Standard Oil Co. v. Buchi

66 A. 427, 72 N.J. Eq. 492, 2 Buchanan 492, 1907 N.J. Ch. LEXIS 93
CourtNew Jersey Court of Chancery
DecidedApril 17, 1907
StatusPublished
Cited by9 cases

This text of 66 A. 427 (Standard Oil Co. v. Buchi) is published on Counsel Stack Legal Research, covering New Jersey Court of Chancery primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Standard Oil Co. v. Buchi, 66 A. 427, 72 N.J. Eq. 492, 2 Buchanan 492, 1907 N.J. Ch. LEXIS 93 (N.J. Ct. App. 1907).

Opinion

Pitney, Advisory Master.

The object of the bill is to obtain judicial restraint preventing the defendants from interfering, by strong hand and serious threats of violence, with the complainant’s work in laying across the lands of the defendant in Bergen county a line of pipe for the transportation of oil.

At and just before the filing of the bill the complainant had placed on the premises of the defendant a number of joints of pipe, and had leaded them together,, ready to be buried beneath the earth, and its workmen were about to excavate a trench for that purpose when they were driven from the premises by threats of the defendant’s daughter to shoot them, accompanied with the actual presentation of a pistol.

The complainant claims the right in question by virtue of a deed dated the 30th day of October, 1882, and duly recorded on the 6th day of December, 1882, in the clerk’s office of Bergen county, where the lands lie, between James H. Kingsland, predecessor in title of the defendant and then the owner of the lands in question, and one John B. Barbour, under whom the complainant claims.

That deed, or so much of it as is necessary for present purposes, is as follows:

“Witnesseth, That for and in consideration of five dollars, in hand paid, the receipt of which is hereby acknowledged, and the further sum of twenty dollars, to be paid before any pipe is laid, the party of the first [494]*494part, liis heirs and assigns, hereby grants to the party of the second part, his heirs and assigns, the right of way to lay pipes for the transportation of petroleum, and operate the same on, over and through his lands, in said county of Bergen, in said State of New Jersey, described in a certain deed dated September 13th, 1881, and recorded in the county clerk’s office of Bergen county, in Book Z-10, page 542, of Deeds, together with all the rights and privileges incident and necessary to the enjoyment of this grant and the removal of said pipes.
“In further consideration of said grant and demise, the party of the second part hereby agrees to bury the said pipes a sufficient depth so as not to interfere with the cultivation of the soil, at least three feet, and to pay any and all damages which may arise from the laying, maintaining or operating of said pipe lines, said damages, if not mutually agreed upon, to be ascertained and determined by three disinterested persons, on oath, one thereof to be appointed by the party of the first part, his heirs and assigns, one by the party of the second part, his heirs and assigns, and the third by the two so appointed as aforesaid, and the award of such three persons shall be final and conclusive.
“It is understood and agreed between the parties hereto that said pipe lines are to be laid within ten feet of the southerly lines of the above-described property, excepting where there are angles in said property lines, at which points such deflections shall ■ be made therefrom as the surveyor of the party of the second part may decide to be necessary.
“Witness our hands and seals the day and year first above written.
“(Signed) Jas. H. Kxeíqsland. [t. s.]
“(Signed) J. B. Barbour.” [l. s.]

The bill alleges, and in this respect is supported by the affidavits, or at least is not -disputed on this motion, that the grantee, Barbour, was a mere agent or trustee for procuring the right of way (and land for pumping stations) for a continuous underground series of pipes conducting petroleum from Pennsylvania and other oil-bearing regions to tidewater; that in 1880 he purchased certain land in Bergen county from a Mrs. Zabriskie, and an adjoining tract from one Knowles, for the purpose of a pumping station, which he immediately conveyed to the Standard Oil Company, and that the deed above mentioned from Kingsland was also taken by said Barbour as a pan, of the right of way for a great pipe-line system for conducting oil from the oil regions to tidewater, and shortly afterwards was assigned and conveyed to the complainant, and a continuous line of oil-bearing pipe was laid over it, including the Kingsland strip, and pumping stations erected, and the pipe line put in use for the purpose of conveying oil, and has been in use ever since.

That later on, in 1894, a second pipe line was laid alongside [495]*495the first along the entire length of the ICingslancl property and put in immediate use, and that the object of the present proposed interference with the soil of the defendant is to lay a third pipe line over the whole right of way, close beside the first.

The justification set up by the defendant amounts to a demurrer to the bill, and the argument in its support may bo briefly stated as follows: That the grant contained in the Kings-land deed amounted to no more than the grant of an easement without the naming of any dominant tenement, and therefore amounted to no more than an easement in gross, which was not assignable, and hence amounted to a mere license, and was determinable at the will of the licensor; that the license was in law immediately abandoned by the assignment thereof, and that it was also formally determined by a notice of revocation given by the defendant Buchi to the complainant, dated March 5th, 1907, and annexed to the bill of complaint.

The first inquiry naturally is, what is the true character of the grant in question ?

Is it properly classified either as a true and simple easement or as a mere revocable license, or is it something more than either ?

It is to. be observed, in the first place, that it is an instrument under seal and expresses to be for a valuable consideration presently paid, with the provision for the ascertainment of a further consideration in a mode, the reasonableness of which seems to me to be quite apparent and which has not been attacked in the argument.

In the next place, it is not a mere promise to do something in the future, nor is it a mere permission, but it is a grant in pnesenii, and it is not a mere privilege given to the grantee which can be considered as merely personal to him, such as a privilege to wander over ground with or without the privilege of hunting or fishing, but it is made to the grantee, his heirs and assigns.

Then it is not the mere privilege to walk or pass over land without the right to disturb the soil, as is a right of way, but it is a “right to lay down pipes for the transportation of petroleum and to operate the same over” the lands, “together with all the right and privileges incident and necessary to the enjoyment of [496]*496the grant and the removal of the pipes.” This grants rights in the soil in perpetuo.

Now, just here the defendant attempts to meet this aspect of the case by setting np that he does not propose to dispute or disturb what has already been done under the so-called license, or to interfere with the complainant in the enjoyment of its works already on his land, but he claims the right to prevent any further exercise of the rights mentioned in the grant. Nor does he contend that the right to lay the third line of pipes is not included in the terms of the grant. Nor does he contend that there is anything inequitable in the complainant’s standing before the court.

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Bluebook (online)
66 A. 427, 72 N.J. Eq. 492, 2 Buchanan 492, 1907 N.J. Ch. LEXIS 93, Counsel Stack Legal Research, https://law.counselstack.com/opinion/standard-oil-co-v-buchi-njch-1907.