Land Acquisition & Title Examination Flashcards
7 cards from real CPL practice questions. Tap to flip, then mark Knew It or Still Learning โ missed cards come back until you master them.
Read the first 7 Land Acquisition & Title Examination flashcards as text
What is the 'Duhig Rule' as applied in oil and gas title examination?
Answer: A rule preventing a grantor from retaining more than was owned when a prior reservation existed
The Duhig Rule holds that when a grantor reserves a mineral interest from a deed but the grantor's prior reservation already existed, the grant to the grantee takes priority and the grantor's reserved interest is reduced to avoid conveying more than 100%.
Which type of legal description uses a fixed starting point (POB) and traces the boundary with directions and distances?
Answer: Metes and bounds description
A metes and bounds description defines a parcel by starting at a point of beginning and tracing its boundaries using compass bearings and distances until returning to the starting point.
A 'Pugh clause' in an oil and gas lease primarily protects the lessor by:
Answer: Releasing non-producing acreage from the lease at the end of the primary term
A Pugh clause (or Freestone rider) releases portions of the leased acreage not included in a producing unit from the lease's secondary term, protecting the lessor's right to re-lease undeveloped lands.
In the Public Land Survey System (PLSS), how many acres does a standard quarter-section contain?
Answer: 160 acres
A standard quarter-section in the PLSS contains 160 acres, as each section (640 acres) is divided into four equal quarters of 160 acres each.
What is 'adverse possession' and how does it affect title examination?
Answer: A method of acquiring title through continuous, open, hostile, exclusive, and actual use for a statutory period
Adverse possession is a legal doctrine allowing a party to gain title to another's land through open, notorious, hostile, exclusive, and continuous possession for the statutory period, which can create an unrecorded title claim invisible in the public records.
When examining title to determine ownership of minerals under a railroad right-of-way, a landman should primarily consider:
Answer: Whether the right-of-way was granted in fee simple or as an easement only
The nature of the railroad's interest (fee simple vs. easement) determines whether the railroad or the adjacent surface owners (with fee title) own the minerals beneath the right-of-way.
What is a 'title opinion' (or division order title opinion) in oil and gas practice?
Answer: An attorney's written analysis of title establishing the ownership percentages for royalty payment purposes
A title opinion (division order title opinion) is an attorney's written examination and analysis of title records that establishes the fractional ownership interests for purposes of paying royalties and other proceeds from production.