Gulf Refining Co. v. Stanford
Mississippi Supreme Court
30 So. 2d 516 (1947)
- Written by Miller Jozwiak, JD
Facts
W. J. Dantzler (defendant) conveyed a property to Nelson Simmons. Dantzler, however, made a reservation stating that “in the event of any mineral, oil or gas being found in the bounds of the land we are to share the profits equally.” Dantzler then conveyed one-half of that reservation to G. G. Stanford (defendant). Several years later, Simmons entered a mineral lease with Gulf Refining Company (Gulf) (plaintiff). Under the lease, Gulf could remove any oil found in the land in exchange for one-eighth of the oil produced from the land. This led to Gulf having $3,600 worth of unpaid royalties. Gulf deposited that amount with a court and filed an interpleader action to determine who was entitled to the money. Dantzler and Stanford claimed that under the reservation, they had been entitled to one-half of all oil produced by the land and sought an accounting of what that amount would be. The court sided with Dantzler and Stanford. Gulf appealed.
Rule of Law
Issue
Holding and Reasoning (Smith, C.J.)
Dissent (Roberds, J.)
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