In Oklahoma, the mineral estate is typically the dominant estate. However, this dominance does not exempt mineral owners from following due process. Here is what you need to know about your rights as a surface owner.
What is due process?
Under Oklahoma law, a mineral owner may not commence operations on your land without notice. Furthermore, they are expected to negotiate with you in good faith to reach an agreement. During this negotiation, you can demand and secure compensation for any potential damage the operations may cause to your property, including structures like your home.
What if you two don’t reach a deal?
If both parties fail to reach an agreement, the mineral owner may continue with their operations after filing a petition to the Oklahoma federal district court for appointment of appraisers and posting the required financial security. The court usually appoints three disinterested appraisers who, upon evaluating the potential damages, will submit a detailed report to the court regarding the surface owner’s compensation for potential damages.
If a mineral owner willfully and knowingly commences operations without a statutory notice or filing a petition to the court, the surface owner becomes eligible for treble civil damages equal to three times the actual damages caused.
Protect your rights
Both surface and mineral owners are legally bound to follow established procedures; failure to do so can result in significant financial penalties. If you believe a mineral owner is acting unreasonably or bypassing legal requirements, consult an attorney experienced in oil and gas law to ensure they fully protect your property rights.