Legal Definitions - surface interest

A surface interest refers to all rights associated with the land's surface and everything on it or immediately below it, except for the rights to minerals like oil, gas, coal, or other valuable subsurface deposits. Essentially, it encompasses ownership of the land itself, the soil, water, timber, and the right to use the land for various purposes such as farming, building, or recreation. However, these surface rights are typically subordinate to any separately owned mineral rights, meaning the mineral owner has the right to reasonably use the surface to access and extract their minerals.

Here are some examples illustrating a surface interest:

• Residential Property: Sarah owns a beautiful suburban home with a large backyard where she grows a vegetable garden and has a swimming pool. Her property deed specifies that she owns the surface interest, but the mineral rights beneath her land were sold to an energy company decades ago.

  Explanation: Sarah's ownership of her home, garden, and the right to use her backyard for recreation constitutes her surface interest. She can build structures, plant trees, and enjoy her property. However, if the energy company decides to drill for gas, they would have a legal right to access her property (with reasonable accommodation and and often compensation, depending on the jurisdiction) to extract the minerals, even if it disrupts her garden or backyard. Her surface interest is distinct from, and subordinate to, the mineral interest.

• Agricultural Land: A large ranching family, the Millers, owns a vast tract of land where they raise cattle and grow hay. Their deed clearly states they possess the surface interest. A separate oil and gas company holds the mineral interest beneath their ranch.

  Explanation: The Millers' right to graze cattle, cultivate crops, build barns, and use the water resources on their land are all components of their surface interest. They benefit from the land's agricultural potential. If the oil and gas company decides to drill a well, they would have the right to construct a road, set up a drilling rig, and lay pipelines on the Millers' ranch, as long as their use is reasonable and necessary for mineral extraction. The Millers' ability to use their land for ranching is their surface interest, which must accommodate the mineral owner's rights.

• Commercial Development: A real estate developer, "Urban Growth Inc.," purchases a large parcel of undeveloped land with the intention of building a new shopping center and residential complex. The purchase agreement grants them the surface interest, but the mineral rights were retained by the previous owner's estate.

  Explanation: Urban Growth Inc.'s right to clear the land, construct buildings, pave parking lots, and establish utilities for the shopping center and homes falls under their surface interest. They are developing the land for its commercial and residential value. Should the estate decide to explore for minerals, they would have the right to access the property to conduct surveys or even drill, potentially impacting the developer's plans, because the mineral interest takes precedence over the surface interest for mineral-related activities. The developer's ability to build and operate on the land is their surface interest.