Skelly Oil Company, Petitioner v. Gertrude L. Archer, Respondents

Summary

The Texas Supreme Court affirmed the trial court's construction that the lease was ambiguous and that the rider modified the lease only during the primary term, upholding the lease's termination on sections without paying production and reversing the judgment terminating the lease on Section 292, remanding that issue for retrial. Justice Hamilton dissented, arguing the contract was unambiguous, and also filed a concurrence agreeing with the per curiam finding on Section 292 but urging the lease be held valid there.