Lund v. Starz

94 N.W.2d 912, 355 Mich. 497, 1959 Mich. LEXIS 471
CourtMichigan Supreme Court
DecidedFebruary 20, 1959
DocketDocket 28, Calendar 46,890
StatusPublished
Cited by4 cases

This text of 94 N.W.2d 912 (Lund v. Starz) is published on Counsel Stack Legal Research, covering Michigan Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Lund v. Starz, 94 N.W.2d 912, 355 Mich. 497, 1959 Mich. LEXIS 471 (Mich. 1959).

Opinion

*499 Carr, J.

This is an action to recover damages for the alleged conversion of certain personal property used in connection with the drilling and operating of oil wells. In April, 1938, the defendant and his wife, being the owners of 60 acres of land in Bangor township, Van Burén county, executed an oil and gas lease to C. O. Thorne and E. E. Jackson. The instrument by its terms contemplated the drilling of a well on the premises, and, in the event of the finding of oil or gas, provided that the lessors should have a 1/8 interest therein. It further specified that the lessees should have the right at any time to remove “all machinery and fixtures placed on said premises, including the right to draw and remove casing.”

In August, 1949, plaintiffs Lund and Weinberg acquired the lessees’ interest under the lease, subject to a 1/8 overriding royalty. The assignment was executed by Oil Producers, Inc., which, as is indicated by defendant’s testimony as a witness in his own behalf on the trial of the case, had previously acquired said interest and operated on the property thereunder. Apparently defendant had difficulty with said corporation, had sued it for damages for injury to his property, and had recovered a judgment in the sum of $1,318. After obtaining the interest of their assignor plaintiffs operated the oil well on the premises until the latter part of the year 1952 when production failed. Due to this situation plaintiffs caused the drive pipe and casing to be pulled, and undertook to remove their property from the defendant’s premises. Defendant Starz refused to permit such removal, resorting to threats, as it is claimed, of bodily injury to plaintiffs’ employee.

The testimony in the case indicates that the reason given by defendant at the time for preventing plaintiffs from taking their property in accordance with the terms of the lease had reference to his claim that *500 his property had been, injured by the overflowing of salt water thereon, and that he was entitled, in consequence, to damages. Because of defendant’s ■attitude in the matter, plaintiffs’ employee withdrew from the premises, and plaintiffs subsequently instituted the present action on the theory of conversion of their property. Defendant filed answer denying the right of plaintiffs to damages, and by cross declaration asserted the right to recover from plaintiffs and cross defendants for injury to his property in the manner indicated. Defendant Starz’s testimony reveals that he had asserted claims for damages against prior operators under the lease, and had received certain payments by way of settlement or satisfaction of his claims. The trial judge, hearing the case without a jury, decided the factual issues involved in favor of the plaintiffs, and entered judgment in their favor in the sum of $3,000. Defendant Starz has appealed.

’ On behalf of defendant it is contended that plaintiffs did not properly establish their ownership of the property claimed to have been converted. Plaintiff Weinberg testified that he and Lund had acquired the lease by purchase from Oil Producers, Inc. Objection was made on the ground that the lease should be produced, but the testimony was permitted to stand. Proof was also introduced as to the operations by plaintiffs on the premises, the pulling of the drive pipe and casing, and preparations to remove the equipment from defendant’s land.

On the record before us the fact that defendant dealt with plaintiffs as owners of the lessees’ interest, and consequently of the equipment, is not open to question. At the conclusion of proofs offered on behalf of defendant his counsel again raised the question with reference to the competency of the oral testimony previously received over objection. Thereupon plaintiffs offered in evidence the original *501 lease given by defendant Starz and his wife to Thorne and Jackson, and the assignment from Oil Producers, Inc., to plaintiffs in 1949. Objection to the exhibits was interposed on the ground that they were not rebuttal proofs. The trial judge evidently considered that he was reopening the proofs in order to allow plaintiffs an opportunity to present the exhibits in question, stating in this connection that: “This case shouldn’t fail on a technicality at this time.” We find no abuse of discretion in the ruling of the trial court.

It may be noted further that this Court in prior cases has recognized the competency of oral testimony for the purpose of establishing the ownership of property. In Pearson v. Wallace, 203 Mich 622, 628, 629, it was held that:

“Whether a certain corporation is in possession of property may be proved by anyone who knows the fact. Assuming that it was error to receive the testimony of the witness to the effect that the property was in the hands of a receiver, the judgment should not therefore be reversed. The fact was not disputed. The essence of the testimony was, not the legality of the appointment of a receiver, but was that the trustee of the bondholders had, for some reason, taken possession of the property and was conducting its business.”

The above decision was cited in New Jersey Title Guarantee & Trust Co. v. McGrath, 239 Mich 404, 408, in which the Court upheld the right of a witness to testify to facts notwithstanding that such facts were contained in books of account. In reaching that conclusion the Court quoted with approval 22 CJ, pp 983, 984, as follows:

“ ‘Where the matter to be proved is a substantive fact which exists independently of any writing, although evidenced thereby, and which can be as fully and satisfactorily established by parol as by writ *502 ten evidence, then both classes of evidence are primary and independent, and parol evidence may be admitted regardless of the -writing.’ ”

See, also, Neely v. Detroit Sugar Co., 138 Mich 469, where it was held:

“Where, in an action for damages to a millpond and race, defendant’s witness stated that he at one time owned the mill property, a statement elicited on cross-examination that he had sold to a certain party, under whom plaintiff claimed, was not objectionable as an admission of oral proof of sale.” (Syllabus 3.)

The trial court was correct in holding that plaintiffs had established their ownership of the property in question, and, also, in finding from the proofs that appellant had converted said property. It is conceded that defendant refused to permit the removal of the equipment from his premise's. It is equally apparent that he did so in the attempt to force the payment to him of damages for alleged injury to his land. He claimed no interest in the property, nor did he assert that it belonged to a third party. His retention of possession of the equipment was prompted by a desire and an intent to thereby serve his own interests in the manner indicated. This he had no right to do, as a matter of law. It may be noted, also, that, as found by the trial judge, the proofs failed to substantiate defendant’s claim of any right to recover damages from these plaintiffs because of injury to his land.

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Bluebook (online)
94 N.W.2d 912, 355 Mich. 497, 1959 Mich. LEXIS 471, Counsel Stack Legal Research, https://law.counselstack.com/opinion/lund-v-starz-mich-1959.