Moore v. Heron

292 P. 136, 108 Cal. App. 705, 1930 Cal. App. LEXIS 254
CourtCalifornia Court of Appeal
DecidedOctober 1, 1930
DocketDocket No. 247.
StatusPublished
Cited by9 cases

This text of 292 P. 136 (Moore v. Heron) is published on Counsel Stack Legal Research, covering California Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Moore v. Heron, 292 P. 136, 108 Cal. App. 705, 1930 Cal. App. LEXIS 254 (Cal. Ct. App. 1930).

Opinion

BARNARD, J.

This is an action for specific performance. The plaintiffs, after alleging that Mary E. Heron is the owner of the land involved herein, allege that an agreement was entered into, reading as follows:

“Prospecting Permit.
“We, the undersigned, G. D. Heron and Mary E. Heron, husband and wife, owners of the real estate hereinafter described hereby grant to Leroy Moore, Oliver Marriott and associates the exclusive right to immediately enter on said premises and prospect for minerals with the following understanding:
“First—If at any time within a period of 60 days from date said Marriott and Moore should discover mineral deposits which in their judgment has commercial value and worthy of further development, then we agree in consideration of their efforts and expenditures in making such discovery, to execute and deliver to them a mining lease or contract giving them full right to ingress and egress on *708 said premises, the right to sink shafts or drive tunnels for development of said deposits, the right to erect all necessary machinery and equipment for properly mining and treating said ores and minerals, and all other rights and privileges usually contained in a mining lease in California Mining Districts.
“We represent that we are the owners of said premises in fee, including mineral rights.
“It is agreed that Marrion and Moore shall refill all holes made by them in their preliminary prospecting work.
“This permit shall include the right to quarry or mine lime or clay deposits if it should be determined that such deposits exist in commercial quantities.
“The royalty provided in said lease shall be 5% of the gross proceeds from sale of all minerals including lime or clay etc except in the event gold should be discovered the royalty shall be 10% gross proceeds of all sales of gold.
“The period of said lease shall be for - years or as long thereafter as ore or other products covered by this permit shall be produced in paying quantities.
“The premises covered by this permit are described as follows:
“The N. W. ¼ Sec. 6 Twp. 2 S. Range 2 W. San Bernardino Co. Calif, containing 175 acres more or less.
“It is distinctly understood that this permit does not grant the right to prospect for or develop oil or other petroleum products.
“Witness our hands this 6th day of January, 1927.
“Geo. D. Heron.
“Accepted. Leroy Moore.
“Oliver Marriott.”

They further allege that through inadvertence this agreement was not signed by Mary E, Heron, but that she thereafter orally ratified and affirmed all of the provisions thereof; that within sixty days they expended the sum of $1500 in prospecting for ores and minerals upon the land in question, in accordance with the terms of the agreement; that they discovered a vein of gold and silver assaying $14.-22 per ton; that on or about March 1, 1927, they demanded of the defendants the execution and delivery of a mining lease in accordance with the terms of the agreement; and that compliance with their demand was refused by the de *709 fendants. A general demurrer to the complaint was sustained by the court, without leave to amend. From the judgment which followed this appeal is taken.

Appellants, apparently following the arguments raised upon the hearing of the demurrer, urge that the agreement set up in the complaint is not void for want of mutuality; that the consideration was just and reasonable; and that the contract and lease described therein are sufficiently definite and certain to be specifically enforced.

The courts will not compel the specific performance of a contract when its nature is such that the one seeking its enforcement could not himself be compelled to perform. (Civ. Code, sec. 3386; O’Brien v. O’Brien, 197 Cal. 577 [241 Pac. 861].) In Poultry Producers, etc., v. Barlow, 189 Cal. 278 [208 Pac. 93], the court says: “The doctrine is elementary and impregnably fortified by authority that a contract cannot be specifically enforced unless this remedy is available to both parties. Equity will not enforce a specific performance of a contract when the party asking its enforcement cannot, from the nature of the obligation assumed, be compelled to perform on his part.” And, also: “The remedy must be mutual, as well as the obligation, and when the contract is of such a nature that it cannot be specifically enforced as tb one of the parties, equity will not enforce it against the other.”

Appellants rely upon the contention that this rule does not apply in this case, for the reason that they have fully performed, and that this performance has removed any lack of mutuality theretofore existing. It has, of course, been held that where an original lack of mutuality has been removed at the time the action is brought, the contract may be specifically enforced. (Sayward v. Houghton, 119 Cal. 545 [51 Pac. 853, 52 Pac. 44]; Spires v. Urbahn, 124 Cal. 110 [56 Pac. 794].) The justice and reason behind such an exception to the general rule are fully apparent in cases where all, or substantially all, that was to be done by the party seeking the relief has been fully performed. Where a party has agreed to convey a right of way on condition that a railroad be built, the actual building of the road is certainly as beneficial to the land owner as an enforceable agreement to build the same. The situation is somewhat different in the case of a preliminary agreement, to *710 be followed by a lease, looking to the exploration or prospecting of land for oil or minerals, and in which the main purpose in view is the actual development of the land in that regard, and the removal therefrom of the oil or minerals when found. The case of Dabney v. Key, 57 Cal. App. 762 [207 Pac. 921], is a case somewhat similar in principle to the case at bar. In that case, the defendants had agreed in writing to execute a lease enabling the land to be prospected for oil. The defendants having later refused to execute such a lease, the action was brought to compel specific performance. The court denied this relief on the ground that the form of lease which was presented to the defendants, and which they refused to execute, was not a mutual obligation, in that the plaintiffs did not bind themselves to drill for oil On the land, but specifically reserved the right to surrender the lease at any time they saw fit, whereas the instrument purported to bind the owners of the land for the term of twenty years, and as long thereafter as oil should be produced in paying quantities.

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Bluebook (online)
292 P. 136, 108 Cal. App. 705, 1930 Cal. App. LEXIS 254, Counsel Stack Legal Research, https://law.counselstack.com/opinion/moore-v-heron-calctapp-1930.