Square Mile Energy, LLC v. Pommier

193 So. 3d 1272, 2016 La. App. LEXIS 1080, 2016 WL 3077384
CourtLouisiana Court of Appeal
DecidedJune 1, 2016
DocketNo. 15-807
StatusPublished

This text of 193 So. 3d 1272 (Square Mile Energy, LLC v. Pommier) 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
Square Mile Energy, LLC v. Pommier, 193 So. 3d 1272, 2016 La. App. LEXIS 1080, 2016 WL 3077384 (La. Ct. App. 2016).

Opinion

THIBODEAUX, Chief Judge.

1 t This appeal arises from a concursus proceeding initiated by Square Mile Energy, LLC, (“Square Mile”) against Paul Roy Pommier and Roxanne “Rox” Pommier. Square Mile operates a drilling unit on property that was the subject of an agreement entitled “Partition of Community Property” (“Partition Agreement” or “Agreement”) signed by Paul and Roxanne in 2010 following their divorce in 2007. One provision of the Partition Agreement grants Roxanne a 9.84 acre piece óf land known as “Tract 2” and includes the following clause (“N.B. Clause”): “N.B.: Included in this transfer are any and all mineral rights, when available, to Rox G. Pommier and all surface rights.” Paul and Roxanne disagree on whether the transfer includes an interest in a mineral servitude that Paul inherited as a co-owner in indivi-sión with his siblings.

When Paul and Roxanne were unable to resolve their disagreement on ownership of the mineral rights, Square Mile filed this suit. The trial court ruled that the phrase “when available” rendered the N.B. Clause ambiguous, and then determined, based on parol evidence, that Roxanne and Paul did not intend to transfer ownership of Paul’s interest in the mineral servitude to Roxanne. For the following reasons, we affirm.

[1274]*1274I.

ISSUE.

We must decide whether, by including a clause stating “N.B.: Included in • this transfer are any and all mineral rights, when available, to Rox G. Pommier and all surface rights[,]” Paul and Roxanne intended to transfer a portion Uof the mineral interest co-owned by Paul in indivisión with his siblings to Roxanne.

II.

FACTS AND PROCEDURAL HISTORY

Paul and Roxanne Were married from 1986 to. 2007. In 2001, a Judgment of Possession in the.Succession of Noelia L. Pommier (“Judgment of Possession” or “Judgment”) granted Paul and each of his four siblings a tract of land, with Paul inheriting a 9.84 acre tract known as “Tract 1.” Paul and his siblings also each inherited a one-fifth interest in a mineral servitude burdening all five tracts.of land.

Tract 2 was initially inherited, by Paul’s brother Luby. Ownership of Tract 2 and Luby’s one-fifth interest in the mineral servitude passed to Luby’s daughters (Paul’s nieces), Sue and Deborah Menard, when Luby died. Roxanne and Paul purchased Tract 2 from Sue and Deborah in 2002. However, the sale agreement included a clause in the property description stating: “N.B. All minerals and mineral rights are reserved and the same are not sold or conveyed with the land herein described.”

' Three years after Paul and Roxanne divorced in 2007, they executed the Partition Agreement, the stated purpose of which was to “settle and liquidate the community which formerly existed > between them(,]” Paragraph I of the Agreement stated, in pertinent part:

ROX G. POMMIER hereby receives and PAUL ROY-POMMIER hereby grants, bargains, sells, conveys and delivers ... unto ROX G. POMMIER all of his rights, title and interest in and to the following described property, to-wit:
|al. A certain tract or parcel of land, together wifh all buildings and improvements thereon, and all the rights, ways,', privileges, servitudes, appurtenances an’d advantages thereunto belonging or in anywise appertaining, situated in Section 5, Township 11 South, range 2 East of Vermillion Parish, Louisiana, designated as Tract 2 of the Noelia Le-Blanc Pommier Partition and containing 9.84 acres of ground....
N.B.: Included in this transfer' are any and all mineral rights, when available, to Rox G. Pommier and all surface rights.

Paul and Roxanne disagree on whether the terms -of the Partition Agreement transfer, a portion of Paul’s interest in the mineral servitude to Roxanne. Square Mile, which signed a lease in 2008 to form a drilling unit on the property at issue, was also unable to determine whether Paul and Roxanne intended to transfer a portion of the mineral interest to Roxanne or whether they intended for Paul to retain the whole mineral interest. When Paul and Roxanne were unable to resolve their differences, Square Mile' filed a concursus petition. ' Both Paul and Roxanne filed motions for summary judgment at the trial court. After a hearing, the trial court concluded that the phrase “when available” in paragraph I of the Partition Agreement rendered the N.B. Clause ambiguous. The trial court then looked to parol evidence, including an affidavit' signed by Paul and deposition testimony from Paul and Roxanne. Based on this evidence, the trial court concluded that the parties did not- intend to transfer any portion of the interest in the mineral rights that Paul had inherited to Roxanne. The trial court [1275]*1275granted Paul’s motion for summary judgment and denied Roxanne’s motion. From that trial court judgment, Roxanne filed a timely appeal.

JJII.

LAW AND DISCUSSION

On appeal, Roxanne argues' that since mineral rights were not expressly excepted in the transfer of Tract 2 in the Partition Agreement, the Agreement unambiguously transferred a portion of Paul’s mineral rights to Roxanne. Roxanne interprets the Judgment of Possession as donating to Paul a one-fifth interest in the minerals underlying each of the.-five surface tracts the Judgment donated to Paul and his siblings, including Tract 2. She points to the “fundamental rule of law that a conveyance of land carries with it all of the incidents of ownership, including mineral rights, except such rights as may be expressly reserved.” Roemer v. Caplis, 369 So.2d 1186,1193.(La.App. 2 Cir.1979), writ denied, 371 So.2d 620 (La.1979). Roxanne contends that the phrase “when available” was not an express reservation. Consequently, one-fifth of Paul’s interest in the mineral servitude transferred to her. Alternatively, if this court finds that the agreement is ambiguous within its four corners, Roxanne asserts that there remain genuine issues of material fact regarding the parties’ intent which would preclude a grant of summary judgment in favor of Paul. •

We review a trial court’s decision to grant a motion for summary judgment de novo. Indep. Fire Ins. ,Co. v. Sunbeam Corp., 99-2181, 99-2257 (La.2/29/00)„ 755 So.2d 226. A motion for summary judgment shall be granted if the evidence shows “that there is no genuine issue as to material fact, and that the mover is entitled to summary judgment ás a matter of law.” La.Code Civ.P. art. 966(B)(2), amended by 2015 La. Acts- No. 702, § 1.

Contracts are interpreted to determine the intent of the parties. La.Civ. Code art. 2045; “When the words of a contract are clear and explicit and | Jead to no absurd consequences, no further interpretation may be made in search óf the parties’ intent.” La.Civ.Code art. 2046. Moreover, “[ejach provision in a contract must be interpreted in light of the other provisions[.]” La.Civ.Code art. 2050. Here, the N.B. Clause reads in full: ■ “Included in this transfer are any and all mineral rights, when available, to Rox G.

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Related

Roemer v. Caplis
369 So. 2d 1186 (Louisiana Court of Appeal, 1979)
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Bluebook (online)
193 So. 3d 1272, 2016 La. App. LEXIS 1080, 2016 WL 3077384, Counsel Stack Legal Research, https://law.counselstack.com/opinion/square-mile-energy-llc-v-pommier-lactapp-2016.