SHAW V. MOBIL OIL CORP.
272 Or. 109 (1975)
NATURE OF THE CASE: This was a dispute over a lease payment.
FACTS: Shaw (P) and Mobil (D) entered into a lease that required P to pay as rent, 1.4
cents per gallon of gasoline delivered. The minimum rental of the property was $470 per
month and in order for the rent per gallon to equal the minimum rental per month, D was
required to deliver 33,572 gallons per month. In July 1973, P ordered 34,000 gallons but D
delivered only 25,678 in that D was complying with a request to allocate existing supplies
of gasoline between dealers because of the Arab Oil Embargo and the request of the Federal
Energy office. D demanded the balance of the rent due. P sued for a declaratory judgment and
the trial court gave the verdict to D. P appealed.
ISSUE:
RULE OF LAW:
HOLDING AND DECISION:
LEGAL ANALYSIS:
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