NM Stat § 19-7-36 (2021)
2021 New Mexico Statutes|Chapter 19 - Public Lands|Article 7 - Sale and Lease of Lands|Section 19-7-36 - [Assignment or relinquishment of lease; consent of commissioner required.]

With the consent of the commissioner any lessee may assign all his right, title and interest in his lease, or relinquish the same to the state, whereupon his lease shall be canceled. Any assignment or relinquishment without the written consent of the commissioner shall be null and void. History: Laws 1912, ch. 82, § 19; Code 1915, § 5196; Laws 1915, ch. 73, § 3; C.S. 1929, § 132-119; 1941 Comp., § 8-835; 1953 Comp., § 7-8-38. ANNOTATIONSBracketed material. — The bracketed material was inserted by the compiler and is not part of the law. Cross references. — For assignment of purchase contracts, see 19-7-20 NMSA 1978. For assignment of mineral lease, see 19-8-28 NMSA 1978. For assignment of oil and gas lease, see 19-10-13 NMSA 1978. For transferability of lease under Geothermal Resources Act, see 19-13-21 NMSA 1978. Assignment of lease without approval of commissioner is void. Scharbauer v. Graham, 1933-NMSC-043, 37 N.M. 449, 24 P.2d 288. Within discretion of commissioner. — One who challenges discretion of commissioner in disapproving of assignment of lease must show a clear right. Such discretion may not be disturbed or controlled by the courts except in a plain case of abuse. Raynolds v. Hinkle, 1933-NMSC-060, 37 N.M. 493, 24 P.2d 738. Lease as collateral security. — The owner and holder of a state grazing lease may assign his interest therein as collateral security. American Mortgage Co. v. White, 1930-NMSC-030, 34 N.M. 602, 287 P. 702, distinguished in Arrow Gas Co. v. Lewis, 1962-NMSC-145, 71 N.M. 232, 377 P.2d 655. Same not an encumbrance. — An assignment of a state grazing lease as collateral security is not in violation of the provision of the Enabling Act prohibiting the mortgage or encumbrance of state lands granted therein. American Mortgage Co. v. White, 1930-NMSC-030, 34 N.M. 602, 287 P. 702. Commissioner necessary party to suit. — To invoke the equitable jurisdiction of the court in a suit affecting rights of the state in school lands, the commissioner of public lands is a necessary and indispensable party. Burguete v. Del Curto, 1945-NMSC-025, 49 N.M. 292, 163 P.2d 257, distinguished in Shelley v. Norris, 1963-NMSC-193, 73 N.M. 148, 386 P.2d 243. Suit to determine rights to the use of state school lands by one not a party to the lease and a stranger to the commissioner, under an agreement to which the state was not a party, where commissioner was not a party to the suit and suit did not grow out of a contest before the commissioner, cannot be maintained since such an adjudication would affect rights of the state. Burguete v. Del Curto, 1945-NMSC-025, 49 N.M. 292, 163 P.2d 257, distinguished in Shelley v. Norris, 1963-NMSC-193, 73 N.M. 148, 386 P.2d 243. In absence of commissioner of public lands as a party to the suit, supreme court will not approve a decree to modify a state land lease to show that a total stranger to the original lease has a half interest therein. Burguete v. Del Curto, 1945-NMSC-025, 49 N.M. 292, 163 P.2d 257, distinguished in Shelley v. Norris, 1963-NMSC-193, 73 N.M. 148, 386 P.2d 243. Relinquishment and consolidation. — Practice of allowing relinquishment of a lessee's several existing leases on grazing or agricultural lands subject to the Enabling Act and permitting application for a new consolidated lease, with the net result being a lease of more than five years' duration without the opportunity for competitive bidding or adverse applications as provided by law, is beyond the discretion of the commissioner of public lands. 1969 Op. Att'y Gen. No. 69-67. Am. Jur. 2d, A.L.R. and C.J.S. references. — Liability of lessee who assigns lease for rent accruing subsequently to extension or renewal of term, 10 A.L.R.3d 818.