Royalty and Royalty Interests: Classification

摘要

In 1929, Lewellen executes an oil and gas lease to Wagner. From 1983 to 1986 various Brazoria County taxing entities sought to foreclose tax liens on the surface estate on those same lands. The original lease is still alive and production is ongoing. While doing so they sued the original lessee and her child both of whom had died many years prior to the foreclosure action. The taxing entities at the time of the foreclosure maintained separate accounts for taxes owed on the severed mineral estate and the royalty interest. In 1998, the taxing entities conveyed the land to Pounds. By 2000, Lewellen's successors and the Pounds were disputing ownership of the royalty payments. The lessee places the royalty into the registry of the court by filing a petition in interpleader. The trial court grants the Lewellen successors' summary judgment motion. Held: affirmed.