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Contracts Keyed to Barnett
Peevyhouse v. Garland Coal Mining Co.
Citation:
Oklahoma Supreme Court 382 P.2d 109, 1962 OK 267 (1962)
ProfessorMelissa A. Hale
CaseCast™ – "What you need to know"
Facts
Willie and Lucille Peevyhouse owned a farm in Haskell County, Oklahoma. In 1954, they entered into a contract with Garland Coal Mining Company, leasing their land for strip mining operations. The contract included a specific provision requiring Garland to perform certain remedial and restoration work on the land after mining operations were completed. This restoration clause was particularly important to the Peevyhouses and was included as a key inducement for them to enter the agreement. After extracting approximately $500,000 worth of coal from the property over five years, Garland Coal refused to perform the agreed-upon restoration work, which would have cost approximately $29,000. Evidence showed that the restoration would have increased the farm’s value by only about $300.
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