Recent Travis County Case Impacts the Future of Allocation Wells
Caselaw Update: Opiela v. Railroad Commission of Texas Over the past decade, allocation wells have become both more common and more highly contested in Texas. Allocation wells straddle the borders between multiple tracts or units which are unpooled, but typically under development by the same operator. They are usually employed when more production may be gained by drilling one horizontal well along a boundary rather than separate wells... Read More
Estate Planning Part 4: Digital Assets
Almost everyone owns some form of digital asset, and the law governing estate planning for these unique assets is still developing. A digital asset is defined as “an electronic record in which an individual has a right or interest”, (1) and includes cryptocurrency, domain names, email accounts, online banking accounts, anything stored on the cloud, and social media accounts. (2) The list is not exclusive – the term “electronic... Read More
Estate Planning Part 3: Intestate Succession
In Part Two of this series, we considered some of the main tools used in estate planning, including wills and trusts, which serve to protect an estate and ensure distribution according to a decedent’s wishes. But what happens when a person dies without a will? When a person dies intestate, the distribution of their estate is governed by state law. Personal property is... Read More
Estate Planning Part 2: Tools
In Part One of this series, we discussed the importance and main objectives of estate planning, both during life and after death: to ensure that a person’s wishes and directives are clear, that their estate is protected, and property distribution complications are avoided. In Part Two, we will consider two common tools available to further those ends... Read More
Estate Planning Part 1: Objectives
Although it may not be the most enjoyable task, the importance of planning ahead for the management of your estate at death or in the event of untimely incapacitation cannot be understated. With wills, trusts, powers of attorney, medical directives and other estate planning tools, a person can ensure that their loved ones are left with a clear plan for managing... Read More
Caselaw Update: Cost-Free Royalty Provisions and BlueStone Natural Resources II, LLC v. Randle
It has become increasingly common for modern oil and gas lease forms and addenda to include a “cost-free” royalty provision – but as the Texas Supreme Court stated in Chesapeake Exploration, L.L.C. v. Hyder, 483 S.W.3d 870 (Tex. 2016), “lease drafters are not always driven by logic,” and such provisions do not always effectively reflect the parties’ intent. It is... Read More
Update: The Texas Defense Task Force
In our last post, we discussed the GLO’s announcement of the formation of the Texas Defense Task Force (“Task Force”), which was organized to identify and defend against federal overreach which threatens the Texas oil and gas economy. Kuiper Law Firm reached out to the General Land Office (“GLO”) to gain more insight into the goals, strategy, and composition of the Task Force. As promised, this post... Read More
The Texas Defense Task Force
On February 8, 2021, Texas Land Commissioner George P. Bush announced the formation of the Texas Defense Task Force, designed “to identify federal overreach and to fend off threats to the Texas oil and gas economy.” The Task Force will operate within the GLO to pose legal challenges to federal policies which threaten the industry. The announcement is a direct response to the actions of the newly elected Biden administration. According to the Federal Register (1), since taking... Read More
Bankruptcy Update: The Reinvigoration of Texas’ Southern District
Over the past year, bankruptcy filings have surged in response to the economic disruption during the COVID-19 pandemic. Changes to the Small Business Reorganization Act of 2019 (SBRA) and the enactment of the Coronavirus Aid, Relief and Economic Security (CARES) Act encouraged the trend among small businesses by making restructuring easier and less expensive. The surge in filings in the Southern District of Texas has been even more exaggerated due to changes to the bankruptcy docket. In 2016, Houston’s Southern District began to assign all complex bankruptcy... Read More
Caselaw Update: Recommitting to the Rule of Capture in Pennsylvania
Recent litigation in Pennsylvania threatened to open the door for mineral trespass claims arising from fracking operations. Success in this endeavor would have created a significant and potentially influential minority rule governing the extraction of minerals in gas-rich Pennsylvania. In a win for the industry, the Pennsylvania Supreme Court recently reconfirmed the rule of capture’s application to natural resource recovery regardless of the drilling techniques used. Under the rule of capture, producers are generally not held accountable for recovery of oil and gas... Read More