Johnson Family Trust v. Antero Resources Corporation

Summary

The West Virginia Supreme Court of Appeals affirmed summary judgment for Antero Resources Corporation in a dispute concerning a surface use agreement for oil and gas development. The court held that the agreement continued beyond its initial two-year term because Antero was using the property for permitted oil and gas development and transmission, and it rejected or declined to address the petitioner’s additional reclamation and unauthorized-use arguments. The decision was issued as a memorandum decision under Rule 21 of the West Virginia Rules of Appellate Procedure.

Holdings

1. The Surface Use Agreement did not expire after two years because it continued as long as its facilities were utilized for oil and gas development and transmission. Because Antero continued using the property for those purposes, its failure to reclaim the property did not breach the agreement.
2. The Trust failed to establish that Antero's use of the surface for water operations, vehicle parking, chemical or pipe storage, temporary lighting, and a temporary building was unauthorized or outside the agreement's permitted purposes.
3. The Trust failed to create a genuine issue of material fact because it relied on unsupported assertions and did not provide evidence showing breach or disputing Antero's evidence.

Questions Presented

1. Whether Antero breached the Surface Use Agreement by failing to reclaim the property after the initial two-year period.
2. Whether Antero breached the Surface Use Agreement by using the property for allegedly unauthorized purposes, including water operations, vehicle parking, chemical and pipe storage, lighting, and a temporary building.
3. Whether summary judgment was properly granted to Antero on the Trust's breach-of-contract claims.

Disposition

affirmed