Phillips Petroleum Co. v. Williams

HUTCHESON, Circuit Judge.

Brought for an accounting as to, and recovery of, royalties due plaintiffs as lessors under the gas' royalties provision1 of an oil and gas lease,2 this is another of the growing number of suits against Phillips Petroleum Company3 arising out of controversies as to amounts due as royalties for gas taken under leases in the Panhapdle Texas field.

The claim primarily put forward by plaintiff was: that, within the meaning of *725the royalties provision, the gas was “used off the premises,” it was not “used in the manufacture of gasoline; ” that the royalty due, therefore, was…