Great Falls tribune., 1922-04-20
PEACE REACHED
IN SNEE7GRASS
OIL LITIGATION
Campbell Starts Royal
ties Company; Vast
Development Planned.

Litigation affecting acreage in the
Sweetgrass arch, estimated at between
10000 and 10000 acres, was settled
when l.. c. Stevenson and the firm of
Smeltz & Wilson, attorneys sinfact for
Gordon Campbell. signed a contract dis
missing all suits now pending and ell
claims against each other. The agree
ment is understood to have been reach
ed soon after midnight Tuesday and
was signed at 4: 80 Wednesday after
noon.
Attorneys. through whom the agree
ment was reached. announced that the
basis of the settlement is on an acre
age division but did not specify the ex
act division. They said that the agree
ment marks the elimination Of uncer
tainty' and ''wiping the slate BY
the agreement. all assigns Of the two
principals are recognized. clearing away
doubts as to the legality Of the trans
actions
Whereas. previously. there We're
Joint interests of the two in certain
properties, by reason of the agree
ment, both hold full title to specific
areas and are able to close deals with
out question. While not a part of the
actual agreement. it was announced
that the settlement carries an under
standing of cooperation between the
parties to the contract and their as
signs in Strengthening questions of I'll
ties. already under way, and immediate
steps for prompt development of the
territory. They will move at once to
protect leases and government permits
by drilling and development work
Oil men of Great Falls were enthusi-.
nstic in their reception OF the news uf
the settlement. referring to il as ''the
biggest development in the history Of
oil in Montana" as conducive to quick
development of all northern Montana
fields and to mean "a flood of oil op-
orators" to the area during the next
two months.
Extended Development Ahead
Both parties to the settlement an
nounced that they will now enter upon
extensive development plans and oil
men of Great Falls expect TO see deals
involving drilling operations closed in
quick succession during the next few
days. 1t is understood that agents of
big companies that have been in Great
Falls up to few days ago have been
notified and are on their way back to
the district.
While the settlement wipes out all
litigation between Mr. Stevenson and
Mr.. Campbell. it does not involve the
litigation between landowners in an
attempt to break leases in the five
suits filed last week in Shelby. The
parties are understood to be in agree
ment however, on this development
and will cooperate III their defense
against these suits The remainder of
the $500 acres of leases held in
escrow in the Sunburst bank will be
released in accordance with the acre
age division.
Announces Royalties Company
Within an hour after the settle |
ment was signed. Gordon Campbell an |
nounced the tentative organization of |
the Gordon Campbell Royalties COM !
pany. to be capitalized ut $500, 900.
Mr.. Campbell will be president and the
directors will include Harry l.. Will
son, OF Billings: former Congressman |
Tom Stout, of Lewistown; NJ f.
Smeltz and l.. 7. Jackson, of Roundup.
lhe royalty organization will embrace
holdings of royalties and
acreage in the kevin field.
MIR. Campbell and Mr. Stevenson |
became associated in 1921, when the
Gordon Campbell Kevin syndicate was
organized. With Mrs. Campbell, they
formed tho trustees of common
aw trust. Mr.. Campbell held drill
ng contract while Mr.. Stevenson was
fiscal agent. Mr.. Campbeirs acreage
vas held in escrow under contract to
he syndicate.
Suit Started Last November
The litigation involved in the set
Iement began in November of 1921.
when Mr.. Campbell filed a suit for an
lccounting against Mr. Stevenson.
Then, in a series Of suits and counter
suits. it became during the next 80
lays prolonged legal tangle.
Mr.. Campbelfs suit was followed by
CONTINUED on Page Five)