A developer purchased a 200-acre ranch with a deed that conveyed 'all rights appurtenant thereto.' A neighboring oil company later asks to drill directionally beneath the ranch from an adjacent parcel. Under the common-law bundle of rights, what right does the developer most likely hold regarding the subsurface?
Correct Answer
C) The developer holds subsurface rights and may refuse the oil company access to minerals beneath the ranch
Under common law, a conveyance of land without reservation includes all rights from the surface to the center of the earth. Directional drilling that penetrates the subsurface beneath the ranch constitutes a trespass unless the developer grants permission.
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Related Topics & Key Terms
Key Terms:
Related Concepts
The bundle of rights describes the rights associated with property ownership, allowing owners to use, control, enjoy, exclude others from, and dispose of the property.
Community property is a form of ownership recognized in certain states where property acquired during marriage is considered equally owned by both spouses, regardless of who earned the money or whose name is on the title.
Condominium ownership involves owning a unit of airspace within a multi-unit building plus an undivided interest in the common elements shared with other unit owners. Each unit is separately taxed and financed.
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