Nafco Oil and Gas, Inc., a Corporation v. Nathan Appleman

SETH, Circuit Judge.

This action was brought by the ap-pellee, who was the grantor in a conveyance of certain oil and gas interests, against the successor in interest of the original grantee. The action is for a declaratory judgment seeking to establish the grantor’s right to receive $1,000 a month for audit and overhead expense from the grantee for so long as a production payment reserved in the conveyance remains in effect.

Both parties sought summary judgment in the trial court and judgment was entered in favor of the plaintiff. The trial court concluded that the audit and overhead expense…