THE GENERAL ASSEMBLY OF PENNSYLVANIA

HOUSE BILL

INTRODUCED BY WHITE, V. BROWN, DALEY, GEORGE, GIBBONS, JOSEPHS, MURPHY, K. SMITH, SWANGER, YOUNGBLOOD AND DeLUCA, JANUARY 19, 2011

REFERRED TO COMMITTEE ON ENVIRONMENTAL RESOURCES AND ENERGY, JANUARY 19, 2011  

AN ACT

Providing for abandonment of mineral rights in real property,

for the recording by surface owners of title to mineral

rights in their real property after ten years of nonuse by

the subsurface owner; and establishing a right of action to

settle title to mineral rights.

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

Section 1.  Short title.

This act shall be known and may be cited as the Title to

Mineral Rights Act.

Section 2.  Definitions.

The following words and phrases when used in this act shall

have the meanings given to them in this section unless the

context clearly indicates otherwise:

"Mineral."  Any valuable inert or lifeless substance formed

or deposited in its present position exclusively through natural

forces and which is found either in or beneath the soil of the

earth or in the rocks beneath the soil. The term does not

include coal of any rank or methane gas that is contained within

or produced from underground coal beds or mined-out areas of

underground coal mines.

"Mineral rights."  The right of a person to take minerals or

receive a royalty from the removal of minerals from real

property, regardless of whether the person is the surface owner.

The term does not include such rights with respect to coal of

any rank or methane gas that is contained within or produced

from underground coal beds or mined-out areas of underground

coal mines.

"Nonuse."  With respect to minerals in real property, the

absence of all of the following:

(1)  The issuance of a permit to drill a well for

minerals in the real property issued by the Department of

Environmental Protection as to mineral rights for the real

property.

(2)  The actual production or withdrawal of minerals from

the real property.

(3)  The underground storage of minerals in the real

property.

"Subsurface owner."  A person who owns or claims to own the

rights to extract minerals from beneath the surface of real

property owned by another person.

"Surface owner."  A person who owns the rights to real

property above the surface.

Section 3.  Abandonment of mineral rights.

(a)  General rule.--Mineral rights in real property shall be

deemed abandoned after a period of ten years of nonuse of the

mineral rights by a subsurface owner, unless the subsurface

owner shall, within three years of the effective date of this

section or ten years from the nonuse, whichever is later, record

a claim of interest that complies with subsection (b).

(b)  Claim of interest.--A claim of interest must be filed in

the office of recorder of deeds in the county where the real

property is situate. The claim of interest shall be verified and

contain the following:

(1)  A description of the land and the nature of the

mineral rights claimed.

(2)  The name and address of the subsurface owner.

(3)  A statement that by recording the claim, the

subsurface owner seeks to preserve the mineral rights and not

to abandon the mineral rights in the real property.

(c)  Underground storage of minerals.--A subsurface owner who

uses real property for underground storage of minerals in an

underground storage pool or field may preserve the mineral

rights by recording a single claim of interest that defines the

boundaries of and the formations included in the underground

storage field or pool within which the mineral rights are

located, without describing each separate mineral interest

claimed in the underground storage field or pool by the

subsurface owner.

(d)  Effect of recorded claim of interest.--

(1)  A claim of interest recorded in compliance with this

section shall operate as a matter of law to preserve the

mineral rights included in the claim of interest from

abandonment under this act for a period of ten years after

the date of recording. 

(2)  After the ten-year period in paragraph (1) expires,

the mineral interests shall be deemed abandoned if, during

the ten-year period, there has been nonuse or no sales

agreement, lease, mortgage or transfer of the mineral rights

has been recorded in the office of recorder of deeds in the

county where the real property is situate.

(3)  In the absence of prior abandonment, mineral rights

of a subsurface owner may be preserved indefinitely from

abandonment under this act by filing claims of interest as

provided in this act or other acts evidencing use of the

mineral rights within each ten-year period. 

Section 4.  Right of surface owner to record claim. 

(a)  Surface owners.--

(1)  A surface owner who acquires or claims to have

acquired title to any mineral rights in real property by a

period of ten years of nonuse of the mineral rights by a

subsurface owner may file, in the Office of Recorder of Deeds

of the county where the real property is situate, a written

statement of the surface owner's claim.

(2)  Paragraph (1) shall not apply to mineral rights in

real property for which a claim of interest has been recorded

in compliance with section 3.

(b)  Form of written statement.--The written statement

authorized to be recorded under subsection (a) shall be sworn to

and substantially in the following form:

I, (the name of the party claimant) of      , in the

county of        and State of               , do hereby

affirm and declare that I have acquired title in fee to

mineral rights, by a period of ten years of nonuse by a

subsurface owner of the mineral rights, to the following

described land, situate in     , in the county of       , and

State of Pennsylvania, viz:  (Here insert a full and complete

description of the land claimed, by metes and bounds, or

other sufficient designation). Use of the mineral rights on

the land by a subsurface owner commenced on or about the    

day of          ,     , and continued until a period of

nonuse commenced about the      day of         ,     , (or,

where the possession of the mineral rights is tacked on to

that of others who have preceded the existing subsurface

owner, it should be stated as follows:  Use of the mineral

rights was made upon the lands by           on or about the

     day of           ,     , who continued until about the

     day of           ,     , and was succeeded therein by

         , who continued until about the      day of

         ,     , and was succeeded therein by the existing

subsurface owner, who continued until a period of nonuse of

the mineral rights commenced about the      day of          ,

    ). At the time the use of the mineral rights commenced

(naming some person or persons in the line of the existing

paper or legal title, as nearly as may be the real subsurface

owner of the lands at the time of the use),                 

was the subsurface owner or reputed subsurface owner of the

mineral rights to the land, and I claim adversely to the

subsurface owner (or them). Witness my hand, this      day of

      ,     .

(Signed)                     

Section 5.  Filing of statement of claim.

After a statement of claim under section 4 is filed in the

recorder's office of the proper county, the recorder of deeds

shall record and index the statement of claim as though it were

a deed or conveyance from the person named therein as the

subsurface owner or reputed subsurface owner at the time of the

ten-year period of nonuse ceases, as grantor, to the claimant or

claimants, as grantees; and when so entered for record and

indexed it shall be constructive notice of the claim.

Section 6.  Action to settle title to mineral rights.

(a)  Right of action.--A person who files a statement of

claim under section 4 may bring an action to settle title to the

mineral rights for the real property identified in the statement

of claim.

(b)  Venue.--The action may be brought only in the county in

which the real property is located.

(c)  Commencement of action.--The action must be commenced by

filing with the prothonotary:

(1)  a complaint describing the real property; or

(2)  an agreement for an amicable action.

(d)  Public notice.--

(1)  After an action has been commenced under subsection

(c), the court shall order the claimant to publish notice of

the action in a newspaper of general circulation in the

county twice in a period of 60 days.

(2)  The claimant shall certify to the court that the

publication under paragraph (1) has occurred prior to a

hearing or trial in the action.

(e)  Form of judgment or order.--

(1)  The court shall grant appropriate relief:

(i)  on affidavit that a complaint containing a

notice to defend has been served and that the defendant

has not filed an answer; or

(ii)  after a hearing or trial on the pleadings or

merits.

(2)  After granting relief to the plaintiff, the court:

(i)  shall order that the defendant be forever barred

from asserting any right, lien, title or interest in the

mineral rights of the real property inconsistent with the

interest or claim of the plaintiff specified in the

complaint, unless the defendant takes such action as the

order directs within 30 days after issuance of the order.

If the action is not taken within the 30-day period, the

prothonotary on praecipe of the plaintiff shall enter

final judgment; and

(ii)  shall enter any other order necessary for the

granting of proper relief.

(f)  Trial without jury.--There shall be no right to a trial

by jury for an action brought under this section.

Section 7.  Effect of statement of claim.

Unless a statement of claim is made and recorded under this

act and a judgment or order is issued in favor of the surface

owner as provided under section 6, no title to mineral rights in

real property by a ten-year period of nonuse by a subsurface

owner shall avail against any purchaser, mortgagee or judgment

creditor for value, without notice, his heirs and assigns,

except the claimant who is in possession of the real property at

the time of the purchase.

Section 8.  Construction.

Nothing in this act shall be construed to give any title to

any mineral rights or real property by a claim of title adverse

to that of the Commonwealth, and no claim of title adverse to

the Commonwealth shall be made or recorded under the provisions

of this act.

Section 9.  Effective date.

This act shall take effect in 60 days.