Texas Osage Co-Op. Royalty Pool v. Brown

SMITH, Chief Justice.

This suit concerns the mineral interest in 851.7 acres of land owned by C. A. Brown and situate in Zavala County.

On July 1, 1930, Brown conveyed an undivided half of said mineral interest to Texas Osage Co-operative Royalty Pool, a so-called trust, and the Flag Company of Texas, a Texas corporation, in consideration of a certificate of interest in said Royalty Pool.

On January 1, 1931, the Flag Company, Inc., an Oklahoma Corporation, sold 532 shares of the capital stock of the Flag Oil Corporation of Delaware, to Brown, in consideration of his note for $1330, to which he…