(1)For purposes of this
section:
(a)Mineral estate means a mineral interest in real property.
(b)Severed means that the surface owner does not own all or any part of
the mineral estate.
(c)Surface estate means an interest in real property that does not include
the full mineral estate as shown by recorded documents that impart constructive
notice in the office of the clerk and recorder of the county in which the real
property is situated.
(d)Surface owner means the owner of the surface estate and any
purchaser with rights under a contract to purchase all or part of the surface estate.
(2)A title insurance agent or title insurance company shall provide, as part
of each title commitment for the issuance of an owner's title insurance policy, the
following written statement w
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(1) For purposes of this
section:
(a) Mineral estate means a mineral interest in real property.
(b) Severed means that the surface owner does not own all or any part of
the mineral estate.
(c) Surface estate means an interest in real property that does not include
the full mineral estate as shown by recorded documents that impart constructive
notice in the office of the clerk and recorder of the county in which the real
property is situated.
(d) Surface owner means the owner of the surface estate and any
purchaser with rights under a contract to purchase all or part of the surface estate.
(2) A title insurance agent or title insurance company shall provide, as part
of each title commitment for the issuance of an owner's title insurance policy, the
following written statement when it is determined that a mineral estate has been
severed from the surface estate:
(a) That there is recorded evidence that a mineral estate has been severed,
leased, or otherwise conveyed from the surface estate and that there is a
substantial likelihood that a third party holds some or all interest in oil, gas, other
minerals, or geothermal energy in the property; and
(b) That such mineral estate may include the right to enter and use the
property without the surface owner's permission.
(3) In determining compliance with this section, a title insurance agent or
title insurance company may rely on recorded documents that impart constructive
notice in the office of the clerk and recorder of the county in which the real
property is situated and shall not be liable for any errors or omissions in such
records.
(4) A title insurance company or title insurance agent may rely on any
document purporting to sever mineral interests to act as notice of such severance
when such document is recorded in the office of the county clerk and recorder in
the county in which the real property is situated.
(5) A title insurance agent or title insurance company shall be deemed to be
in compliance with this section when it relies on any document purporting to sever
mineral interests or to act as notice of such severance when such document is
recorded in the office of the county clerk and recorder of the county in which the
real property is situated. No title insurance agent or title insurance company shall
be liable for obligations above, or for an amount in excess of, those stated in the
owner's policy of title insurance issued pursuant to the commitment for failure to
comply with the provision of subsection (2) of this section.