Opinion ID: 1431799
Heading Depth: 1
Heading Rank: 3

Heading: jurisdiction of the corporation commission

Text: Moran's application requested that the Commission determine Moran's status with respect to the pooling order. The issue before the Commission was whether Moran had elected to participate in the well. The Commission has jurisdiction to clarify a prior order and determine whether a party has satisfied a provision thereof. Samson Resources v. Oklahoma Corporation Commission, 742 P.2d 1114 (Okl. 1987). The Corporation Commission may clarify or supplement its orders but it may not collaterally attack a prior Commission order. In Nilsen v. Ports of Call Oil Co., 711 P.2d 98 (Okl. 1985), the court stated: In the case of Cabot Carbon Co. v. Phillips Petroleum Co. [287 P.2d 675 (Okla. 1955)] we specifically recognized the power of the Commission to clarify its previous orders under the authority of 52 O.S. 1951 § 112. In making this ruling we distinguished between the power granted to clarify, or supplement, previous orders, the exercise of which does not effect a change in the prior order or in the rights accrued under that order, and the powers granted to repeal, amend or modify a previous order. The power to effect a change in a previous order, we have held, requires a showing before the Commission of a change in conditions or knowledge of conditions necessitating the repeal, amendment or modification. Failure to make such a showing renders an attempt to modify a prior order subject to the prohibition on collateral attacks set forth by the Legislature in 52 O.S. 1981 § 111. Id. 711 P.2d at 102. No showing of a change in conditions was presented to the Commission. Order 299201 does not clarify the pooling order, but rather is a collateral attack on a final order. In Nilsen v. Ports of Call Oil Co., supra, we stated that: [a] collateral attack is an attempt to avoid, defeat, evade, or deny the force and effect of a final order or judgment in an incidental proceeding other than by appeal, writ of error, certiorari, or motion for new trial. Id. 711 P.2d at 101 n. 5. The face of the pooling order pools Moran's interests. The subsequent Order finds that the pooling order did not pool Moran's interests. Thus, our inquiry is whether the collateral attack is proper. In State v. Corporation Commission, 590 P.2d 674, 677 (Okl. 1979), the court states: `The prohibition against a collateral attack on an order of the Corporation Commission does not prevent inquiry into the jurisdiction of the tribunal where the questioned ruling is relied upon in a subsequent proceeding. The jurisdiction of any court exercising authority over any subject may be inquired into in every other court when the proceedings in the former are relied upon by a party claiming the benefit of that former proceeding. Consequently, an examination of the prior order may be made in a collateral proceeding for the limited purpose of determining the jurisdiction, or lack thereof, of the issuing tribunal.' Id. 590 P.2d at 677, (citations omitted). The above quoted language indicates that a final order of the Commission may be examined in a subsequent proceeding to determine if the Commission was possessed of the necessary jurisdiction to issue the prior order. This determination, however, is limited to an examination of the record in the prior proceeding. Mullins v. Ward, 712 P.2d 55, 59 n. 7 (Okl. 1985); Harry R. Carlile Trust v. Cotton Petroleum, 732 P.2d 438, 441 (Okl. 1986). In Mullins v. Ward, supra, we said: A collateral attack on an order of the Commission which is not facially void is impermissible. Art. 9 § 20, Okl.Const. and 52 O.S. 1981 § 111. The district court's inquiry into the validity of Commission orders stands confined to determining, from an inspection of the face of the proceedings [i.e., the application, the process by which the parties were notified and the Commission's order], if the Commission had jurisdiction to issue the order. McDaniel v. Moyer, Okl., 662 P.2d 309, 312 [1983]; Chancellor v. Tenneco Oil Co., Okl., 653 P.2d 204, 206 [1982]; Gulfstream Petroleum Corp. v. Layden, Okl., 632 P.2d 376, 379 [1981]; Woods Petroleum Corp. v. Sledge, Okl., 632 P.2d 393, 396 [1981]; and State v. Corporation Commission, Okl., 590 P.2d 674, 677 [1979]. A Commission order is deemed void when the face of the record reveals that at least one of the three elements of agency jurisdiction was absent, i.e., jurisdiction over the parties, jurisdiction over the subject matter or jurisdictional power to pronounce the particular decision that was rendered. Gulfstream Petroleum Corp. v. Layden, supra at 379. Id. 712 P.2d at 59 n. 7. The above quoted language makes it abundantly clear that a collateral attack of a Commission order is limited to an examination of the face of the record to find a want of jurisdiction. The record in the original pooling proceeding was introduced as an exhibit in the cause brought by Moran. The application for pooling in that record states that: [r]espondents and Applicant have not agreed to pool their interests. The pooling order states: [t]hat Applicant has not agreed with all of the owners subject hereto to pool interests and to develop each of the units as a unit. The face of the record in the pooling proceeding simply does not indicate that Kirby and Moran had a voluntary pooling agreement. The correspondence referred to herein between the parties was not part of that record. Thus the Commission's finding in Order 299201 that the pooling order did not pool Moran's interests was based on evidence outside of the record, which amounts to an impermissible collateral attack on the pooling order. Kaneb actually contended before the Commission that it (Moran) did not elect to participate under the pooling order. GHK contended that it did. In Order 299201 the Commission made no findings or conclusions as to whether Moran's actions constituted an election to participate under the pooling order, or the effect, if any, of the parties' conduct on the relevant provisions of the pooling order. Thus, those questions are not yet ripe for appellate review at this time and are left for Commission determination on remand. Commission Order 299201 is reversed and the cause remanded to the Corporation Commission.