Holsti v. Kimber

In 1967, Severt Kvalheim conveyed certain real property to Gordon Holsti by warranty deed. Kvalheim reserved fifty percent of the mineral rights for himself. That same year, Kvalheim executed a will devising to each of his heirs a one-eighth interest in his estate. Kvalheim died in 1969. In 2007, Gordon Holsti conveyed the surface estate to his sons (the Holstis). Believing Kvalheim’s mineral interest had lapsed and been abandoned because of nonuse, the Holstis published a notice of lapse of mineral interest in the official county newspaper. When no one filed a statement of claim asserting ownership of the mineral interest severed from the property, the Holstis brought a quiet title action. The circuit court ruled that the Holstis were the owners of the entire mineral interest, concluding (1) Kvalheim’s mineral interest had been abandoned under section S.D. Codified Laws 43-30A-2, -3; and (2) the Holstis gave proper notice of the lapse of the mineral interest even though they did not serve notice of the lapse on Kvalheim’s heirs. The Supreme Court reversed, holding that the mineral interests were not abandoned under section 43-30A-2. Remanded. View "Holsti v. Kimber" on Justia Law