From our private database of 14,000+ case briefs...
Flowers v. Diamond Shamrock Corp.
United States Court of Appeals for the Fifth Circuit
693 F.2d 1146 (5th Cir. 1982)
The Flowers (plaintiffs) leased mineral rights to Diamond Shamrock Corporation (Shamrock) (defendant). The lease provided that Shamrock would pay royalties to the Flowers based on the market value of gas sold off the premises. In 1965, Shamrock entered an agreement with a buyer, providing that Shamrock would sell gas from the Flowers’ land to that buyer at a specified price over the course of twenty years. Shamrock paid the Flowers royalties based on the contractual price, which was lower than the market price. Shamrock paid the royalties by monthly check bearing a statement that the check was in full settlement of Shamrock’s account, and that endorsement of the check constituted acceptance of the check as full payment. On February 15, 1974, Shamrock sent a letter to the Flowers, offering to pay higher royalties if the Flowers signed an agreement to base royalties on Shamrock’s sales contracts rather than on the market value of the gas. On July 29, 1974, Flowers declined to sign the agreement on grounds that they were already entitled to obtain the rate increase, and requested deficit funds owed to the Flowers since February 1974. Shamrock responded that it would continue to pay royalties according to the lease. The Flowers endorsed Shamrock’s monthly checks until February 1977. The Flowers then brought suit to recover the difference between the market price and the contractual price since December 1973. Shamrock argued accord and satisfaction. The jury found in favor of the Flowers. The trial court granted Shamrock judgment notwithstanding the verdict, finding that the Flowers’ cashing of the checks constituted accord and satisfaction.
Rule of Law
Holding and Reasoning (Tate, J.)
What to do next…
Unlock this case brief with a free (no-commitment) trial membership of Quimbee.
You’ll be in good company: Quimbee is one of the most widely used and trusted sites for law students, serving more than 97,000 law students since 2011. Some law schools—such as Yale, Vanderbilt, Berkeley, and the University of Illinois—even subscribe directly to Quimbee for all their law students. Read our student testimonials.
Learn more about Quimbee’s unique (and proven) approach to achieving great grades at law school.
Quimbee is a company hell-bent on one thing: helping you get an “A” in every course you take in law school, so you can graduate at the top of your class and get a high-paying law job. We’re not just a study aid for law students; we’re the study aid for law students. Read more about Quimbee.
Here's why 200,000 law students have relied on our case briefs:
- Written by law professors and practitioners, not other law students. 14,000 briefs, keyed to 188 casebooks. Top-notch customer support.
- The right amount of information, includes the facts, issues, rule of law, holding and reasoning, and any concurrences and dissents.
- Access in your classes, works on your mobile and tablet. Massive library of related video lessons and high quality multiple-choice questions.
- Easy to use, uniform format for every case brief. Written in plain English, not in legalese. Our briefs summarize and simplify; they don’t just repeat the court’s language.