Franco Western Oil Co. v. Cameron

PIERCE, J. Defendant appeals from an order of the Sutter County Superior Court denying his motion for a change of venue from that county, the situs of real property involved, to Los Angeles County, the county of his residence. The ground of appeal is that the action is essentially transitory in nature. Whether it is or not must be determined from the allegations of the complaint, and from the character of the judgment which might be rendered against the defendant upon his default. (Donohoe v. Rogers, 168 Cal. 700, 701 [144 P.958].)

The complaint, in two counts, contains a detailed, lengthy (16 pages), and exhaustive narrative of the transactions between plaintiff and defendant, augmented by exhibits, including correspondence between the parties and other documentary evidence.

Its allegations can he stated in capsule form as follows: On January 19,1960, the parties, who had had previous joint dealings in obtaining, exploring and developing oil and gas leases of a so-called “Grimes Block” in Colusa and Sutter Counties, entered into a new joint venture covering leases then and later to be acquired in Sutter County in what the parties called the “Meridian Prospect.” It was necessary, as a condition to the acquisition of at least one of these leases, to drill a test well, securing the performance of that obligation by a $75,000 performance bond. Plaintiff was to have a half interest in the leases and was to share equally in rental payments and the expense of drilling. Certain leases in plaintiff’s name [39]were to be included in the joint venture and Cameron was to have a half interest in these. Leases were acquired, the early ones in both names as agreed. Cameron billed plaintiff for rentals paid and costs of drilling. All of these bills were paid excepting one dated July 12, 1960, items of which were questioned by plaintiff and it was agreed to defer payment of this bill until later. Cameron did not bill plaintiff for one-half the cost of first-year rentals paid on certain leases. Plaintiff asked for such billing but Cameron stated he was not yet prepared to render it. Then Cameron is alleged to have repudiated the agreement, contending that the joint venture agreement covered only the leases adjoining the Grimes Block. Cameron took the other leases in his own name. Drilling continued, gas was recovered, and the leases became valuable. It is alleged that plaintiff believes it has paid its share of expenses or tendered payment. There is a general allegation: “Franco Western has performed all its obligations under said joint venture agreement. ’ ’ Plaintiff, however, offers to pay anything further found to be due.