Reilly v. Crown Petroleum Co.

63 A. 253, 213 Pa. 595, 1906 Pa. LEXIS 541
Supreme Court of Pennsylvania·Decided January 2, 1906·No. Appeal, No. 206·Published·Cited by 8 cases

Opinion

Opinion by

Mr. Justice Mestbezat,

This is a demurrer to a statement in an action of assumpsit brought to recover $6,818.28, “ the profits of sales of oil belonging to plaintiffs.” The facts upon which the plaintiffs rely to sustain the action appear by the statement to be as follows : The plaintiffs were the owners of an oil and gas lease of sixty acres of land in Beaver county, Pennsylvania. While they were engaged in operating upon the land and producing oil therefrom the defendant company, in July, 1904, entered on the land and began preparations for drilling an oil well. The plaintiffs then served a written notice on the defendant company to the effect that they were the owners, by lease, for oil and gas purposes, of the premises, that the company must remove therefrom its drilling apparatus placed by it “ upon the said lease at or near the line of F. S. Laughlin, and upon a portion of the premises included in the lease,” and that it had no right to occupy the premises and must not drill thereon. The defendant disregarded the notice, refused to vacate the premises, and proceeded with the work of drilling a well which produced oil of the value above stated. The plaintiffs then “ brought an action of ejectment, which was so proceeded in that a verdict was recovered by plaintiffs against defendant on which judgment was entered and thereafter, on appeal to the Supreme Court, judgment was affirmed.” Having recovered possession of the land by the action of ejectment, the plaintiffs instituted this action of assumpsit to recover the value of the oil mined and taken from the premises by the defendant company.

[597] The defendant demurred to the statement and assigned as cause of demurrer that “ the statement of claim discloses affirmatively that no contractual relationship existed between the plaintiffs and the defendant, and that if the defendant is accountable to the plaintiffs at all, such accountability arises upon an action for mesne profits, and therefore the action should be in trespass and not in assumpsit.” The learned court below sustained the demurrer and, in his opinion, correctly held that the only question raised by ¿¡he demurrer is : “ Can a plaintiff who, by ejectment, has recovered possession of land, recover mesne profits in an action of assumpsit?”

This question is settled alike by reason and authority. A plaintiff cannot maintain an action of ejectment when he is in possession of the premises. In bringing the action of ejectment, therefore, the plaintiffs admitted the defendant in possession of the land at least for the purpose of mining and producing oil and removing it from the premises. Tbe action resulted in a judgment ousting the defendant company from the possession for oil purposes which must be regarded as having been held adversely to the plaintiffs. During the time the defendant company held possession, it drilled the well and took the oil for which this action was brought. It is the profits or proceeds of the land taken by the defendant during its adverse holding of the premises which the plaintiffs have the right to recover. It is therefore clear that assumpsit will not lie. This action cannot be sustained unless there was an express contract or the law will imply a contract: Bethlehem Borough v. Perseverance Fire Company, 81 Pa. 445; Mc-Closkey v. Miller, 72 Pa. 151. Here, it is admitted, there was no contractual relation between the parties. It is also clear that the facts attending the possession of the premises and the taking of the oil by the defendant company are not such that the law will imply a contract on the part of the defendant company to pay for the oil which it took. On the contrary, the facts repel any inference of an agreement on the part of the defendant company to pay for the oil taken by it, and conclusively show that the defendant company had the actual adverse possession of the land for oil purposes during the time the oil was taken from it. Under such circumstances, the law will not imply a contract by the occupant to pay for the profits [598] of the land taken during his adverse possession of the property.

It is well settled by á long line of decisions of this court that after a recovery in ejectment, trespass is the proper remedy 'to recover mesne profits of land taken by an adverse claimant in possession of the premises. Mather v. Trinity Church, 3 S. '&

R. 507, was trover for stone and gravel taken and removed from the land by a person in actual adverse possession of it. It was there held that neither troyer nor trespass would lie but that the plaintiff “ would not be without remedy, for he might first recover possession by ejectment, and then recover the mesne profits in an action of trespass.” Baker v. Howell, 6

S. & R. 475, was assumpsit for money had and received. The plaintiff sought to recover for sand taken by defendant from land to which both parties claimed title. The defendant sold the sand'and, as here, the action was assumpsit to recover its value. It was held that the action would not lie. These two cases were cited and followed in Brown v. Caldwell, 10 S. & R. 114, which was replevin for slate taken from a quarry on land “ in the actual, visible, notorious occupation and possession ” of the defendant who claimed the right to take the slate. It was held that ejectment was the plaintiff’s remedy and that replevin could not be sustained. Part of the reasoning of the court in this case has been criticised, but not the decision, which has been approved in Harlan v. Harlan, 15 Pa. 507. Trespass for mesne profits was the form of action in Ege v. Kille, 84 Pa. 333, which was brought, after a recovery of the land by the'plaintiff in ejectment, for profits derived from ore mined and carried away by the defendants.

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Reilly v. Crown Petroleum Co., 63 A. 253, 213 Pa. 595, 1906 Pa. LEXIS 541 (Pa. 1906).

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