Pennsylvania High Court Takes Up Minerals Rights Case in Marcellus

摘要

For the first time in more than 50 years, the Pennsylvania high court has taken up the 130-year-old Dunham Rule that governs land transfers of oil and natural gas rights. The rule serves as the foundation for many Marcellus Shale leases. Last week, the Pennsylvania Supreme Court heard the case of a couple who are challenging an intermediate appeals court ruling that questions how deeds transferring mineral rights ownership can be worded. At issue is an 1881 deed governing 244 acres in the Apola-con Township of Susquehanna County. In writing the deed, Charles Powers transferred to his heirs half the oil and mineral rights for the land, which can be separated from surface rights under Pennsylvania law.