In re Sentinel Oil Co.

Good Law
12 F. Supp. 294·1935 U.S. Dist. LEXIS 1357
United States District Court, Southern District of CaliforniaOctober 16, 1935No. 26521-SCalifornia514 words

Opinion

Lead Opinion

Stephens, J.

Recently a very serious condition has arisen in the production of oil and gas in California, and much litigation has already been started and it seems inevitable that much more will follow. This condition arises from the fact that oil wells are not always drilled straight downward but, according to allegations in state actions, wells are sometimes drilled upon a slant which bottoms them directly under the surface of lands owned and controlled by other inter *295 ests, and oil and gas belonging to the latter are extracted. There are claims that such deviations from the perpendicular are sometimes unintentional and sometimes intentional.

Suits in the state courts have been begun, and in some of them surveys have been taken and evidence introduced to show the facts obtaining. It is contended in this and other like actions before this court that the jurisdiction of the state courts to proceed with such actions is necessarily cut off the moment bankruptcy proceedings begin." I do not believe this is the law. Connell v. Walker, 291 U. S. 1 , 54 S. Ct. 257 , 78 L. Ed. 613 ; Ex parte Baldwin, 291 U. S. 610 , 54 S. Ct. 551 , 78 L. Ed. 1020 . Whether or not this court hás any jurisdiction…

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