Allen v. Amoco Production Co.

833 P.2d 1199, 114 N.M. 18
CourtNew Mexico Court of Appeals
DecidedMay 19, 1992
Docket12053
StatusPublished
Cited by13 cases

This text of 833 P.2d 1199 (Allen v. Amoco Production Co.) is published on Counsel Stack Legal Research, covering New Mexico Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Allen v. Amoco Production Co., 833 P.2d 1199, 114 N.M. 18 (N.M. Ct. App. 1992).

Opinion

OPINION

CHAVEZ, Judge.

This appeal arises from the dismissal of plaintiff’s suit to quiet title and the entry of an order granting summary judgment in favor of third-party plaintiffs pursuant to their counterclaim and third-party complaint. Plaintiff, surviving spouse of a personal representative appointed to administer the will of a deceased Colorado resident, sought to quiet title to an undivided one-half interest in the mineral rights located in San Juan County, New Mexico. Defendant, Amoco Production Company, not a party to this appeal, has retained royalties obtained from the exploitation of those rights, holding them for payment to the party eventually prevailing in this matter. The other defendants are heirs under the Colorado will. Some of them sought affirmative relief in the form of quiet title in their favor to the one-half interest in the mineral rights. The trial court granted defendants’ motion for summary judgment. We affirm.

FACTS

In 1972, James E. Allen (decedent) conveyed the San Juan County property to a third party but retained one-half interest in the mineral rights to that parcel. He died in Durango, Colorado, leaving a will devising all his estate to his relatives, including one of his sons, Osborn Allen, and appointing Osborn Allen executor. The will additionally granted the executor the power to settle the estate in part by disposing of the estate’s real property. After a Colorado court formally appointed Osborn Allen executor, he borrowed money and purchased for himself and his spouse the one-half interest in the San Juan County mineral rights plus the remaining interest in the contract with the third party, on which it was still paying. The executor’s deed was issued on July 18,1974, but was not recorded until April 3, 1977. Plaintiff’s husband died shortly after executing the deed. The personal representative appointed to administer decedent’s estate in Colorado did not initiate ancillary probate proceedings in New Mexico or comply with any of the provisions of NMSA 1953, Chapter 31, article 2.

After plaintiff filed her suit to quiet title in New Mexico, other heirs of decedent filed a counterclaim, cross-claim and third-party complaint in the district court requesting that (1) ancillary estate proceedings be opened in New Mexico, and (2) that title to decedent’s mineral rights be quieted in the name of counterclaimants and third-party plaintiffs. In granting the summary judgment, the trial court admitted the will to probate in San Juan County.

DISCUSSION

The issue in this case is whether the power to convey that decedent granted the executor in the will legitimizes the mineral rights sale in New Mexico although there was never an ancillary probate proceeding here. Plaintiff makes clear that she relies on the power to sell in decedent’s will, not the Colorado probate appointment of Osborn Allen as executor. Because this is the -extent of the argument in plaintiff’s brief, we discuss nothing more. Plaintiff does not assert on appeal, nor did she argue to the court below, that even if the executor’s deed upon which she relies to establish her title to the New Mexico property was void, it nevertheless constituted colorable title permitting her to claim title by adverse possession. Cf. Romero v. Garcia, 89 N.M. 1, 546 P.2d 66 (1976) (void deed held sufficient for purpose of establishing color of title in suit to quiet title by adverse possession).

The first theory that plaintiff advances in support of her claim that the executor’s deed issued in Colorado was valid, is that this state has adopted legislation recognizing an executor’s power to sell real property of an estate when a will authorizes such a power to sell. See NMSA 1953, Section 31-5-5; see also NMSA 1978, § 45-3-711 (Repl.Pamp.1989). She also states that there is statutory authority proclaiming all real estate transactions of an executor to be “good and valid” sales. See NMSA 1953, § 31-7-9. From this statutory authority, she states that by virtue of the will itself the executor’s transfer of the mineral rights to himself and plaintiff was also “good and valid.”

Defendants and third-party plaintiffs do not dispute that the power to sell is a valid provision of decedent’s will. They also agree that in the usual case, the sale of real estate to settle an estate is “good and valid.” However, defendants argue that the probate statutory scheme that applies to the subject will renders inapplicable the validating statutes we described in the preceding paragraphs. We agree.

Two points form the foundation of defendants’ argument. First, defendants state that the provision granting the executor the power to sell obtains its vitality from probate. Defendants argue that the power of sale contained in decedent’s will does not permit a domiciliary executor appointed in Colorado to dispose of an interest in realty situate in New Mexico unless ancillary probate proceedings are commenced in this state. Defendants also assert that if a will has independent vitality apart from probate, the provisions of this state’s Uniform Probate Code and the protection extended to creditors are rendered meaningless. We agree. The executor’s power is derivative of the effect a trial court gives a will by probating it. The law of New Mexico, prior to the adoption of the Uniform Probate Code, provides no direct guidance on this question. But see generally 3 William J. Bowe & Douglas J. Parker, Page on the Law of Wills §§ 28.4, 28.12 (rev. treatise 1961) (probate within state of real estate situs must occur to validate transfer of title by executor of foreign will). Defendants persuasively state, however, that if a will has independent vitality apart from probate, much of the Uniform Probate Code would be useless. For instance, the legislature devoted an entire chapter to ancillary probate. This includes provisions requiring the foreign executor to obtain a bond, receive ancillary letters testamentary, and be subject to suit and service of process. See NMSA 1953, §§ 31-2-1 to -9; see also NMSA 1978, §§ 45-4-101 to -303 (Repl.Pamp.1989). If a will was effective even absent probate, then there would have been no need for the legislature to have enacted the ancillary probate provisions.

We cannot construe statutes so as to impute the legislature with useless acts. See Consolidated Freightways, Inc. v. Subsequent Injury Fund, 110 N.M. 201, 793 P.2d 1354 (Ct.App.1990). The legislature enacted the ancillary probate system for a reason. That reason is patently to provide a way to assure that a will is valid and that an executor proceeds according to law. Plaintiff cites to cases from other jurisdictions suggesting that property transactions by a foreign executor are legitimate even without probate. See Oglevie v. Stasser, 1 Kan.App.2d 315, 564 P.2d 563 (1977); Adams v. Duncan, 147 Tex. 332, 215 S.W.2d 599 (1948). Defendants accurately distinguish these cases as involving some invocation of process in the state where the real estate was located. This process legitimized the will, and related back to the time of the property transaction to legitimize it as well.

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Cite This Page — Counsel Stack

Bluebook (online)
833 P.2d 1199, 114 N.M. 18, Counsel Stack Legal Research, https://law.counselstack.com/opinion/allen-v-amoco-production-co-nmctapp-1992.