Opinion ID: 2514094
Heading Depth: 1
Heading Rank: 4

Heading: The District Court's Ruling at Trial

Text: During the bench trial the district court was presented with deposition testimony, documentary evidence, stipulations, and live testimony from witnesses, including expert testimony for both sides. It concluded that Amoco had an implied duty to obtain the best possible price for gas produced from its leases and that Amoco had fulfilled that duty. Applying K.S.A. 60-512(1), the 3-year limitation statute, the district court found that in all regards to the Smith Class royalty owners Amoco did act as a prudent operator because between August 11, 1990, and December 31, 1992, Amoco did the best thing it could possibly do for the Smith Class royalty owners. (Emphasis added.) The district court also found that the lessors failed to prove that Amoco: (1) could have obtained a greater price for the sales of released gas; (2) could have sold the lessors' gas for the NGPA maximum lawful price; or (3) breached an implied covenant of fair dealing.