Duhig v. Peavy-Moore Lumber Co.
Supreme Court of Texas
144 S.W.2d 878 (Tex. 1940)
Alexander Gilmer conveyed land to Duhig while reserving a one-half mineral interest for himself. Duhig then conveyed the same tract to Miller-Link Lumber by general warranty deed, which stated the grantor (Duhig) was retaining a one-half mineral interest - without ever mentioning Gilmer's earlier one-half reservation. Peavy-Moore (plaintiff) later acquired Miller-Link's interest and sued Duhig's estate (defendant) to establish a claim to a one-half mineral interest, arguing that between Gilmer's outstanding half and Duhig's purported reserved half, there was nothing left to convey to Miller-Link at all unless Duhig's reservation was cut down. The trial court sided with Duhig's estate; the court of civil appeals reversed.
Whether a warranty deed purporting to convey a fee simple or lesser definite estate, containing covenants of general warranty of title, estops the grantor from later asserting an after-acquired or previously reserved interest that would defeat the warranty.