Legal Question in Real Estate Law in Texas

Mineral & Surface Reservations

We have a Seller client whose business entity owns the land. The mineral rights and surface control were severed out - conveyed to him, individually. Seller does not want us (listing agent/s) to discuss w/prospective buyers minerals & surface unless they ask. We believe we're obligated to disclose anything we know about the property. How should we present this to buyers? Answer this question when asked?


Asked on 2/02/09, 1:07 pm

1 Answer from Attorneys
Cheryl Rivera Smith The Smith Law Firm

Re: Mineral & Surface Reservations

Once the property is under contract, the mineral severance will appear on the commitment for title insurance. The buyer will have an opportunity to back out of the deal if the contract is drawn properly. With that said, I would insist on disclosure - it will eliminate any misunderstanding. If Seller insists on not disclosing the severance, I would pass on the listing. Failure to disclose is a lawsuit waiting to happen.

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Answered on 2/03/09, 5:02 pm


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