In a recent case, FP Stores Inc. v. Tramontina US, Inc., the Houston Court of Appeals provided guidance, for the first time, on what constitutes “bad faith” by a commercial landlord that fails or refuses to return a security deposit. Facts of the Case The FP Stores case involved a…
A recent Texas Supreme Court case, Allen-Pieroni v. Pieroni, teaches that the proper measure of damages for a slander of title suit is the difference between the lost contract price on the property and the fair market value when the slanderous cloud on title is removed. Texas Slander of Title:…
A recent Texas case decided by the San Antonio Court of Appeals, Texas Outfitters Limited, LLC v. Nicholson, offers some lessons on an executive rights owner’s fiduciary duties to the non-executive mineral owner in the context of oil and gas leases. At trial, the executive interest owner, Texas Outfitters, was…
Mineral owners in Texas often sign oil and gas leases that include language that requires that oil or gas be produced in commercially paying quantities in order to keep the lease alive. When production falls below that level, the lease may terminate or lapse, and the mineral interest reverts to…
As readers may recall, the US Environmental Protection Agency published a draft report in 2015 that concluded that there was no evidence that hydraulic fracturing (“fracing”) led to widespread, systemic impacts on drinking water resources in the United States. Environmental groups went ballistic over this conclusion. Bowing to public pressure,…
Texas residents are required by law to call 811 before digging any deeper than 16 inches. Once that call is made, all companies with any pipelines, water lines or utility lines in that area come out and mark their respective lines so that the excavation can avoid those lines. This…
The U.S. Geological Survey released an updated report (that you can read here) regarding the alleged link between induced earthquakes, defined as earthquakes triggered by commercial activities, disposal wells or and hydraulic fracing. A Preliminary Forecast Model For Induced Quakes USGS scientists studied 17 geographical areas spanning eight states, where…
When an oil and gas well is no longer producing (or if it needs major repairs but the production is not sufficient to justify the cost of repairs), Texas Railroad Commission rules require that the well must be plugged. The plugging procedure (which you can read about here) involves cementing…
The new Tax Cuts and Jobs Act signed into law by President Trump has important implications for Texas home owners. The National Association of Realtors provides a concise summary of the new law on its website, which you can access here. These changes include: Gain on Sale of a Principal…
When parties enter into agreements concerning the conveyance of mineral royalty interests in Texas, it is extremely important that the language of the conveyance is clear and that the parties know exactly what they are agreeing to in terms of how the royalty interest is structured. The San Antonio Court…