Devon Energy Production Company, L.P. v. McClure Oil Company, Inc. and Fina 945 L.C.

CourtCourt of Appeals of Texas
DecidedJune 12, 2025
Docket11-23-00083-CV
StatusPublished

This text of Devon Energy Production Company, L.P. v. McClure Oil Company, Inc. and Fina 945 L.C. (Devon Energy Production Company, L.P. v. McClure Oil Company, Inc. and Fina 945 L.C.) is published on Counsel Stack Legal Research, covering Court of Appeals of Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Devon Energy Production Company, L.P. v. McClure Oil Company, Inc. and Fina 945 L.C., (Tex. Ct. App. 2025).

Opinion

Opinion filed June 12, 2025

In The

Eleventh Court of Appeals __________

No. 11-23-00083-CV __________

DEVON ENERGY PRODUCTION COMPANY, L.P., Appellant V. MCCLURE OIL COMPANY, INC. AND FINA 945 L.C., Appellees AND

DRIVER PRODUCTION, L.P. AND GRAHAM SONS MINERALS, LLC, Appellants V. DEVON ENERGY PRODUCTION COMPANY, L.P., ET AL., Appellees

On Appeal from the 118th District Court Glasscock County, Texas Trial Court Cause No. 1895

OPINION This appeal concerns, among other things, the ownership of certain mineral and oil and gas royalty interests in five sections located in Glasscock County, and how a summary judgment movant’s pleading irregularities may affect the propriety of a trial court’s order that grants relief based on such deficiencies. Central to the parties’ dispute is whether a prevailing summary judgment movant is entitled to recover a nonpossessory oil and gas interest when the pleadings that were filed— and relied on by that party at the time the trial court granted relief—do not support the recovery that the moving party requested. A myriad of claims have been asserted by the parties in this case. The origin of the parties’ primary conflict focuses on deed priority—two competing deeds from the same grantor, which purport to convey some of the same interests. Here, the deed that was executed first was the second-in-time to be recorded, and vice versa. The trial court ultimately determined that the first-executed but second-recorded deed (the Dean Deed) prevailed over the second-executed but first-recorded deed (the Boston Deed), rejected the affirmative defenses raised by the successors under the junior deed, and awarded title to the various interests claimed by the successors under the prevailing deed. Two of the three Appellants in this appeal raise overlapping issues. In four issues, Appellant, Driver Production, L.P., asserts that: (1) the trial court erred when it reversed its long-standing deed-priority order and failed to acknowledge Driver’s predecessor’s status as a bona fide purchaser (BFP) of the disputed interest, (2) Appellees failed to carry the burden of proof on their trespass-to-try-title claims, (3) the trial court erred when it denied Driver’s motion for summary judgment on its affirmative defenses, and (4) the trial court erred when it determined and declared that, alternatively, if the Dean claimants’ deed-priority claim failed, their royalty interest survived as a “floating” 1/8 interest.

2 In three issues, Appellant, Graham Sons Minerals, LLC: (1) challenges the trial court’s deed-priority determination and its predecessor’s status as a BFP, (2) asserts that the royalty reservation in the Boston Deed is a “fixed” rather than a “floating” interest, and (3) contends that if we conclude that the Boston Deed takes priority and reserved a “fixed” royalty interest, it would be entitled to judgment to quiet title to its disputed interest in the south half of Section 21. Finally, and separately, Appellant, Devon Energy Production Company, L.P.,1 raises two issues, that the trial court erred when it granted summary judgment against Devon: (1) on its claim for declaratory relief against Appellees, McClure Oil Company, Inc. and Fina 945 L.C., and (2) on grounds not presented in the motion. We conclude that when the trial court granted a partial summary judgment early in the litigation and found that the Dean Deed prevailed over the Boston Deed (the deed-priority finding), most of the prevailing movants (including most of the Appellees here) had not filed pleadings that supported the relief granted to them. Further, when the trial court subsequently granted summary judgments on other issues in favor of the same movants and in turn incorporated each of its summary judgment rulings in the case into its final judgment that awarded nonpossessory oil and gas interests to the prevailing parties, the original deed priority “pleadings- relief” deficiency infected the trial court’s subsequent judgments. Our analysis that follows includes substantial detail regarding the procedural particulars that developed throughout the progression of this case. This, we believe, is necessary to illustrate why we reach the disposition that we do with respect to each party on appeal. Because the parties to this appeal, which are numerous, advance contrary positions regarding the pleadings-relief issue that we highlight, and the development and exacerbation of this issue over the course of the parties’ subsequent

1 Devon is also a Cross-Appellee and an adverse party to Driver and Graham Sons. 3 motion practice, careful examination of the parties’ strategies and arguments is warranted. To that end, we first review the motion for partial summary judgment that sought a deed priority determination (the deed-priority motion), the pleadings that were filed and relied on by the summary judgment movants at the time the trial court granted that motion, the orders signed by the trial court that incorporated its rulings, and the various arguments advanced by the parties during that stage of the proceedings. We next examine how the impropriety in that summary judgment ruling, and the trial court’s orders that followed, affected the subsequent stages of the parties’ motion practice, including the motions for summary judgment that addressed affirmative defenses and title claims, throughout which the parties’ arguments focused, developed, and shifted around the pleadings-relief issue. We then close the primary portion of this appeal by assessing how the pleadings-relief deficiency in the deed-priority motion affected the trial court’s final judgment, as informed by the parties’ subsequent motion practice that orbited around that issue. Finally, we address Devon’s appeal against McClure and Fina 945. Thus, we provide an extensive and detailed review of the trial court proceedings because, in some instances, a pleading defect is not fatal to the relief that is granted by a trial court in its final judgment—namely, circumstances that concern the difference between asserting a claim for trespass-to-try-title and one in which a claim for declaratory relief is asserted. But here, we cannot ignore its import to the disposition of this appeal. Therefore, for the reasons we explain below, we affirm in part, and we reverse and remand in part. I. Factual Background In 1928, J.V. Heyser owned an undivided one-half of the minerals in Sections 19, 21, 29, 31 and 33, Block 34, T-4-S, T&P Ry. Co. Survey, in Glasscock 4 County. By a deed dated January 17, 1928, Heyser conveyed to T.J. Dean a “three eighths interest in and to all of the oil, gas, and other minerals in and under and that may be produced from” the property. This deed, referred to by the parties either as the “First Heyser Deed” or the “Dean Deed,” was recorded on February 14, 1928. By a second deed, dated February 1, 1928, Heyser conveyed all of his interest in the property to R.L. Boston. This deed, referred to by the parties as either the “Second Heyser Deed” or the “Boston Deed,” was recorded on February 4, 1928. The Boston Deed contains a reservation unto the grantor (Heyser): three eighths (3/8) of all the oil royalty, gas rentals and royalties which may become due and payable under the present outstanding oil and gas leases upon the above described land, and also reserving to the Grantor herein, three-eighths (3/8) of the usual one-eighth (1/8) royalty in oil and gas in and under all future oil and gas leases which may be placed upon said lands after the cancellation and forfeiture of the present outstanding leases. Each of the parties to this appeal traces its chain of title to the subject property from either the Dean Deed or the Boston Deed.

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Bluebook (online)
Devon Energy Production Company, L.P. v. McClure Oil Company, Inc. and Fina 945 L.C., Counsel Stack Legal Research, https://law.counselstack.com/opinion/devon-energy-production-company-lp-v-mcclure-oil-company-inc-and-fina-texapp-2025.