§ 32-23-13-10 — Lease payments; distribution of funds

(a) Any payment that is owed by the
adjacent mineral producer petitioner under a mineral lease executed
with the trustee shall be paid by the petitioner to the clerk of the court.
(b) A person that wishes to claim the funds described in subsection
(a) must file a verified claim with the court setting out the interest of
the claimant and the basis for the claim. A notice of the filing of the
claim shall be served on the adjacent mineral producer or the
producer's successors or assigns and any record owner of the overlying
surface land. The court shall determine any other persons who shall
receive notice of the filing of the claim.
(c) The court:
(1) shall hear evidence and determine whether the claimant is
entitled to the funds and issue an order to the clerk accordingly;
and
(2) may determine whether future payments should be made by
the petitioner directly to the claimant.
(d) If a successful claim is not made under this section for the funds
within seven (7) years from the clerk's first receipt of any funds, the
clerk shall distribute all the funds received and petitioner shall make
any future payments as follows:
(1) If:
(A) record title to the mineral interest has been severed of
record from ownership of the overlying surface land; and
(B) the identity and location of the record owner of the
overlying surface land has been determined;
the clerk shall distribute the funds and the petitioner shall make
any future payments to the record owner of the overlying surface
land.
(2) If:
(A) record title to the mineral interest has been severed of
record from ownership of the overlying surface land; and
(B) the identity and location of the record owner of the
overlying surface land has not been determined;
the clerk shall distribute the funds and the petitioner shall make
any future payments to the township trustee of the township in
which the subject land is located. If the land is located in more
than one (1) township, the distribution of funds shall be made to
the township trustees based on the amount of land located in each
township. The funds shall be used by the township trustee for
township purposes, including, but not limited to, cemetery
maintenance.
(3) If:
(A) record title to the mineral estate has not been severed of
record from ownership of the overlying surface land; and
(B) the identity and location of the record owner of the
overlying surface land has not been determined;
the clerk shall distribute the funds and the petitioner shall make any
future payments to the township trustee of the township in which the
subject land is located. If the land is located in more than one (1)
township, the distribution of funds shall be made to the township
trustees based on the amount of land located in each township. The
funds shall be used by the township trustees for township purposes,
including, but not limited to, cemetery maintenance.
(e) Thirty (30) days before the record owner of the overlying surface
land may file a petition under subsection (a), the clerk of the court shall
notify the record owner of the overlying surface land by certified mail
that the owner may be entitled to file a petition for the funds.

Legislative History

As added by P.L.28-2015, SEC.1.