Western Penna. Gas Co. v. George

Citations

• 161 Pa. 47
• 28 A. 1004
• 1894 Pa. LEXIS 630

Syllabus

<p>Lease — Oil lease — Rental—Forfeiture.</p> <p>An oil lease, “ for the purpose of drilling and operating for oil and gas,” provided that the lessee should hold the leased premises during the term of two years from the date thereof, and as much longer as oil and gas were found in paying quantities or the rental paid thereon. The lessor was to receive one eighth of the oil produced and five hundred dollars per annum for each well from which gas should be obtained in paying quantities, and so long as it should be sold therefrom. The lease further provided that the lessee should commence a well within thirty days and complete it within ninety days, “or in default thereof pay to the party of the first part for further delay an annual rental of sixty dollars payable quarterly in advance on the premises from the time above specified for completing a well, until such well shall be completed. A failure to complete such well or pay said rental within the time specified or within ten days thereafter shall render this lease null and void.”</p> <p>Held that the failure of the lessee to complete a well within the term of two years enabled the lessor to terminate the lease on the expiration of it, and that the lessee could not indefinitely continue the lease by payment of sixty dollars per annum after the expiration of the two years.</p>