from the Producers National Bank of Tulsa and placed the same on record, remitting only the sum of $3,750 of the amount of the draft. Later, after unsuccessful effort by Bement to collect the remaining $3,750, a release of said oil and gas lease, in so far as the lease covered a certain 80 acres thereof was forwarded to Bement who refused to accept it, and the same was returned to Johnson.

There were four counts incorporated in the petition of the Bements. The first count sought to recover judgment against Johnson for the balance of the unpaid purchase money which it was claimed was due for said lease.

The second and third counts sought a recovery against the two banks for the part they played in the transaction in wrongfully permitting the withdrawal of the said lease.'

The fourth count sought to establish and enforce a purchase money lien in favor of the Bements as vendors against the leasehold acquired by Johnson under said oil and gas lease.

The answer of the American National Bank of Wetumka was a general denial. The answer of the Producers National Bank and J. A. Johnson was based upon the theory that there was no sale at all made by Bement to Johnson, but that Johnson was a *261 mere broker in whose hands the lease was placed for sale.

A jury was waived and the cause was tried to the court. At the conclusion of plaintiff’s evidence, a demurrer thereto was sustained on behalf of the American National Bank of Wetumka and the cause dismissed as to it.

A similar demurrer interposed on behalf of J. A. Johnson and the Producers National Bank was overruled, and at the conclusion of all the evidence, judgment was rendered in favor of the plaintiffs against J. A. Johnson and the Producers National Bank of Tulsa in the sum of $3,750, interest and costs, declaring said judgment a lien upon the leasehold interest of Johnson in the oil and gas lease acquired by him from the Bements and ordering a sale thereof to apply on said judgment.

Motion for a new trial was filed by J. A. Johnson and the Producers National Bank, overruled, exceptions reserved, and they appeal. For convenience, the parties will be referred to in this opinion as they appeared in the trial court.

The judgment of the trial court against the Producers National Bank of Tulsa for the sum of $3,750 is amply sustained by evidence reasonably tending to show that said bank turned the lease over to Johnson in violation of its duty to plaintiffs.

It is its contention, however, that the admission of any evidence against it was improper because under the allegations contained in plaintiff’s petition, and particularly in the second and third counts thereof, no liability was asserted, and hence none could be established by any evidence.

It is asserted that paragraph two of the second cause of action and paragraph two of the third cause of action, when taken and construed together, constitute a solemn admission by the plaintiffs that the lease in controversy was turned over by the Producers National Bank to the defendant Johnson pursuant to instructions given by the plaintiffs through their agent, the American National Bank of Wetumka, while acting within the apparent scope of its authority, and that the plaintiffs are estopped thereby from claiming the benefit of any inconsistent allegations contained in the second count of their petition wherein it is charged that the Producers National Bank wrongfully and in violation of instructions' turned the lease over to the defendant Johnson.

Paragraph 2 of the second cause of action is as follows:

“That pursuant to an agreement between these plaintiffs and the defendant, J. A. Johnson, the terms of which are fully set out in plaintiff’s first cause of action, plaintiffs on or about the 14th day of November, 1922, delivered to the defendant, the American National Bank of Wetumka, Okla., an oil and gas lease covering the land described in plaintiff’s first cause of action together with an abstract covering said land, and attached to a draft for $7,500 payable to plaintiff, T. A. Bement, drawn on J. A. Johnson, care defendant, Producers National Bank of Tulsa, Okla.. which draft was signed by the defendant J. A. Johnson himself, and was payable at six days sight after receipt of abstract, with instructions to transmit the said oil and gas lease, abstract and draft to the defendant, Producers National Bank of Tulsa, Okla., for collection of said sum of $7,500; that all .of the papers above mentioned and said draft were forwarded to the defendant, Producers National Bank of Tulsa, Okla., together with said instructions, and the same were entrusted to the said defendant, Producers National Bank of Tulsa, Okla., for delivery to the defendant, J. A. Johnson, after said bank had collected from said defendant, Johnson, the said, sum of $7,500.”

Paragraph two of the third cause, of action reads:

“Plaintiffs further state that the defendant, American National Bank of Wetumka, Okla., by accepting said oil and gas lease, abstract and drafts for collection, for transmission to the defendant. Producers National Bank of Tulsa, Okla, thereby became legally bound to transmit the same to the defendant, Producers National Bank of Tulsa, Okla., with instructions consistent with the instructions given it, the said American National Bank of Wetumka, by these plaintiffs; that these plaintiffs have never at any time authorized the defendant, American National Bank of Wetumka, Okla.. •o deliver, or to permit the defendant, Producers National Bank of Tulsa, Okla., to deliver said oil and gas lease to defendant, 3. A.

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Related

Tway v. Hartman
1937 OK 536 (Supreme Court of Oklahoma, 1937)
Coleman v. Missouri Valley Elec. Co.
1934 OK 521 (Supreme Court of Oklahoma, 1934)

Cite This Page — Counsel Stack

Bluebook (online)
1925 OK 177, 235 P. 535, 109 Okla. 260, 1925 Okla. LEXIS 735, Counsel Stack Legal Research, https://law.counselstack.com/opinion/johnson-v-bement-okla-1925.