Wagner v. Earp

1937 OK 284, 67 P.2d 782, 180 Okla. 56, 1937 Okla. LEXIS 555
CourtSupreme Court of Oklahoma
DecidedApril 27, 1937
DocketNo. 26867.
StatusPublished
Cited by3 cases

This text of 1937 OK 284 (Wagner v. Earp) is published on Counsel Stack Legal Research, covering Supreme Court of Oklahoma primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Wagner v. Earp, 1937 OK 284, 67 P.2d 782, 180 Okla. 56, 1937 Okla. LEXIS 555 (Okla. 1937).

Opinion

PER CURIAM.

This is an appeal from the order of the district court of Lincoln county, Okla., sustaining a motion of plaintiffs below to strike a supplemental answer filed in said cause by plaintiffs in error in this appeal, after the main case had been heard in the Supreme Court of Oklahoma, judgment had been entered, and the mandate had been sent to the district court.

In order to have a full understanding of this case, it will be necessary to refer to the judgment of this court on appeal in the main case of Earp v. Mid-Continent Petroleum Corporation et al., reported in 167 Okla. 87, 27 P. (2d) 855. In that suit the plaintiff Claude Russell Earp sought to recover an undivided 2/33 interest in and to certain real estate and the oil and gas rights in connection therewith, less such interest as may have been assigned by him to the defendants Ered Sowards, William J. Sowards, and P. H. Greer, trustee, and prayed that an oil and gas lease theretofore held by the plaintiffs in error herein be decreed terminated and of no further force or effect, and that the said lease and assignments be canceled as clouds upon the title of plaintiff, and that plaintiff have an accounting with the defendant Mid-Continent Petroleum Corporation for the oil and gas produced and saved from said premises. An answer was filed in said cause by the plaintiffs in error in the case at bar, in which they prayed for judgment quieting their title to the oil and gas lease against all of the other parties. Judgment was rendered in the district court, holding that the lease given by the plaintiff covering 2/33 interest in the land to the plaintiffs in error herein was valid, and that the tille thereto should be quieted in John Wagner, E. C. Love, T. C. Ross, and Roy Dawson, plaintiffs in error herein. On appeal to this court the decision of the district court was modified and certain conclusions were stated in the opinion and judgment rendered, as follows: •

“In conclusion it should be stated that the division of the oil from the premises should be as follows:
“1. The Mid-Continent Petroleum Corporation is liable to account to Earp and his grantees and Wagner and his associates for 2/33 of the market value of the oil and gas produced from the premises after deducting the reasonable and necessary cost of developing, extracting and marketing the same. This duty to account arise» by reason of the existence of the relationship of cotenancy.
*57 “2. There toeing no contractual relationship between the Mid-Continent and Earp or the Mid-Continent and Wagner, there is no duty on the part of the Mid-Continent to account to either of them until the reasonable cost of developing, extracting and marketing the oil has been satisfied.
“3. After production has passed a point when the costs have been satisfied, the question of division between Earp and Wagner arises. This depends on the contract between them. Under its terms Earp is entitled to receive Vs of 2/33 of all the oil and gas produced. This is based upon the amount of production from the beginning, and until Earp has received an amount equal to % of 2/33 of all oil and gas produced until the Wagner lease expired by its limitations, to wit, five years. Wagner and his associates are not entitled to anything.
“4. During this five-year period, and after Earp has received Vs of 2/33 as set out above, then Wagner and his associates are thereafter entitled to receive the remainder of % of 2/33 of all the oil and gas produced less 2/33 of the reasonable and necessary cost of extracting and producing and marketing all of the oil and gas products. The right of Wagner and his associates to participate in the proceeds of the oil and gas depends on their lease and ceased upon its termination. It is extended toy the drilling of the Mid-Continent during the exploratory period of five years by reason of the contemporary construction of the parties, but terminates at the end thereof.
“5. At the termination of the five-years period of the Wagner lease, then Wagner’s right t.o participate in the proceeds of the lense ends, and thereafter Earp shal1 receive 2/33 of the net profits of the lease without regard to any Vs royalty.
“The judgment of the trial court is. therefore, modified to conform to the vi^ws herein expressed, the duration of the Wagner lease being limited to five years, and as so modified the judgment is affirmed, and the case is remanded to the trial court for accounting in accordance with the views herein announced 'and the decision of this court in the case of Moody v. Mid-Continent Petroleum Corporation, supra, as per stipuMtion between the parties on the trial thereof.”

It will be noted that in the decision nothing was said about, any accounting between Earp and the plaintiffs in error herein. An accounting is ordered between Earp and the Mid-Continent Petroleum Corporation, and an accounting is also decreed between Wagner and the Mid-Continent Petroleum Corporation, in accordance with the decision of this court in the case of Moody v. Wagner et al., which decision is reported in 167 Okla. 99, 23 P. (2d) 633. Under the opinion of this court in the main ease, the power of the district court was limited to an accounting between Earp and the Mid-Continent Petroleum Corporation.

When the mandate was sent to the district court of Lincoln county, plaintiffs in error filed in said court a supplemental answer asking, in substance, for an accounting with Claude Russell Earp for the rigs, pipe, casing, tanks, etc., used in producing oil from the land in which Earp owns 2/33 interest, and concluding with the following prayer:

“Wherefore, these answering defendants pray that an accounting be taken between Claude Russell Earp and any of his assignees that are entitled to claim adversely to these answering defendants; that the value of the equipment, casing and machinery be ascertained as of the date of the expiration of said lease, and the proportion to be charged against other joint owners, and that the rents and profits of the said lands be applied to the reimbursement of these answering defendants, and that they be awarded so much of the rents and profits and royalties as they may be entitled to under the said lease, and for all other relief that they may toe entitléd to, and that in the meantime, the Mid-Continent Petroleum Corporation be restrained and enjoined from making any payment on any of the royalty from the said 2/33 interest until the further order of this court.”

Thereupon, Earp, plaintiff below, filed motion to strike said supplemental answer, as follows:

“Comes now the plaintiff, Claude Russell Earp, and moves the court to strike supplemental answer of the defendants, John Wagner, E. C. Love, T. C. Ross, and Roy Dawson, for the reason that the court has no power or authority to entertain or determine the questions presented by said supplemental answer and without jurisdiction except to direct an accounting between Earp and his grantees and the Mid-Continent Petroleum Corp.”

Two orders sustaining the motion to strike the supplemental answer of the defendants, John Wagner, E. C. Love, T. C. Ross, and Roy Dawson, appear in the record, each dated September 17, 1935.

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Bluebook (online)
1937 OK 284, 67 P.2d 782, 180 Okla. 56, 1937 Okla. LEXIS 555, Counsel Stack Legal Research, https://law.counselstack.com/opinion/wagner-v-earp-okla-1937.