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Archer County v. Webb

Supreme Court of Texas

338 S.W.2d 435 (Tex. 1960)

Relevant factsFree

A 1929 royalty deed granted Scarbauer's successors (plaintiffs) royalty rights for a 15-year term or so long as oil/gas was produced, with no shut-in provision of its own; a later, unrelated 1940 lease between the landowner (defendants) and an operator contained its own shut-in royalty clause that extended the lease's separate term when the well wasn't producing, and Scarbauer's successors argued those lease-based shut-in payments also extended their deed's expired 15-year royalty term.

IssueFree

Whether a deeded royalty interest can be extended beyond its primary term by a shut-in royalty provision when the shut-in provision is not contained in the mineral deed itself.

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