Exxon Corporation, Petitioners v. Triphene Middleton, Respondents

Summary

The Texas Supreme Court reversed portions of the Court of Civil Appeals, holding that gas sold off the leased premises is subject to the market‑value royalty standard, that market value is determined at the time of delivery using competent expert testimony, and that the division orders were revoked on March 29, 1974, so they do not alter the royalty obligation thereafter. The Court also held that prejudgment interest is not recoverable and remanded the case for further factual determination of market value.