Opinion ID: 1376199
Heading Depth: 2
Heading Rank: 1

Heading: the maxwells were owners of the property

Text: Samson first argues the Maxwells were not owners in the gas well until July of 1985 when the district court quieted title in them. Since they were not owners in the well, Samson concludes that § 542 does not apply to them and they are not entitled to proceeds from gas produced prior or to that month. It is well settled that title to real property vests immediately in the heirs upon the death of an intestate. Cassina v. Jones, 340 P.2d 482 (Okla. 1959); Smyth v. Smyth, 198 Okla. 478, 179 P.2d 920 (1947); Davis v. Morgan, 186 Okla. 30, 95 P.2d 856 (1939). Smyth further holds that although vesting immediately, title is not absolute until determination of heirship and final distribution is had. 179 P.2d at 923 (citing U.S. v. Drummond, 144 F.2d 375 (10th Cir.1944), aff'd, Drummond v. U.S., 324 U.S. 316, 65 S.Ct. 659, 89 L.Ed. 969 (1945)). In U.S. v. Drummond , the Tenth Circuit explained that although the heir is the owner of the property, they are not entitled to possession until all debts are satisfied and an order issued directing distribution of the property to them. Hence, the holding in Smyth that title is not absolute merely means that the heir is not entitled to enjoy all of the benefits of ownership until final distribution. As such, under the law of descent and distribution, the Maxwells, as heirs, are considered owners of the property. In Seal v. Corporation Commission, 725 P.2d 278, 293 n. 33 (Okla. 1986), we construed the term owner as used in 52 O.S.Supp. 1983, §§ 542(A) and (D) to mean parties who have a right to take their share of production in kind or to separately dispose of their share. Since the Maxwells were the rightful owners under probate law, they were entitled to the proceeds of any gas sales from the Kinnikin # 1 well after heirship was officially declared by the district court in July of 1985. Additionally, prior to the 1985 order, the Maxwells were owners although not entitled at that time to all of the benefits of ownership. Having been determined the proper heirs of the property, the Maxwells were entitled to those benefits which included proceeds from gas sales from the Kinnikin # 1 well both before and after the order of heirship.