187 F. Supp. 3d 1203
D. Mont.2016Background
- The Murrays acquired surface rights to ranch land in Garfield County, Montana; mineral rights had been severed and apportioned among the Seversons and the Murrays in a recorded mineral deed.
- After the severance, the Murrays discovered multiple dinosaur fossils on the property, including the high-value "Dueling Dinosaurs," a Tyrannosaurus rex (the "Murray T. Rex"), and Triceratops remains; proceeds from the T. Rex sale are held in escrow pending this dispute.
- The Seversons claim the fossils belong to the mineral estate under the mineral deed; the Murrays claim the fossils are part of the surface estate and sole their property.
- Experts agreed fossilization involves mineral components (e.g., hydroxylapatite; dispute over whether "francolite" is a distinct mineral), but experts also agreed fossils are remains of once-living vertebrates and not mined in the traditional sense.
- The central legal question became whether dinosaur fossils fall within the ordinary and natural meaning of "mineral" in a general mineral reservation under Montana law.
Issues
| Issue | Plaintiff's Argument (Murrays) | Defendant's Argument (Seversons) | Held |
|---|---|---|---|
| Whether dinosaur fossils are "minerals" under the mineral deed | Fossils are remains of once-living organisms, not substances ordinarily understood as minerals; statutory/dictionary definitions and policy exclude fossils | Fossils contain mineral compounds (e.g., hydroxylapatite/francolite), and valuable/rare fossils should be treated as minerals under a mineral reservation | Fossils are not "minerals" under the ordinary and natural meaning test; they belong to the surface estate (Murrays) |
Key Cases Cited
- Farley v. Booth Bros. Land & Livestock Co., 890 P.2d 377 (Mont. 1995) (adopts ordinary and natural-meaning test and excludes scoria from mineral reservations)
- Heinatz v. Allen, 217 S.W.2d 994 (Tex. 1949) (articulates ordinary and natural meaning test; rare/useful materials may qualify as minerals only when possessing special commercial properties)
- Hart v. Craig, 216 P.3d 197 (Mont. 2009) (applies Farley/Heinatz framework to hold sandstone not included in general mineral reservation)
- Miller Land & Mineral Co. v. State Highway Comm’n of Wyoming, 757 P.2d 1001 (Wyo. 1988) (persuasive authority applying ordinary-meaning approach to exclude common earth materials from mineral reservations)