Oil/Gas Flashcards

1
Q

a) Barnard v. Monongahela Natural Gas:

A

D builds well on P’s property line, P says D is stealing gas–> for D/capture rule
b) not quite the same as water because of its value and doesn’t get replenished quick

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2
Q

b) Approaches

A

i) capture rule: problem is that people would be too hasty to drill and waste it
ii) correlative rights: modern view- controlled the excesses of capture rule; land owner has a right to a fair and equitable share of the oil and gas under his land
iii) ad coelom approach: whoever owned land owned everything above/below (problem = fugacious nature)
iv) reasonable use approach not relevant: drilling intrinsically reasonable via profit

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