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Baldwin v. Blue Stem Oil Co.

Supreme Court of Kansas
189 P. 920 (Kan. 1920)


Facts

Baldwin and others (plaintiffs) leased oil and gas rights to Blue Stem Oil Company (Blue Stem) (defendant). The lease provided that it would remain in effect for three years, “and as long thereafter as oil or gas . . . [was] produced” from the land. Blue Stem commenced drilling a well approximately one month before the expiration of the three-year term. However, Blue Stem was unable to complete the well, and thus unable to produce minerals from the land, before the three-year term expired. The plaintiffs brought suit to cancel the lease. Blue Stem asserted that it was unable to commence drilling for the well sooner because of weather issues, sick employees, and the federal government’s intervention in the coal industry. The trial court granted the plaintiffs’ motion for judgment on the pleadings. Blue Stem appealed.

Rule of Law

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Issue

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Holding and Reasoning (Marshall, J.)

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  • A "yes" or "no" answer to the question framed in the issue section;
  • A summary of the majority or plurality opinion, using the CREAC method; and
  • The procedural disposition (e.g. reversed and remanded, affirmed, etc.).

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