Serio v. Chadwick

66 So. 2d 9, 2 Oil & Gas Rep. 1258, 1953 La. App. LEXIS 696
CourtLouisiana Court of Appeal
DecidedMay 29, 1953
Docket7926
StatusPublished
Cited by11 cases

This text of 66 So. 2d 9 (Serio v. Chadwick) is published on Counsel Stack Legal Research, covering Louisiana Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Serio v. Chadwick, 66 So. 2d 9, 2 Oil & Gas Rep. 1258, 1953 La. App. LEXIS 696 (La. Ct. App. 1953).

Opinion

66 So.2d 9 (1953)

SERIO
v.
CHADWICK et al.

No. 7926.

Court of Appeals of Louisiana, Second Circuit.

May 29, 1953.

*10 Benton & Moseley, Baton Rouge, for appellant.

Gaharan & Richey, Jena, for appellee.

GLADNEY, Judge.

The plaintiff, Barnett Serio, an oil operator, instituted this suit to be decreed the owner of 2/64ths of a working interest of a mineral lease on a tract of land referred to as the Curtis tract, and which previously had been conveyed by him to the defendant, Carl A. Chadwick, by an instrument of writing dated March 14, 1951. The defendant and Louis Wax, intervenor, have appealed from a decree in favor of plaintiff rendered in consequence of a rule filed by plaintiff for judgment on the face of the pleadings.

For a cause of action plaintiff alleged:

"That by instrument dated March 14, 1951, and recorded in Conveyance Book `22', page 149, records of LaSalle Parish, Louisiana, your petitioner assigned *11 to said defendant a 2/64th part of the working interest in and to certain oil, gas and mineral leases more particularly described in said instrument; that among the leases in which said interest was assigned, was the following:

"Oil, Gas and Mineral Lease from B. F. Curtis et al to Barnett Serio, covering land in LaSalle Parish, Louisiana:

"Northwest Quarter of the Northeast Quarter (NW¼ of NE¼), Section Thirty (30), Township Eight (8) North, Range Three (3) East, forty (40) acres, more or less.

"That under the terms of said assignment assignor was to drill a well on a tract of land referred to in said instrument as the French tract to a depth of 4,200 feet; that the well on the French tract was drilled in accordance with the contract and was abandoned as a dry hole.

"`That paragraph `4' of said assignment reads as follows:

"`After the well referred to in paragraph 2 above shall have been completed, whether as a producer or a non-producer, should Assignor elect to drill other wells on the leases affected hereby, he shall notify Assignee, in writing, to that effect, including in such notice the location of said well, and the depth to which the well is proposed to be drilled. Assignee shall have twenty-four (24) hours from the receipt of such notice, in person or at the hereinafter address of Assignee, to elect to join in or not join in the drilling of such well, such election to be made by written notice mailed or delivered to Assignor Serio on or before the expiration of the twenty-four (24) hour period. If the Assignee fails to elect to join in any such well, or elects not to join in any such well, then Assignee shall lose all right, title and interest in and to the leasehold estates except for the unit or units in which he has theretofore participated. In such event, Assignee shall promptly upon demand, execute in favor of Assignor, Serio, a conveyance of all of Assignee's right, title and interest in and to the leases except the unit or units in which Assignee has theretofore participated.'

"That the above provision and all other provisions of said assignment are more fully set out in a certified copy of the aforementioned act of assignment which is attached hereto and made a part hereof the same as if copied in full herein.

"That in accordance with the provision of said assignment and particularly in accordance with the provision of paragraph `4' thereof as set out hereinabove, your petitioner, on January 10, 1952, gave to said defendant written notice that your petitioner intended to drill a well on the Curtis tract or the Northwest Quarter of the Northeast Quarter, Section Thirty, Township Eight North, Range Three East; that a copy of a letter giving this notice which was delivered to said defendant personally is attached hereto and made a part hereof; that said defendant refused to participate in the drilling of said Curtis well but in violation of his contract with your petitioner has also refused, despite repeated amicable demands, to convey to your petitioner his interest in said Curtis lease as provided for in paragraph `4' of the contract above quoted.

"That your petitioner is entitled, under the terms of said contract, to have the assignment from him to the said Carl A. Chadwick annulled, voided and set aside and to be decreed the owner of the 2/64ths interest in and to the mineral leases therein described except the French lease and particularly your petitioner is entitled to be recognized as the owner of said 2/64ths interest in and to the B. F. Curtis et al lease which is described above. That except for the B. F. Curtis lease, all of the other leases listed in said assignment have expired and that your petitioner waives any right to have same retransferred to him."

*12 Attached to and a part of the petition is the instrument in question, paragraphs 1, 10 and 11 of which are set forth:

"For and in consideration of the sum of $1,000.00, cash in hand paid, the receipt of which is hereby acknowledged, Assignor, Barnett Serio, does hereby sell, assign, transfer, convey and deliver to Assignee an undivided 2/64 interest of Assignor's right, title and interest in and to the working interest in and to the leases described in Exhibit `A' hereto, the interest of Assignee to bear its proportionate part of the royalty and also the overriding royalty (if any) chargeable against any lease or leases described in Exhibit `A', to have and to hold unto Assignee, his successors and assigns in accordance with the terms of said leases, and the terms of the assignments thereof under which Assignor holds, and in accordance with the terms of this agreement."

* * * * * *

"Any notice required or permitted to be given under the terms hereof to either party shall be addressed as follows:

"To Assignor Serio:

"To Assignee.

"This agreement shall extend to and be binding upon the parties hereto, their heirs, executors, administrators, successors and assigns."

Also attached to the petition is an agreement in writing between Barnett Serio and Carl A. Chadwick styled "Accounting Procedure (Unit and Joint Lease Schedule), which contract is for the purpose of allocating development and operating charges of the leases affected. The pertinent portion of the letter of January 10, 1952, wherein Serio gave notice to Chadwick pursuant to paragraph 4 of the mineral conveyance above referred to, was as follows:

"Our joint interest lease on the B. F. Curtis tract, in the NW¼ of NE¼ section 30, T-8-N, R-3-E, 40 ACRES more or less, which we own in La-Salle Parish, Louisiana, will expire during the month of January, 1952, and it is necessary that we drill a well in order to validate and extend the prescription of the lease.
"I propose to drill a well to test the known sand in the area on this tract to a depth not to exceed 5,000 feet, and I estimate that this well will cost approximately $25,000 to see the sand.

"It will be appreciated if you will advise me within twenty-four (24) hours if you would like to participate in this well as far as your interest extends. In the event you do not care to participate in the above described lease I would like to exercise my right and option as expressed in paragraph four of my agreement with you, dated the 14th day of March, 1951, which is as follows: (Here is copied paragraph 4, being the same paragraph reproduced hereinabove)."

Plaintiff's suit was instituted on August 7, 1952. Answer was filed on September 13, 1952, and the petition of intervention of Louis Wax was filed on October 9, 1952.

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

Related

James G. Gossen Versus Floyd Michael Landry
Louisiana Court of Appeal, 2024
Gadrel, L. L.C. v. Williams
241 So. 3d 508 (Louisiana Court of Appeal, 2018)
Cameron Meadows Land Co. v. Bullard
348 So. 2d 193 (Louisiana Court of Appeal, 1977)
Dufour v. Wood
346 So. 2d 863 (Louisiana Court of Appeal, 1977)
Bray v. Boyd
286 So. 2d 508 (Louisiana Court of Appeal, 1974)
Brewster Development Company, Inc. v. Fielder
271 So. 2d 299 (Louisiana Court of Appeal, 1973)
Maryland Casualty Co. v. Midwest Dairy Products Corp.
211 So. 2d 675 (Louisiana Court of Appeal, 1968)
Bash v. Sims
210 So. 2d 180 (Louisiana Court of Appeal, 1968)
Hayes v. Muller
146 So. 2d 176 (Louisiana Court of Appeal, 1962)
Ark. La. Gas Co. v. Evans
338 S.W.2d 666 (Supreme Court of Arkansas, 1960)

Cite This Page — Counsel Stack

Bluebook (online)
66 So. 2d 9, 2 Oil & Gas Rep. 1258, 1953 La. App. LEXIS 696, Counsel Stack Legal Research, https://law.counselstack.com/opinion/serio-v-chadwick-lactapp-1953.