Texas Supreme Court
Geodyne Energy Income Production Partnership I-E, Geodyne Energy Income Production Partnership I-F, Geodyne…
April 8, 200548 Tex. Sup. Ct. J. 551
Summary
The Texas Supreme Court held that a quit‑claim deed sale of a mineral interest does not constitute a misrepresentation under Texas Securities Act §581‑33(A)(2), and therefore the buyer cannot rescind the transaction on that basis. The Court also affirmed the enforceability of the indemnification clause allocating plugging costs to the buyer, reversing the Court of Appeals' rescission and remanding for judgment on that claim.