Teppo has the fee simple to a piece of land called Blackacre.Laila has a mineral lease that allows her to extract oil from beneath Blackacre.Which of the following statements is TRUE?

Question

Quizplus · Accepted Answer

Since Teppo has fee simple to Blackacre, he owns both the surface and subsurface rights to the land, including any minerals underneath it. Therefore, Laila had to acquire a mineral lease from the landowner, which she likely obtained from the Crown (government) or a previous owner. Option A is false because the giant carrot theory has nothing to do with this situation. Option C is true because Teppo, as the owner of Blackacre, can prevent Laila from extracting oil unless her lease was acquired before he acquired fee simple. Option D is true because Laila's mineral lease gives her the right to extract and own any oil found beneath the land. Option E is false because oil is considered a mineral, and a mineral lease can include oil as part of the agreement.

Teppo Has the Fee Simple to a Piece of Land