Howerton v. Kansas Natural Gas Co.

Citations

• 82 Kan. 367
• 108 P. 813
• 1910 Kan. LEXIS 261

Syllabus

<p>SYLLABUS BY THE COURT.</p> <p>1. Mineral Lease — Cancellation for Insufficient Development— Adequacy of Remedy in Damages — Burden of Proof. An oil- and-gas lease provided that the lessee should pay $50 per year for each gas well upon the leased premises during the time gas should be marketed therefrom. Adhering to the decision on a former hearing (Howerton v. Gas Co., 81 Kan. 553) that the contract contemplated that other wells should be drilled with reasonable diligence to utilize this lease, it is further held, that the burden of proof is upon the plaintiff to show that a remedy in damages is not an adequate remedy for the failure of the lessee to proceed to drill other wells to protect the land from drainage and to obtain gas therefrom.</p> <p>2. - Same. Having failed to make this showing, the decree for cancellation can not be sustained.</p> <p>3. - Measure of Damages for Failure to Drill Wells. The measure of damages is the sum of $50 per year for each well from the time it ought to have been drilled.</p> <p>4. - Alternative Decree for Breach of Agreement by Lessee to Operate. If it be determined that such a rule of damages can not be applied, an alternative decree may be entered, upon proper proof, providing that the defendant shall proceed, within a time to be fixed, as before indicated, to drill such wells as may be necessary to protect and develop the land and utilize the gas thereon, and pay for such wells as stipulated, or that the lease be canceled.</p>