Under the TREC Addendum for Reservation of Oil, Gas, and Other Minerals, if the seller reserves mineral rights, what surface rights does the mineral owner typically retain?
Correct Answer
D) The right to use as much of the surface as necessary to extract minerals, unless waived
In Texas, the owner of mineral rights generally has an implied right to use as much of the surface as is reasonably necessary to explore for and extract minerals. The TREC addendum addresses whether the seller waives this surface access right.
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Related Topics & Key Terms
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Related Concepts
Novation is the substitution of a new contract for an existing one, or the replacement of one party with a new party, with the consent of all parties involved. The original party is completely released from all obligations.
Offer and acceptance is the process by which one party proposes specific terms for a contract and the other party agrees to those exact terms, creating mutual assent. This mutual agreement, also called a meeting of the minds, is an essential element of every valid contract.
An option contract gives one party the exclusive right, but not the obligation, to purchase or lease a property at a specified price within a specified time period. The buyer pays option consideration to keep the option open.
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