Case Information
*1 OFFICE OF THE ATTORNEY GENERAL OF TEXAS
AUSTIN
xonorablo Baroai Oil.8
o~rai Land orrioa
Au&in, Taxaar opln.lon HO. o-7269
Dear sir:
Re t '0; tg g~;afloner orri00 authorized tm Or the rxlating rtat to aoorpt t Ml I1 oontraot a no ea e aad rile a~ 8 , und r th*n raots?
we l a raor%pt
17, 1946, Psharrln IOU rrqur
big d3tb 0r r00t8: to amend oorrsot oridnal lease
purportad to inoludr the acreage ae shown by the oorraOted ridd noteand mbsaqurnt rurtry. Th PrlmarY *2 non. Baaocll @ilam, FR8.2
tam p# wn orI&IMl lwar ma) for tam of aawn ha annual rantala hats (7) furs trca lhr 8, 1939.
barn r~oalvod am doa on Um abotr rIOI& laarr and on ohm raoorda or thla 0rria kh8 UIY r~~inad thrm* 8b priyrf tam am valid laaaa, ~006nIz44 a oorrrlng thr*m apaaltird the-in. “On krah 19, 19.46, Ye Y. b r ola l otfng Indlrl-
auaur and am l gmt r0r thr stats or 48x88, oradd xotbr Inatruent whIoh I8 tltlad, Wnandnrnt, Uatirl- oation an 1Crt~nrIe3.l 0r Frllcary Term 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 ttaoh hax’oto a photoatatio oopy of thr Imtru- meat and InvIta your attontlon t6 tha raot that this In- ~8 anaatad to tha rrglratlon date ot the prior atrumnt orlgbml la&me. In rlar oi thaae faota am outllmd, I raapaotitllly l ak war o pI~Ioa on the nPllaIng atatanan~~
“1, Tha rxtrnalon oontraot Mvlng barn faoutad
prior to tha taminatlon 4atr of thr orki-
m;&tmfe,:4 ,mlmary tehp na havIn(5 uth&Isad Mdrr th8 xlat- I* tatutaa, traot am a naw lrara rilr am mehe aompt thr rxtrnalon cm- %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 a that may ba thmor! or then ZI upon auoh ‘p trnaa an oondltlona !r am auoh o8nar ny darn baat, aub- feat onl to tim prov~aIona hereof, and hr mny bavr a arooad an thrroon i aaoaza plymat oi any sum All lraae6 and ralaa ao aabe aball be anal&n- duo hil. lo oil or gas rIghSa ahall be aold lward hare- bla . anarr rot 1088 than ton sent8 par aon psr ar plus and the laaaar purohaaar hnll I n rvrry oaw royalty’, tan ornta pex aopI par Imar aalas and py tbr Strto aad In same or produotlon ntwim shall PI the Statr tha old ridad ma-rfrtarnth oi #hr ralloa of thm 011 and gas raasmd herein, and llln amoumta to tha cwnar ot (Aota 2nd 0,s. 1919, paga 249) .* soil.
The nl0tlOMhip Or th@ SW0 UUI it0 a&$0+ IS WOu dIaouuad Jrdg8 %riOea Opiai68 Of th@ ~PNM ‘oU=t, $.fk *3 I1118 t* *tam; 195 8. % 24 123, pW0 1)). 110. in th. vary fbrt Wmt the Win dlstlnotlon and that u an
Stata fw -8 Cbtrr* plnolpl WOBt Of th. std@ tha arthod Or hl. Pl-OOadU~ iB ~lllng th. tinar.l in the laid was tired bt u%8ta the 1 Ialaturr aa motidad !a the Ballnqaiahunt baw moh an l g e& w A.8. 2. rovlalma0r that aot and not on *a baala or ocm dorrtlon or a!
nhothar hr uoald br danllot in laaln& tha laad or lie ram no mro l alaokd on-that basis raald mot be.
aa an agent than ha mm aalsotod m that basis bt stat8 am an wardrr of laud in qusation. It would harm km eardad to hk what&r ulnt 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 whatlaar hr would k d.rrl1.t In hIa duty or whather hr would not bo danllot. Tho land was nrdd hlr puraualit to tha atato~a hanata~d- I8 rllin& and the atitr, thraqh U Ita lng pollay rOara 8t.t.. in th# njo)Plnt of protaotad hia him aurl’aoa atatr 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, 2). R. 2d 255-272, 1ntuport.d t&a above r0umog mt laths statute
“Tlr ml0 Ia also wrll rttlul that &a&l.- 01~ grmta 0r pro arty rights and prlrllogau arat b oonstmod trl In rare the hat0 on grounds pub110 107, and wh.teu Ia sot w- “p”I . uirwal1.t r OlOW rxplIaIt t.N L gnBk 8ny bl&ulty w thhald. P obaourit~ In Uu torw or tlm tatuto must oporato ti favor of tho state.*
Xn aaaordaao. with th. above IntupntatIona ard in barnco or statutory authority ranted the yrnt, tha atato wad bo bomd by a ODnbraO t or r~tanaIon l ntarod into agent .nd tlu luaor prlcr to the tuelnatlon of tho by th 18.88.
3i. r. aot in ooord with 1Otbr Opinion Of tho Bonorrbl. Qradr Qmndlor , wrItSan on the cocaabar 19s. whorain b etated l4th 3ay of thr 4iWt or
tbt atatr had r-t to gent an orl&il 1-0, also ham the authority to rxacpta .n .xknaion, and roar Pa in hemwith la hanbr overruled. ocmflIpt
Th8 supram Court or this Stato in Umar ~0. @amar, 50 i.m. 26 773, oltad with l ppm81 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, sot, whan f8irly and roaacn-
ably oonatruad, aloo mana t&t Ul dnonla 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 l xcoukd by him broom4 property rl&ta du* for whloh the the period or time
lease tuna. i’rlor to the mnldng tha mIn- oral 1aaaa~ the owner the land has no right ass- or contay a4 mlnaral &t&a Iu the property. Is It the Intention of the law that the, otmor of the land shall be the a ant of tha #tat+ l xoouta mlnaral l~aaa. When- aver a mf noral 3o rar l roouutaa by a prior ownor tormIua- . tos, Thor than ownar of th land beo~caue thr a&#&t, of tha
state with authority to mall laaaa the oil and gas mInora rl&hta, am prorldod for the Rollnqulahmont ht.”
Vo Pdloretand the &lInquiahnnnt iot aa Intarpratod by tha Tons oourta In the above l numaratad oaaaa to hold that aurfaoo owor the duly oonatltutod l gant of stats ror the purpwa 0x0 utbg an ordinary 0oaimroIU 0i.l and gas laaaa laaaIng ~th 08l and gas atato In and under him surfa atata. ‘%a t the uriaoo uanara ahara crl the ronala, royaltIaa, and tha lraao oxaoutd br hla baomo l pro boatma krlrrd fran rty .during tha por:‘.od or tlma ror w&ieh thr loaao rune. &tat rI&ht whanarar tha mriaOa cwnor, ooting am 8gant ai tha eta to In ao- ph& of tha ~linquIahMnt oordanoo with tha protIsIo~ 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 ab the mm ia tiled In the Oonor81 ho ham tharaby xlmuatod him atatutorl uthtarIty LIAIU¶ offloe, to aot theroarter am agent or tha tbta until the tox!mInatIon dat@ of sa.Id ~aaa, or during any tIM -Id Ii in full l@U@ aurf’aoo ounu at l xplr- roroa and rr00t. Or eouruo, ation data or tha loaaa or at auoh tlm whan tharr Is IY) valid 1aa.o oil and gas mlnoral atak In aad andor ooterbg hia landal ha boooami# ‘the duly OOnditUtM g@nt Oi tb @tat@ tho purpona zooutIa8 a mdor the ~lInquIahment Aot far It Is our opinion thoraMn, that W new oil and gas 18~88. attomptod 1ea.o oontraot entered Inb botwoan th* urfioa OIIJLr *5 and thm larmr o? tb mtatr ducl.nij the lit8 poudoxwy of thr plr1mz-y lrera ir voldrbh as 8galnat public p8l%w, as ownar th8n th:-;;mt~o* laob authority to art a* War& for
. sup=,
In tho oaae ti Wats v. LBagnolia, this prin- aipla lw stated In the following lwuaga: to ratlfy adopt
9% etate ir nquimd the unanthorimd act of itr 8up;,o8od rgont but ray npu4lstr aa umuthorlzad and 88k that-they any tbas khan ths eont has ba sot asldo and held ior mu&ht.
rxoradod authority thr oppornito perty is not rntltlrd to hsto the eontract an#orosd 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.“. . . .”
liowsrsr, t&3 faotr in reply to your qu8stlon, uwlrr horn prrrented, thr origbial laaro the priaary tom nm? haring l xrlmd - fho mar agrnt still being tho owner GS tba to enter into a nm lease, land ana now having authority you are arrtborlza4 under the exlstl,y, statutrs alrot to aoorpt pPrportad sxtanrion A# a new lrera or a8 an offer cmtmot If first to rntar into a new leam. the is 8oleoted altornetiva to glv’s it same oara rnd scrutiny th by you, you are nqulred aoeordo4 an orl&ml lmsa. It letter rltaruatlvr is ohosan m nm lease wit!: the tama of the extonslon oontmot exh2bbdied to yco aa %aml8sloner aunt br propend an4 prosent themin of tba General zan4 0fZlor ror your afprovlll.
ahis Gpinion oonflna4 to th8 particular iRots oWted by yai.