Guerin v. Sunburst Oil & Gas Co.

218 P. 949 (1923)

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Nature of the Case

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Facts

Thornton owned 320 acres of land and gave a lease to Campbell to allow for the exploration of oil or other minerals, to extract them if found and to pay a royalty. That lease was not recorded but was entered into in August of 1921. In December 1921 Thornton gave Rock an option to purchase her land, but the option was made subject to the Campbell lease. The option was recorded on December 9, 1921. In May 1922, Campbell assigned the lease to Stevenson who in turn assigned it to Sunburst (D). Each of these assignments was duly recorded. Mrs. Thornton then conveyed her land to Guerin (P) by warranty deed in June 1922. In August 1922, D went upon the land and commenced to explore for oil and gas. P sued for injunctive relief. The application for injunctive relief was denied, and P's complaint was dismissed. P appealed.