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ARTICLE · 04 APRIL 2024

Floating Beats Fixed In Another Royalty Dispute

Recent Texas royalty cases seem to feature litigants on the fixed royalty side trying, more often than not in vain, to escape the clutches of Van Dyke v. Navigator and Hysaw v. Dawkins.

United StatesEnergy and Natural Resources

Recent Texas royalty cases seem to feature litigants on the fixed royalty side trying, more often than not in vain, to escape the clutches of Van Dyke v. Navigator and Hysaw v. Dawkins. See those decisions for the history of how the Supreme Court got to where it is. (Regardless of which side you're on, recall the admonition that each instrument must be examined according to its own language; arbitrary rules of construction are history.)

Which brings us to Which brings us to Powder River Mineral Partners v. Cimarex Energy et al. A 1947 Royalty Deed from Chapman to May contained these operative provisions:

  • Chapman conveyed “ … an undivided … 3/16 of oil, gas and other minerals …” in 120 acres in Reeves County.

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