Lenard v. Shell Oil Co.

29 So. 2d 844, 211 La. 265, 1947 La. LEXIS 755
CourtSupreme Court of Louisiana
DecidedFebruary 10, 1947
DocketNo. 38094.
StatusPublished
Cited by22 cases

This text of 29 So. 2d 844 (Lenard v. Shell Oil Co.) is published on Counsel Stack Legal Research, covering Supreme Court of Louisiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Lenard v. Shell Oil Co., 29 So. 2d 844, 211 La. 265, 1947 La. LEXIS 755 (La. 1947).

Opinions

O’NIELL, Chief Justice.

This is an action for slander of title of a tract of land of which the plaintiff has possession as owner. The land comprises the 30 acres described as the W% of SEJ4 of the SW% of Section 19, T. 15 N., R. 3 E., in Caldwell Parish. The plaintiff claims that as possessor of the land he possesses also the mineral rights in the land, and claims therefore that he has acquired title to the mineral rights from the defendants by the prescription of 10 years acquirendi causa. He charges that the defendants, who had a mineral servitude on a large tract of land of which his 30-acre tradt forms a part, are now slandering his title by claiming the mineral servitude on his 30 acres of land.

The defendants, Shell Oil Company, Inc., Louisiana Central Oil and Gas Company and Louisiana Central Lumber Company, i'n their answer to the suit admitted that the plaintiff was in possession as owner of the surface of the 30 acres of land but denied that he was in possession of any minerals or mineral interest in the land. They averred that they were the owners and possessors of a mineral servitude on the 30 acres of land. After trial of the case the court gave judgment for the plaintiff, ordering the defendants to disclaim any and all interest in the 30 acres of land, and particularly in the mineral servitude or mineral rights therein, unless they would assert their claim by an action in revendication within 30 days. The basis for the judgment was the court’s finding that, although there had been a severance of the mineral rights from the land, and although the defendants had become thereby the owners of the mineral rights or mineral servitude on the land, the plaintiff by virtue of his possession of the land itself for , more than 10 years had acquired title to the mineral rights by the prescription of 10 years acquirendi causa. The defendants are appealing from the decision.

The parties submitted the case on a stipulation of facts, supplemented by certain documentary evidence and by the testimony of one witness, whose 'testimony was confined to the extent of the drilling operations conducted by him as lessee of one of the defendants, Louisiana Central Oil and Gas Company.

On March 15, 1926, the Louisiana Central Lumber Company, being the owner of a vast area of land, approximately 80,-000 acres, free of any mineral servitude, including the 30 acres now owned by the plaintiff, transferred the whole 80,000 acres to the Brown Paper Mill Company, re *270 serving to the Louisiana Central Lumber Company all of the mineral rights in the land transferred. On May 25, 1926, the mineral rights reserved by the Louisiana Central Lumber Company in its sale to the Brown Paper Mill Company were transferred to the Louisiana Central Oil and Gas Company. Both transfers were recorded promptly. On September 5, 1929, by an act of exchange, the Brown Paper Mill Company transferred to Dentis Pan-key Lenard, who is the plaintiff in this suit, the 30 acres of land in which he now ’claims the mineral rights. In the latter transfer, from the Brown Paper Mill Company to Lenard, there was no mention of the mineral rights having been reserved by the Louisiana Central Lumber Com,pany in its sale to the Brown Paper Mill Company on March 15, 1926, nor did the .plaintiff have actual knowledge of the reservation of the mineral rights by the Louisiana Central Lumber Company, notwithstanding the reservation made by the latter on March 15, 1926, and the sale made to the Brown Paper Mill Company were duly recorded in the Conveyance Records. Lenard, the plaintiff in this suit, went into possession of his 30 acres of land immediately after, acquiring the title from the Brown Paper Mill Company and has had possession .of the surface of the 30 acres of land continuously since that time. The plaintiff, however, has never conducted or attempted to conduct any mining operations for the discovery of oil or gas or other minerals on the 30_ acres of land, nor has anyone as lessee of the plaintiff conducted or attempted to conduct any such operations.

On December 20, 1935, within the 10 years immediately following the mineral ■reservation made by the Louisiana Central Lumber Company in its sale to the Brown Paper Mill Company, a mineral lessee, named G. W. Zeigen, holding a lease from the Louisiana Central Oil and Gas Company, commenced drilling a well for oil or gas on a part of the large area of land covered by the mineral reservation made by the Louisiana Central Oil and Gas Company on March 15, 1926, but not on the •30 acres owned by Lenard, plaintiff in this suit.' The well was drilled to a depth suf-. ficient to constitute a fair test but was finally abandoned as a dry hole. Thereafter a series of wells were drilled by Zeigen and other mineral lessees of the Louisiana Central Oil and Gas Company - on the large area of land of which the plaintiff’s 30 acres formed a part, but no well was drilled on the plaintiff’s 30 acres. The last of the series of wells drilled on any part of the large area of land, under authority of the mineral reservation made in the sale by the Louisiana Central Lumber Company to the Brown Paper Mill Company, dated March 15, 1926, was being drilled by or for one of the defendants in this suit, Shell Oil Company, Inc., at the time of the trial of this case.

■The question presented for decision- by this statement of facts is whether the min *272 eral rights in the 30 acres of land owned by the plaintiff were in the possession of the plaintiff or in the possession of the defendants at the time when this suit was filed.

The plaintiff sets forth four propositions as the basis for his suit; all of which propositions were rejected by the trial judge, and are listed in his reasons for judgment, as follows: (1) That it is against public policy to permit the reservation or creation of a mineral servitude on so vast an area of land as 80,000 acres; (2) that the well drilled by the lessee, Zeigen, which was commenced on December 20, 1935, was not drilled to a depth sufficient to constitute evidence of good faith in the exercise of the mineral servitude reserved by the Louisiana Central Lumber Company in its transfer of the land to the Brown Paper Mill Company on March 15, 1926; (3) that the drilling of the wells by the defendants or their lessees did not constitute an exercise of their mineral servitude on the plaintiff’s 30 acres of land because the wells were drilled too far away to affect any oil or gas that might be beneath the surface of the plaintiff’s 30-acre tract; (4) that, even if the defendants acquired possession of the servitude or mineral rights on any portion of the 80,000 acres of land by the drilling of the wells referred to, they did not acquire possession of the servitude or mineral rights on the 30 acres of land owned by the plaintiff, because his possession of the land itself existed from a time previous to the drilling of the wells.

The district judge, having decided against the plaintiff on all of the four propositions enumerated, decided in his favor on ■ the point that his possession of the surface of his 30 acres of land gave him possession also of the mineral rights in the land, notwithstanding the defendants’ drilling operations on other parts of the large area covered by their servitude.

A question similar to the one presented in this case was presented in the case of International Paper Company v. Louisiana Central Lumber Company, 202 La. 621, at page 625, 12 So.2d 659, at page 660, where it was said:

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Bluebook (online)
29 So. 2d 844, 211 La. 265, 1947 La. LEXIS 755, Counsel Stack Legal Research, https://law.counselstack.com/opinion/lenard-v-shell-oil-co-la-1947.