*2
cy,
existing
is
in-
departmental
gas
two
a relation
oil
dated Jan-
and
dependent contracting parties;
landlord not
uary 24,
Osage
1916, running from the
being responsible
of
for torts
to third
Company,
Tribe of Indians to
Midland
tenant.
covering
and
the N. E.
of section
%
,[Ed.
definitions,
see Words
Note. —For other
township
range
N.,
9 E‘.
Series,
and Ten-
Phrasep,
and
ant.]
Second
Landlord
Paragraphs
and
the lease
read
follows:
<@=124
lia-
7. Mines and minerals
—Lessor
regula-
negligently- permitting
subject
“16. This
ble
refuse
for
tenant’s
adjoining
escape
premises'.
prescribed
tions now
or hereafter
per-
for
lands liable
To hold lessor
Secretary
Interior,
of the
to such
relative
lands,
adjoining
mitting
escape
refuse
leases, all
part
of which
made a
of this
injuries
causing
result from
must
nuisance
the
Provided,
lease:
that no
made
expected
ordinary,
reasonable,
use of
and
purpose
by tenant,
for
premises
after the approval
op-
or from
of this lease' shall
leased,
where the use of
erate to affect the
lease;
term of
rate of
may
may
premises
a.nui-
not become
or
the
sance, according
royalty, rental or acreage,
unless
ordi-
tenant exercises
as the
parties.”
both
negligently,
nary
or uses the
care
Assignment
“19.
is liable.
this lease or
in-
tenant alone
may
terest
therein
made with the ap-
<@=124
be.
les-
minerals
8. Mines and
—Successive
negligence of
proval
cumulatively bound for
Secretary
of the Interior and
sees
subsequent
assignee.
lessee or
,
not otherwise.
7969, regula-
Comp.
1921, §
St. Okl.
Under
“20. Each and every clause and covenant
Secretary
Interior,
promulgated
tions
of this indenture shall extend
heirs,
Corporation Commis-
rule 25
and
sion,
Oklahoma
executors, .
administrators,
successors,
restrictions
imposing
duties
certain
lands,
oil-bearing
each
assigns
lawful
lessees of
of the parties hereto.?'
on owners
parties
lessees
,
several
successive
Sections 21 and
Regulations
of the
prem-
subletting
assignment
cumulatively
or
for
contracts
Secretary
approved
Interior,
August
liable
held not
ises
to read as
follows:
permitting
refuse
others
adjoining property.
escape on
Approved
“21.
leases or any interest
dissenting.
may
therein
be sublet, transferred,
Judge,,
or as-
Stone,
Circuit
signed with the
approved
consent and
of the
Secretary
of the
Interior,
Court
District
not otherwise.
Error
of Subleases, transfers,
District
or assignments, when so
Western
States
United
approved,
subject
shall be
to the terms and
Oklahoma.
conditions
original
leases
others
Thigpen and
A.'
J.
Action
regulations under which such leases were
Judg-
Company.
Oil
approved,
as to such additional re-
brings
defendant-
plaintiffs,
ment
quirements
Secretary
the Interior
grant
directions
Reversed, with
error.
may prescribe.
transferee,
The sublessee,
new trial.
shall furnish with
sublease,
(H.
Bartlesville, Okl.
Hawkes, of
N.
transfer,
satisfactory
bond
of Bar-
both
Hayes McCoy,
Caster
prescribed
as hereinbéfore
in connection
George A. Henshaw
Okl.,
tlesville,
leases.
City, Okl.;
Hough, both
Oklahoma
A. C.
“Any attempt
sublease, transfer,
or as-
in error.
plaintiff
brief), for
sign
approved
lease or
interest there-
(A.
Pawhuska, Okl.
McCoy, of
T.
Prank
in without the consent and
R.
Pawhuska, Okl.,
J.
Widdows,
M.
absolutely
of the Interior shall be
Okl., on
City,
of Oklahoma
Spielmán,
shall
void and
lease to
in error.
brief), for defendants
cancellation
the discretion of such Secre-
.LEWIS, Circuit
ánd
Before STONE
tary.”
.
'
'Judge.
PHILLIPS, District
Judges, and
All
from tanks or
“61.
B-S
water
recep-
into proper
drained off
wells shall b.e
tanks,
Judge.
Thig-
at a safe distánee
A. J.
tacles located
District
PHILLIPS)
buildings,
that same
wells, or
end
Jr., members of a
Thigpen,
pen and A. J.
by being
burned or
disposed
plaintiffs,
hereinafter
copartnership,
called
Qil
premises.
transported from
against Midland
brought
impossible
B-S;
to burn the
Midland Com-
“Where
Company, 'hereinafter called
pump
water
necessary
it is
pany,
Davis,
Fred 0.
to recover
'dam-
damage the sur-
injuries
quantities as would
ages
alleged
to cattle owned
in such
adjoining prop-
leased land
copartnership.
face
water,
any fresh
the lessee
pollute
erty,
Coinpany
was the owner of
'three
hereof,
mence the
penses,
with due
thereof
joining
land held
covenants,
water
fuel, hereby acknowledged, and of the
of,
party (Midland Company) to the
a well on the
ty
tested for oil
furnishing
lands,
described at
(30)
owner
tities at a
fendant, Davis. This contract described the
sum of one
follows:
land
pany
township
cited
retary
disposition
from the well
pumpings
shall
shall
cent to the tract of land covered
face of the land.”
above-mentioned
agricultural
spector.
pits,
shall be
mudding
als
“That for and
On November
The oil and
The
Section
“45,
gas
shall not
(Davis) paid,
Interior,
lands located in
gas
other
into one of which he must
instructions in each
days
[
provide
entered
notify
pit.
as amended
and was
should
party
plaintiffs
duly
as amended
with
with
lease.
diligence, at
Sand
of a well shall be run
under
mining
Ifesser
agreements and
from the
material as is suitable for the
of such B-S or
and other materials
all
Interior
same,
drilling
The construction of
leases,
N.,
be allowed to
approved
]
($1.00)
due
proper tools and
Tribe
two
production,
(300) feet
to drill well on the leased
gas
desirous of
pumpings
28, 1919,
range
to the
proper
Mississippi
depth.
found in commercial
were the owners
oil and
equipment,
superintendent
leases
diligence
a contract with its eode- and that Davis
properly prepared
May
hereinbefore
first
running
to'the
Regulations
May 13,
sections
labor,
thereof
approved
prosecute
the
delivery
dollar
consideration of the terior.
receipt of which is
approval
part agrees
E.,
covering adjoining
location
process
required
gas lease,
own costs and ex-
the Midland Com-
in'-the
instance as
second
.run
and such
plaintiffs,
conditions here-
tools, material,
salt water.”
to a
lime unless oil
17, 18,
within
and to com-
1919.—Lessee the
over
manner and
deposit sand
provided:
*3
August 26,
Mississippi
lying
equipment,
of the Sec- er
the second
specifically
who
depth
offsetting
first
the Mid- it therefor on the
extracted
members,
reads
of three
into
the sur- eration
drilling, Reservation
drilling
and re-
to drill
materi-
terms,
thirty
cover-
parts
quan-
adja-
same
slush
par-
shall
4 F.(3d)
pits
OIL
ad-
the
in- mission
oil
CO. v. THIGPEN
ter; barrels of bailed out about 75 pond.
water
he slush
February 29, 1920, he encountered salt wa-
salt water and
pond.
The cattle of
tools and other
drilling of an oil well on the lease. About
ponds, and that Martin should furnish the
oil well.
should construct
fore
Martin, a drilling contractor,
Davis
rights
referred to had been executed and delivered
Interior.
terest
of the well and that Davis should reimburse
time fixed
pany
Hopkins, Assistant Secretary of the In-
gas
said,
the
ing drilling operations
tary
tions
after
and deliver to
visions
partment
structed
tendent of the
lime,
comply
stopped
On
Davis entered into a It further
contract with one
This contract
“The
promulgated
a certain
lease
rules and
drilling
assignment';
requirements
specifically
pond and
heretofore
promulgated
should
February
unless
runs
escaped
either
under the contract should terminate;
This
party
with
of the state of Oklahoma.
the
the lease until
falling
the derrick,
This contract
completion
representative
said
said
a lesser
to commence the well within the
Interior,
thereof with due diligence, his
provided:
the United
pay the rentals on
the
amount
price
reglations
of the second
plaintiffs
equipment
deposited
thé
about 50
10, 1920,
lease
by
should not
described.
due
drilling,
promulgated by
terms,
those that
execution and
of the rules and
by
of the Secretary of the
said Secretary, and with
ran
party
the lands of
per
prior
of said lease hereinbe-
derrick, rig,
depth
Indian
now
more
approved
rig, and one slush
provided
That Midland Com-
States,
down Into a creek
said
covenants and
heretofore or here-
of the Interior De-
drank foot. Davis con-
barrels of the salt
thereof
same in
Martin
agrees
Corporation
and drill the well
in force, govern-
,or
acquire
* * * ”
doing
than
part,
Agency
the failure of
well,
the first
Osage
to drill the
and to
the oil and
delivery
completion
that Davis
to execute
by S. G.
began
the Secre-
plaintiffs.
in'
and slush
filled the
prosecute
as afore-
hereafter
and with
superin-
* * *
any in-
ordered
regula-
consid-
or oth-
water,
Indian
slush
Com-
part,
fully
pro-
REPORTER, 2d SERIES
4 FEDERAL
tiffs
-would
ployed at the well
fendant
were caused
ponds
the
maintain
them,
Midland 'Oil
tions of the Interior
ticulars set
fendants
that was
ply
Department
and servants
ponds
ter
from to this court.
ing contractor, Martin.
well and-
plaintiffs in the
by plaintiffs;
sonous
negligent
Davis,
and- maintenance
sions of
from the oil
escape
water
state
gently permitted salt water and
was entered
ponds in
ages
the slush
The leases
amended
ty
ever to do' either with the
Oklahoma
Company sued out a writ of
“But'the
At the trial the court instructed the
“At the
The trial resulted
part
of
defense
Corporation
permitting
and
with
water, drawn from the well.
Davis
alleged
the resultant
alleged therein-,
of
negligence,
supply.
escape
that salt water
cause of action set
plaintiffs were
matter
deposit, waste
as' follows:
Davis had no
other
Davis, and
sought
Oklahoma,
company
pits,
petition sounded in tort.
acts
or cause
responsible for
the
taking part
such a
the
with
flow
outset, you
was an
defendant
relieved
of
so construct
wholly by
Company and Davis were
engaged in the
wrongful
and enter
well,
rules and
of the
not available to the
purpose
coming
poisonous
the
in this action.
respect
down
Commission
sum
in that
'
company
way
their
thq
was the
injuries
to construct or maintain
Interior,-
verdict and the Midland
that
independent
and
Midland
Department
the"
of
in effect:
onto
damaged
right-to
from the
permit
would be
of
liability by
acts
Davis,
amended
to
they failed
$4,292. Judgment
as a
products including
regulations
agents, employees,
the
the acts and omis
a 'verdict for the
slush
substance
company
catching
water
the construction
up
.duty
that
the
plaintiffs’
providing
construction
the
instructed that
the salt water
of the state
complained
regulations of
nothing
Company
and his drill-
result of the
maintain the
-lands leased
construct or
error
which dam-
ponds
laws
they negli-
contractor.
pil
petition.
oil well
effectively
were such
plaintiffs’
That
company
the
salt wa-
and de-
each.
to
the de-
well
coming
regula
escape.
of
of
Plain- work of
there-
what-
cattle
slush
com-
guil- Company. The court
**
used
jury
par-
fact
poi-
em-
the
the
the
of
of en him the contract with
*4
,a
provided that
vided that the
might
cupiers
land
the
part
mitted.
upon
not avoid
leases, .transfers,
tort.
therein,
lease,
us. As
termine
breach of
time the
tions
the Midland
plaintiffs imposed by
gence. Upon that
Interior
theory that certain covenants of
Secretary
both
based
were
tained
the
signed,
leased
Davis,
pany
ages
Davis or his
Davis,
this instruction.
Company.
requirement
instruct
Therefore,-
pany
Company to plaintiffs,,
confined
Paragraph
At
Whether
Clearly plaintiffs
The
[1]
verdict
provisions
Secretary
jury
to the cattle of
of the
made for their benefit, is not before
promulgated
the Midland
the outset it is
duly
It was
be
dated November
premises,
Midland
lessor,
might
the relation of
drilling,
Counsel
therein, and this was
assigned
wrongs complained
by-entering
the covenants of the
adjoining property.
against
question
excepted.
or not an
thereof
plaintiffs
lease,
that
the breach of a
jury that
trial court and to this court.
demised
requested
the Interior.
numbered 19
predicated upon
Company
lease,
stated,
of the lease and
drilling,
and-
Company duly excepted
Midland
consent and
sublet, transferred,
the
with
imposed
by
Company
theory,
the
jaw.”
under
reference were made
plaintiffs.
did
lease, or
Davis.
were
Interior,
requested the court
jury should not return
important
plaintiffs
premises,
assignments
t.o
action could main-
into the
violation thereof
the
to,
direct
contractor
defendant,
liable for
refused
and Midland
plaintiffs
each
if
Davis drilled
of
Secretary
strangers
it
approval
interest
They
any,
which it
Midland Com-
participate
or control
of were com-
authority giv-
legal duty
positive
alleged
lease, to
other,
contend
the Midland
-lease,
that we de-
an absolute
the
to instruct
sounded
Company,
presented
the
that sub
be
when
must be
were
rendered
Midland
Midland
to Mid-
therein,
interest
regula
of the
at the
or as
either
negli-
could
Com-
dam
lease
with
pro
that
oc-
into between
until the
that Davis
der and
of an interest in and to said leasehold,
tion
signment. Plaintiffs in their
when so construed must be held to mean
time
light
lease until
diligence.
veloped on
Davis held the
ises,
full
was it
his failure either
meantime. From
condition that
ment of the
would have been the same
sign
control and
conditions
gave
stipulated
upon him
pany except
lease.
delivery
might prescribe.
quirements
out in the
There
approved should
executory
contract and the
on the
session and
ulations under which
nanted
thereof with due
performance
proved, as well
Company
After the execution prosecute
interest in
receive the formal
the lease
formal
of the well and to reimburse Midland
alleged:
benefit of
Davis should
the lease to Davis
specified
of the other
to
was no interest left in
clearly passed
therefore
It did
payment by
Davis the
execution and
upon completion
contract to
assign
for rentals
cash consideration.
contract,
would not
assignment
as the
position
gave
the execution
virtue of” the
thereof
within the time
by him of certain
duty
more,
“ * * *
properly.
equitable
had no
it
language
him the
acquired
prosecution
original
the lease to Davis
lease,
acquire
might
legal
diligence.
portions
reference to the drill
it
him on such date of a
namely, the commence was
to drill
equitable
perform
date of
commence within the
acquire
of this
such leases
*5
assign
placed
must be read in the A
at a futuro date
longer
paid by
such additional
an oil and
discovered and
delivery
title to the lease.
equitable
title
Davis is the
right
be defeated
lease and
no interest in the
thereof with due
wit,
to the terms
contract entered
of the oil
Company cove
of the contract
of the well
specified
Midland Com
amended
contract,
contract Mid- Barron
subject
Davis
the lease.
the oil well.
this contract
The contract
right
the contract
title
the Interior
delivery
It was
and Davis.
of the as an
things
it
execution,
covenants Miller McElin
right
title, and
0
equitable
gas
imposed a
effect
drilling fany
in
in the Merchants’
to
on the
owner
prem
peti
Mid
well, press
4 F.(2d)
pos
title
reg
OIL
nor
un
up
ap
de
re
as
set of the
of Midland
CO. v. THIGPEN
(cid:127)negligent
trol of the
table
the tenant. Counsel’s
lessor
relation of
N.
Willis v.
injuries alleged
Tie was a tenant in
of the tenant of
covenanted
the commission
sive.
lessee stands
Pa.
the walk or
third
thereof.
79, 145
ed
gave
Kilroy
933.
pany
626, 149
Davis was the
session and
sion or control of
been an
sor,
same
From the
“The
[4]
[3]
[2]
landlord.
repair
Y.
somewhat similar
Cigar
steps
action
steps leading
original
Supreme
150,
substantially the same as
and Ms
and section
rise to a
impose
Flood v. Pabst
notice thereof had been
passed
129,
In that
so that a
First, then,
Upon
v.
v.
S. W.
v.
allegations
N. W.
107
Snyder,
absolute
within a reasonable time after ex-
landlord,
Landlord and
failure
Stores
failure of the landlord
City
15
Liedloff,
Realty
ground
foregoing
control of
lessee and the
a
having possession
in a
Note,
A.
Am.
Court of Iowa in the case of
duties and
cause of
his lease to
suitable for
premises
ease,
are no
769, 772;
legal
did not retain either
to have been caused
489,
Davis,
lawful
682; Clancy
occupant
Co.
65, pp.
premises.
a
190
breach thereof
et
St. Louis et
Rep. 391;
position
did the covenants of the
&
and Davis that of
dwelling
in favor
below. The court said :
92 Am. St.
95 Minn.
possession.
duty
al.,
sublessee,
L. A.
Brewing
Improvement
question
wrongs complained
Iowa, 248,
(Sup.)
leased
greater
we conclude that the
action in
principal
and at the time
R.
his relation thereto
possession
landlord,
plaintiff,
the front poreh to
208
Tenant,
landlord to
Borman v. United
responsibilities
keep
on Midland Com
use,
similar to a les
in full control
entry
premises.
house, brought
Ill.
Kelly v. Unit
170 N. Y. S.
Co., 158 Wis.
given
1916F,
than that of
v.
474,
came before
al.,
was that of
tort
and control
sublease
180 W.N.
App. 605;
See
reliance is
Rep.
plaintiffs?
Byrne,
a licensee
there
are based
the lease.
who had
personal
242 Mo.
Co.,
104 N.
against
byMm
posses-
repair
1 Tif
repair
Davis
1101;
inclu
equi-
507;
pos
con-
had
264
56
p.
to
REPORTER, 2d SERIES
4 FEDERAL
90
App. 414,
failure of
case will-be found to
vis,
fore
that
something contrary
authority. Hill
man
action on the
69,Me.
ise,
cause of her
ton,
164 S. W.
237,
upon
sustain
ises in
220;
present as
her
Robinson,
this
22,
