Chesapeake Exploration, L.L.C. v. B N W Property Co., 393 S.W.3d 846

Court of Appeals, Eighth District of Texas (El Paso) addresses whether two deeds conveying a 1/3 mineral interest also convey the 4/9 executive right incident thereto.
Original grantor retained 3/4 of the mineral estate and the entire executive rights; after Edwards’s death, interests were partitioned, with Beckhams inheriting 1/3 mineral interest and 4/9 of the executive rights.
Two deeds to Vest conveyed the Beckhams’ 1/3 mineral interest but were silent about the 4/9 executive right.
Trial court ruled that the undivided 1/9 executive right did not pass under the deeds; Chesapeake appealed.
Texas Supreme Court precedents (Day & Co., Lesley) govern whether unmentioned executive rights pass by implication when conveyed mineral interests are silent as to rights.

Issue	Plaintiff's Argument	Defendant's Argument	Held
Whether the two deeds conveyed the full 4/9 executive right	Chesapeake argues for passing of entire 4/9 executive right	BNW argues only 3/9 passed, 1/9 preserved	Yes; entire 4/9 executive right passed

Day & Co., Inc. v. Texland Petroleum, Inc., 786 S.W.2d 667 (Tex. 1990) (executive rights not expressly reserved pass by implication with the deed)
Lesley v. Veteransland Board of State, 352 S.W.3d 479 (Tex. 2011) (executive rights pass when not expressly reserved or excepted)
Luckel v. White, 819 S.W.2d 459 (Tex. 1991) (deed construction; determine intent within four corners of deed)
Concord Oil Co. v. Pennzoil Exploration & Prod. Co., 966 S.W.2d 451 (Tex. 1998) (executive right as separate interest governed by real property principles)
Altman v. Blake, 712 S.W.2d 117 (Tex. 1986) (executive right is one of five mineral estate interests; may be conveyed or reserved)