Merrill Engineering Co. v. Capital Nat. Bank

The question involved on this appeal is whether the sale of a tract of land in a city subdivision which has been leased to be drilled for oil and gas has the effect of passing to the grantee the one-eighth unaccrued royalty theretofore reserved by the grantor under an oil and gas lease thereon, where such royalty is derived from a producing gas well located on an entirely different tract in close proximity thereto, and the royalties on both tracts have been pooled or consolidated along with the royalties reserved by the grantors in other leases on adjacent tracts under and by virtue of a…