Winemiller v. Page

1919 OK 173, 183 P. 501, 75 Okla. 278, 1919 Okla. LEXIS 93
CourtSupreme Court of Oklahoma
DecidedJune 10, 1919
Docket7958
StatusPublished
Cited by17 cases

This text of 1919 OK 173 (Winemiller v. Page) 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
Winemiller v. Page, 1919 OK 173, 183 P. 501, 75 Okla. 278, 1919 Okla. LEXIS 93 (Okla. 1919).

Opinion

KANE, J.

This was a suit in equity, commenced by John H. Winemiller,' plaintiff in error, plaintiff below, against Charles Page, the March Oil Company, and the Omega Oil Company, defendants in error, defendants below, for the purpose of enforcing certain equitable rights which it was claimed arose out of a certain oral contract pertaining to the procurement of several oil and gas leases, entered into by and between John H. Winemiller and one Nicholas Snyder. The cause was tried before Special Judge N. A. Gibson, who made special findings of fact and conclusions of law in favor of the defendants, upon which judgment was duly entered, to reverse which this proceeding in error was commenced.

The plaintiff’s action was based upon the theory that his contract with Snyder, for whom he agreed to procure certain oil and gas leases in the vicinity of Tulsa, was entered into in such circumstances as to create either (a) a joint adventure; (b) what is called in mining countries a grubstake contract; or (c) the relation of mining partners between himself and Snyder; or id) a trust by operation of law — and that in either of these events the effect of the contract was to vest in the plaintiff an equitable interest in the leaseholds, although the leases were taken m the name of Snyder, which was enforceable against the defendants ; they having purchased the leases from Snyder or his assigns with notice of the contract. After hearing i'he evidence the trial court found as a fact (hat the contract entered into between Wine-miller and Snyder was as follows:

“That in the year 1906 the plaintiff, John H. Winemiller, by parol agreement made with Nicholas S. Snyder, agreed to procure for the said Snyder oil and gas leases upon lands in the vicinity of Tulsa; that as a consideration for the said services Snyder agreed to pay Winemiller’s reasonable and necessary expenses and to carry said Winemiller for a one-eighth interest free in the first well to be drilled upon each tract of land so leased, and to further carry the said Winemiller for a one-eighth interest in all subsequent wells drilled upon said lands; that the expenses of drilling all of said wells by the terms of said agreement were to be paid by the said Snyder if nonproducing or out of the production from said leases.”

After finding that the plaintiff procured for Snyder certain oil and gas leases upon various tracts of land in accordance with the terms of this contract, which were subsequently assigned to the Omega Oil Company, who in turn assigned part of them to the March Oil Company, the court made the following conclusions of law:

“(1). That the plaintiff has no title or interest in and to the leasehold estates for oil and gas described in the plaintiff’s petition.
“(2) That the contract by parol entered into by the plaintiff and Nicholas Snyder, in so far as it contemplated the assignment and conveyance to the plaintiff of any interest in said leasehold estates, or any other interest other than a share in the profits derived from the operation thereof, was not enforceable.
“(3) That the words ‘carried for one-eighth.’ or ‘one-eighth carried,’ have well-defined and well-established meanings among the oil men and in the oil country in Oklahoma, and were used by Snyder and the plaintiff in their ordinary meaning, and that as used by them they operated to confer upon the plaintiff no interest in the leasehold estates proposed to be taken- and which were subsequently taken for Snyder by the plaintiff, but only passed to him a contingent interest in the profits which might arise from the sale or operation of the said leases, after the payment of the cost of procuring the same leases and the operation of the same.
“(4) That Snyder, as the holder of the said leases, had a full and complete right at all times to exercise his own judgment as to whether he would drill wells upon said leases, or would assign and transfer said leases, and he was vested with full and complete power to sell, transfer, and assign said leases without the consent of said plaintiff, and his assignment to the Omega Oil Company operated to confer upon that company a full and complete title to the said leases, free and clear of any claim and demand of the plaintiff.”

In view of the conclusion we have reached as to the conclusiveness of this finding of fact and of these conclusions of law, it will not be necessary to notice any of the numor *280 ous assignments of error presented for review, except such as directly question their correctness.

Under the heading “Discussion of Specific Errors,” counsel for Winemiller say in their brief:

“The eighth, ninth, and tenth assignments of error all raise practically the same question ; i. e., the meaning of the words ‘carried for one-eighth,’ or ‘one-eighth carried,’ and as to whether or not these words had a settled meaning among the oil men in Oklahoma, and as to whether or not plaintiff, at the time of entering into the contract with Snyder, understood the meaning of the words as found by the court.”

Under this heading counsel contends: (1) That, the defendants not having pleaded the usage and custom which the court found fixed the meaning of the words “carried for one-eighth” or “one-eighth carried,” the evidence on that point was erroneously admitted; (2) that the findings of fact and conclusions of law of the trial court upon this point are against the clear weight of the evidence and are contrary to law. Whilst it is true, as a general rule, that the custom of a particular place and local commercial usagp must be irleaded (12 Cyc. 1097), we are unable to sustain either of these contentions.

The second amended petition filed by the plaintiff, the petition upon which the case was tried, contains no averments from which the defendants or their attorneys could anticipate what the precise terms of the oral contract sued upon would be shown to be, or that the plaintiff would assert that a joint adventure, or a grubstake contract, or a trust by operation of law, would arise out of a contract by the terms of which he was to be “carried for one-eighth.” The testimony of Winemiller was that he was to be “carried one-eighth interest,” and this phrase occurs again and again in the testimony of all of his witnesses, who testified as to the terms of the contract. If, as we believe, this phrase is unintelligible to persons not familiar with the oil business, and particularly that branch of it pertaining to procuring oil and gas leases, then the plaintiff himself presented a contract for construction which required the evidence of experts to aid the courts in determining its meaning. It is the duty of the courts to construe contracts, whether oral or written, and where words or phrases of a technical nature connected with any art, science, or occupation are used, witnesses familiar with such art, science, or occupation may be called for the purpose of explaining such language. We think the applicable rule of law is well stated in 17 Cyc. 685, as follows:

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Cite This Page — Counsel Stack

Bluebook (online)
1919 OK 173, 183 P. 501, 75 Okla. 278, 1919 Okla. LEXIS 93, Counsel Stack Legal Research, https://law.counselstack.com/opinion/winemiller-v-page-okla-1919.