Winship

On August 1, 1923, appellant was the owner of a tract of land containing approximately fifty-six acres, situate in the county of Los Angeles, lying a short distance easterly from the Torrance oil-field. On that date, appellant made a lease of this property to respondents Wilkes and Titus. This lease granted lessees the exclusive right of prospecting said premises for oil and gas, and of drilling for and removing oil and gas from the property. The lease obligated lessees to commence drilling a well within ninety days from the date of the lease and to continue drilling with diligence “until a depth of 4,500 feet has been reached, unless oil at a lesser depth is discovered in quantities deemed paying quantities by the lessees. It is understood and agreed that any well commenced shall be fully completed by said lessees.”

The plaintiff, claiming that there was a breach of this agreement to drill and complete a well and being still the owner of the land, brought this action against respondents Wilkes and Titus to recover damages for such alleged breach. Respondent Fidelity and Deposit Company of Maryland was joined as defendant because it had become surety on a bond of lessees in the…