Untitled Texas Attorney General Opinion ( 1946 )

OFFICE OF THE ATTORNEY GENERAL OF TEXAS
AUSTIN
xonorablo Baroai Oil.8
o~rai Land orrioa
Au&in, Taxaar
Dear sir: opln.lon HO. o-7269
Re t '0; tg g~;afloner
orri00 authorized tm Or
the rxlating rtatto
to aoorpt t Ml I1
oontraot a no ea e
aad rile a~ 8 , und r
th*n raots?
4
we la in raor%pt
17, 1946, Psharrln IOU rrqur
big d3tb 0r r00t8:
purportad to amend and
oorrsot the oridnal lease
to inoludr the acreage ae shown by the oorraOted
r idd noteand mbsaqurnt rurtry. Th PrlmarY
non. Baaocll @ilam, FR8.2
tam p# wn orI&IMl lwar ma) for l tam of aawn
(7) furs trca lhr 8, 1939. ha annual rantala hats
barn r~oalvod am doa on Um abotr rIOI& laarr and
kh8 UIY r``inad on ohm raoorda or thla 0rria
thrm* 8b priyrf tam am l valid laaaa, ~006nIz44
la oorrrlng thr*m apaaltird the-in.
“On krah 19, 19.46, Ye Y. b r o la lotfng Indlrl-
a ua ur a nda mlgmt r0r thr stats or 48x88, loradd
lxotbr Inatruent whIoh I8 tltlad, Wnandnrnt, Uatirl-
oation an 1Crt~nrIe3.l 0r Frllcary Term 0r oil and Qaa
Laaacl.* t hIa Iaatruarat, tagethrr mI$h tha aonaI4ara-
tlona naltod theraIn ma rcaalrad In tha Oarural
Land orri00, on Jun. b, 19454,
“I lttaoh hax’oto a photoatatio oopy of thr Imtru-
meat and InvIta your attontlon t6 tha raot that this In-
atrumnt ~8 anaatad prior to tha rrglratlon date ot the
orlgbml la&me. In rlar oi thaae faota am outllmd, I
raapaotitllly la kwar o p I~Io on
a the nPllaIng atatanan``
“1, Tha rxtrnalon oontraot Mvlng barn lfaoutad
prior to tha taminatlon 4atr of thr orki-
m;&tmfe,:4 tha ,mlmary tehp na havIn(5
luth&Isad Mdrr th8 lxlat-
I* ltatutaa, to aompt thr rxtrnalon cm-
traot am a naw lrara and rilr am mehe
%a rullnquhhmsnt Mi la eodiil~d in ``rnon~a Anna-
tatad dltil Statute. In Artlolaa 536746. htlolr 5368 Ir?tolrrd
har&ln raadm a. fcdl~a t
*TM ounor of maid land, Ia Wrabg authorized to
aeelan; laaa? to cay parson, iIm or 00 oration tha
a that may ba thmor! or then ‘p ZI upon auoh
trnaa an !r oondltlona am auoh o8nar ny darn baat, aub-
feat onl to tim prov~aIona hereof, and hr mny bavr a
arooad 1 i an thrroon to aaoaza tha plymat oi any sum
duo hil. All lraae6 and ralaa ao aabe aball be anal&n-
lbla . lo oil or gas rIghSa ahall be aold or lward hare-
anarr rot 1088 than ton sent8 par aon psr lar plus
royalty’, and the laaaar or purohaaar lhnll I n rvrry oaw
py tbr Strto tan ornta pex aopI par Imar 0r aalas and
ntwim aad In same or produotlon shall PI the Statr
tha old 1ridad ma-rfrtarnth oi #hr ralloa of thm 011 and
gas raasmd herein, and llln amoumta to tha cwnar ot
tha soil. (Aota 2nd 0,s. 1919, paga 249) .*
The nl0tlOMhip Or th@ SW0 UUI it0 a&$0+ IS WOu
dIaouuad in Jrdg8 %riOea Opiai68 Of th@ ~PNM ‘oU=t, $.fk
I1118 t* *tam; 195 8. % 24 123, pW0 1)).
Win dlstlnotlon 110.
in th. vary fbrt Wmt the
Stata 0r fw -8 Cbtrr* plnolpl and that u an
WOBt Of th. std@ tha arthod Or hl. Pl-OOadU~ iB
~lllng th. tinar.l u%8ta in the laid was tired bt
the 1 Ialaturr aa motidad !a the Ballnqaiahunt
A.8. 2. b a w mo h an lg e & w tha rovlalma0r
that aot and not on *a baala or ocma!dorrtlon or
nhothar hr uoald br danllot in laaln& tha laad or
raald mot be. lie ram no mro lalaokd on-that basis
aa an agent than ha mm aalsotod m that basis bt
tha stat8 am an lwardrr of tha laud in qusation.
It would harm km eardad to hk what&r ulnt or
alnnar In him mathod ot d.ala. Lilawiao 0.t.a
b.c.mo the rurlhoe ownor and amot of tho state wlth-
out ragard to whatlaarhr would k d.rrl1.t In hIa
duty or whather hr would not bo danllot. Tho land
was lnrdd to hlr puraualit to tha atato~a hanata~d-
lng pollay and the atitr, I8 lrllin& thraqh U Ita
rOara l8t.t.. protaotad hia in th# l njo)Plnt of
him aurl’aoa latatr and oomponaatrd hk OP thr basis
tlxod by the loglalatura in tho WInquIlrhmant *at..
Tb Supnma %wt in tha O~H of BapIre ha and &ol
Company vs. Stats, 47 2). R. 2d 255-272, 1ntuport.d t&a above
statute laths r0umog mt
“Tlr ml0 Ia also wrll lrttlul that &a&l.-
01~ grmta 0r pro arty rights and prlrllogau arat
b oonstmod ltrl In rare or the hat0 on
grounds 0r pub110 “p”I 107, and wh.teu Ia sot w-
. uirwal1.t gnBk r in OlOW and rxplIaIt t.N L
P
w thhald. 8ny l bl&ulty or obaourit~ In Uu torw
or tlm ltatuto must oporato ti favor of tho state.*
Xn aaaordaao. with th. above IntupntatIona ard in
lbarnco or statutory authority ranted the yrnt, tha atato
wad not bo bomd by a ODnbraO t or r ~ta na Io
lntarod
n into
by th agent .nd tlu luaor prlcr to the tuelnatlon of tho
18.88.
3i. lr. aot in looord with the 1Otbr Opinion Of
tho Bonorrbl. Qradr Qmndlor , wrItSan on the l4th 3ay of
cocaabar 19s. whorain b etated tbt thr 4iWt or the
atatr had tha r-t to gent an orl&il 1-0, also ham
the authority to rxacpta .n .xknaion, and roar Pa in
ocmflIpt hemwith la hanbr overruled.
Th8 supram Court or this Stato in Umar ~0. @amar,
50 i.m. 26 773, oltad with lppm81 Ln %to vs. UagnolIa, 173
8.w. 2d 186, oonrlnad tha rl.&tr or tho want 2r tb atrto t0
the tams or the laaao, aaku tba followi~ laaeoWrT
*In oar opinion, tha sot, whan f8irly and roaacn-
ably oonatruad, aloo mana t&t Ul dnonla not ala-
posed or &o with tho title Of tb land, aubjort t& the
provIaloru or the mot. That whan a ralld and blntllng
loaeo or oonvayanoo of tha mInarUa Is mods by the
owner or .tha land, am the agent oi tha state, than In
that atont ha raoalros tba foreoI= amount8 am oom-
parnation ror him aanl.oaa. Elm share of tha rankle,
royeltIaa, and bonuaoa dorI,vod from the laaoa lxcoukd
by him broom4 property rl&ta du* the period or time
for whloh the lease tuna. i’rlor to the mnldng or tha mIn-
oral 1aaaa~ the owner 0r the land has no right to ass-
or contay a4 mlnaral &t&a Iu the property. It Is
the Intention of the law that the, otmor of the land shall
be the a ant of tha #tat+ to lxoouta mlnaral l~aaa. When-
aver a mf noral 3o r a rlroouutaa by a prior ownor tormIua-
. tos, Thor than ownar of th land beo~caue thr a&#&t, of tha
state with authority to mall or laaaa the oil and gas
mInora rl&hta, am prorldod for in the Rollnqulahmont
ht.”
Vo Pdloretand the &lInquiahnnnt iot aa Intarpratod by
tha Tons oourta In the above lnumaratad oaaaa to hold that tha
aurfaoo owor the duly oonatltutod lgant of the stats ror the
purpwa 0r 0x02 utbg an ordinary 0oaimroIU 0i.l and gas laaaa
laaaIng ~th 08l and gas latato In and under him surfa latata.
‘%a t the luriaoo uanara ahara crl the ronala, royaltIaa, and
boatma krlrrd fran tha lraao oxaoutd br hla b a o mo l pro rty
rI&ht .during tha por:‘.od or tlma ror w&ieh thr loaao rune. &tat
whanarar tha mriaOa cwnor, ooting am 8gant ai tha eta to In ao-
oordanoo with tha protIsIo~ and lph& of tha ~linquIahMnt
not, aa Intorprotad by the aaaoa and am lpDdifIod by tho sub
sequent rok or the LogIalnturo, ham oxauutrd a valid oil and
gas loaao tar the state lab the mm ia tiled In the Oonor81
LIAIU¶ offloe, ho ham tharaby lxlmuatod him atatutorl luthtarIty
to aot theroarter am agent or tha ltbta until the tox!mInatIon
dat@ of sa.Id ~aaa, or during any tIM -Id l@U@ Ii in full
roroa and lrr00t. Or eouruo, tha aurf’aoo ounu at the lx p lr -
ation data or tha loaaa or at auoh tlm whan tharr Is IY) valid
1aa.o ooterbg tha oil and gas mlnoral latak In aad andor
hia landal ha boooami# ‘the duly OOnditUtM lg@nt Oi tb @tat@
mdor the ~lInquIahment Aot far tho purpona or lzooutIa8 a
new oil and gas 18~88. It Is our opinion thoraMn, that W
attomptod 1ea.o oontraot entered Inb botwoan th* lurfioa OIIJLr
and thm larmr o? tb mtatr ducl.nij the lit8 or poudoxwy of
thr plr1mz-y lrera ir voldrbh as 8galnat public p8l%w, as
th:-;;mt~o* ownar th8n laob authority to art a* War& for
.
In tho oaae ti Wats v. LBagnolia, sup=, this prin-
aipla lw stated In the following lwuaga:
9% etate ir not nquimd to ratlfy or adopt
the unanthorimd act of itr 8up;,o8od rgont but ray
npu4lstr tbas aa umuthorlzad and 88k that-they any
ba sot asldo and held ior mu&ht. khan ths leont has
rxoradod authority thr oppornito perty is not rntltlrd
to hsto the eontract an#orosd to tho extant tlat t.ha
agent had authority to ad. 2 ‘Tex. Jur. 547, prr-
grepb 145 Emnts v. Fuqne, lC2 hx. 4c)o. bonnor.
‘I. U~alda Xational Bank, 156 3.“. 1092 . . .”
liowsrsr,
in reply to your qu8stlon, uwlrr t&3 faotr
horn prrrented, thr
origbial laaro and the priaary tom nm?
h a r ing
lx r lmd-fho mar agrnt still being tho owner GS tba
land ana now having authority to enter into a nm lease, you
are arrtborlza4 under the exlstl,y, statutrs to alrot to aoorpt
the pPrportad sxtanrion cmtmot A# a new lrera or a8 an offer
to rntar into a new leam. If the first altornetiva is 8oleoted
by you, you are nqulred to glv’s it th same oara rnd scrutiny
aoeordo4 an orl&ml lmsa. It the letter rltaruatlvr is ohosan
m nm lease wit!: the tama of the extonslon oontmot exh2bbdied
themin aunt br propend an4 prosent to yco aa %aml8sloner
of tba General zan4 0fZlor ror your afprovlll.
ahis Gpinion 16 oonflna4 to th8 particular iRots
oWted by yai.