Miller v. Hodges

260 S.W. 168, 1924 Tex. App. LEXIS 1362
CourtTexas Commission of Appeals
DecidedApril 2, 1924
DocketNo. 499-3903
StatusPublished
Cited by77 cases

This text of 260 S.W. 168 (Miller v. Hodges) is published on Counsel Stack Legal Research, covering Texas Commission of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Miller v. Hodges, 260 S.W. 168, 1924 Tex. App. LEXIS 1362 (Tex. Super. Ct. 1924).

Opinion

GERMAN, P. J.

On August 14,1917, plaintiff in error Dora M. Miller was the owner of three tracts of land in Palo Pinto county as follows: The Josiah Taylor 160-acre survey, abstract No. 680, the west half of Gulf, Colorado & Santa Eé Railway Company survey No. 2, abstract No.' 1991, containing 360 acres more or less, and the east 155 acres of the Wm. McCurdy survey, abstract No.. 938, adjoining the Josiah Taylor survey on the west. On that date John A. Geupel, the father of Mrs. Miller, was the owner of 134% acres of the Wm. McCurdy survey in Palo Pinto county, fully described by metes and bounds in volume 77, page 269, of the deed records of that county. On the date mentioned Dora M. Miller, joined by her husband, John M. Miller, executed in favor of Dean R. Low an oil and gas lease, being substantially what is known as producers’ form No. 88, granting and conveying unto the said Low all oil, gas, and other minerals, with privilege of mining, producing, etc., which contained this clause:

“This grant is not intended as a mere franchise, but is intended as a conveyance of the property above described for the purpose herein mentioned, and it is so understood by both parties to this agreement.”

This instrument was filed for record in Palo Pinto county, and recorded in the deed records of that county. The residence of the grantors is recited to be in Palo Pinto county, and it was acknowledged before a notary public of that county. The description of the lands as contained in that instrument is as follows:

“160 acres of the Josiah Taylor, Abst. 680.
“360 A survey No. 2, Abst. 1991, being the west side of survey.
“155 Wm. McCurdy, Abst. 938, being the east side of this survey, and adjoining the Josiah Taylor on the west, containing 765 acres more or less.”

On the same date John A. Geupel executed a similar lease in favor of Dean R. Low, in which he recited his residence as being in Palo Pinto county, and which was acknowledged before a notary public of that county. This instrument was filed for record August 18, 1917, and recorded in the deed records of Palo Pinto county. The description contained in this instrument is as follows:

“136Vio acijes out of the Wm. Curdy survey, fully described by warranty deed at Palo Pinto, > Tex., book 77, page 269, containing 136Vio acres more or less.”

In the procuring of these leases one Ned Palmer represented Dean R. Low. It was the understanding of all parties that said leases were to continue and be in force for only three years from the date thereof, unless oil or gas was produced in paying quantities. In the preparation of said leases they were by mutual mistake made to read so as to be absolute for one year from their date, and could be extended for an additional period of three years by payment of a certain yearly rental; thus the effect of the instruments (if the conditions were complied with) was to make them valid leases for a period of four years instead of three years, and, if oil or gas was discovered, they were to be in full force so long as the same was produced in paying quantities.

After the execution of the lease by John A. Geupel he died, and 101 acres of the land covered by his lease passed by will to Mrs. Miller, and was owned by her at the time of the institution of this suit.

The record shows that, while these leases were taken in the name of Dean R. Low, yet M. A. Low’ furnished the consideration for same and was the real owner. Dean R. Low died, and in a regular proceeding had in the district court of Parker county, May 2, 1919, between M. A. Low and the widow and children of Dean R. Low, M. A. Low was adjudged to be the true owner of the leases, and he was quieted in his title thereto. On February 21, 1920, M. A. Low, for a valuable consideration, transferred and assigned to E. J. Kelley all of his right, title, and interest in the two leases mentioned. By proper assignments from Kelley an interest in said leases passed to E. A. Hodges, O. H. Thompson, A. W. Cooper, and A. L. Duncan. Kelley and the other purchasers had no knowledge or notice of any facts in connection with the negotiations between Ned Palmer on the one hand and the Millers and Geupel on the other, except as disclosed by the written instruments themselves.

This suit was filed September 23, 1920, by John M. Miller and Dora M. Miller, who will be designated plaintiffs, against E. A. Hodges and others, who will be designated defendants, to remove cloud from title, and to have judgment decreeing that said leases had expired August 14, 1920, the end of the three-year period. They alleged that by fraud or mutual mistake the written leases had been made to continue for a four-year period rather than for three years, as agreed upon by the parties. The defendants contended that they had purchased in reliance upon the written terms of the leases, and were entitled to be protected as bona fide purchasers. The trial court found against plaintiffs’ contention as to fraud, but in favor of their claim of mutual mistake. That court also concluded as a matter of law that the instrument executed by Miller and wife did not describe the land with that degree of certainty required in a conveyance, and that thé same conveyed only an equitable title; that therefore defendants could not be bona [170]*170fide purchasers thereunder. The court also held that each of the leases, after the lapse of one year, was optional, and as the legal title did not pass thereunder the defendants could not be bona fide purchasers. It was therefore adjudged that said leases had expired and defendants had no further rights or title thereunder. The Court;of Civil Appeals reversed the judgment of the district court, and rendered judgment in favor of defendants. However, as the four years provided for in the leases had not expired at the time suit was instituted, the case was remanded for the purpose of determining what would be a reasonable time for an extension of the leases within which defendants would have the option of beginning operations. 244 S. W. 634.

Plaintiffs are contending that defendants are not bona fide purchasers for the following reasons: (I) Because the description of the lands in the lease from Miller- and wife were so uncertain and insufficient that the legal title to the minerals did not pass, and defendants could not claim to be innocent purchasers under same. (2) That the assignment under which defendants claim was a mere quitclaim, and could not support the doctrine of innocent purchaser. (3) That one of the links in the chain of title was a judgment. (4) That the leases did not purport to convey the legal title to the minerals, hut were only options. (5) That being options, no extension of time could he allowed,' although suit was filed before the four-year period had expired.

The most difficult of these contentions is the first one. The trial court has found that the description contained in the Geupel lease was sufficient, and no contention seems to be urged with reference to that. We think that description amply sufficient to pass the legal title to the minerals, and it is not necessary to refer to it again. •

The gravamen of plaintiffs’ contention is that the description is insufficient and the lease by the Millers was inoperative to pass the legal title to the minerals because the state and county where the lands are situated are not given.

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Bluebook (online)
260 S.W. 168, 1924 Tex. App. LEXIS 1362, Counsel Stack Legal Research, https://law.counselstack.com/opinion/miller-v-hodges-texcommnapp-1924.