Overton v. Porterfield

177 S.W.2d 735, 206 Ark. 784, 1944 Ark. LEXIS 545
CourtSupreme Court of Arkansas
DecidedFebruary 7, 1944
Docket4-7239
StatusPublished
Cited by7 cases

This text of 177 S.W.2d 735 (Overton v. Porterfield) is published on Counsel Stack Legal Research, covering Supreme Court of Arkansas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Overton v. Porterfield, 177 S.W.2d 735, 206 Ark. 784, 1944 Ark. LEXIS 545 (Ark. 1944).

Opinion

McHaney, J.

Appellants and appellee, Porterfield, not including their wives, eight in number, own the fee title to the southeast southwest 26-13-26, Hempstead county, Arkansas, each owning a one-eighth interest, as tenants in common. By an oil and gas lease dated April 10, 1943, appellee, Porterfield, conveyed to the other appellee, Joseph Green, an oil and gas lease in and to his undivided one-eighth interest, and on April 20, 1943, appellant, ‘W. P. Springsteacl, and wife, conveyed to appellant, Robert Ernest Mathis, an oil and gas lease in and to his undivided one-eighth interest. Thereafter, appellees brought this action against appellants, alleging the ownership as above and that it was desirable that said lands be developed for oil and gas as a unit and that each interest would be more valuable, if sp developed, than if it should be divided, and prayed that the oil and gas leasehold estate in and to the entire 40 acres be sold by a commissioner and the proceeds divided among the owners proportionately. The suit was brought for partition under the provisions of §§ 10549-10557 of Pope’s Digest. Appellants answered alleging the unconstitutionality of said sections of the statutes in that they .attempt to provide a method to deprive appellants of their property without due process of law and in that they conflict with art. 2, § 18 of the state Constitution prohibiting the General Assembly from granting any citizen special privileges or immunities.

The facts are stipulated. In addition to those stated above, it is stipulated that appellee, Green, lessee of Porterfield and wife of their interest, is an employee of Barnsdall Oil Company, resides in Tulsa, Oklahoma, and will on demand convey all his interest to his employer. The consideration paid by him for said lease was $15 per acre and an oil payment of $5,000 ont of one-eighth of seven-eighths. Also that appellant, Spring-stead, leased his interest to Mathis for a consideration of $60 per acre; that it is desirable .that the property be developed for oil and gas as a unit and the value of each interest would be more, if so developed; that all the original owners intended to develop it as a unit .and that the leasehold cannot be partitioned in kind without prejudice and damage to the owners; and that the oil payment reserved in the lease from Porterfield to Green has been released of record to Green. '

Trial resulted in a decree sustaining the statute under which the proceeding is brought, and ordering the sale of a commercial oil and gas lease covering the entire oil and gas leasehold interest in and' to the 40-acre tract here involved, on certain conditions therein set out, by a commissioner appointed by the court for the purpose, for cash, after notice published as therein directed; and after sale to report his action's to the court for a confirmation or rejection of said sale. Other matters pertaining to the sale and the. effect of confirmation thereof are set out.. This appeal is from that decree.

This is a case of first impression under said sections of the statute. Briefly summarized, § 10549 provides that when two or more persons own as • tenants in common any land in fee, the oil and gas under such lands in this state, and there is no actual production therefrom and no outstanding oil and gas lease thereon covering the entire leasehold estate, “any one or more of the owners of said land in fee” and of the oil and gas therein “may have a sale and partition of the entire oil and gas leasehold interest therein and thereon,” in the manner set out in the statute. The conditions provided by this section exist here.

Section 105501 provides the procedure in the chancery court, what the petition shall contain, who the defendants shall be and what the prayer shall contain. Sections 10551,10552 and 10553 relate to procedural matters. Section 10554 provides that, under certain conditions, tlie court may appoint a receiver to negotiate for. tlie lease of the property, subject to the approval of the court. Section 10555 provides that “in so far as the same are not in conflict with this act” (No. 15 of 1935), §§ 10508 to 10548, relating to partition of lands, shall apply, except the court does not have to find that such interests are not susceptible of partition in kind before ordering 'the sale of an oil and gas lease, but only that it is desirable that the property be developed as a unit, and would enhance the value of the interests to be so developed. Other sections are not pertinent here.

The ancient jurisdiction of chancery to partition lands was not divested by.our statute, § 10509 of Pope’s Digest, which provides that the petition therefor shall be filed in the circuit court. It was so held in the early case of Patton v. Wagner, 19 Ark. 233, where the petition for partition was filed in chancery and the trial court dismissed it because of the statute. This court held the lower court was in error, and said: ‘£ The statute but cumulates the remedy; and if, nevertheless, a party should elect to seek his remedy in chancery, as these parties seem to have done, he is entitled to such as the chancellor can afford him.” See, also, Lester v. Kirtley, 83 Ark. 554, 104 S. W. 218. So, the chancery court had jurisdiction here, if the statute be valid, as it attempted to confer no new or additional jurisdiction.

The principal attack is on the statute — that it denies appellants due process and that it confers special privileges. Just how it does either is not clearly stated or argued in appellants’ brief, nor are we able, with or without said argument, to perceive the alleged vice in the statute. It is said that while it may provide for compensation, it does not provide for 'just compensation; that it is unfair and inequitable for one of the. co-tenants out of a total of eight, to compel the other seven to enter into a contract of sale of an oil and gas lease which they are unwilling to make; and that the democratic principle of majority rule should control. Much of this might well be addressed to the General Assembly to amend or repeal the act, act 15 of 1935, or to the discretion of the trial court, hereinafter discussed.

Our statutes, § 10508, et seq. of Pope’s Digest, relating to partition and sale of land are of long- standing and are to be found in the Revised Statutes, chapter 107, except that certain sections were taken from the Civil Code. So far as we have been able to ascertain, no person has ever questioned the constitutionality thereof, and we are unable to perceive any good reason why the argument now made could not have been made with equal force to the old statute. We have held under the old statute for partition that any person desiring a-division of land held in joint tenancy, in common or in coparcenary has the absoluate right to a decree partitioning the prpoperty and ordering it sold if it cannot be divided in kind, no matter how small the interest or how great the majority who object to a division or sale. Ward v. Pipkin, 181 Ark. 736, 27 S. W. 2d 523. We there said: “Appellant conceded that appellee owned a half interest in the property. There was no dispute that it could not be divided in kind. Therefore, appellee had an absolute right to a decree partitioning the property and ordering it sold.-”

Here appellee, Porterfield, owned a one-eighth interest in the fee and also in the minerals. He wanted to lease the lands for the development of oil and gas. The seven other co-tenants did not want to lease.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Gibson v. Gibson
572 S.W.2d 148 (Supreme Court of Arkansas, 1978)
Schnitt v. McKellar
427 S.W.2d 202 (Supreme Court of Arkansas, 1968)
Young v. Young
262 S.W.2d 914 (Supreme Court of Arkansas, 1953)
Jennings v. Tankersley Bros. Packing Co.
238 S.W.2d 625 (Supreme Court of Arkansas, 1951)
Henderson v. Henderson
204 S.W.2d 911 (Supreme Court of Arkansas, 1947)
Wells v. Floyd, Guardian
198 S.W.2d 412 (Supreme Court of Arkansas, 1946)
Oliver v. Culpepper
190 S.W.2d 457 (Supreme Court of Arkansas, 1945)

Cite This Page — Counsel Stack

Bluebook (online)
177 S.W.2d 735, 206 Ark. 784, 1944 Ark. LEXIS 545, Counsel Stack Legal Research, https://law.counselstack.com/opinion/overton-v-porterfield-ark-1944.