litigation.png

Ownership of real property is evidenced primarily by public records filed with the county clerk’s office or sometimes with the court clerk’s office. These records extend back to the early 1900s or even farther. Taking into account this range of time, along with the myriad of possible filings related to oil and gas operations, determining ownership for a single tract of land often entails examining hundreds of separate documents. As a result, there is an inherent challenge when third parties reference the public records in order to determine who owns the minerals underlying a particular tract of land.

And then there is the problem of interpretation: a deed or contract decades old must be given a legal effect by a third party unfamiliar with the intentions of the parties. For example, a deed may attempt to reserve ½ of the mineral estate, as agreed upon by the parties. However, due to an ambiguity, the reservation is unclear. The third party examining the record must make a decision as to how the deed will be interpreted today.

In essence, much can (and does) go wrong during the course of a title examination, potentially leading to the improper payments of royalties or bonus monies. For this reason, C&V always approaches conflicting claims of ownership with the understanding that a mistake may have been made or a particular document may not have been accurately interpreted. Furthermore, C&V approaches any dispute – whether it be related to the ownership of minerals or whether it be related to the distribution of proceeds from the sale of production – by first seeking resolution through voluntary negotiations. However, C&V recognizes the unwelcome reality that some disputes may require the instigation of legal proceedings.

C&V gives free consultations for any oil and gas or real property matter that may involve litigation, providing our prospective clients with as much information as possible before pursing a resolution through legal counsel. For additional information, please contact us.