Hi everyone! Does anybody have any experience on how a reversionary clauses work?
Here's a quick scenario. Sellers sold all the surface rights along with 75% of the mineral rights to buyer, but added a 25% reversionary clause for 30 years, or long as there was production. Five years later, both buyer and seller enter into a oil and gas lease and production lasted for nearly 50 years.
As the years passed, both buyer and seller died, and the 75% passed to the buyers heir and the 25% passed to their sellers heir who died as well, so 25% passed on to his heir since there was still production.
My question is: After the production ended (wells plugged and abandoned) who should be conveyed the 25% minerals, the heirs of the buyer or the heir of the heir of the seller?
Thanks for any light you can shed on this!