EDC v. Quality Environmental Processes, Inc.

777 So. 2d 481
CourtLouisiana Court of Appeal
DecidedDecember 4, 2000
Docket00-CA-314
StatusPublished
Cited by6 cases

This text of 777 So. 2d 481 (EDC v. Quality Environmental Processes, Inc.) is published on Counsel Stack Legal Research, covering Louisiana Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
EDC v. Quality Environmental Processes, Inc., 777 So. 2d 481 (La. Ct. App. 2000).

Opinion

777 So.2d 481 (2000)

ENERGY DEVELOPMENT CORPORATION
v.
QUALITY ENVIRONMENTAL PROCESSES, INC., Michael X. St. Martin, and Virginia Rayne St. Martin.

No. 00-CA-314.

Court of Appeal of Louisiana, Fifth Circuit.

December 4, 2000.
Writ Denied March 9, 2001.

*482 A.J. Gray, III, The Gray Law Firm, Lake Charles, LA, John M. Mamoulides, Metairie, LA, Counsel for defendant-appellee.

James A. Barton, III, David R. Richardson, John F. Whitney, Barton Richardson, Canseco & Whitney, L.L.P., New Orleans, Louisiana, Raymond Hoffman, Jr., Metairie, Louisiana, Counsel for plaintiff-appellant.

Court composed of Judges SOL GOTHARD, CLARENCE E. McMANUS, and H. CHARLES GAUDIN, Pro Tem.

GAUDIN, Judge Pro Tem.

Plaintiff/appellant Energy Development Corporation ("EDC") appeals from a district court judgment extinguishing its mineral servitude and/or mineral rights on land owned by defendants/appellees Michael X. St. Martin and Virginia R. St. Martin ("St. Martin group") in Terrebonne Parish. Defendant/appellee Quality Environmental Processes, Inc. claims a mineral interest acquired from the St. Martins.

The trial judge in the 24th Judicial District Court found that the servitudes were extinguished by prescription based on 10 years of nonuse.

We affirm. A reversal in this complex boundary dispute would require an impermissible substitution of our judgment for that by the trial court, there being no manifest error.

Each side called a professional land surveyor. In a case-deciding credibility evaluation, the trial judge found the St. Martin group's expert more persuasive, particularly with regard to the single, contiguous nature of the area claimed by EDC as opposed to the noncontiguousness of the same property as advocated by the St. Martin group.

This case involves a dispute over mineral servitude and/or mineral rights on land known as the "Protective Area" and the "Productive Area" in the Sunrise Field Area. The "Productive Area" is situated within the "Protective Area."

In a deed dated August 31, 1966, Southdown, Inc. conveyed to Southdown Exploration, Inc., the right to oil, gas and other minerals within the "Productive Area." Southdown, Inc. was also obligated to convey rights, title and interest in and to any sand in the "Protective Area" when and if such sand is productive or capable of production of oil, gas or other minerals. Attached to and made part of the August 31, 1966 document (the consideration for which was $1,000.00) are eight maps or sketches but no surveys showing numerous areas in St. James, Lafourche and Ascension parishes as well as Terrebonne Parish. Also part of the August 31, 1966 deed is a listing of approximately 60 areas covered by the document.

By name change dated April 25, 1967, Southdown Exploration, Inc. became Southdown Burmah Oil Company. Southdown transferred 40 percent of all its assets, including the mineral servitude and mineral rights acquired under the August 31, 1966 deed, to Pelto Oil Company. By name change dated February 12, 1970, Southdown Burmah Oil Company became Burmah Oil Development, Inc.

On June 17, 1970, Southdown, Inc. sold its fee title interest to all of its land, including the lands located in all "Productive Areas" and "Protective Areas" to Southdown Lands, Inc. which, by deed dated May 3, 1971, purported to convey to Pelto Oil Company a mineral servitude covering all of its interest in and to all oil, gas and minerals in the lands then owned by Southdown Lands, Inc., including those lands located in the "Protective Area" of *483 the Sunrise Field Area. This deed contained this express exception:

"There is excepted from the conveyance here made all lands and mineral rights heretofore conveyed or transferred by Vendor or its predecessors in title to third parties or terminated by prescription."

Pelto Oil Company is the ancestor in title of EDC. The St. Martins acquired the land located in the Sunrise Field Area, subject to any mineral servitudes and mineral rights presently in existence, on June 23, 1992. Quality Environmental Quality acquired its ownership interest in 1994. As landowners, they are attempting to enforce the 10-year prescription of nonuse stated in LSA-R.S. 31:16, which is Article 16 of the Louisiana Mineral Code. EDC, claiming mineral servitudes, bears the burden of showing that its rights have been sufficiently used to prevent the accrual of prescription, as stated in Article 764 of the Louisiana Mineral Code.

Consideration for the May 3, 1971 conveyance to Pelto Oil Company was $100.00. Attached to this deed was a listing of 28 properties and five amendments, including this reference to lands concerned with the present case:

Terrebonne COB 496 Entry No. 383344

All of the other listings were in three State of Mississippi counties or in numerous Louisiana parishes other than Terrebonne.

On June 5, 1997, the St. Martin group informed EDC that it sought to extinguish any mineral rights EDC might have in the "Protective Area" due to a 10-year prescription of nonuse. In response, EDC filed a petition for declaratory judgment and permanent injunction on July 7, 1997. In the petition, EDC alleged that its mineral rights and servitudes were not extinguished by the terms of the 1966 conveyance, but rather were governed by the 1971 conveyance and had not prescribed by 10 years of nonuse. On August 5, 1997, the St. Martin group filed an answer and reconventional demand against EDC. On August 26, 1997, EDC filed an answer to the reconventional demand.

The St. Martin group filed a motion for summary judgment on February 2, 1998. EDC filed its motion for summary judgment on April 9, 1998. Both motions were heard on May 1, 1998. On June 15, 1998, the trial judge rendered written judgment with reasons granting the St. Martin group's motion for summary judgment and denying EDC's motion. The trial court ruled that the mineral servitudes and rights burdening the "Protective Area" stemmed from the 1966 conveyance and that these mineral servitudes and rights had been extinguished by prescription based upon 10 years of nonuse.

EDC appealed the June 15, 1998 ruling granting summary judgment in favor of the St. Martin group. On May 19, 1999, the Fifth Circuit Court of Appeal vacated the judgment of the trial court and remanded the case for further proceedings. This Court found that there were material issues of fact in dispute as to the nature, extent and prescription of EDC's mineral rights in the "Protective Area" pursuant to the 1971 conveyance to Pelto.

On remand, the merits of this case were heard on October 25-27, 1999. On December 17, 1999, the trial court issued its written judgment with reasons in favor of the St. Martin group and against EDC. The trial court ruled that the mineral servitudes and rights burdening the "Protective Area" of the Sunrise Field Area stemmed from the 1966 conveyance and that those mineral servitudes or rights had been extinguished by prescription based on 10 years of nonuse. The trial judge also found (1) that the area claimed by EDC was not one large contiguous area and (2) that the omnibus property description attached to the 1971 conveyance was not adequate to put third parties on notice as to which properties were being encumbered.

*484 On appeal, EDC assigns these district court errors:

(1) The trial judge refused to follow this Court's May 9, 1999 opinion in which was established "the law of the case,";

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Quality Environmental Processes, Inc. v. I.P. Petroleum Co.
144 So. 3d 1011 (Louisiana Court of Appeal, 2014)
Energy Development Corp. v. Quality Environmental Processes, Inc.
834 So. 2d 513 (Louisiana Court of Appeal, 2002)
Mandalay Oil & Gas v. Energy Develop. Corp.
867 So. 2d 709 (Louisiana Court of Appeal, 2002)
Energy Development Corp. v. St. Martin
296 F.3d 356 (Fifth Circuit, 2002)

Cite This Page — Counsel Stack

Bluebook (online)
777 So. 2d 481, Counsel Stack Legal Research, https://law.counselstack.com/opinion/edc-v-quality-environmental-processes-inc-lactapp-2000.