X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.
Click here for the full text of this decision FACTS:In this oil and gas case, two lessees obtained working interests under a single lease through assignments. Guinn Investments Inc. is the lessee as to the Guinn tract, and Ridge Oil Co. Inc. is the lessee as to the adjoining Ridge tract. Ridge shut in the only two producing wells, both located on the Ridge tract, for approximately 90 days and subsequently executed new leases with the owners of the possibility of reverter of the mineral interest in the Ridge tract. HOLDING:Reversed and rendered. The court holds 1. the temporary cessation of production doctrine applies when there is more than one lessee under a single lease; 2. production permanently ceased from the Ridge tract when the new leases between Ridge and the owners of the Ridge tract became effective; 3. Guinn was not conducting operations on the lease sufficient to sustain the lease at the time production permanently ceased or thereafter; and 4. Guinn is not entitled to prevail on its claims for tortious interference, fraud or the imposition of a constructive trust. OPINION:Owen, J., delivered the court’s opinion; Schneider, J., did not participate in the decision.

Want to continue reading?
Become a Free ALM Digital Reader.

Benefits of a Digital Membership:

  • Free access to 3 articles* every 30 days
  • Access to the entire ALM network of websites
  • Unlimited access to the ALM suite of newsletters
  • Build custom alerts on any search topic of your choosing
  • Search by a wide range of topics

*May exclude premium content
Already have an account?

 
 

ALM Legal Publication Newsletters

Sign Up Today and Never Miss Another Story.

As part of your digital membership, you can sign up for an unlimited number of a wide range of complimentary newsletters. Visit your My Account page to make your selections. Get the timely legal news and critical analysis you cannot afford to miss. Tailored just for you. In your inbox. Every day.

Copyright © 2020 ALM Media Properties, LLC. All Rights Reserved.