The silver state news. [volume] (Winnemucca, Nev.) 1907-1909, 1907-11-11
MINING LEASES

From the Mining Reporter
In general terms a mia nz lease
NAV he defined to be a contract for
the possession and profit OF certain
mining claims. or mining property, or
portions of mines. for a hvr,i pcrlea
of time. or while a certain quantity
of its product may b. obtained. in con
sideration of a stipu' tte1 compensa-
ton. TO determine IN All eases to a
technical nicely what is or is not Il
lease. is a matter of 10 small difi-
Guilty, and the decisI)rs of the eou:ts
upon the question are not entirely
harmonious.
In the federal courts il has been
held that an exclusive right To enter
and mine and remove coal aud tn use
so much of the surface as is neces
sary. paying royalty upon a certain
minimum sum per year is a lease. 30
it has been held that an agreement
whereby A granted TO b the right t.
mine d certain coal vein for 100 years
for $500 down aud 800 per year reat
thereafter, and, if coal should prove
To be 10 feet thick, 800 more, WAS
a sale Of coal and not a lease.
In Illionois a grant II lands to min
for coal so long as there was coal to
mine therein, with leave to take. un-
der certain conditions, all the coal in
the land, and also conta ring mutual
covenants and a provision Of forfeit
ure in case Of on-compliance, VS.
construed TO be a lease. In Virginia,
where. by the terms Of a written
agreement a person was allowed TO
enter upon the lands Of another and
search for minerals, agreeing to pay
a certain sum If no mineralse were
found. and a royalty on all ores shit
ped. the instrument was held r. 90 q
lease. In Wisconsin, an instrument
conveying an interest in land for q
certain time, with an exclusive right
to mine, the grantee paving therefor
a rent in the ore, was held 10 be q
lease. But, in Pennsylvania, it bag
been held that the grant Of a right TO
mine coal on anothcr's land and to
remove il therefrom, is n sate and
not a lease, and this though the in
strument was called n lease. In Cali
fornia, where the defendant agreed 20
lease to the plaintiff for one year the
right to work and mine certa,l min
ing ground, the or, 50 product shere
of to be divided between the plain
tiff and the defendant, the agreement
was held not to be. a lease, but an
agreement to work a mine. In Mis-
souri,, II contract by which the cwner
of mining lands allowed a person 10
go TO II particular part thereof and
have the exclusive right to dig for
minerals thereon SO long ms he com.
piled with the terms and conditions o.
the contract, was held not to ne y
lease, but simply a miners license.
What particular name is given 70 TIE
contract or instrument is not import
ant so long ms it defines the rights,
duties and obligations Of the %oarties
between themselves and is sufficient
ly certain 10 be enforceable
A lessee of lands is entitled to work
an open mine upon the premises unless
restricted by the terms Of the lease.
and it has been held that he may opel
new shafts, or pits. TO follow the sane
vein. A lease which gives the right
to take out all the ore beneath , Ger
tain surface confers also the right 70
make all necessary openings TO reach
the ore.
Mining icdsts, tspccialiy vi "a"
gas, frequently contain covenants anu
conditions looking to the prompt be
ginning of operations and to the COZ
tinuance Of such operations with dii'
igence. Upon a failure to perform
these covenants or conditions, TIE
lease, although for a definite term,
may be avoided at the option of the
lessor. And where the only consider
alton for a lease is n prospecting
royalty, failure to perform such Gov
enants will give rise to forfeiture,
though no forfeiture clause Is con
tanned in the lease.