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HENRY v. BALLARD & CORDELL CORP.

No. 8267.

401 So.2d 600 (1981)

W. F. HENRY, Jr., Individually and as Trustee For J. A. and Martha Davis Trust, et al., Plaintiffs-Appellants-Appellees, v. The BALLARD & CORDELL CORPORATION, et al., Defendants-Appellees-Appellants.

Court of Appeal of Louisiana, Third Circuit.

Rehearing Denied August 13, 1981.

Attorney(s) appearing for the Case

Jones, Jones & Alexander, Jerry G. Jones, Cameron, for plaintiffs-appellants-appellees.

Gene Lafitte and Lawrence R. Simon, Jr., of Liskow & Lewis, Lafayette, for defendants-appellees-appellants.

Before DOMENGEAUX, GUIDRY and SWIFT, JJ.

DOMENGEAUX, Judge.

Certain gas leases executed in the 1950s and early 1960s provided that lessors would receive as royalty a percentage or fraction of the market value of the gas sold. Lessees have paid royalty amounts based upon the amounts they have received from the interstate purchaser of the gas under the terms of a twenty year gas sales contract executed in 1961. Lessees contend that the purchase price represented the fair market value of natural gas in 1961...

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