TARHEEL DRILLING & EQUIP. CO. v. VALLEY STEEL PROD. CO.

No. 5-2025.

330 S.W.2d 717 (1960)

TARHEEL DRILLING AND EQUIPMENT COMPANY, Inc. and J. S. Brooks, Trustee, Appellants, v. VALLEY STEEL PRODUCTS COMPANY and Lane-Wells Company, a Division of Dresser Industries, Inc., Appellees.

Supreme Court of Arkansas.

Rehearing Denied February 8, 1960.


Attorney(s) appearing for the Case

Gaughan & Laney, Camden, for appellants.

Spencer & Spencer, El Dorado, for appellees.


WARD, Justice.

The question is: Does Arkansas Statutes, Section 51-701 which creates a materialmen's lien on an oil and gas leasehold also create a lien on oil produced therefrom and delivered to a pipe line?

Briefly, the issue arose in this manner. Appellees, who had formerly obtained judgments against the owner of a certain oil and gas lease, brought action to impound funds in the hands of J. S. Brooks (a trustee of the owners) which funds were the proceeds...

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