The Supreme Court of Ohio recently brought clarity to issues plaguing the holders of both mineral and surface rights for years by addressing two questions: When does the owner of dormant mineral rights abandon those rights? And when do those rights merge with the surface holders’ rights?
Surface owners, mineral rights owners, and the courts in Ohio have, for decades, disagreed about when mineral rights are deemed abandoned and are merged with the surface owner’s estate. The Ohio legislature attempted to clear up this issue by passing the Dormant Mineral Act in 1989. The law provided that “any mineral interest held by any person, other than the owner of the surface of the lands subject to the interest, shall be deemed abandoned and vested in the owner of the surface” unless one of a number of “saving events” had occurred within the preceding 20 years. Former R.C. 5301.56(B)(1), 142 Ohio Laws, Part I, at 985, 986–87.
The law was later amended in 2006. The only true substantive change was that surface rights holders were required to (1) provide advance notice to the mineral rights holder; and (2) give the mineral rights holder an opportunity to preserve its rights before those rights could be deemed abandoned and merged with the surface estate. R.C. 5301.56 (E)–(G). Continue Reading