Albuquerque morning journal. [volume] (Albuquerque, N.M.) 1903-1926, 1920-09-25
Validity of Clauses With
holding Ore and Oil Rights
In Ordinary Leases Under
Fire in Several Suits.
(By Clinton z. Andcrson.)

u " III SkVSt al So1bSs
(By Clinton L. Andcrson.)
Santa Fe, Sept. 24.--With the
hearing of a suit before the federal
court here to test the validity of
the mineral reservations in the
contracts for the purchase of pub
lie lands issued by the state land
office, the clause governing such
purchases is being given its fourth
test with Indications that the
final hearing will be conducted
ed before the supreme court of the
United States.
While the mineral reservation
law passed by the 1919 legislature,
popularity known as the Carter act,
sought to legaliZe previous and fu-
ture reservations, it served princi-
pally to bring the entire issue to
head and precipitated the four
cases. These have been Evans VS..
Nelson A. Field, commissioner, OF
to VS.. Field, the American Trust
and Savings bank of Albuquerque
and the suit just heard in federal
court, Spencer and Osburn VS.. the
Northeastern New Mexico Oil COM
pany.
Mineral Rights Reserved.
ueyico En- oommissioner of nnblic
49, u :, 'n TO- tha direction con
tani 80 40 ~ sisnosition Of NH
~ Ionds d. " ect of tho fe12
i rC tha VOID ",nanage-
nent" is added. Acting under this
n,ithor;tv az yorio,,e land com-
n,issioners have sold STATE lands
with This Qualification. That while
tba land berein cmtracted for is
haIievad TO ho essentially non-min-
oval lana sho,lId mineral be dis
covered therein if is expressly UNI
derstood and agreed that this CON
tract ia based upon the express con-
dition that the minerals therein
shall he and are reserved to the
fund or institution to which the
land belongs. together with the
right of wav to the commissioner
or anvona acting under his author
itv tn ar anv- and all times enter
mon said land and mine and re-
noove the minerals therefrom with
ont LET or hindrance,"
CONTRACT Goes Further.
This 10 the clause which is now
tho basis for the law suits. Acting
under n the commissioner has re-
served to the state and the vari-
ous funds and institutions the min
eral and oil rights. With the pos
sibilitv that oil might be discov-
orad in having quantities, the res
ervation became of extreme impor-
tance AS a further protection to
the state the carter act was
nassed II is chapter 90 of the SEES
sinn laws of 1919 and provides:
asactinn 2. state lands sold
beretofora or ,,hich NAV be sold
~ anv deferred payment plan I'M
der contract containing a reserva-
ZION ~ the state of the minerals
oontoiued tbere;n the full amount
~ 49, a,,rnhasa not having been
~ oa;1 ~ ~ Rh natent not heing issued
80, 10 laosod Nv tha state as In
thiS oct nrovidad in the same man.
nor &c otbar state lands"
~ Ei,st Test Case FILED.
aau ~ two hefore the final an.
nroval of tbis act Arthur j. Evans
annaared ~ tho state land office
a ap5 damanded dead ia a niece OF
Land near Columbus. N. M. which
iahu iieai 49,, ',,,,cba co contract
1r y. nau u't NO. ~ act was pend.
~ Maison A Eield present com.
i ,,i,.i Msisu" r al r. issue the
anaS NJ Evans then filed The
sirst lost case asking a mandamus
- ~ VS. santa re County district
III 40 rn - fnrco Mr. Yield to issue
t ~ ao ~. Indpa Reed Hollomar
.me ue auainst tbe Validity of the
ruieu no n,,rcbase contract
G G,sias rasoruoa mineral rights. The
winch ,eI 49, o onnaa1ed and ia now
Iase mas oen nrdr,a court Of the
peioie l'e
sta.e. .,, .his oasa &C. unioue II was
| Wnile TINS eas ;,;I.r nases with.
1oiioweo ny santrres This WA,
out tne o ~ Ghr,stian Otto VS., Nels
n tae SUI oomnissioner In thi.
Fleld as eoiil nLson ettornav gen.
SUIT u ~, q ne,an his assist
erai' anu -. oo;oted With 8 r. Da.
ant, were ass ASSN, nouns % Tho hriet
WIS., Jrr specia, so tha attendant
drawn o GS , ontline e the question In