Camco Oil Corporation v. T. F. Vander Laan, D/B/A Laan-Tex Oil Company

TUTTLE, Circuit Judge.

This is an appeal from a judgment of the district court for the Northern District of Texas, in which the trial court, without a jury, found appellant liable to appellee in a third party beneficiary action. The facts are not in dispute.

Under a contract, dated June 26, 1952, Cameo Oil Trust agreed to pay appellee the sum of $25,000 for a one-half interest in four oil leases covering land in Gaines County, Texas, and appellee agreed to drill for oil to a depth of 6,000 feet or to the San Andres lime formation. If oil or gas was indicated, appellee was to set pipe, and the…