Mimi Corp. v. Hill

PICKETT, Circuit Judge.

The plaintiff-appellants brought this action seeking a declaratory judgment to the effect that overriding royalties owned by the defendant-appellees were not payable out of production from an oil and gas lease issued to the plaintiffs under the preference provisions of the Act of July 29,1942, ch. 534, 56 Stat. 726.1 The plaintiffs, as owners of the lease, assert that the defendants’ royalty interests were lost when the original lease expired, even though a preference lease was issued to them under the provisions of this Act. The plaintiffs also assert that all royalty…