Michael Bruce Vaughn, Individually and as Trustee of the G.D. and Sue Vaughn Trust; And Linda Nell Vaughn v. Shelby Isaacs Vaughan and Shaina Isaacs Bostick

CourtCourt of Appeals of Texas
DecidedMarch 27, 2025
Docket11-23-00200-CV
StatusPublished

This text of Michael Bruce Vaughn, Individually and as Trustee of the G.D. and Sue Vaughn Trust; And Linda Nell Vaughn v. Shelby Isaacs Vaughan and Shaina Isaacs Bostick (Michael Bruce Vaughn, Individually and as Trustee of the G.D. and Sue Vaughn Trust; And Linda Nell Vaughn v. Shelby Isaacs Vaughan and Shaina Isaacs Bostick) 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.

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Michael Bruce Vaughn, Individually and as Trustee of the G.D. and Sue Vaughn Trust; And Linda Nell Vaughn v. Shelby Isaacs Vaughan and Shaina Isaacs Bostick, (Tex. Ct. App. 2025).

Opinion

Opinion filed March 27, 2025

In The

Eleventh Court of Appeals __________

No. 11-23-00200-CV __________

MICHAEL BRUCE VAUGHN, INDIVIDUALLY AND AS TRUSTEE OF THE G.D. AND SUE VAUGHN TRUST; AND LINDA NELL VAUGHN, Appellants V. SHELBY ISAACS VAUGHAN AND SHAINA ISAACS BOSTICK, Appellees

On Appeal from the 132nd District Court Borden County, Texas Trial Court Cause No. 1385

OPINION Appellants Michael Bruce Vaughn, Individually and as Trustee of the G.D. and Sue Vaughn Trust, and Linda Nell Vaughn appeal the trial court’s order denying their summary judgment motion and its order granting the summary judgment motion of Appellees Shelby Isaacs Vaughan and Shaina Isaacs Bostick. The parties’ summary judgment motions were based on their respective declaratory judgment actions, which required the trial court to determine whether a contested deed of trust secured a lien on mineral interests in addition to the surface estate of the subject property. We affirm. Factual and Procedural History Tony Mac Isaacs and Douglas Lynn Isaacs jointly owned half a section of land in Borden County. But on July 8, 2004, Tony and Douglas executed a partition deed, which conveyed the surface estate of the half section equally between them— the southeast quarter of the section [SE/4] was conveyed to Douglas and the northeast quarter [NE/4] was conveyed to Tony—while maintaining their mineral interest ownership “jointly in equal undivided shares.” The partition deed further specified that each of them were granted the sole executive right1 in their respective quarter sections. Accordingly, the partition deed excluded any partition of the half section’s mineral interests and easements from the conveyance. On August 19, 2004, Douglas and his wife, Debora Kay, executed a note secured by deed of trust over the property. In pertinent part, the preprinted form deed of trust stated: Borrower irrevocably grants and conveys to Trustee, in trust, with power of sale, the following described property situated in the State of Texas, County or Counties of Borden

See attached Exhibit A for legal description.

together with all rights (including the rights to mining products, gravel, oil, gas, coal[,] or other minerals), interests, easements, fixtures, hereditaments, appurtenances, and improvements now or later attached thereto, the rents, issues[,] and profits thereof, revenues and income therefrom, all water, water rights, and water stock pertaining thereto, 1 “The executive enjoys the exclusive right to make and amend mineral leases and, correspondingly, to negotiate for the payment of bonuses, delay rentals, and royalties, subject to a duty of utmost good faith and fair dealing to non-executive interest holders.” Hysaw v. Dawkins, 483 S.W.3d 1, 9 (Tex. 2016) (citing KCM Fin. LLC v. Bradshaw, 457 S.W.3d 70, 74–75 (Tex. 2015)). 2 and all payments at any time owing to Borrower by virtue of any sale, lease, transfer, or condemnation of any part thereof or interest therein (collectively called “the property”). “Exhibit A,” which was attached on a separate page to the deed of trust, stated: SURFACE ESTATE ONLY:

Being all of the Southeast One-fourth (SE/4) of Section Eight (8), Block Thirty-two (32), Township G North, T&P Ry. Co. Surveys, Borden County, Texas.

SUBJECT TO THE FOLLOWING EXCEPTIONS AND/OR RESERVATIONS:

(a) All outstanding ownership in the oil, gas[,] and other minerals in, on[,] and under that may be produced from the described premises, as such outstanding interest are shown by the records of the County Clerk of Borden County, Texas;

(b) Any outstanding oil, gas[,] and mineral lease or leases upon the premises, which lease or leases appear of record in the office of the County Clerk of Borden County, Texas; and (c) Any and all easements and/or rights-of-way which appear of record in the office of the County Clerk of Borden County, Texas, or which are visible and apparent upon the ground. Douglas and Debora subsequently defaulted on the “note,” 2 and the property was sold at a foreclosure sale and conveyed by a “Deed by Substitute Trustee” (the substitute trustee’s deed) to the Brad and Bruce Vaughn Partnership. Appellees are the heirs of Douglas. Both parties claimed ownership in the mineral interests underneath the SE/4. Appellants argue that the language in the deed of trust that Douglas and Debora executed conveyed Douglas’s interest in the mineral estate

Although the deed of trust specifies that there were five “promissory notes, assumption 2

agreements, and/or shared appreciation agreements” being secured, it provided that such notes or agreements would be collectively referred to as the “note” in the instrument. 3 while Appellees argue that it’s reference to “Surface Estate Only” expressed an intent to only convey the surface estate. To their respective summary judgment motions, both parties attached a copy of the partition deed, the deed of trust with Exhibit A, and the substitute trustee’s deed. Each party argued that deed of trust and instrument construction rules supported summary judgment in their favor. Standard of Review We review a trial court’s grant of a summary judgment de novo. Concho Res., Inc. v. Ellison, 627 S.W.3d 226, 233 (Tex. 2021) (citing Valence Operating Co. v. Dorsett, 164 S.W.3d 656, 661 (Tex. 2005)). To prevail under the traditional summary judgment standard, the movant has the burden to establish that there is no genuine issue of material fact and that it is entitled to judgment as a matter of law. TEX. R. CIV. P. 166a(a), (c); ConocoPhillips Co. v. Koopmann, 547 S.W.3d 858, 865 (Tex. 2018); Provident Life & Accident Ins. Co. v. Knott, 128 S.W.3d 211, 216 (Tex. 2003). If the movant establishes its summary judgment burden, the burden shifts to the nonmovant to present evidence that raises a genuine issue of material fact that would preclude the grant of summary judgment. Amedisys, Inc. v. Kingwood Home Health Care, LLC, 437 S.W.3d 507, 510–11 (Tex. 2014); M.D. Anderson Hosp. & Tumor Inst. v. Willrich, 28 S.W.3d 22, 23 (Tex. 2000). To determine if a genuine issue of material fact exists, we review the evidence in the light most favorable to the nonmovant, and we indulge every reasonable inference and resolve any doubts in the nonmovant’s favor. KMS Retail Rowlett, LP v. City of Rowlett, 593 S.W.3d 175, 181 (Tex. 2019); Knott, 128 S.W.3d at 215. Where, as here, both parties file motions for summary judgment, and the trial court grants one motion and denies the other, we review all of the summary judgment evidence, determine the issues presented, and render the judgment the trial court should have rendered. Lightning Oil Co. v. Anadarko E&P Onshore, LLC, 520 4 S.W.3d 39, 45 (Tex. 2017); Merriman v. XTO Energy, Inc., 407 S.W.3d 244, 248 (Tex. 2013); Solaris Oilfield Site Servs. Oper LLC v. Brown Cnty. Appraisal Dist., 688 S.W.3d 918, 924 (Tex. App.—Eastland 2024, no pet. h.); Pacer Energy, Ltd. v. Endeavor Energy Res., LP, 675 S.W.3d 390, 393 (Tex. App.—Eastland 2023, pet. denied). Applicable Law This case concerns the proper interpretation of conveyance documents. A deed of trust is governed by the same rules applied to other written instruments, such as contracts or deeds. Fin. Freedom Sr. Funding Corp. v. Horrocks, 294 S.W.3d 749, 753 (Tex. App.—Houston [14th Dist.] 2009, no pet.) (citing Robinson v. Saxon Mortg. Servs., Inc., 240 S.W.3d 311, 313 (Tex.

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Michael Bruce Vaughn, Individually and as Trustee of the G.D. and Sue Vaughn Trust; And Linda Nell Vaughn v. Shelby Isaacs Vaughan and Shaina Isaacs Bostick, Counsel Stack Legal Research, https://law.counselstack.com/opinion/michael-bruce-vaughn-individually-and-as-trustee-of-the-gd-and-sue-texapp-2025.