Face Challenges Confidently

009 Delhi Gas Pipeline Corp. v. Dixon

Wednesday, September 2nd, 2015

CASE OF THE MONTH

Richard F. Brown

 
The following is not a legal opinion. You should consult your attorney if the cases may be of significance to you.
 
In Delhi Gas Pipeline Corp. v. Dixon, 737 S.W.2d 96 (Tex. App.–Eastland 1987, no writ), the court upheld the right of the lessee to make reasonable use of the surface. The lease on Dixon’s small tract included in the granting clause the express right to lay pipelines. Dixon’s tract was pooled into a larger unit, and the unit well was not located on Dixon’s tract. The lessee granted to the gatherer the right to lay a gathering line across Dixon’s tract to transport the gas from the unit well. The court upheld the right of the lessee to make reasonable use of the surface, including the laying of the pipeline, and the right to grant that same easement to the gas purchaser. However, the gas purchaser had no right to transport gas from any other source through that line without first obtaining an easement, either by agreement with the surface owner, or by condemnation.