Beaudoin v. JB Mineral Services

20110030 Dahn P. Beaudoin and J. Willard
Beaudoin, as Trustees of the
Wm. Beaudoin Irrevocable Mineral
Trust dated May 15, 1981, Plaintiffs and Appellees
v.
JB Mineral Services, LLC, Defendant and Appellant

Appeal from: District Court, Southwest Judicial District, Stark County
Judge Zane Anderson
Nature of Action: Contracts
Counsel:
Appellant: Greg W. Hennessy
Appellee: Charles J. Peterson
Appellee: Jason James Henderson
Amicus curiae: Lawyer not licensed in N.D.
Term: 06/2011   Argument: 06/29/2011  2:45pm
ND cite: 2011 ND 229
NW cite: 808 N.W.2d 671

Listen to recording of oral argument in MP3 format

Issues: Appellant's Statement of the Issues:
I. The oil and gas lease signed July 20, 2009 is valid under the rule in Irish Oil and Gas, Inc. 2011 ND 22 26 that a royalty clause alone is sufficient consideration for a lease.
II. The oil and gas lease signed July 20, 2009 is valid because timely tender of bonus draft for payment was made on July 20, 2009 within 120 business days of the signing as a matter of law.
III. The oil and gas lease signed July 20, 2009 is valid because, subject to the warranty clause of the lease, the corrective bonus draft dated January 6, 2010 was timely tendered on January 6, 2010 within 120 business days of the signing as a matter of law.
IV. The oil and gas lease signed July 20, 2009 is not subject to termination or attorney fees and costs under  47-16-37 NDCC.

REPLY BRIEF ISSUES
I.Whether consideration failed when JB Minerals did not pay the bonus payments when promised.
II.Whether Beaudoins are estopped from terminating their signed OGL with warranty clause after they accepted tender of payment by presentment and before the deadline for final payment.
III.Whether the trial erred in construing the second corrective lease was an unrelated counter - offer to the first signed lease.

Appellee's Statement of the Issues:
The district court properly granted summary judgment in favor of the Beaudoins for the following reasons: 1. The oil and gas lease signed July 20, 2009 terminated pursuant to its terms due to JB's failure to make payment before the termination date indicated in the agreement.
2. The sight draft dated July 16, 2009, does not constitute tender of payment for the oil and gas lease signed July 20, 2009, because JB did not fund the sight draft dated July 16, 2009.
3. The sight draft dated January 6, 2010, does not constitute tender of payment for the oil and gas lease signed July 20, 2009, because the sight draft dated January 6, 2010 does not relate to the oil and gas lease signed July 20, 2009, or any other lease which the Beaudoins consented to.
4. The Beaudoins are entitled to have the oil and gas lease signed January 20, 2009, released from record and are entitled to damages, costs, and attorney's fees pursuant to N.D.C.C.  47-16-36 and 47-16-37.

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Docket entries:
101/21/2011 NOTICE OF APPEAL: 01/18/2011
202/14/2011 RECORD ON APPEAL
302/23/2011 MOT. EXT/TIME APPELLANT BRIEF (e-filed)
402/23/2011 E-FILED MOTION (MAT)
502/24/2011 ACTION BY CLERK (MAT). Granted: 03/24/2011
603/08/2011 Motion for Admission Pro Hac Vice, with attachment
703/08/2011 MOTION FOR LEAVE TO FILE BRIEF OF AMICUS CURIAE (RETAMCO OPERATING, INC.)
803/09/2011 ACTION BY CHIEF JUSTICE (Mot/File/ACB). Granted
903/08/2011 AMICUS CURIAE BRIEF (Retamco Operating, Inc.)
1003/08/2011 MOTION FOR ORAL ARGUMENT BY AMICUS CURIAE (see ACH on 5-20-11)
1103/09/2011 ACTION BY CHIEF JUSTICE (Mot/for OA by Amicus Curiae). Denied
1203/18/2011 Rec'd corrections to ACB.
1303/08/2011 DISK - Rec'd corrected electronic copy of ACB (CD).
1403/22/2011 MOT. EXT/TIME APPELLANT BRIEF (e-filed)
1503/22/2011 ACTION BY CLERK. Granted: 03/31/2011
1603/31/2011 MOT. EXT/TIME APPELLANT BRIEF (e-filed)
1703/31/2011 ACTION BY CHIEF JUSTICE. Granted: 04/01/2011
1804/01/2011 APPELLANT BRIEF
1904/01/2011 APPELLANT APPENDIX
2004/06/2011 DISK - atb (CD-ROM)
2105/03/2011 APPELLEE BRIEF & Addendum (e-filed)
2205/03/2011 E-FILED BRIEF (AEB)
2305/04/2011 Received $25 surcharge for AEB (Receipt #20294)
2405/06/2011 Received 7 copies of AEB from CSD
2505/20/2011 NOTICE OF ORAL ARGUMENT SENT
2605/20/2011 MOTION FOR LEAVE TO FILE AMICUS CURIAE REPLY BRIEF
2705/20/2011 ACTION BY CHIEF JUSTICE (MOT to file AC Reply Brief). Denied
2805/20/2011 ACTION BY CHIEF JUSTICE (AC MOT for oral argument -- See MOT entry on 3/8/11). Denied
2905/20/2011 REPLY BRIEF
3005/25/2011 Received corrected pages 7 & 8 (included original signatures).
3105/27/2011 Received corrected pages for RYB.
3206/01/2011 DISK-RYB (E-MAILED)
3306/29/2011 APPEARANCES:Greg W. Hennessy;Charles J. Peterson & Jason J. Henderson;James L. Drought
3406/29/2011 ARGUED:Greg W. Hennessy;Jason J. Henderson
3506/29/2011 ORAL ARGUMENT WEBCAST
3612/13/2011 DISPOSITION: AFFIRMED
3712/13/2011 UNANIMOUS OPINION: Sandstrom, Dale V.
3812/13/2011 Costs on appeal taxed in favor of appellees.
3912/14/2011 Judgment Sent to Parties
4012/27/2011 PETITION FOR REHEARING (e-filed) PDF
4112/27/2011 E-FILED PETITION FOR REHEARING (PDF)
4212/28/2011 Received non-substantive corrections to PER.
4312/30/2011 RECEIVED $25 E-FILING SURCHARGE FOR PER (RECEIPT #20805).
4401/04/2012 Received 7 copies of PER from Central Duplicating.
4501/12/2012 ACTION BY SUPREME COURT (PER). Denied
4601/23/2012 MANDATE
4701/25/2012 RECEIPT SIGNED BY DISTRICT COURT CLERK'S OFFICE

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