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Memo of InvestigationTO= Personal File FROM= Philip C. Mani DATE= March 15, 1994 SUBJECT= Ownership of Drainage Easement adjacent to Company's 5.843 acres of land, more or less, located in the City of Coppell, Clarinda Squires Survey, ~bstract No. 1327, Dallas County, Texas MEMORANDUM OF INVESTIGATION A. Deed Records Investigation I completed a limited investigation and examination of the Deed Records in Dallas County, Texas covering the above-referenced lands, which I will refer to as the "Subject Lands" and other lands (66.6453 total acres), from May 24, 1988 to December 30, 1988. Specifically, I located and examined numerous documents some of which are attached to this Memorandum in Exhibit "A", as well as Plats obtained from the City of Coppell and from other documents contained in the Deed Records, Dallas County, Texas. In May, 1988, the Subject Lands were conveyed as a portion of 66.6453 acres of land in a Special Warranty Deed, dated May 24, 1988, from The Parks of Coppell Joint Venture II, Grantor, to ABQ Development Corporation, Grantee, (Volume 88103, Page 2326). This Deed expressly conveys all of Grantor's rights, titles and interest in strips or gores of land between the boundary lines of the lands and any adjacent public right-of-way or easements. The metes and bounds of this Deed expressly cover and describe the drainage easements located on the east and south of the Subject Lands. The Deed also expressly conveys all adjacent easements including these drainage easements even if the same had not been properly described by metes and bounds. This Deed was subject to certain Development Agreements, of even date therewith, dealing with the laying and constructing of Heartz Road, as well as drainage water accumulation areas and linear drainage easements which burdened the 66.6453 acres and a "Company Site" tract of land situated on the West side of Heartz Road, which was then owned by The Parks of Coppell Joint Venture II. The Subject Lands were divided out of the 66.6453 acre tract of land by Special Warranty Deed with Vendor's Lien, dated December 30, 1988, from ABQ Development Corporation, Grantor, to Parkway Partners, Grantee (Volume 89001, Page 7173). This conveyance, although not expressly describing the drainage easements lying adjacent to the Subject Lands on the East and South, included "all and singular, the rights, benefits, privileges, easements, tene- ments, hereditaments and appurtenances thereon or in any wise appertaining thereto and with all improvements located thereon and any right, title and interest of Grantor in and to adjacent streets and rights-of-way." Additionally, this Deed was subject to a Mutual Development Agreement of even date therewith. The Mutual Development Agreement (Volume 89001, Page 7204, and an Amendment in Volume 89001, Page 7144) covers a "Mutual Drainage Easement". Therein, Parkway Partners acknowledged and agreed the necessity to cooperate in the development and maintenance of a water drainage system and linear park system which expressly covers the Drainage Easements affecting the Subject Lands. The Mutual Development Agreement expressly provided that "as a material inducement to (Grantor) to sell and convey the (Subject Lands) to (Grantee, Grantee) agreed to enter into the Agreement in which: (1) Grantee accepted the responsibility and obligation for maintenance of the linear park system and the drainage system to be constructed by Grantor on the easement area, irrespective of whether or not the City of Coppell accepts responsibility and obliga- tion for maintaining such linear park system and drainage system; (2) Grantee expressly agreed to maintain at Grantee's expense, such linear park system and drainage sys- tem improvements in the easement area; (3) Grantor agreed to construct the improvements to the linear Dark system and drainage system at no cost to Grantee, however, if Grantor breaches such obli- gation Grantee may enforce such obligation by the means provided for in the contractual Agreement; (4) This Mutual Development Agreement expires on Decem- ber 31, 2008 (whereas the prior Mutual Development Agreement, Item No. 6, expires on June 30, 2000). The First Amendment to the Mutual Drainage Easement (Item No. 6), dated effective December 30, 1988 (Volume 89001, Page 7144) added a provision wherein ABQ Development Corporation "agreed to cause both banks of the drainage channel in that portion of the 'Company Easement Area' (Drainage Easement adjacent to the Subject Lands and other lands located adjacent to the Parkview Addition to the City of Coppell, Texas), to be kept clean of trash and debris and to be mowed on a regular basis so that the grass in such portion of the Company Easement Area never exceeds the height of six (6) inches." These covenants expressly run with the land. They inure to successors and assigns of both Grantor and Grantee. They are unambiguous. B. Doctrine of Strip and Gore Under Texas law it is well settled that the intention of the parties in a deed shall be derived from the four corners of the instrument (or instruments) executed. In a situation where conveyances of land omit narrow strips of land by failing to describe, by metes and bounds, the narrow strips of land therein, a presumption arises against the grantor's reten- tion o~ gores or strips between tracts of land sold as a part of, and i~ the process of disposing of, a larger tract. Doyle v. Stanolind Oil & Gas Co. 123 F.2d 900 (C.A.5th Cir. 1941). In Texas, and elsewhere, authorities consistently and strongly declare, that where there has been a division of land into separate parcels by partition or by deeds, or where there has been a conveyance of land adjoining, or abutting on, a right-of-way or easement, every pre- sumption will be indulged against the intention of grantor to leave or retain an interest in the gores or strips between tracts so partitioned and conveyed. In the absence of clear and convincing evidence to the contrary, such as an express, unequivocal reserva- tion of the easement or strip of land (not merely "less and except" or "subject to" such easement), instruments effecting such division of a tract of land will be construed as intending to divide and as dividing land into adjoining parcels and not as intending to leave such gores or strips between them. This is especially true where the area contained in the strip or gore is small in comparison to the larger tract conveyed and where Grantor retains no portion of the lands conveyed or receives no benefit by the reservation of such strips or gores. Typically, the application of the doctrine of strip and gore to a strip of land situated as a single strip lying across a larger tract omitted in a subdivision of the larger tract, results in the grantees of the adjacent subdivided tracts owning the fee to the centerline of the strip. In our situation, however, several tracts of land were subdivided long before the creation of these narrow strips. Also, the strips are situated along the exterior of the larger tract. Specifically, the strips were wholly contained within the 66.6453 acre tract of land prior to its subdivision into the Subject Lands and other lands. The strips (drainage easements) were created by omission when the Subject Lands were divided or sold to Parkway Partners. Here, Grantor, ABQ Development Corpora- tion and Grantee, Parkway Partners, were the parties to a subdivi- sion wherein the strips were created and are bound only by the Subject Lands on the west and north. Grantor therefore, retained no interest in the strips composing the drainage easement, other than contractual obligations to develop. After ABQ Development Corporation defaulted on its $4,000,000 promissory note, ABQ Bank of New Mexico foreclosed on the 66.6453 acres save and except the Subject Lands. The interest foreclosed upon was later acquired by the RTC. Accordingly, Parkway Partners is presumed to have been conveyed the fee underlying the drainage easement strips not just to the centerlines, but to the marqins of the lands oriqinall¥ described, by metes and bounds, as 66,6453 acres adjacent to the Subject Lands on the east and south. There have been subsequent conveyances, but no further subdivisions of the Subject Lands. Presently, the owner of the Subject Lands claims that (1) it does not own these strips (claim- ing that the RTC is the owner of the strips) and (2) is not under the obligation to expend funds to develop and maintain the drainage easements as they lie adjacent to the Subject Lands. This conclu- sion is erroneous because of application of the doctrine of strip and gore as well as the express covenants and obligations set out in the Deeds and in the Mutual Development Agreements establishing a contractual relationship between the present successors in interest to the parties thereto regarding whose funds are to be expended to develop and maintain the drainage easements. In the event one of the successor parties to the Agreements refuses to perform its obligations thereunder, the other party's recourse would be a lawsuit for breach of contract under said Agreements (or other remedies provided for in the Agreements). EXH~B'rT "A" 1. Partial Copy of Zoning Classification Map, City of Coppell, which includes and identifies the Subject Lands 2. vicinity Map from Volume 98191, Page 3005, Deed Records, Dallas County, Texas, showing the 66.6453 acre source tract of the Subject Lands. 3. Partial Copy of Drainage Easements Map identifying the point of beginning for the 66.6453 acre tract, recorded in Volume 88103, Page 2427, Deed Records, Dallas County, Texas 4. Special Warranty Date (Volume 88103, Page 2326, Deed Records, Dallas County, Texas) 5. Mutual Drainage Easement (Volume 88103, Page 2345, Deed Records, Dallas County, Texas) 6. Development Agreement for Heartz Road and Drainage Easement System (Volume 88103, Page 2391, Deed Records, Dallas County, Texas) 7. Mutual Development Agreement (Volume 89001, Page 7204, Deed Records, Dallas County, Texas) 8. First Amendment to Mutual Drainage Easement (Volume 89001, Page 7144, Deed Records, Dallas County, Texas) 9. Special Warranty Deed with Vendor's Lien (Volume 89001, Page 7173, Deed Records, Dallas County, Texas) EXHIBIT STRIP & GORE DOCUMENTS/RESEARCH A. Doyle v. Stanolind Oil & Gas 123 F.2d 900 B. Angelo v. Biscamp 441 S.W.2d 524 C. Joslin v. State 146 S.W.2d 208 D. Memorandum of Law (Rights-of-Way - 2 separate Memoranda) E. Haby v. Howard 757 S.W.2d 34 (partial copy) F. Krenek v. Texstar North America, Inc. 787 S.W.2d 566 (partial copy) G. Cantley v. Gulf Production Co. 143 S.W.2d 912 1 TC C 2 .',,~ .;, :.:;., . - - ; :'*~*"*,t '; ".i'ff .:..i ,, ,., , ?. . :", ' ' "" ' ;" i' ;"~,' 't ' ;..? '" ' N i · * ': ~,' ',' ~/' ' ' , '.' '~; "'~ ;, '. ,..?. ,. '... ,.: , , :;,. :, · .. , ~>.,;~.:, , . , . ~'~,,:'~'i~v ' ': "* ' ' d. t' .~,; '. ' · ~,',.,,~,': '),~;. ,,,,. ,'- ),, , :: .' ., . .,~,.::.;,?,,... 1..' .... .. · ;':':'""' :'""; '"' }'.~.~':::'.,.?: ::: VICINI~;~p. ';..' ',: .,,~.~..  .- ~ ~ ~" ' ,': ,~.:'i. ~ . .-.~L~ .'~ .,. ~ ............. ,:~ ""'. .... " " '"?":'"- : ':": '. a ~RAWFORD "' I~ ' '~ ~ * ' ' ?" ""';' '-" ',' ·LAND SURVEYING l ~ '~,' ' '.'. ~,'.4. : · ~'"' '"'~ .... "' ':'" "? :' :~ --urvun~nlUtnannn""' ,,~ MAPPING .':. ~ '. '~,: 926-0211- Metro 429-5112 ' "'" .....'" ........... "~' 'F 374 ® 3908 South Freeway '") Y"i "':"~'.:~ ,".*~.-': t:,: .':, .'~: ~ . :.t,.. :-,.,.~ o~ Wo~h, Texas 76110 ' - .... ",' ",.: .... ,.'.~ 'r.?: SCHOOL :~,,~,..~' ';)~ ... ... 7, ". ' '.~:', :. ?, -. · .;~ ,; : ~ ..i ...~., ~f.~;;'..,:,~,..[ .~ ,, . 5:. ~ ?... . . ,')> :.,. ' . · .:5 ...,. .,.~ .~ 1.:. ,: .. 'W ~ i ':: ;,'F. "4:,'?'.'.';:; :5' :{' .: " ., ,i:,-. ,,, , ., ". ? :'.4"," · .,,~.. '- ' ;,. " .... ,.' }:~'~ .v."': "' ' ' t ":' ' :: ' ,. ' 'etd;'. . , .... a'; __ Wb~h, Tex~l . : ..~ ......;..?;~ ;.'*~., :.:'~ ,,' , 3 R'- b~79.'zO' C OPPE LL ..... .~o l~.t L=179.26 g V. 83005 550 )o' SIBERED ABST, ;1450 .9~oss 66.645 o POINT OF BEGINNING GG.E L= 227.98' : ', ' 17500 I .._ . ,, ...... r ~ $~79.70' ~ COPP~LL T: 89.64' to t~u~ L=179.26 U V. 8~00~ I Nee' 59' 0~"~ 550 )o' SIBERED ' 2,90~ 0 66.6'4 ~INT OF gEGINN~NG ~.~ I~AST OF O~NTON A: O2el8'00" P[RKINS v, t t,ll IIIj~ 9 N ~AST ~ O~NT~ Tan ROAD 4 I Grantee' s Mai ling Address :.. ~.-,':';~. .,.. ",' '. '.." 1o2 Mosclow¢:reok, t:uite 106 ABQ Development Corpo[ation '" ~oppelI, TexaS 7501~ P.O. BOX 25625 625 Silver Southwest, Suite 200 Albuquerq?e, New Mexico 87125 ' ~' ~': '~ ' .'- , THE STATE OF TEXAS COUNTY OF DALLAS THAT The parks,..,:of..CoPpeil.~Jotntil.Ve,ture.Ii~.(.Grantor.), Texas joint venture;' acting'by and through ~its duly authorized venturers, for and in.consideration.of the .sum of TEN AND NO/108 DOLLARS ($10.00) ..'and other good and valuable consideration paid to Grantor by.~ABO~:;Develop~ent Corporation ~(."G~a~tee,),, a New Mexico,,..,corporation, the~. receipt and sufficiency of which ate. hereby, acknowledged and'confessed, has GRANTED, SOLD AND CONVEYED,, and by these presents does. GRANT, ~$E~,'?'AND.~iCONV~Y' U~to~..Grp~m~thoee'~,certain,.:,~traots o~ land situated in Dallas County, Texas,. ~.described~in .!Exhibit A attached .hereto and incorporated herein by reference for all purposes (the 'Land'). ' ....... ." : ', TO HAVE. AND~.TO HOLD'.the Land,. together with all singular the ,rights .and .'<appurtenances thereto in anl~i~.~.~' belonging unt° Grantee and,~..Gra~tee's, successors and forever, and .Grantor doee~hereby bind itself and Gran~,~rS~ successors and.assigns.to t~RANT~,~AND..~FOREVER.~,~DEFEND singular the Land unt9 Grantee and Grantee's successors" assigns, against every~pecson whomsoeveI lawfully claimi~ or to claim the same. or 'a:ly part thereof~, by,~.throuqh or under G~antor but, not~ otherwise, *but with '"full substitution and subrogation of Grantee in and to all covenants of warranty by others heretofore given or made'with respect to the rights, titles and interests being conveyed, or any part thereof. Notwithstanding* anything to the contrary contained herein, this conveyanoe [~ ~ade bY Grantor and accepted by Grantee subject to those encumbrances described in Exhibit B attached hereto and incorporated*herein by reference for all purposes -* ~=* .... ('th~-"-Permitted Encumbrances-) to the extent that the Permitted Encumbrances are and remain in effect and affect all portions of the Land"~~-'~ This conveyance is not intended shall not be construed ~to extend or .spread any of the Permitted Encumbrances to any portion of '~the Lan~ not presently covered thereby. ..'~ ' ' Cu~'ent ad valorem ~axes against the Land have been prorated between Grantor~ and Grantee as of the date hereof, and Grantee h~reby expressly .assumes the payment of ad valorem taxes levied or assessed against the Land for 1988 and subsequent years. Grantee acknowledges that this conveyance is made by Grantor and accepted by Grantee subject to the lien for property taxes for: (i) as to Tract 1, the year 1988 and subsequent years, and .subsequent assessments for prior years due to change in land usage or ownership; 'and (ii) as to Tract 2 and Tract 3,' taxes for the year 1986 and subsequent years, and subsequent assessments for prior years due to change in land usage or 'ownership. Notwithstanding the foregoing, Grantor has agreed to pay any additional ad valorem taxes (including any penalties or interest, thereo,) levied or assessed against the Land afte the date hereof arising or resulting from Grantor's .utilization during *time periods prior to the date hereof of. open land act or agricultural use ad valorem tax relief provisions or resulting from the withdrawal of agricultural use er 'open' land ~ct'exemptions from portions of the Land insofar . as:~.' any ·such 'withdrawal results in additional ad valorem taxesLattributable to the period of time prior to the date hereof (collectively, the 'Additional Taxes'). The foregoing 'agreement of Grantor to pay the Additional Taxes is ..a ..'non-recourse obligation, and Grantee agrees to. look solely to the security provided for the payment of the Additional Taxes as'~provided in that certain Development Agreement of even date~ herewith between Grantor and Grantee. W,~,th°u~:~"warragtY~':~eXP,£,lLIS~/tor~implied~',. ,this~conveyance also ...d. , an.y.':~: ad~,ace, n.~:.. ;p. ub,~--.~- ig~ts-of-w&y,, or~.~!'easements; and ql~) public r~ghcs-ot~way:~ot~easements.adjaCent~to the boundary ,lines of-the Land~'*.. ! .......... :% , .......... ~.. GRANTOR: THE PARKS OF COPPELL JOINT VENTURE II '11 Joint Venturer "": :, '.:~': ' 2 ',,' . : : .. ~ . ' ' ~:';. ' ' . ;:.'. 'l..~', ~' r'~ :~': ~"'" '" ' '" ' ' :'-"' ' ' '""'~ "'~ ¢"!'" V "'" '~ '.':~' '': ' ' ..... ~ ........ . r: , .";.~..~' ...... -,,-'..:.~,~.,:'*~ .... :'"~'~: ":':" ~': ;'- '" ':.~"' "' ':::'": . NUHBE R 16&la0 TRACT 2 COI~*T: TIIENCE in a couthwesterly and westerly ~rect/on ~oug the ~rtherly line of said Parkway ~ulevsrd a~ said cu~e ~o cbs rfsh~ 'havl~ a rsdi~' of 1006.00 fee~, a central a~le of 30 degrees 20 sinuOUs 13 seco~8, a tangent length of 272.73 feet sad an arc length of ~32,66 feet to. an iron rod ~t the e~ of said curve to the right; ** · THEN~ ~uth 88 degases 59 mlnuues 02 seconds ~esc, continuing alo~ the northerly line of slid Pm~kvly Boulevard. a* distance si 647.81 [eet to the POI~ OF BEGI~ING a~ containing 1,200,729 square fee~, or 27.5650 seres si l~nd. ~i~ I 66,61~3 Icrc. cr~ct~ of~lSd~si~u~ed in the Clsr/nd~ Squire~ Survey, Abscrlc~ No. 1327, ~he S. ~ & H.G.R.R. Survey, ~trac~ No. 1130 a~ the Sibered Henderson Survey, Abstrac~ No. 629 'La ~he County .of ~llas~ Texas, and ~i~ a ~rtion of ~hnC certain Crac~ of ~'u~'~lcribed in ~ed froB ~ Financial ~rp. ~o H. ~uglns.~klns~ Trus~ee;:.~ record~ in Volume 76188, Page 23S~ in the ~ed Records of ~llss ~un~y, T~xls, ~ ~i~ ~re ~r~iculsrly ~scribed followsl .., ..... . .? .... ~ C~CING ac ~he southves~ corner.o~ a ~rser o['l~nd d~sd~ to Ru~h Perki~ as recorded in Volume 6921[~ P~g~ I~9 o[. th~'iDe~ ~ecor~s o~' ~11~s ~unry~ Texas, s~ld corner being on ~he north 'll~ of ~udy ~e Ro~d (~ viriable width ~fNa North O1 degrees 22 sinuses,.19 seconds ~es~, ~1o~ ~he west line of said Perkins ~racC, a ~s~ance of 620.89 fee~' ~o the Poin~ of Beginning; ~ ~rCh 01 degrees 22 sinu~e~ i~: I ' ' ' . seconds ~est, · distance o~ 2084.13 ~eet to au iron rod sr the ~ginnl~ of ~ curve ~o the left; ~EN~ ~n · northveecerly.dieec~tou..81o~ said curve to the left hsvi~ e radius of 209.09 feet, · central a~le oE',:29 degrees 5~8 u~nutee 22 oeco~, 8 tangent length sE 55.97 feet, aM sn arc length of 109.38 ~eet to en iron r~ at the end of said cu~e to the left, ot~d ~int bing on the southerly ~ne of ~ulevsrd (es 88 foot t.O.~,)-so records4 .in Voluue 84040, Page 3023 of the ~ed Records of ~ll~a ~unty, Texts; *' -' THEN~ ~rth 58 degrees 38 sinutes 49 seconds Eist~ ~ong the northerly ~ne said Parkway ~uleverd, a distance of a22.5~ feet to an iron r~ at the ~gtnning of · curve to the ti&hr; - - , ~ TH~CE in a northeasterly i~ easterly direction alonK the oouthe~y line 9f said Par~vay ~ulevard_ and said curve, io the r/sbt hevi~ a radius 2156.00 leer, a central I~le o~ 30 desreee 35 minutes 31 oecond., · tensest lensth oe 589.65 I~ aa a~c lenK:h ol 11~1.15 ~ee:'. to. in iron r~ a: t~ e~ o~ said curve, to the ri~ht~ said ~tnt ~in~ the' northwest corner 'of the future unrecorded Packvi,v ~dttton~ Pill; 1, Of 7.' ' ':'"?~" ' TICOR TITLE~ .. ... , ;., .:.. ,'.?/~, .. ~i~/, ¥., ,:... ~.... ........ , ..... . ..... .....:, gXHIBIT "A" TRACT 3 CON'T~ ~iiF. NCE. South O0 al'agrees 56 minutes.;25 sec.nde Eaoc...a~.on~ the veac Ltn~ of said future unrecorded Parkview Addition for · dieC&nc~ .of 646.78 feeC co en iron rod~ .et: che mac re, early sou~esc corner.of T~ ~rCh 89 degrees 03 minutes 35 seconds EeoC. ~onf ~ eOu~h ~underv line ,q[ *a~d Future Plrkview ~ditlon for I dietonce of 2~.OO feeC Ch!" ~finnLnf o~ a curve. Co the right having · central e~le .of 1~ degrees 29 mihuree 32 eecond.~ · radius of ~35.00 feec aim · rsnfen~ length of 55.31 fee~; ~ ~urheeo~erly. conCin~ins '~!on[ said south bounds~ 11~ of slid future ~urecorded Psrkviev ~dicion e~ alums sold curve ~or an err le~ch of 110.03 ~eec ~o an iron rod I~ a poinr of reverse curvature ~o centre1 angle of 05 degrees 49 minute, ~2 seconds. tangent length of 33.85 fee~; ~HENCE Southese~egly) continuing oLo~-~8fd south bounda~ line of 8~ld [u~uge unrecorded Parkvlew ~dl~i~n a~ ~oM ,,id ~o an iron rod sC ~he e~ ~i ,aid eurve~ ~CE ~uch O0 degrees 56 minutes :'25~:;.eco~l:'r~r for s disrsn~ of 22.59 reec ~o an 1rom '~'8~ ~he ~oc 'southerly '~uc~ ~ruer of ~ld future mrecorded · lrkviev ~diCion~ said iron r~ al,?: lYi~:'On ~becrl~r' 1327 ~ro, Slid "bstrle~ '629,":.1d ,bo~rle~ line ~oo bi~ she north line o~ · ~ricc of ls~ deed~ rs J 6~ S ~upeny* hc.~ ~ record~ In Volume 70009. Pore 0433 In the. ~ed Records of hlho ~n~p Texas. ,T~N~ ~uch 89 degrees 03 uinures.:35 Se~. said notch ~X~ of said J & E ~,pe~y':cracC a diOt/n~ o~ 1148.91 fee~ ~o sn iron r~ ac the norch~eoc corner si oa~d J'i g ~nnany trace: T~NCE ~uch Ol degrees O~ minutes 16 see.nde alon~ the veoC ll~ of eaid'J i'K ~epan~ trace an iron r~ ac the eouChvff~ corner of °aid THEN~ ~rCh 88 degrees 34 minutes 54'secure East along the south line of said J & E ~mpan7 crate for a distance of .63.8.3~ corner of a crate of h~ deeded C0 John H. PaSs 595 in the ~ed hcord8 of ~lao County. Texas; ~KN~ South OS degrees 51 uinu~eo 03 eec.nde Burns Crate EoF a distance of 1~53.29 fee~ to an iron rod on the north R.O.g. line of Sindy.~ke Road (a variable width R,O,~,)J ~EN~ South 88 degrees 28 e~nuCe8 22 seconds geeC alo~ said notch R.O.W. line sE 8a~d Sa~y ~ke ~ad a ~sCance of 677.68 feec co an Iron r~ aC the southeast corner sE a trace o~ la~ deeded Co Bhirley hrpold aa recorded ~n Volume 77116. ~ase 627 .in the Deed ~eeordf o~ ~lle8 ~unCy. ' ' NIJHBER 164180 EXHIBIT "A" TRACT 3 CON'T= /HENCE North O! degrees 54 ulnutes. 52 seconds East leaving said nozth line of Sandy ~ke Rood) ~long the e~st line of s~td ~rpold tract for a distance of 566.07 feec to an Iron rod at the northeast corner of said Her~old tracg; THEN~ ~uth 89 degrees 51 mlnutei 1~' seconds ~eot,~ ~o~ the north line se enid Harpold tract a~ the north line of said Petki~ tract, for n distance of 630.05 feet to the Point of ~ginn/ng a~ containing 2~903,071 eq~re feet, or 66.6653 ecte8 o~ land. Page 7 of 7. 5 .. '.... ., ., ,... ,:...,'. :- . ,,k.'.. ';, TICOR TITLE I,r'"J~;I-J4,~-&NCE THE STATE'OF TEXAS~: :'. §':~'"!':'?"' : -,,',;.;"~", · .. , .'~:., ;. . . . . COUNTY OF DALLAS ,. ,,,>, :!,~,.;.,.~:.,, .: . § .... -', , ~;.~'.~',;i.',', >%, '" :'., .~¢!?~'..~'?. ,.. :' ., . . ;., ,,,, ~,-'." .- , .- " . , ' W ~:'T N E $ ~ E T L[ : A..-, $].Q~ DEEO. · ...;,,', ~.:~. ..... · '?.' ??~? -..'?~'~?,. ,~,%:,,., ":' :, ~, W~AS, o~' ~he"~a~e he~eo[, ~he~.a~o~'~Co~ell ~o~n~ conveyed ,.to '~Q'~:~¢~pmeat~..COrpo.~ation,~(,~,Compan~" ), a Mexico corpora~i~n~ [~aL~,Cekkaih~:~l~nd.~'~d'~'i'e~ibed in a~tached ', Exhibit A (the "Compan~.Si~e"); and ~HEREAS, Venture' owns ~hat cec~ain land desccibed in e~tached Exhibi~ B-(~he 'To~n Cen~er Si~e")which is ad]acen~ ~o a portion o~ ~he~Company, Si~e; and- . ,. Compan~-..~Si~e"=-.described~in~;~a~ached~,~zhib.lt C ('k~e "Company Easemen~,,..A~ea~.) ..... a~.linear~park.~ch~nnel=~.used [or .s~orm ..~t~inage;,~,and· . .. >'~ ..: :.~. , .. ,.., .. ,,.:.' . ~gRgAS~here~Ptesan~ly,~xis~s.~on,~.~ha~o~ion o[ ~he Town Cen~er-~Si~e ...... described~in--,a~ached ...... Exhibi~ D (~he "Yen[ute Easemen~.,-,Area~.) .... a,-~l&near.-,park~channeL..,.used [or s~orm wa~ec drainage;--and.~, :, ~.... . .. . .: .....,?.,,.,~.,.~.,.,.~ . .~. · , · . '.. ~ ~be lineac WHEREAS,,~.~ he ~,e~i.'i~&,~g~con[.igU r a ~ ion ~ and-s i ze. o [ park~channel .loca~edvon,~.'th~".Town Center Site and,. ~he Company Si~e,has~,been~designed~O~ha~he~.s~orm~,wa~e~ d~ainage systems [ o ~.:~be ~Town~'.'~.Cen~er~ Si t e~eand.,~ha,~Co~tpa ny' Si~e are ~ter, dap~ndent; and ,..:: l,,,-indueemen~.~.~o,~Ven~u~e~to sell and co~vey,~he,,.CompanF~S!te~o,Compan~and~o~Company~o purchase aaa--accep~-.'~he~.Comp~nF~Sj.~e..-~[rom~,Ven~u~e.;.~.Ven~ure i~d Compan7 ag reed.~o,, enter~i n~o ~hi.se~.~9:I l~D~l~nlge~ll~men~ ] ~0~, T~g~FO~g,.~ [o[::"and in· conside~ation of ~he [)remi'ses and of the ag~eementshcon~ained herein, Venture and ~o~apa'n7 agree,as ~ollo~s: ..~.:,;¢~:~ ...' '. A'. .Company..hereb7 GRANTS AHD CONVEYS ~o Ver~ur~,'~=d ~ Ven~ure's successors and assigns, a non-exclusive ,easem,~n~ ' "' (the :"Compan~'.:gasemenh") in, under, over and across i'he Compan7 Easemen~ '~rea. ' ~ ~ . .~':' _.,,..~, .'..'. ~.'.:.'"~'".~'"~. ~ ~ "~ ~:'.: :- .. : '> ' " "t~'" ' "/v ' :' · ;'.c.;;,:,.~ ,. .. ~' :., '. ' 'r.'. ':.' ..' ;~ " ' , ' · ...:...:~-. .%. ,, ~..¢ ,;;,,,.. ~; ~.:: .' ~.~.,,.~ '~' :i~¢~"~;' "'. ::': :~..'"' "'~.',f'~'<f~J.' '"pL".'"'¢,~.',:~:? '" '":':f" "' 'B. "Venture?hereby'GRANTS .AND CONVEYS' to Company, and Company's~' successors ..,and. assi~./ns, a' 'non-exclusive .easement (the #venture",!:Easement~)' in',' under~ .over and across the A. SUb]ect'..,to "the'. relocation"."rights described Subparagraph A'of'..'paragraph 6. hereof .~and to those matters described, in~/~at~'ached . Exhibit E, Company hereby binds itself and .Company's successors and:".assigns to WARRANT AND FOREVER DEFEND"the ComDany. Easement' in, under, over and across the Company Easement Area unto' Venture and Ventur~'s successors and~ assigns against every party whomsoever lawfully claiming- the same, or any part thereof, by, through or under. Company, but not otherwise. B. SubJect~bo 'the .zelocation'"rights described subparagraph B of?~paragra~h'6 hereof and to those matters described ~n att%ched.~:'i Exhibit F, Venture hereby binds itself and ventur'e's' successors and assigns to WARRANT AND FOREVER DEFEND ' the Venture.3.. Easement in, under, over and across the vent~re~"Easement~Area unto.Company and Company's successors and . assigns<:, against every party whomsoever lawfully cla~m%ng'. , the '"' same, or any part thereof., by, through or under Venture, but. not otherwise. 3. Use. '." ' ..... "A. ' ~'' The ":~Com~ny Easement and the Company Easement ~re~ msy'"be USed.~:by..Vehture .andWor Venture's successors ~nd assigns 'for:~ (i).~storm water drai~ge,"from ail or portions of the Town ~Center'~Site~ and (ii) the'location, relocation, construction, ... ted6'ns~ruction, alteration maintenance, repair, inspection; operation and removal of anf improvements 'required by the ~ty to: facilitate or improve storm water~"d~ai~age 'from a~ll' 'or ~poztions of the Town Center Site a~d~or~the 'Company Site. - B. ~ The aV~'~re Easement 8n~ 'the Venture Easement ...... Area-maY:be used~.by company sn~/or Company's successors and · ' ~ssigns for~'"..'.('~).storm water ~rain~ge ~rom all o~ ~ortions of the Com~y':"S~te~. ~nd (~i) the location, relocation, constr~ct~on,' "'reconstruct ~on, alteration, maintenence, -' repair, ]' "i nspe~t io'n,· operation ~nd remove ~ of any "improvements. required by the City to facilitate or improve storm water drainage f'rom all or ~ortions of the Company Site and/or'the~ToWn Center Site, 4. ' .':. "A.":'~>'Company'. hereby reserves the right to: (i) g-ant other easement · rights ih, under, over and across the '~"" :.~ - 2' - · : ..:. '~..~!;.; ~ .. ,., . . · .': , Compan7 .l~.asemenl:,.'A£ea' [o~:~an7 ~use'wh~cb.;,does no~ preven~ o¢ make mo~e~ e~pens'~V'~. ~he?'~se '~o~: ~h~cb,~ ~he Compan7 Easemen~ ~s' gran~ed~ ana'.~(~) use ,,and make.",'~mp~ovemen~s ~o ~he CompanT. Eas~mea~,'~';:Area .'.:-~o~..',an7 purpoS'e ~h~ch does no~ preven~ o¢ make,~:mo[e..;.'e~p&ns~ve "Lhe ~',use ~o~ which ~he .-., B.' .Ven~ure..~hereb7 .reserves ~he~¢~gh~ ~o: (~) gran~ o~he¢ .easemen~:?;;'~'~'gh~s ~n. ~unde¢. &~e¢ and ac[oss ven~u'¢e Easemen~.'A~ea ~o¢ an~.use ~h~ch,does no~ preven~ or make more.expens~ve.~he use ~o¢ ~h~ch:.~he Venture Easemen~ ~s g'¢an~ed~ and '(i~) use ' and make':"~mp~ovemen~s ~o ~he.. Venture Eas~men~.:,;A~ea ~o¢ an~ purpose ~h~ch does no~~' preven~ o¢ make',.~'=mo~e e=pens~ve ~he ~ use Co¢ ~h~ch ~he Venture Easement, ~'s .granted. .'~' 5. ~asemen~ ,~mp~vemen~s; :, =~.~he~V. en~ure ...... o~ Compan~ 'C~ ~ ~0 :,~e .~ven~ure~EJ-eemen~:A~l~nd~¢:~[he companT.. EasemenY. ~Arel-' F'~"' ~o ,".'~,. ~ ac ~ Z ~ ~a ~e~6~mP~6~e~. ~0 rm'. ,' wa ~e¢~ ;, d¢a~n a_e~ E¢om ~he T.oWp:~.Cen~e¢.,:',~S~e;~'&ndZo:¢~;{~.~be~CompanT..~t,~e. The . costs ~o co~s~uc~.an~.;~easemen~mp~ovemen~=~aha~be pa~d by ~he causing ..~he,~-cons~¢uc~'~on.,-.~he~eof (~he "Easemen~ Zmp¢ovemen~ appZ~cabZe.~.easemen~area,~ (~he',",Ven~ure' Easemen~ Area or ~he Compan7, Easemen~ ~.Area),,..'.¢equ~¢e'd~b~,~he...C~7 . have no~ been ¢e~mburse~:-~he~.Easemen~.~Zmp¢ovemen~-.Cons~uc~o¢ Eo¢ ~he Basic (60) da~s', a[~e~., ~e..,di~e'5[: ~he'comp~e~on o~ ~he app~cabZe easemen~ .~mpr'ovand~:;:a.ZZ'~,'~mp¢ovemen~s ~o ~he,..app~cabZe easemen~ area. (~e Ven~ure.;'~Easemen~ Area o¢ '~he Compan7 Easemen~ Area) required, b~ ~he ~,",:emenEs~' (~) [o~y-~ve (45) days ~he O~he~ Pa¢~7 has.~ce~ved cop~so[ Construction con~¢ac~s. invoices, s~a~emen~s' and o~he¢ evidence reasonabZ7 ne~essa¢7 ~o establish ~he amount, oE ~be BaSic Costs and ~he ~uZ~ pa~men~ s~e owned b~, ~he :'.O~be~, Pa¢~: has been p]a~ed. ~e ~he O~he[ appZ~cabZe~easemen~area (~he~ Venture EaSemen~ A~ea o¢ ~he Comp'an~ ~seme,n~-A~'e'a ~ ~equ~.¢ea~.bY.~he,,,C~'~Y. have been compZe~ed appZ~cabZe-.,.~eaaeme'h~{mprov~men~ .... ~he., O~he¢ Pa~7 sha~ no~ Cons~¢uc~O¢.,Eo¢..~he~Baa'~c..Cos~. .As used here~n. "Basic Costs" moans ~he m~n~mum costs nece~sa¢7 ~o cons~¢uc~ ~he ~mp¢oveme~s easemen~ ~mP~ovemen~s~.'; constructed sha~Z contain suE~c~en~ c3pac~ ~o a~]o~ .~he~,'deve~pmen~ oE bo~h ~he To~n 'Cen~e¢ S~e and ~be Compan7 S~e~'~o ~e.maz~mum densities ,.. ', ~,, .,' ,.: l.,.. 3 . the zoning designationS"ap'p'licab'le' to' the'.T°'n'":'Center Site and the Company Site..'on the;';date::.'of:'~.this' Mutual,~ Drainage' Easement, Basic Costs shall: not~:, inCldde::,supervision,:.and/o~ove~head costs o[ the Easement Improvement:?[Constructor;.nor,~ unless approved the Other Part7 in .writing,.,shall~.Basic:.Costs include items such as~ landscaping or~.othe~ improvemen~s'.no2 ~required by the City. Basic. Costs '~.~shall'~,' be · established ..~by..~ the Easement Improvement Construct°r..,.,obtaining ~a. separate (:bid or contract covering .only thetcosts~:to{':construct ..the~ improvements required by the' 'City o~ ~ the~:~:,Other 'Party's~.,slte~?.'=, The Easement Improvement Constructo~':'. ghall .,~obtain ',:at {.least three (3) competitive bids 'frbm..th'ree . (3) different~ contractors for the construction of the improvements required by '.~.the City on the Other Party's. site, .and ::'.the Easement ..Improvement Constructor shall accept the lowes~'bid'~unless the Other Party approves the acceptance of 'a higher,,["~bfd, in .writin~ ..... Both ..Venture..and Companz,. agree to. delive~to--the:~.other~copi%s,<,(including all engineering in~o~mation)~,'°'~-~any~pllts..,,filed-.with the City on each. party~s..site ,.concurrently....with,,,any..,,such~,,filing. with the an~ pa~..o[ the Compan~ Easement"Area and ~all or an~ o[ an~ ~hen , existing ''::easemen~ '.:improvements. An~ such relocation .,;.is expressly (,?condi~ioned. '~'upon: (i) subs~itu~ion:o~ a di[[eren~'area o~.~he CompanF Si~e as Compan~ Easemen~ Area[~'b~.,~ompan~ .~hich ~ill provida ~he s~me o~. grea~er 's~orm:~[~a~.drainage [rom.all or portions o[ ~he To~n Cen~er'...,,:Si~e ~ and/or ~he . Company Si~e as provided by ~he:Company.. Easement'A~ea.described in ae~ached . Exhibit. C~ .(ii). t~e~reConstruc~ion:,., by'.Compan7 .o[ anF ~hen : :existing .easeme~t;,~:~.xmp~ovements ~...'necessi~a~ed b7 such ~ ~elocatio'n;... and ..(iii)~.Compan7 :.no~ ; ~aking. ~n~. action in~e~ere ~ith.. ~he.-exis~ing .Company: E~semen~ A~ea and ~hen.exis~ing~ easemen~;<improvemen~s, until ~he ne~ CompanF Easemen~ :Area, and'.~recons~r~c~ed 'easemen~improvemen~s are ~ead~ ~o [unction.~'?f'~ll-~cos~s o~ an~ such' 'relocation shall be pei~ b7 Comp~n~,~.,;:and' Venture shall': not have - obligation,..to. ~eimbu~S~:;~Compan~, [or 'any..'portion o[ s~ch relocation, costs ?under.. the provisions.' o[ paragraph 5 he~eo[. Upon ~he~':subs~i~u~ion o[ a di~[er'en~ area o~ Compan~ 'Sl~e as .~he ..Company. Easement Area .b~ Compan~ and ~he comple~ion..o[ ~he' reconstruction b~ Compan~ o~ an7 ~hen existing easemen~,:~,improvemen~s' ~hat are..;:'~eloCa~ed, portion o[,~he Compan['~Si~e,~or,'~hich Com~an~ substituted di~eren~ a~ea:< o~ ~he'.Compan7 ~Si~e. as the. Company Easemen~ · A~ea shall be. deemed,:=released. ~rom' ~his ~u~ual Drainage E~semen~,..and. Ven~ure'>.agrees.,.;~o ~execu~e and deliver -~ ' Compan~ an instrument' ~eleasing':such area~ ~rom ~his ~u~ual D~ainage Easemen~ i~ requested ~0 so b~ Compan7. ~. r~n~ure.'f~'ai't'%have ~h~'. rig'h[,~o":.reloca[e att or oE any ~hen 'existing',,:eas'ement improvements. Any such relocation ts -expressly. conditioned upon: (t) the substitution o£ a diEEerent area oE the.Town Center Site as the ?enture EasementVA:rea by. Venturo,*which wil! provide the same ~r g£eater ,storm::water drainage erom.al! or portions oE the Company,'.Sl~e':t~and/or the Town Center Site as provided by the Yen:ute Easement'Area described tn attached Exhibit D; (ii) the,':reconstruction by Venture oe any then ezisting ease~en~./~ t'mprovements necessitated by such relocation; and (tit) Venture .not taking any action inter,ere with the existing Venture Easem&nt Area and any then existing easement, improvements unit! the ne~ Venture Easemen~ Area and:~Eecons:ructed easement improvements are ready to :unc:~on;' All costs o: any such'.reloca:ion shall be paid by venture/:,, and Company shall not have any · obltga:~o,~ to reimburse,Venture :o~ any,pot:ion oe such relocation, costs., under'. ~he .:~.p:ovisionsf' o~ paragraph 5 hereof. Upon the .substi~ution~:oe. a diEEe=ent area o~ the Town Center Site,Fas~,the,,Ven~Uze Easement. Area by Venture and the completion..o~',~the-recons~ruce~on by Ven~u£e oE any then existing easement improvements that are relocated, that portion o~ the/.Town Center Site eot which Ven:uce substituted a'di~eeteht~.area.oe, the Town,~Center Site as the Venture Easement Area'~,.shalt' be,deemed released erom this Hutua! Drainage.Easem&nt, and Company agrees to execute and deliver to Venture';an..'instrument releasing such area :his Mutual Drainage/.Easemelnt it. requested to so by Ver,~ure. 7. '~ineet~EP&=kl~l~e~£o~emqnes,t .Ezcept~"~as~,-provided tn paragraphs~~S~tand=6~.,h~reoe~*Vent'ure~end~Company~agree ehae each pazty,~,~is,~,,~respo'~$ib~e,~taeor~the,.~c0q~$....¢~o£~constzuc~ing any tmp=ovemen~s,..~o,~the~tOposed,~lineat~.~patk,~.,sYs:em located upon ~he.applicab~e.;pa=ey..s"~n'~siee,.tncl~dtng;'..~tehoue limitation, all~,.d=ainage.,~syatem~.~tmpzovements..~All~.such.,;conseruceton shall be ...... pez~ormed=,.:wt~houe~matertal:~devtaeton.~?Erom plans and spec~ica'~tons..~hereEo=.~eo~.be...approved'"by'=~'~he'.C~ey. Venture and Company hereby acknowledge ~ha~ ~he e~ts~tng configuration and size oe ~he linear?park channel has been:.deslgned so ehae ~he drainage 'systems'.:,~o:~,~he Company. Site and the To~n Center StYe are. tn~erdependen~.:,~: Consequently,. Venture and Company each agree ~hae,.~i~hou~he prior ~r~en consent o~ ~he oehe~ pa=~y, no easemen~ shall, be granted, and no improvements ~o ~he linear park .eye:em' on:~ ~he applicable pa=~y's st~e ~tll be cons~:uc~ed tn any .mannec.~htch ~tll increase the amount of ~and area requt:ed ~o:'~d=a~nage o= 'drainage ea~emen~ on o~het party's si:e~.ptovtded,., however, nothing herein in,ended,o= shall be cona:rued~ Co. limit, inhibit ot res~r~ Ven:ure's right eo develop ~he To~n Center Stet eo tee maximum permit:ed density under cu=ren:.zoning ordinances oc Co '~ ~',:~" ~',~t?~' ~. ,"~ ' ' ' ~.~ '.~ '~ ' "h.?.,?.:: '..'./:, c~"~,~t. . '. ~. ,.,. ~ ~ inhibit or. res~rict'Co~'~'ny's,/right :to develO'P the Company Site to its' maximum .!'permitted,, density, under:~ ~current zoning ordinances. unde r... ,,tha,.,~..terms ,.~provi s ions, ~.,.:~ condi ~ ions,~., covenants and ag~eements.~,,.contained~he~ein.. (the .~ applicable party, the "Defaulting Party~),"4~he,~.~othe~.~party (the · ,Non-Defaulting Party")..shall~.have~the~riqht..to= .... (i)-seek~injunctive relieff require~.: the;.:.~ Defaulting~:~,Party ..~.to,~per~orm~.such . duties obligations; ( Ii ) ' seek~compens at ~on ~ ' 'fo r':;",, damages - 8rising or resulting from the failure of the Defaulting Party to perform such duties .,or. obligations: (iii) cause, such duties obligations to be performed in. which event all sums expended by the Non-Defaulting .Party in. causing such duties or obligations to be performed shall; become a demand obligatio~ owed by tho Defaulting Party to..the; Non-Defaulting Party ~rom the dates such sums are expended .by.the.(.Non-Defaulting..Party, shall bear interest at the lesser~;.of.'.the]..highest, law~ul contractual rate of interest or: eighteen ].':percent ,(18%)per annum from the date expended by the Non-Def8u ~ting' .Party until repaid by the Defaulting Party, a~d shall be subject to collection by suit any court., of..compete,t jurisdiction~ or . (iv) exercise all rights or-remedies otherwise available at law, in equity or by statute. All rights.and remedies sh~11 ,be cumulative and not exclusive , It: is expressly agreed that time is of the essence tn the performance :::o~.....all terms, provisions, conditions, covenants '..and agreements cogtained herein. ,: In any legal or equitable .pro~eeding. forj'.the enforcement of any of the terms, provisions, conditions "' covenants or ' ,:: ~:: . agreements co~ta ined herein or for ~.damages[.,~for the breach- o~ any of the terms, provisions, condi~ions,;l-', covenants or agreements contsined herein, the ..los~ng.,~;pa~ky~,shall..,. p~*'.the.',..atto~neys' flees ~nd Cou · t ~co s t s ~.o f.,:., the., p r eva'i'l ing .p a r ty. ~ ..... means~and,,includes~entuze, and all..subseque~t, parties who from ~an~ana-~}nc~uoes~c~~-end~ai-Z~Ubseque~,~a~ties who ~rom condi~ion~;' :6ovenant'~a~d., ~g'reements~ contained in this Nutual Drainage Easement a~.e~nan~s~unning~ithsthe,.land, and shall bind .~and.,. inu~e~,to~.the~beneii~,oi~Ventu~e,: and ,Company. and their ~eapec~ive~ ...... hei~s,.~devisees,.,,.v,~,pe~sonal..,~, ~ep~esentatives, or equitable',..title.,,to~al.l,,:or,,,portions..oi~..the To~n Cen~er or the Company covenant.or agreemen~!,~anta~ne~ he£ein-~is :held to. be illegal, invalid or unenforce~ble,.-.:.the' '..:legality/:. validity and enforceability of the 'r'emaining terms, provisions, conditions, covenants and 'agreements;~contained-herein ·Shall not be affected therebl',, and in .lteu.~'o[ each 'such illegal, invalid or unenforce'able . term,.-.!~;.provision,.: condition, covenant or agreement, there' shal'l'.f.i,tbe' added" to this;?Mutual Drainage Easement a legal, (..vaI{d '~nd enforceable'?~erm, provision, condition, covenant 'or agreement'as similar..ai~ possible to the/ term, provision, ~ ~onditi'o,, covenant or agreement declared . illegal, invalid or unenforceable.. .. . ....... 11. No Waiver.. 'No.~aiver of .any of the...'.(erms, provisions, conditions, covenants'or, agreements contained herein shall be effective unless in writing executed by the. party for whose benefit the applicable, term, provision, condition, covenant or agreement is intended ..'.~'. · :~ta~No. :waiver of any..~term, provision, condition, covenant or.:,agreement, contained'J, here{n under a particular circumstance'shall:;be deemed a waiver of such term, provision, condition, covenant or.. agreement under a different 12. Captions. The" captions' contained in this Mutual Drainage Easement are flor convenience only and shall in -no way enlarge or limit the scope .or meaning .of the various and several paragraphs hereof. 13. Gender. Wit~in',thi~ Mutual Drainage Easement, words of any gender shall be held and construed to include any other gender, and words in .the singular number ~shall be held and construed to include the plural and .vice versa, unless the context otherwise r~quires. , 14. Counterparts.(""~his Mutual I~r~inage ~asemen~ has been executed in multiple counterparts, each of which shall be deemed an original, and. all ~[ which shall constitute but one and the same instrument.,.... 15. Exhibits. Ail' exhibits attached hereto are incorporated.._ herein .,by?:~re[erence [or all purposes ~herever cO reference is made to the. same. , 16. Governinq Law.,,.,This ~utual Drainage' Easemen~ shall be governed by and construed in accordance with the laws of the State of Texas, and Venture and Company both irrevocably agree ~hat venue [or any .,dispute involving this ~u~ual ~rainage 00' Easement shall be in'any court o~ competent ~urisdiction in co Dallas County, Texas.;,.:.,...~,[[?. -. 17. Complete Agreement. ~his ~u~ual Drainage Easement ;.. embodies the entire aqreement between Venture and Company wi~h ',7 respect to the subject matter,hereof ~and supersedes all prior agreements, written or or&l,~!~:with respect to the subject matter hereof. ¥: .... " EXECUTED as of the - · ay of , 1988. : '"! '?, .:":¢,VENTURE; ,..~_.....!. .. ?i '.? · , , ,- ;.. ' ' '?THE~PARKS~OF-~COPPELr'~JOINT' -" VENTURE II ' . ,t'~ ~ ' INichael R.'Allen Joint Venturer ~ . , ~ ,.. ' . .~..~ ~,,. -~ .~, ':'.,' ~oint ~ntur~r .,~ , //~oh. ~.~ ~Joint Ye By: The S.tacy Suzanne Allen Special Trust Joint ~enturer " ~ M~chael ~R. ' ' ' A~o~ney-~n-Fac~ . -'"'B~J The Ch~is~ne Anne A~len ";' Specia~ T~us~, .. Joint Venturer . .. ., , -' " uMi~hael R. ~l'len Attorney-in-Fact ' :- : ,:'~'.'=~',~ By: The John Michael Allen ' '~;, + :o": ' Joint Venturer, " A~ko~ ney-in-Facb '- By: The David Crittenden Alien '~":~.? .~ : Joint Venturer :]¥ COMPANY ~ (:.< ASQ~PE~ELOP~ENT CORPORATION ,:;.. · ' Sta~Strickman r'- Senior Vice President · .t ,.'.! ',-',?.~{~!' ,:,, ,..' - ;,',' '~ · ..... .,~.,..?~::.,., ,,., .:.' ,., ,., .- , ,. :.-. ~.: ). '/~ ~,(!~; .~ f, . ~ ..,- :~;,,, .' ..'. _-. . ., .. THE STATE OF TEXAS ' "":"i'''{ '" {''~j''''''~ § ~" ' ' : "?'''::i'' COUNTY OF DALLAS ...... This instrument' was 'acknowledged before' me 1988, by, Michael R;~ Allen;.~a joint uenturer."in.*The ~ar of ~aid joint, v~ntur~. .~: ~ ~.~j,~:.. - My Co~ission Expires: " " ', ' :' Printed Name of Notary THE STATE OF TEXAS :;].':]:S 't COUNTY OF DALLAS ;': § This instrument wa~ acknowledged bet~ore me on said joint venbure. GIV~ ~ HAND AND 'SEAL OF OFFICE, this the day of , 1988. 0 . ~ :'~ bhe Sbabe of Texas ~rinted Name o~ Notary o3 . : ~,,,,~ '~',.'.,~'~ :.~ .~...;~;.,., . ...,. ...... ...... '"" l~? <": ~'?'-"~ ..... ';: ',' "¥' '," "'";' .".'!, 3"~. ' ... ~ ~;.!...,'.:. ~'.~;,s · r'. ,,: ~'. " ~ .-'; ' _1 ~ '- ,,. '; ?.,i .-, 1988,.~y John B. Kidd,'. a,.join~.ven~urer in. The'~,~a ks o~Coppell Join~ Venture II,. a ~Tezas join~ -venture, . on bebal~ o~ said~ joint venture. ~ ~.... : GIVEN~DER ~ HAND" ~ND SEAL OF OFFICE, this the ~o~r~ ~ubl[ ~nd for the State of Texas My Co~ission Expires: ":"'" Printed Name of Notary . ,,% ~' . THE STATE O~ TE~S '""' """' ' / ' : ,<.:;3 COUN~ OF DALLAS This instrument~was acknowled~ed~ before me on , 1988, by Michael R..,.Allen, as Attgrney-in-Fact of ~e Stacy Suzanne Allen Special T~ust, a joint, venturer, in The Parks of Coppell Joint Venture ,II, a Texas joint'.venture, on behalf of said joint .venture .... GIV~~R ~ND AND SEAL OF OFFICE, this the day of _ ' ~ _,,1988'  ~' .... Notary Pubic in and for ' "'~' the State of Texas My Co~ssion Expires:-' ~rinted Name of Notar~ .... ' .r,,'.,..':;'q':/~ ..... 11' -'.,~-',~ ..... .... . .,. .,. ,~ . ,'?~/~;.~:.i~3%~:'~ ,. '. .~. , :.; .., :..:, ?.. .. , ',,~-,. c ....... :. .,.,- . ,.-: ,-..:~ :. ~ ~. '~( .... ~ ,:~ ' '. t,,', :~,,; ... ..,, · ...~,~/ '~ .:'. ......... · ". ' ' ' ~ ~'~.","~, ' '~" '" .'~ ""' ' ,,, .~, ~%~;~,, , .,, , ..,;.,. THE STATE OF TE~S. '";.: : " ' ' ' ...... ," ~:,,: ;::../:~ '- · L...'., .,,>;..~ 1988, by M~chael R..Allen,,.as Attorney-in-Fact.of".~e Anne Allen Special.,: T, rust;".. ~' joint venturer in "The Parks Co,gel1 Joint Venture II, a~Texes joint venture,~;:on behelf sai~ joint venture.' ,h...'~>,~::". .... .... of _~, 1988.',,',';c.. ,, ~ .~, ~ ';'.'.'~'b''. · ',' ':~%.' :~" . . , ~ .< <'~':: ... ~ , .... : . , . ~)~ S~l~ I . .:, Notary Publi~ in and f~ - ~~ . ":'. . the 8~ate o~ Texas ~y Co~tsston EzgtCes: ,,x : ~:.'~ e¢~n~ea Name o[ T~E STATE OF TE~S COUN~ OF DALLAS ~ This instrument was 'acknowledged before me on 1988, by Michael R.',",Allen, ~:.as Attorney-in-Fact Michael Allen Special Trust~,:S.,a', jpint venturer in' The Parks of Coppell Joint Venture II,',.a .Texas joint venture, on behalf of said joint venture. of /~ ~ , ,1988. '. ,,---~ ~] ............... [;. '.: . : , . ~l~l~f$ ~ . ~o a '  ,': the State of Texas . Ny Co~tsston Expires: :,: Printed Name of Notary "': ¢~i~ , z: -: ;:, ~',.~t ,. ," .t~]'.., '~ ..... ~ ; ,.. ' "' ~" · % "~ ' ." :':.': "~ '~ ".i ...... ~:. '~g".i', ' ,~ :' : ' COUNTY OF DALLAS .':: ::,~..,./.,,..~,~ S . ;. . ". This instrument wa~ ': ac'knowledged' before toe':on _ , 1988, by Michael R. Allen; as A~torney-in-Fact o~ ~e D~vid Cri~tenden,'Allen.Special Trust, a ~oint venturer in The PaEks of Coppell Join~ Venture II, a Texas ]oint venture, on behale of said joint venture., ' ..... ~..~ GIVEN~R_~ MAND ~AND SEA~ OF OFFICE, ~his ~he day o~ ~ ~ , 1988 ',' Notary Publi~ in and for -~...' . . the State of Texas My .... ~ Printed Name of Notary THE STATE OF TE~S · '~ COUNTY OF DALLAS ...... ~-~ ." ',' ~ Th~r~$'rument ;as~knowledged ~efore .e on ~ ~ , ~988,~ .'bY ,S/an -Stric~an,~. : Senior...Vice . President ~E ABQ Dey~}opment~=~orporatio~,La,~ew,Mex~co corporation, on behalf o[ sala[co:po[a:lon, x ,,. azv .;u o a Chi. the Oi ~,..  Notary Pubic Yn and [or . the Sta~e o[ Texas My Co~ission Expires: . . Printed Name o~ Notary 4560S : ' , '.".;. , , ,.{( ,' .. .. ~.. . . . '.~.~,':c'.~;:'?~ 13. .. .... .: .;,. ;~:.:. ,'.. · ~ '.'";:~ ,. '.. ,, ,... ., ,..;:,.,...,i~.,,,,~ :':, , ..'~' t./i,,~..:~ , ; .,, :, , ' . .... ~:..~ .~.:'~ ';~-:.;'..,~.~'.':' ~ ,. ;l,, ,., ?;,.,: }~f!'.,'~(?.'. ~.:"' Clarinda"Squlr=s Survey, Abstract No. 1327, the S.A. I H.G.R.R. Survey. Abstract N~.. 1430 ~nd the Slbered Henderson Survey, Abstract No. 629 in the Cowry of ~nllas. Texas ~nd,~in; a portion of that certain tract of' land ns~descri~d, in,.deed fron rood Fi~nc'ial .Corp. to H. Dou;las ~kins. Trustee, as recorded in,Vol~ 76188~:~~,23S$ in. the De~d Records of Dallas Cowry, Texas and ~in~ note particularly descried as follo~s; C~CING at the southwest ¢o~er~?.0f a/.(tract o~ lnnd d*~a~d to nuth Perkins as recorded in Vol= 69241, ps[e,~459Lof.,the..Deed. Records of Dallas County, T~xns, said corner.~in~ on ,the north.~'ilne'~of.Sand ~ke Re .. ' Thence North *' ~49" ~, -, .... ~ _ ~. _ ad (I v~riabl~ width R of 620.89 feet to the POINT OF BEGI~ING; ' , - ..... rg~zns elect. I distance ~C~ North 01'22'49" ~est, ~ .dtstince o( 2084.1~ ~eet to In iron rod Bt the hSlflnini o; ~ curve to the la;t; ~CE'in i northvesterly directio~':,llonj slid curve to the le~t hviflj I rldius of 209.09 (eet,. central., in[le.'o~29'58,22,,, i..tlnjent lefljth et 55.97 feet, ~nd .. In .rc lensth o; 109.38 ~feet, to,,'ln~{irod r~ it the efld~oi Curve to the le;t. s~id ~C ~inj off the southerly line,OI~rkvl~ B~lev~rd (=n 08 ;eot R,O.ff.) Il recorded tn Yol=e 84040, Psie 3023 o~ the.Detd Recordl o~ DII]II C~nty, ~cE North 58'~8'49" hst~,~llonl'!~the northerl~ line o~ Slid PIr~ly Boulewrd, · disc,nce o; 422.54 feet to in .iron r~ ~t the ~inninj of I curve to tho rllht; ~CE tn i northeisterly:.~snd,~elst~rly direction:lions' ~the. Southerly line o; P~rkv.y Boulevard ~nd siid cu~ve',to~.',the'risht..hsvin8 ~'r~dius et 2156.00 ;eat, cefltrll 'shill, O; '.30'35'31-. i:/tl~le~t leflSth o~ 589.65 ;eat Ind I~ ~rc lenith IZSI.IS Ieet to .n iron r~ ~t';'the end of slid curve to the riiht, s~id ~int bain8 the northwest co~er of Future Pirkvtev Addition, ~recorded; ~CE South 00'56~25- ~st, elon~ 'the west line of Future Parkview Addition for ' a distance of 646.75 feet to sn iro~ r~ at the ~ost westerly southwest corner seid ~uture Parkvtew Additioni ~CE North 89'03~35.. ~st, alon~ the south boundar~ line 0f said Future Parkview Addition for ~ distance of 230.00 feet to sn iron rod at tho bo~lnnin~ of ~ curve :., ~o the rilht hsvin~ a central kn~le-.0f,-14*29'321 a radius oE 435.00 feet and a length of 55.31 fee~;' , · ~CE Southeasterly, coatinuing'~ alOn~ ssl~ south boundsr)' line o~ said Future Psrkvtev Addition and alon~ said ';curVe for. an arc len[th of 1.~0.03 feet to an iron rod at the ~lnt of rever~e curvature to the left, said curve ht'vin~ ~ central angle o~ 05'49e42,~ ~ r~dius of 66~.00 feet ~nd ~ tangent length el~ ~.~ f0btl · lon~~ said sottth boundar~ l~ne of said Future '" - Parkvl~w Addition and alon~ said curve for an ar~ length of 67,,65 feet to an iron ~ rod at the end of, said curve; :,:., ~CE Sout~ 00'S6'25', hat ~or' i disi'~nce.ot:22.59 t~t' to ~n.tron r~ it the most ':.'/.. southerly sr..uthvest corner :o~ said .Future Parkviev Addl,~en. said tron rod .also . lying on the abstract line leparltin~ said lb~trict'1327 ~rom said Ibstrict 629, abstract line ·leo being'~the~.'n~'~th line of a"i"tract of.i.~'and deeded to J & E Company, l~c. aa recorded in ¥olUne~,i:79009, Pa*ge 043~ in the..Deed Records of Dallas County~ Texas; ,.. ,.:.., ~:',,.,. I~ENCE South g9'03'SS- s·l:: abstract line and said north line of said J I a CGmi~ny tract a distanc~, of'Jl4O.gl feet to an iron rod ·t 'the northwest corner , of said J I E C~qpany tr·ctl , ?' THENCE South 01'04'16' East lea~ing'~'~id" abStraCt,iliae and, along the west line of said J ~ E Company tract for a,!dtst·nc· of 1'419.03 feet to,an iron rod at the · southwest corner of said J S E Conpany.,~tract; , .. . . , . .!!",':,~ . . ..:,:... . ~ . . THENCE North 8~°34,$4,, East along' ~aid,'south'.'li~a of said j "~ a distance of 638.39 feet to an iron, Od . .~. _= ........ ~ E C. ompany tract for · r a. .,v -o~.flw~a~ col'flor o! · tract of land '. deeded to John H. Sums, Jr. as recorded.in ¥oltme.2143, Page S95 in the Deed Records of Dallas County, Texas; THENC~ South O0*SI'03,* West along ~he'".west line of said Burns tract for · distance of 1153.29 feet to an iron rod on the north R.O.W. line of Sandy.Lake Road (a variable width R.O.#.); ..--~. THENCE South 88°28,22,, #est along ": said ..' north R.O.#. line of'. said Sandy Lake Road ".i a distance of 677.68 feet to an iron rod aa the aoutheaa~ corner of a tract of land deeded to Shirley Harpold ·s recorded in ¥olune 77116, Page 62? in the Deed Records of Dallas County, 7sxas; THENCE North ' 01°I,,~t$2' East len.'ving Said north ll~ of Sandy Lake Road. along the east line of sc,~ llarpold trac't fo~ · distance o $64.07 feet to an ~ron rod at the northeast cc4~er of said Narpold tract; THENCE South 89~S1t14- West. along 'the north line of said HariMId tract and the north line of said Perkins tract, '~or a distance of 630.05 feet to the POINT OF B£GINNXNG and containing 2,903,071 square feat, or 66.64.S.3 acres of land. BEING a tract of land 'situ~iad 'in the S.A; t N.G.R.Ri~:Survey, Abstract N°. 1430 in the City of Copl~sll, Dallls County, Texas and being'part oi that certain tract of land described in deed from?Goo~ Flnlnciil Corportatton to /4. Douglls Trustee, as recorded in Volume .76188, page 2355 in the Deed Records of Dallas County, Texas and being ,,ore particularly~described as.follows: BEGINNING at a point of inte{~section of the !south line of Parkway Boulevard (an 88 foot right-of-way) w{th the.east line of'ii)eh{on Tap' Road (a variable width right-of-way); .'-. THENCR North 88*59'02" East,"4{~;04 feet aleng the sii. d south of Parkway Boulevard to I point for terrier; ' · THENCE South 1'00'58" East,' $S0'.'99 feet leaving the slid south line of Parkway Boulevard to a point for cornerl". THENCE North 88'59'02" E~st, SSO~00 feet to a point for corner; . THENCE North 1'00'$8" #est, 62S.46 feet to a point for corner on 'the said south · ' line of Parkway Boulevard, 'said .POint also being in I curve to the laft running in an easterly direction and hiving I central ingle of 13'$§'40- I rldius of 1094.00 feet and i chord bearing.of North:65e37,09. East; THENCE along ~..;id curve,.,and.!,the baid south line of Parkwa B £oet to the end of said curve; ,:.;~'i,. , Y oulevard, 266.25 THENCE North 58'38' 9- '""?' ' 4 East, ~'1SS.60 feet continuing ales the of Parkway Boulevard to a ~-'~"' ....... --' .-- g said south line ~,,,~.,z~r corner, silo point ilso being in.a curve to the right running in s sogtharlyl, direction a,d~ hiving a central an * , ,, ':,.'.i-;' I radius of 209.09 feet andla chord.bearing of S~uth 16'22'00,, East; gib of 29 S8 22 ~*';'~' THENCE along said curve,.~and ~leav/ng the a~id south line of Parkway Boulevard i'**~' 109.38 feet to the end o~ said curves* ~ ~ENCE South 1~22,49-, East,. 270/.02-fei to a'~lnt for corner on the north line :r* .. O~ Sandy ~ke Road (~ variable width right-of-way); '~ ' ' ~CE South 89'11,49- ~est, ~770.81 feet along the said north line of Sandy ?~= . Road to a ~lnt for comer; · :~:':,: : ~ENCE North 0'56'1g' ~est,'.~.'251~79 feet leaving the said north line of Sandy ~'~/ ~ENCE South'89'03,11,, ~est, 173.00 feet to ~ poin~ for corner; ~'" '' ~ENCE South O'56'19- East, 251.79 feet to n ~tnt for corner on the said north :,,~ . · line of Sandy ~ke R~d; ;"~CE South 88'42'38- ~est, 379.66 feet alonR the said north line of Sandy Lake :' Road to a ~lnt for corner; . ,,,.',.= . .'...;~IENCE North 47'45~13- kest;'~ 73~02 fee~ continuin~' along tbs said north line :~/;~"..~ of Sandy Lake Ro~d to a ~int for, come~ at the Intersection of the s~ld north line )'.~'?:.: .':.. o~ Sandy ~ke Road ~irh_tbe said east-line o~ Denton Tap Road;. distances; North 3'18'56" ~est, 139.20 feet to the ~innin~ of a curve to tbs right ;~{.,.having a central angle of 2*16~00.',and a radius of 5679.70 feet; Thence alon~ said :. 'curve 227.98 feet 'to the end of'.,Sald curve; Thence North 1'O0~58- Hest~ ~.!;.. 'feet to tbs ~ginnin~ of a curve to..the right having a central angle of 1'48'30,, ?.:':',~ and a radius 'of 5~79.70 feot; Thince' al0n~ said curve 179.26 feet to the POINT OP ~:;,::~:.':: B~OINHINO 'and c~ntalnln~ 74.430 acres (3,242,192 square feet), of land. Company Easement Area . ?'~': ; *.- . , , ..,, ~T PORTION * ~ ~., BEING ~ tract of l~nd *'sit~ted~.in~the Clarinda*Squires Survey, Abstract No. 1327 ~nd the St~red Henderson Survey.'AbStr~ct No. ~29,tn the City of Cop~ll, Dallas Co~y, Te~s ~nd ~tng e ~rtion~.of.' that .cert~ln;*tr~ct of lend deed free G~d ,~i~ncl~l Corp. to ~.~ ~ouEl~s** Adktns,.'Trustee,'*"*ss recorded in Vol~e 76188, P~ge 2355 *in the Deed RecOrds ~of' D~ll~s *County, Texas ~nd ~in~ more ~rticul~rly described ~s ~ollows:,. *,~,,~-~ * , ' , . C~e~Ci~ et the southwest, cor~e*~,*,o~ ;~***tre~t *0~ 'lend*~eeded to Ruth Perkins as recorded tn Vol~e 69241, P~e .459.~of the* Deed*Records of Dallas County, Texas, s~id ~int also being on the. north ~line of S~ndy L~ke Road (~ wrlable width right-of-way); Then~ North l*22~49",.Nest, .i216~70 feet leaving the said north line o~ S~ndy L~ke Road to the ~I~ aP BEGINNING; ~f~NCE. North 1'22~49'' Nest, 7.79* ~eet..to a ~int'~0r corner;*' : ~C~ North 88'01'14'~ ~st, 35.59.feet to · ~lnt for corner';*' ~ENCE North 23'36'27' ~st, 95.31 feet to · ~tnt for co.er; ~NCE* North ~3'26~51' ~s~, 18. 75~. feet~ to · ~int for co.er; ~fiNCB Horth 60'39~24' ~est, 28,49~*feet to e*~int for corner; THENCE Horth 20*06e02' ~est, 47.53 ~eet to ~ ~int for corner; ~ENCE North 3'39~1~~ Nest, 68.27 ~eet, re · ~int for corner; ~ENCE North 2'05~21~ ~est, 127.20 feet to · ~lht for corner; ~ENCE North 0'09~27' Nest, ~31.01 feet. to ~ ~int for corner; ~NC~ ~orth 2'18~59' Nest, 127.83**feet' to · ~in~ for corner; ~NC~ Horth 1'03~09' Nest, 134.97*feet to ~ ~n~' for co.er;. ~C~ North 1'06~27' Nest~ 125.36'~:feet t0'a ~int for co. er; ~CE North 1'37~31~ Nest, 157~49~feet to ~ ~lnt'for corner; ~C~ North 7'13~29~ E~st, 44.96.*~eet taa point for corner; ~ENCE North 45'25~27' ~st, 39.77.feet to · ~int for co.er; ~ENCH North 57'21~20~~ ~st, 104.20.feet to · ~int for corner~ ~,, ~ENC~:North 58'08'48', ~st,' 122.35.feet to a ~int for' corner; ~C~ North. 57'21~38-' ~st, 141.41~feet to · point for corner; **:~". ~CR North 61'05~34~ ~st,* llS.44.~feet to · ~lnt for corner; '~* ~CE North'S5~33~44~ ~st, 108.30 feet to a point for corner; ~E North 62'56~25~ ~st, 69.42.feet to · ~int for corner; . : TH~CE North ,75'26~26'~ ~st, 48.24' feet to · ~int for corner; ~CE Ngrth 86'14~02' ~st, 70.93' feet to · ~lnt for corner; ~CE North 87'55~03' ~st. 118.29 feet to · ~tnt for corner; ~CE North ~8'57~16- ~st. 121.S0 feet to ~ ~tnt for corner; ~CE North 88'59~40' ~st, 124.31 feet to a ~int for corner; ~CE North ~8'31~31~ ~st, 130.07 feet to · point for corner; ~NC~ North ~6~55~17' ~st, 47.53 feet to a'~int for corner; ... ~CE Horth 19'59~26~ ~st, 29~37 f~et to · ~int for co.er; ~C~ North 5'57~56'' E~st, 95.82 feet to · point for corner; ' ~C~ North 8'22~40' Nest, 144.35 feet va · ~tnt for corner; *'* ' ~ North 2~36~12' E~st~ 124.O2 feet to · ~int for corner; ~..,~ ~CH North 3'06~37' East, 113.98 feet to · ~int for co.er; ~ ~ North ~'10~34~ Hs,t~ 123.82 feet to ~ ~lnt for corner; '~'~ ~E North .~1~t47" Hast, 2,SS~eet to t~int, ~or co~or~;~ the '~.'.' .9~arkway ~d (an 88 fooc right-of-way), said ~fnt also to the right' ~ing in t westerl~ dir~ti~ s~ hying s cent~l radius Of 2156.00 feet and a tangent ~aFing of North S6'46'13" ; TH~NCB. along., said~curvv,..~nd~.&lonB.~ the ~ s~td ,south.'~.,lino of P~rkway ~oul~v~rd, 92.89 feet to the end-of sntd,curve; : THENCE South 0*56t2S,,...hst,~646.78~.feet~o~ihj~the,~said south line of Parkway Boulevard to a point,.for corner;'.,. TH~NC~ North 89003t35- £est,..230.00 feet to the beginning of · curve to the right having · central anglo of 14'29~32~~ and a radius of 435.00 feet; THENCe ·long said curve ll0.03~feet to the en~ of said curve, end to the beginning of a curve to the left having t central angle of 5'49'42' and i radius of 665.00 THHNC£ along said curve 67.6S'feet to the end of said cu.~ve; THHNCH South 0'$6'25" ~mst', 22.59 feet to a point for corner; THP. NC£ South 89003t35- Nest, 1148.91 feet to a point for corner; THHNCE South 1~04'16** Hast, 12.73 feet to · point for corner; TH£NCH South 75'26'26- West, 20.26 feet to · point for corner; TH£NC£ South 620S2'47** Nest,.:lSS.19 feet to · point for corner; THP. NC~ South 55°29'13" West, l$S.38 feet to 8 point for corner; TH~NC~ South 57~S$~31- West, ill.78 feet to · point for corner; THHNC£ South 60'42'20' Nest,'.~ll2;70 feet to a point for corner;. THHNCH South $8'07'$8' Nest,':87.57 ~eet to a point for corner; TH~NCH South 32050t30' ¥0ot,',4S.01 foot to · point for corner; THHNC£ South l°0Stl3- Hast, $$~9S feet to · point for corner; THaNCH South 1'$?1S' Hast, 98.68 feet to a point for corner; THHNC£ South 1~$4,22- Hast, 125.21 feet to · point for corner; TH~NC~ South 2037'08- ~aSto'137.73 feet to ~point for corner; TH~NCB South 3033*37" ~mst,~ 129.34'feet to a~point'for corner; TH~NCR South 0'17e35' Nest~ 151,96 feet to a point for corner; THHNCH South 0'23e29- ~est~",124.67 ~eet to · point for corner; THHNCH South O°45*27-'Wost,'.65.98 feet to a point for corner; TH£NC~ South 3~40e35' Hast,~20.97 feet to a point for corner; TH~NC~ South 82029*44" hst, 71.27 feet to 8 point for corner; THHNCfl South 38°31*14-~Hesto 123.95 feet to a point for corner; TH£NC£ South 22006~17- Nest,'.132.00 feet to · point for corner; TH~NCH North 89'55~03' Wes~,:.122.47 feet to a point for corner; THP~dC~ North 8020~33** Nest, 79.77 feet to 8 point for corner; TH~NC£ North 89~23~S9' Nest,.29,24 feet to a point for corner; TH£NC~ South 85019'26' West~. 36.73 feet to the POINT OF BHGINNING and containing ' , ~ ~ BOUNDARY DESCRIPTION i'-..'~, PART~.OP.*LINEAR~.PAIU~ '-'.':. !'?",? WEST PORTION ' · ...: ·..., ,.:.~? ..' BEING a tract,of 1and si~uat~d;/ln 'the*S.A. ~ H.G.R~R'.','Survey, Abstract No. 1430 '.' tn the. City of Coppe11,. Dallas,Countyo;.Texes,end beinl · portion of that certain t~act of land es described in deed*,froa' Good Financial Co~. to 14. Douglas Adkins, T~ustee0 as zecozded in .Volume *,7618~ P~ge 2355 in the Deed Records of Dallas County, Texms and bein~ nora l~rticularly.ide$cribed as~follo~s:. ,'.: .... ' ,. CO~4ENCING e~ the. southuest~:.corner~ of · .t~act'of *lend' deeded to Ruth Perkins as recorded in ¥olume ,~9241 ~.:;P~Be,;:4S9 , of the Deed' Records said..potnt.~elso, bein~ on~,the ,~no~ch line o~ ~San~y · Lake.)~oad right-o~-~ay);.Thence North/.1~22~49- ~est, 1216.70 ~eet leaving the said north line of Sandy Lake ROad to the POINT*OF,.'BEGINNI~G; . ~ENCE Sou~h 85'19'26' Nest, ~.2~91 feet to t ~lnt for*c'o~er; '~SNCE South 89*33*44" Mest,*.:6S':B2 feet to the.~tnt for co~er; ~ENCB South 4*38*30".~st,":87.10.feet to the ~tnt ~or eorner~ ~CE North 72'1S*S7" West,* 87;70 feet to the ~int for corner; ~ENCE North 63'17~27' West,. 84;27 feet' to a ~int for'toner; ~CE North 66'08"16" ~e~t~*/l~.S7 feet t° a ~int for corner; ~CH North 32'23~SB',~st..112.71 feet to ~ ~int for corner; ~ENCE North 56'33'07- ~st, 67~:16 ~eet to at,tnt for · .. ~ENCE North 42'06'32-'~st~.~7:=.30 feet' to a ~lnt for*co,er; ~CE South 47'49'27' ~st/')127;29 ~eet to a ~lnt for corner; ~ENCR South 2'~4'0~" .~st**12~.88 feet to n ~lnt ~r coner; ~CE South ~0'59'2~' ~st~'. S3;10 feet to a ~lnt for toner; ~a North ~8'01'14" ~st~=40;27 feet to a ~int for corner~ ~B South 1+22,49- ~st,..~7.79 feet to the POINT OP.BEGI~ING and con,athenE "l~-l~l-acret (51,8~7 sq~re feet)'of land: : . .;,-..~.: ;~.). .. .' EXHIBIT E 1. ~gr~c~l~ural Lease~.,..da~ed Dece~er 31, 1986, by and between Parks of Coppell Jo~"nt:venture~I and II, as lessor, and ~. Letter agreement, /~"da~ed February 6, 1986, between Parks. of Coppell Jo~n~ Venture ~I and Texas .Po~er ~ Company ("TPSL') gran~ing~TP~h .the righ~ ~o ~emporar~ly use a fff~een foo~ (1S').,w~de s~r~p~ of' land ~o connect a po~er l~ne ~o provid~ electrical serv~ce~,~o the Hunfc~pal Build~ng for 3. Easemen~ for electric ~s~ribu~on l~ne purposes Texas Po~er ~ hight . Company, recorded in Volume 86189, page 660~ of ~be ~eed Records of D~lla~ Coun~y~ Texss. ~.4.-~: Project,ye Co~enants...of even date herewith 9ranted ABQ 'oevelopment'. Corporat~on,~.. ~t~uly recorded ~n ~he Deed Records ' ~. Electrtcal~.Easement!~of even date herewith executed by ABQ Developmen~ Corporatioh~.:.~and The Parks of Coppell Joint ~ Venture I~,-duly recorded 'in~ ~he Deed Records of Dallas Coun~y~ ~ 6~~ Development Agreement of even da~e herewith executed bY~T5e Parks of Coppell Jofn~ Venture ~I and ABQ Developmen~ ": Corporation, duly recorded.~..~n ~he Deed Records of Dallas .. Coun~y~ Tezas. r~-- :' ..,..'~ .' ~ ~,.,.'. : .. .....-.,,..~.:.,.: . , 6 ':'"'("/" ;" ";" ; . ' ":,!ir'i! ~',.; TIOO,-~-'TI'~I ~ ' lr'$" ;l '"" ^ 'ra~s ~eve~o~nt~Aqree~n~ ' '(,,A~teeme~") :~s made and entered in~o' as~,o~,,,~bhe~,~day~Of~.~.. 1988.~ Texas joint ventur&, ~tinq, b~.':and:.:.(htOUgh ~Es'.duly authdrized venturers, · ahd'~X'~'O~'~l'~'~C~~l~h.,(-Company. ), a New Mexico corporation,~ acti.~q .by and...~t~r6~gh its duly authorized officer '"'~;';'~" " ~'L:''. "~.f '~i~;, "~'" - ' ' ' .~: ' -"' /" "' '.' :,~,".;~R :,' ~''' .,. '.. .. ~,;,;[ ... ., ..: .... :., :}~.i;,.~.;. , ~E~AS, on ~he date' h~reo~, V~U~ h~s sold and conveyed to Company that.,cerkain, land deScribed.::.in attached Exhibi% A (the 'Sales TraCt")~. [p~rsuant to tha~ {cereain' Aqreemen~ to Sell and purChase ,(the ~' Sales': Aqreemea~,)./~;.bebween Venture and Company; and ..~?!'., *:. _=.: ..: . . .;; ~EREAS, - that' portion, of the~;:*Sales Tract described in  attached Exhibit B (the. ~,Company Si~') generally-is adjacent ~o a portion, oi.~the easterly, boundary line of that certain land owned .by Venture described in attached Exhibit C (the 'Town Center.' Site"); and ' ..<'*, ~EREAS, 'ComPany' ackn0wledqes thi~ Vdn~ure, as an investor, does nob have ~any.,i~ediate.,construction plans for the Town Center Site, but( to. acco~odate:'~C0mPany's request and enhance the future:.:invesbment value='of*'bhe-Town Cen~sr Venture has agreed bo enter =into.bhiS~<.A~reemenb; and .'. . .'.,, ' 2~ ' :' ',';.'f,)..r"....',.' .. ~R~S ~"," a s ~S'f*ma ee · i'a 1'~' 'i nddc~m~'~ ventu re ~ ~o .-. se 11 and · take ,, ~he '8a les?~Trac~,~ rom~ven~m~..ven~urm~ Snd-~Comp.ny ~:. i ~ '~ ;.. . ,:'~;-:'- +..,t ' · .," '; ,',..~.,-,.; · NOW~*. T~ERE~ORE; :. ~r -:"ah4',~ [6~'coh~tt~ri~io~ 'o~ ~he premises and of the aqzeemen~s .conbainid'~h~c~ih;,.. Venbure,,.and Company agree* as .,.follows ~?.~. ~ ·:. ;..'.,:';.,": . .:., ,.~ ~'.. ~....t?~:%~i~.:..:...:.~, .... :; .,..¥.~, ?.. ::. 1'~' Heartz.Road .and Utii~%l'~aci. ll~ies, .. A.. oeacr~i°n, °e ,ConStrud~i°n,:~, COmpany aqrees Company will...cause the construction of= ' (i) ~ road ~o connect Park6ayf~Soulevard~ an4/Si~d~, Lake.:...Roa4 in Coppe].], Texas ("~ea~tz:?'fRoad"),. albng',,,'a'~:pO~bion:~'o~ ~he westerly ~undar7 line:O~ the Compan~ Sit~:;~hd"the:.'easterly ~undary/ .' , ' .' ' ; ':~ ;'~t ' ' : . .::: :'. ,. , ....? :':,:.; ,...:....1~ ~. ,. .;,. .: ',,: ,: .~.';~.~ ;.,.-.-. ~ . ,'~,~; .:,'.,, .,.... , ,.,% ,.; ,'~.. ,. . :.-' . ~!, .,,, ~ ! line of the Town' center Stte~'~idh in' certain places is the con,non-boundarY~'.~'line/of th~ ~C0mpany 'Site and the Town Center Site~'. and .'~.(ii):~all "i.(~ti':lity :facilities in the riqht-of-way~,of Heartz~,'.Road~uired -'by the'" City of Coppell, -TeXas ('the.~#CiEy#)~,.~b.~allow'ithe development of both the Town Center Site':~'a~d.~the C6mpany Site to the maximum densities :permitted'?ufid~t~.:the 'zoninq desiqnations applicable to',the Town C~nter'i:l~Sit~.~nd.~the'Company Site on the date 0f-this.Aqreement,'~an~di!i. whether':or ~not required by the City,':WaE~r and S~ni'tlry:'.':~t~llities"alonq the easterly boundary ,line of' the. Town C~fiter.~ Site 'at locations no qreater than' three~ hundred f~t';"(300')' aPart containinq sufficient.?',caPacity' ~o .... allow:~the:~.development of both the Town Center .Site ,and.'-the.~.C~p~y~. Site to the maximum denSities'.~iPer~itted~":!.U~der:~!'~.th~;~I" zoninq desiqn~tions applicable to :the Town c~nter:~ite~ ~nd the COmpany Site on the date "of'.'thiS' Aqreement~'~::(the Utility Facilities'). Unless Venture approves a .~di~erent' 'configuration in wri~inq, the'denEerline of He~rtz~o~d ~h~11 be the boundary -li~e:b~tween~Ehe'ComP~n~.'Site ~nd~the Town Center Site, where'aPplicable, ~nd th~i~terly bOundsry line of the Town Center .Site; where'.aPplicable, Both~Venture and Company aqree~ to~. use rea~Onable.'~,~efforts to obtain the City's acceptance..oi ~' Sixty .foot':~'~(i0')"ri~ht-0f-way width for Heartz:Road~ . The centerlin~:and riqht-o~wey width for Heartz Road".as described hereinib0ve is depicted in red on the dr~winq attachedhereto as-Exhibit o. B. "DedicatiOn' and Pla'~i.n~. Both Venture and Company agree~ without charge, to dedicate to the City or to each .Other one-half (1/2)~.of the' width of the right-of-wa7 ~or Heartz ROad~he~'Heartz Road is located upon the common bound&ry line~6f the company Site and the Town Center Site.! '.Venture fUrther:agrees, without charge, to dedicate, to the City .,or.'~o..Company for ~e~r~:z ~pad right-of-wa7 a': thirty: fooE.'.(30').:~wide portion of the Town Center Site.along that ~p6r~lon',of.. the easterly'boundary line of ': the,:.,Town:, center~.~Site,i: which' is six hundred twenty-one,feet' (~21') immediately'north of Sandy hake Road (the "Limited Section")', ~ithini!o~ hundred eiqhty (180) days a~ter::'the:date, o~ 'Ehis .A~ement~' c6mPany aqrees to ......... [ile .an ~p~l}c~t~6n.i!'~or::~!-:plkE~wt~the. City'(coverinq ~ll or a portlon'.o~'.the.Co~pa~y Sit~)"~hich '~ill~.en'able Company to commence;the' ~onstrVcEiOn o~.!~9~attz 'R~ad(and the Utility Facilities."' ~Venture?may$,'make~:~th~' required right-of-way dedications:'~or Heartz' Road o~:~t;pO~tiOns,'o~, the Town Cen~er Site either' thrOUgh'.Joiader 'l~:,!~:~he,. plat ~prbcess or by separate dedioation instruments~ i~' ~orm'.acaeptable to ~he City. Company'shall=... (i)'submit!.O~he P~OpoSed preliminary C plat to · Venture, at:,'least..':'thi'~ty :(30)" days prior submissioniiof;Lth~! proposed. prOlifiC&r7 ~l~t .to the Ci~7~.~~' (ii) make...~.'., any. ,i: reasonable ,i':Ch,nqe~.. in ~:"the. proposed "~ ':.',",~ ~ ~'~ .: '-'' .... - ./ '. '.;'.~%~ ~V~'f '; '~,,'.:~,~'? ' ' ,/. ', ' ,:~ . ,"~,,', h",'' ~" ' "' '" ~ ~ '~ .... ~1,.'~ ~'~''.~ ~'~'"''"" ' ' ' ".:. · . . . -. :..~'~.. ..... , ; · preliminary plat requested` by,':~B~re; .ind'..(iit) advise '~. Venture of changes required"from',!.kti~a:to time. by the City in either .the Prellminary':..~'or~;,:.<t~e~i[final,.",plat.b venture ;'<,. agrees to support.the plat:-,reqd~It!.'~f ,Co~any ii Company .... complies with the te~ms,.'of[this.A~f, ee~e~t;..,,. - ,, C. Construction.":"Com~ny:"ii:Ig~ that" Company will cause the construction ,'of Hea~t~>Road and. the Utility Facilities tO.be: . (i).cOmmenced.;o~',Or..before three hundred sixty (360) days after' th~':dat~[Of-,',.thiS Agreement (the '" "Heartz Road.Co~encement Da~e');,'~iand'. (ii) completed on or before seven 'hundred twenty .(720)~.days after the date of this Agreement, :(the'.~Neartz<>Road~'.C6mpletion' D&te#). The Heartz Road Com~enceme~t,..:Dite<;.~&,d/or, the . Heartz Road Completion Date,' as.i'applica~le,.!':i~ill:..,.'be extended by that period egual't0 delayS;~uSe~;by"~orce, Majeure., As used in this Agreement,'commencement~of Cdnstruction,.of Heartz Road and the Utility Facilitiea means:the.excavation or grading of the right-of-way.~ for Neartz. ,Road and the Utility Facilities. As u~ed in this Agreement, the term #geartz Road Completion' means ~the acceptance of Neartz Road and the Utility-'Facilities by the. CitY? ss evidenced by the City's certificate or other written~.evidence of acceptance issued by the City. All constructidn,..of Heartz Road and the Utility ~Facilities shall', bel :~<(i) performed without material deviation-from plans '&nd','speclfications therefor approved by the. Clty~ (ii) perfozm~d,.in a good, workmanli~:e mannerl and (iii) diligently pursued to completion after being commenced. ~ ... ?i D. Costs. . As:. used in this Agreement, the term 'Heartz Road,Costs' means all-costs to';construct Heartz Roa4 and the ~Utility ,Facilities'. (including, without limitation, platting costs, engineering costs, governmental approval and permit, costs, labor~ materials and contractor fees) except-'for~ . (i) supervision and/or overhead cost~ and (ii) any costs for the construction of, Heartz Road or the Utility Facilities attributabl~ to any property east of the Limited Section. : ~ .... ' ,-: '~"{?{L~>~ .... ,: ' .... ~ , , ~ ',, i;,~,- { ~.~ 'C,;~<.~",~i'*'.-*; .. E : ~~ i.!:All:,!~E."the Heartz Roa~ Chats "> shall ~e paid.,by..Compan~-.within.-.,...,- ,-.,..,~-..-:,- tfiif'~. (lO).:days after 2h~ CO" " date of the [{eartz,.Road completion;- but Company may b~ entitled to r~caiv~'partial'.reimbut~mant o~ .such costs as described in subparlgraph F:::V of~.- this paragraph I. " Notwithstanding : the ..,.lr~guirem~nt;,6:eontain~d.. in this subparagraph.E that· company pay'f{':-lll of tho R~3rtz Road Costs wiehin thirty (30) ~ays aerate!fha data o~ th~ '~gartz ~ ' Road Completion ,,, and.:',..=th~.' cagUitam~nt,:;~, ~ontained in paragraph. 2 hereof that 'Company;',Pay:ill o~'th~'Fill Costs within thirty> (30) days aft~r¢~ the daee 'of the Fill ' Completion, .company · shall have ;the right 'to withhold ,,:, . .; ~.~; · payment from any contractor or~mat~rialman -hich Company believes has ~ot properly Perfor~ed~;(its obligations, but if Company elects, to so:~ withhold !!~&fit,':~Company shall be required to '.deposit :in, esc'to~:iwi, th~;..:ve~ture, in cash an amount equal .to one hundrbd.;,fi[~F[~"Parcent (150%) of the amount withheld (the.'Contest,:'Es~go~",Amount')., The Contest Escrow Amount shall: be ::held '.by'i~!.v&nture 'in an interest bearing account,-pursuant ; to .an~.~.escrow . agreement .with Company in form satisfactory, toj.!/:venture .and Company (the ~Contest.Escrow Agreement#).. The~ Contest. EsCrow Agreement shall provide that interest on the~ Contract Escrow Amount either will'.be used to:retire the.'claim being contested or paid to Company upon ;the 'settlement: and Payment' of the claim being, contested. ~If~ co~pan~, elects: to ~ithhold payment from any c0ntrac~or lot materialman: and deposits the Contest Escrow Amount ~ith ventUre and executes and delivers the C~ntest EScrow Agreement to Venture, the deposit of the Coptest'.gacrow Amount.with Venture and the execution and.deliVery of the Conees~ Escrow. Agreement to venture shall, be deemed to establish Payment Evidence as to the amount sO. withheld. As used tin 'this Agreement, the te£m 'Payment.'Evidence# means Company fu£nishlng to venture copies of construction contracts~"~t~invoices, statements, executed and, notarized' llen waiverS"! from all contractors and materialmen and other evidence reasonably necessary to establish the. amount,.of the HeateZ-.Road Costs and the Fill Costs and the full payment thereo[,.by Company. F. Partial Reimburse~en~ o[ coats., As used in this Agreement, :he~'. terms?Reimbursement Payment# means any positive amount' resulting from ':their. following calculation: (x) the total :of (1),the.produceD, or-,the Heartz Road Costs, multiplied by;' stxty-one,percent.¥(&l%), plus, (ii) the Fill Costs, minu____~s, (y).Four,..Hundred;'~Nine~y-Eight Thousand and No/100 Dollars ($498,000.00). ,;:!,Venture agrees to pay Company the'ReimburSement Payment in, cash thirty (30) days after the ':later to occur of:i,. (i) the Heartz Road Completion; (ii) the rill, COmpletiOn; or (iii) the date that Company'furnishes to Venture'rthe.'Payment Evidence. venture does not,pay, the..Reimbutsement Payment to Company on or'before, the:.due,:date:, £ot.the,,Reimbursement Payment, venture' agree~ to pay. intetest:.to..':.Company on the amount the Reimbursement' Payment at a,per.annum rate equal to the lesser, of the highest,lawful contractual 'rate of interest or eighteen~percent (16%) per annum'~from the due date the Reimbursement Payment until.-:.the Reimbursement Payment ta actually Fa~ ~o Company by Venture.. p. cha"e ^, used this Agre~ ~-~ :~-~ ~Additional....Purchase Price payment" meanS,any. Positive amouht resulting' from the following calculation: (x) FoUr?.Huhdred. Fifteen ThouSand and o/ 00 'OOllars ,'i$41S 000:00),?.minu___a. (y) the total of ~ (i) the product.'of the":Beart~'-','.Ro&d Costs~ multiplied by, sixty-on~ ' p~rc~nE'. ~'~."(61~),',:.. Pl~S;~. "(ii) 'th~ ~ill Costs. Company agrees to. pay'veniute;thi,.~ddihional.Purchase Price Pa~enb in..cash 'od o~' ~eiore~ehi~r~y (30) days aEeer the last ~o occur, o~ eh&.' Hbarez~R&ad:~Co'mplebion or the Fill Completion,'.,:: Ie .Company' doid~';.:.'~oe pay :".the Additional Purchase Price'Pa~enb-bo.Vene~reion .or before the due dace 6or the Addiblonal Purchase Prica..Paymenb,. Company agrees eo Par interest to Venture .on';'ehe~amoune o~ ~he Additional Purchase Price 'Pa~ene', ab ::a ,~er :,~annum 'raCe equal bo the lesser oE. 'the highest' la~Eul .'cOntractual . rate oE interest or eighbeen'percen~ .:(18~):pe~',~annum ~rom the due dace the Additional ;purchase Price;~i~enb until, the Additional :Purchase :Price Pa~ene :. is '; a~eUally paid ' bo Venture by Company; :?.:,~... ' ~ .~, ',~',.~' ::t:,; :.~':;.~,:...., .: ' "'~ i~."~ ., .~. ",;' ~ . , H. C~.' Cost, ,~effu~d~. -.:"ComPsny 8greta ko use reasonable, efforts: eo cause, the: censerueEion of Hearez Road and the Utility~acilities.purSu~nt;..to a project agree~nk ~i~h .the' CoPpe11: ~unicipal'.Uti,lity Oistric~ No. 1 (th~ 'C~D') ~hich provides ,for tei~nds o~:- portions of the construction Costs of Hearez Road and/or the Ueiliey Facilities ~rom. ~he C~D ~o" company. (the 'c~o Upon the ~.'receipe:.by .Company ~rom,'Ehe C~D off any C~D Refunds~ Company.. promptly sha11'.delivet~ eo VenEure Ehae amount' ~equal '.:to.'~ the ~ 'product~'; of . (x) the C~D Refunds, sul~iplied 'by, ",(y) six,y-one '~eteene (&l~).. I~ Company does no~ pay 'Venture' Venkure,s· sixty-one p~.reenE (&l~) share of '.any~C~D RefUnds on: 6r:'.beffore Ehirey (30) days after ~he date. ehat ComPany. receives the' C~O Refunds the C~D, 'Company aqreesiEo paY'.interest' eo venture on the amoun~ o~,'.Such pa~ene at a.~pet' annum race equal ~o lesser off 'the. htqhese', la~ful' Contractual' rate of intefese or eighteen percent .(18~)~.per,' annum from and a~kbr said ~hir~ie~h (30Eh)day until:'.the~pa~ent is actually made-,by I. 'C~ O~tsee;,'~,CompanY,s~a11 be.enti~led to deduc~ ffrom Venture's: share .oE" any 'C~D ,~e~unds. any amoun~ ~hich is . then 'due_ by.' .venture 'E0 Company pursuanE eo subparagraph~.~.~ of thiS.'.,parag~.bphLl' and/or· any Additional . Taxes which; Venture t is th~n ;,obligat~d eo 'pay pursuant the provisibns of. paragraph'5-h~reof;~.: " ~ ~ : . · , .... , .... ~.;,~.. ~.~,,~ ,~ . : .., ,.,. 2. r 11 Aureemen~. On or bef~re::~ive hundred forty (540) days ~f~et. eh~.. dae~ o~ ·:eh.ts. ag~eemehe' (the 'till Comple~ion Da~e'), Company' agrees ~o.caUse bh~"'domplebion:'o~ ~he placing and grading.°~.::ehirey-iouc:,bhousand~.~EiU&, hundred' (34,500) cubic yards of ~ill,*¢,On.~,a~POtbion .~'o~ ~:th'e".iTo~n ,Center 'Site · ae. a location bo beiLspecified bY vene'~te:;, i" The rill'Completion Da~e will be ex,ended:by ehae period equal~o,delays'caused br force Majeure. The placing and gradin~':~}~d{::'SOch~='fill on the Town Center 'Site shall,~:be :perform~d'with6uEii':material .deviation from that certain Grading plan',..T.rict.~N~?l!ii. City:iof'Coppell, Dallas County, Texas,'c'dated AU~ustl~:~.lgiS~?~;'revised March 5, 19~6, prepared by Threadqi11~Dowd~y:i~ASSobiibeS.;~ Job' No~"85037 (the ?fading plan')'previouslY:fur~ished~.!by.venture to'Company and ~n conformity'with the mor~ it~ih~fi~'!Of'*the"$pecifications For Controlled Earth"Fills~.attached:h~i~(o'~.'as. EXhibit E .(the 'Fill Specifications")'br fill [%qUlr~meht,?l.i~Posed ~y"the City,'' The placlng and grading 0f such ~fill~:6n!~[~e Town*Center Site shall be performed undtr, the~.suPervision.'.!bf..,b soils' engineer employed by Company and:',app£oved""by:~.Vent~e~;iand pursuant to a ~ill contract (the:*'>'Fill"'Contract')',':~ith'.~a' fill contractor (the 'Fill. ContraCtor-) ,.employed::bp ~,com~any · Unless otherwise agreed in writing' bYlVenture# comPany'.shall Obtain at least three (3) competitive~bids' ~r~m'three?(3) different contractors for the Fill 'Contract,"and:~the':~Fill"Contract and the .Fill Contractor must".be.., approved b~ *VentUre, As used in this Agreement, the term:"rill Completi0n-?means the occurrence o~ the flollowing: '.*.(i)[ the supervising~ ioils **engineer issuing a certificate to Company and 'Venture ithat such .fill has. been completed without.material deviation from the Grading Plan and in conformity".with the': more": Stringent of the Fill Specifications or'.'.fill requi~emeets* imposed by. the CityI and (ii) Venture being furnished!, .~' :0p0qraphic verification that the fill has been.placed-.~ap.'~ ~ :-.''/,: : on,;the.Town Center Site as required by the' Grading :PI n ~1: costs to place'and grade such fill on the Town.' Cent; . ~ite"~tthout'material deviation from bhe Grading Plan and ln:~onform{tY with the mote stringent of the Fill Specifications or fill requirements imposed by the City (the 'ri11.Costs')'shall be Piid by Company ~ithin thirty (30) days after the' date of ~he Fill Completion, but Company may be entitled' to receive parclal,:relmbursement of such costs as described in.subparagraph F gE.Paragraph I hereof. Upon the occurrence of the" Ei11.'CompletiOn:...'and 'Company furnishing to Venture the "Payment: Evidence, 'a11~,.'o£, Company's duties obligations under..~his-:paragraph~2.;~bn'~lusively shall be deemed fulfilled, and"company;:shall be:.d~'&~ed* fully released from all claims or li~bilities arising?or~te~ltinq from the placing and grading of such fill on the To~n cente't~.Site'by Company. bhat Company will not: permit any::imechanic's or' matetlalm~n's re) llen.to be filed which 'covers' orl;.'aEfects.'..any portion of the Town Center Site (including,"~ith0ut~?limitation, any portion ~hereoE. dedicafed' as.' a :Part of:'.the!'~;'right,of,~ay Eot Heartz Road) arising or'resuieing.ErOm khe:'.b0dsbrucb£anl, o£. Heactz Road ce) . and the Utility tacilitiea"as tequi'ted~"in paragraph I hereo~ or Ca the placing and ':grading:'of fill',on the To~n Center Site as go required in paragraph 2' hereof ('~t~hibi~efl Lien'); IE any P~ohibibed ~ien~ is."filed and Compa~'f,~.~ibhin b~enby (20) days/// -.. afeer Venkuge.~ noti'fies Company oi';'~h&~existence thereof, does pursuant to the provlsions'o~.$ectio~ Sl,I?I through.,$g.l?~, of the Texas ~rope~ty.:.Code~'.'O£('applia.l~le:..statutor~. provision subsequently enacted or take Other:'.:"'Ia,tI6n.~tth £es~ect to the Prohibited Bien ss~ts~actory.'t~.,.Veht~:~!Venture shall have' the right (but not the obligatton).:.;tO,:pa~'.t~ am0~nt';alleged to be due by the holder of such.~,'l'~ (th~[~[',~ele~se ~ayment') and secure a release'thereof. Compa~ a~.~:~.to pay to Venture the amount of any ,.Release Payment.'..: ~i~hifli,.ten,: {10), days after Venture delivers...to Company a writte~.':d~mand for such. patrment. If Company does~not pay .to .ventufe..?th~..amount of. any Release Payment within ten.(10) days.after V~nture delivers to Company a written, demand for such Pa~ment';'(.Company' agrees to pay interest to. Venture, on the.iamount' ofi~the Release Payment at per annum .rate fequal to':?the' ~less~.~,of the highest lawful contractual rate..of .interest.,.:~r. eighteen percent (18%) per .annum from and ,after. said. tenth'"(10th).'day until the payment is actually made by Com~ny to Venture,..J .... ~'~, ~.~ . . 4. Force Maieurg.' As'used t,'.:'this Agreement, the term 'Force Majeure'..:mean's any 'delay C~Osed by labor disputes, material shortages,,adverse .weather eohdittons or other causes beyond the 'control. of'Company which.ld~.l~y the commencement or completion, of :Company's' obliDations'..'¥.under' paragraph I or paragraph 2 hereof,? Any claim for oxtehsion of time by reason of the occurrence efta Force MaJeuro.~ent must be delivered by company to Venture in writinO within, thirty (10) days after the occurrence of such. Force Ma!cure event' or such claim for extension of time shall be waived. , 5. Lien to, Secure Ad V~lore~':'/Tax Obli a~. In the Sales Agreement,. Venture . agreed, to pay any additional ad valorem taxes (including any penalties, or interest thereon) levied or.assessed .against portions of the Sales Tract arising or resulting from Venture's utilizati6n during periods pr':or to the date of this:Agreement of open land, or agricultural use ad valorem tax rolief~ provisions (th~i'!lAdditional :Taxes"). secu£o Venture's, obligation .~o-.,pay 'the Additional Taxes, Venture has by Deed.,of Trust .(the~,~Vehture Deed of Trus~') of even date her~with...granted~ and congeyed to James W. Schell, Trustee for Company, a lien.on~that....portion of the Town Center Site describei .i,in ['attiihed:.,;Ei~i~t~ F.:' (the "Venture Lien Tract'). .In Consideration ~'%for :'-:venture's. executing and delivering the Venture Deed,.of, Trus~i~COVering...t~e. Venture Lien Tract, Company hereby~'agrees.that:.,~:~(i)-~,Venture s'.agreement to pay the Additlonal'..Taxes.:,~s a non~6urse, obli~atlo,; and (ii) if V~nturm ~ails 0r.~ rl~uili to~p~.,,any Addi~ional,.Taxos, . Company's sols recourse sh~ll he ~or~l~r~ of Company's . on the. Venture.. Lien ~Trac~ pursuant;. ~0 the::'Venture Deed Trust. A pozkion,.:of, the .Additional .Ta~'..are "ioll back' taxes. ' which maT. become due.upon~,,a change'~in..uSe o~"por~ions o~ Land from an ag~icul~ural:~"use.~o ano~her,:.use~-~.(the ~7Roll Back Taxes'). Another portion of the Additional'TaX~s~ results from ' the possibility.that additional taxes:may be'due resulting from the withdrawal of aqricultural.:us~..~X~mPtions from portions of the Land (the ~Contested'-Taxes"),~:i~Venture~has filed litigation in connection 'with. ,the '~.COnCest~d~.l~Taxes;~. and, upon~ the resolution oi~such.litigati0~, VentUre!.may be,entitled to a tax refund (the 'Refund") or.:ventUre.'~a~]!;be' required to pay the Contested Taxes.: .Company aCknowledgeS and. agrees that venture is entitled to ,the Refund,':,if ;appliCable. If:;Vent~re fails or refuses to.pay, the Roll. Back Taxesi,(including any penalties or interest ~hereon) when .th~'same. are!:.dUe-or if Venture fails or £efuses to pay .the Contestedi'Taxes~'(including.anY venalties or interest thereon) after the? entry~0~ 'a [inaI ;.non-appealable ~udgment that.the~same are. due, then Company may (but shall not be obligated to) pay the .same, and~" in such event, Venture ag£ees to pay-'~interest 'ko'Co~panY.'!,o~:':.the ,amount .of an7 such payment ak a per.:annum, ra~e'e~ual'tO ~he lesser of the highest lawful contractual' c'ate.iofi interest 0i' eighteen percent (18%) per annum from the date of such payment b7 Company to the da~e of repayment by v~nture .;'(the~."Additi0nal.. Taxes Interest"). Venture's agreement ~o.paY. the Addi~i0nal TaXes Interest also is a non-recourse'obligati0n,, and,':~i!f,-Ventu£e .fails or refuses to pay. any Additional Takes .Interesi,~ Company s sole recourse shall be foreclosure of .Company's; lien on~ the Venture Lien Tract pursuant to the Vent~re'Deed'of.'Trust.....If~khe litigation filed by Venture.in connec~ion with the Contested Taxes is not finally resolved'.~i~hln, two (2) years ;after the date of this Agreement and,. if ~hereafter any purchaser or lender purchasing or lending money secured.b7 liens, on..any portion of the Land affected by the.property tax lien securing the payment of the Contested Taxes refuses tO accept a.'.title insurance commitment or title insurance policy containing exceptions arising from the existence of the Contested .,Taxes, venture agrees that Venture will, within'~thirt7 (30) days after Venture's receipt of a reqvest from Company,that venture do so, esr:ow ~,oney or tak~ other action, reqUired..,bY. :the!'? title :company .~hich is i~suing, such title, insurance c0mniitment or title insurance p,:~licy to delete!'such':title Comp&n~'S.~.exceptions arising from the existence ..of'the~Contested. Taies!.!(the "Required Action#). If Venture £ails 'or'.'refuses'Lt0 ;tlk~tthe Required Action on or .... before ~he.end..:of'such-thirty:'~(30),£.daY.:~period, then Company may CO (but shall not be~obligated~to)...tike:the Required Action, and, in such event,.Venture agrees;to ply'interest .to Company on any amounts expended by Company.tn',kakinq,.~he Requi~ed-Action at a 04 per annum rate. equal to.,-,~he lesser, o~ ~he highest la~ful contractual race of::inte~es~ 'or,!:~eiqh~e~n.:,peicen.t (18%) per annum irom the,date suoh; am0un~s,..~ert'.expended by Company to co the ,.daft o£ repayment,"i"bT,, vent~t~i,(the .~..~equitod Action CD Interest"). Veneure's., agteemen~ 'Co '~ay the. Required Action Interest also,.ts, a non-recourse.,obligatton~T,'~&nd..< if Venture fails, or refuses eo 'Pays, any Required,:Ac~ton~,l~eetese; Company's sole recourse i. shall,..be :t~f. oreclosute'[~o{,,~Com~any, ts. liqn on ,.,;.' :~ ...', ':; · Venture Lien Tract pursuant to'the'.gent~ite Deed',0f Trust. If Venture ~ails or',reEuses to pay the :Rol:l~Back.Taxes '(including any penalties or interest.,thereon) when',the same:are'due or V~nture Eails or.refuses tO:pay the'~,Con~est.ed~Taxes (includlng any penalties ot interest thereon).:~fter:',the:.:entry of a final non-appealable judgment that' the same,are:ddt or if Venture £a£1s or refuses bo p~y any :Additi0A~l'~.TaxeS "Interest Venture: fails or,'refuses .to'.,eake :any/~equired 'Action or Venture fails or refuses t°' p,ay. an~.'R&q~tred ACtion ~nterest a~d if such failure or refBsai'~has 'n~':~been cured on or before nxneby (90) days' after Company'.:'has~,;d&livered written notice thereof to Venture,.then Company shall:.be'entitled to foreclose Company's lien 'on the Venture.'.Li&n ~,Ttact pursuant to the 6. Ventu[e'Le:~er o~ Credit. company agrees that, at any time after the date hereog, VentUre~shall have 'the'£1qht de,,ivey to ¢omPanY,"~a' letter '~f ctedi~ complying ~ith the "provisions of this"paragraph 6, and:Company will release the Venture Deed of. Trust. Any letter ~ o£ credit furnished Company by Venture ,p~rsuant to this paragraph 6 must comply with the follow/ny:"', (i) it must be','ini~anamount: equal to one hundred ten percent ,:(110%)' of~ any: Additional' Taxes ~hich may become payable after' the 'date 'of'iSSUance (as established by tax certiflcate~, 0r''other Written.:'~'e~idence "of' the amount bhereo~); (ii) it'~'mdst'., be;,t~revo&·&ble~ ·(iii) tt must be unconditional except lot"the presentation of a'siqht draft less than the full~ amountof the :Ptodeeds are dra~n) and a sworn affidavtb.'from the 'presidehb'~'ot,'ia viCe· president Company cerbifyinq.'bhab COmpany ts entitled bodraw all or that portion og the proceeds of the 'letter of credit then being dra~n; (iv) tbs expiration date must be.no earlier than one (l) year after the date: ot issuance: .'(v) tt must be issued to Company~ and (vl),it must be issued'by Cornerstone Bank, N.A., North Dallas Bank,:HBank Dallas, N,~;.'or another bank approved by Company; Company',shall/'be 'entitled,to draw ~rom time to time proceeds' of :the :lette~' of'credit,in amounts necessary to pay any Addietonal:Taxes·if,,Veneure..fail~·.or refuses bo pay same as provided;in paragraph 5he~&'&f afte~ ~the expiration ninety (90) dags'ifrom'the daCe,of ~aliVery o~ a written notice Co Venture *by ·Company. specifying.':Such failure or refusal. Company also sha11,,be entitled:bo d~aW,all remaininq',proceeds of the letter of, c~&dit ."if ~uch ~lette~ gE credit is replaced by anothe[~*~letter,,bf:.'eredit',,.comPlging..,~ith the provisions 'gE bhis,parag~aph"6:.at'.least[thirty (30) days prior to the expiration date of 'the ' ,,then'effective ~letter of credit or ig the bank. issuing ,,,the letbet,'~,:~0'g ,cradle, is granted asstst.~nce or is: Closed 'by ,the ",Federal Deposit Insurance Corporation. I£' the proceeds of bhe,~:?l&tter of~credit drawn'by Company exceed 'any.*~Additional; Taxe~:*.;'~bhen' dd& ::and 'payable, Company shall b~:.entitle~ 'to hold*Sueh*~O'c&ed~ aS'secUrity for Venbure's obligation,to *pay: any furt~&t~!AdditiOnal Tax~s until ...... ,.~ '.~ ...... ~.:..... "~"¥ · .. , ..,..., . , ,. ..... ~:,~,~.,..,~., ..... ;,,_ ,; ,.. ,~..,~?~' · .. , . ~., , , .,, ., . . ~. ;~,~.', , . ;;'~, ~ ~.. ~, · , . . ., . , . .:, . ; ',iq ,,~.,~. ~!,., ,~.:' .,,..~ . . ..' ' . , '. ,,~ '.~!~. .,. ~. ~;.?::~ .. , even~, ~he 'P~ymen~ ~ven~")~ . (~),~he..,~u~, ~ey~en~ oE Add~on~ ?axes'.(eL~h~..by.ven~u'~.~i0~: by..Company (L~) ~e de]~ve£y, by Ven~U~e.~,~o..Co~&~i-,o~':~anO~e~. ~e~e~ .o~ ¢~ed~ comp~¥~n~ ~h ~he."p~ov~SLo~'0~'~:~'.~t~Ph 6. Any Company ~h~. ~ay any ~em~nLng'~b~e, o~. such (~o~e~he~ ~L~h any ~n~e~es~ ~he~eon):~o.-Ven~Ute."~pon ~he ~u~! Eo~ ~! .Ad~Lona~,..~xe$,-~h£ou~h~.':.i~e~.~a~S~e o~ '~me, any ex~on o~ ~abL~y"~o~. aL~ A~a~on~! ?~xe~ through the o~e£ ~en ev~den~e.,o~,.:~ZL~ ~e~ .o~ .~e. ex~{~on ?. ReZe~s~"i'o~ b~en .on venture .b£en- ?~¢~. Z~ no~ ~evLou~y ~e~e~se~ ~pu£su~n~ ~o ~he.~p~ov~ons o~ ~a~a~ph he~eo~, Compan¥,'~ees ~o ~e~ea~e?k~e'Ven~e~Dee~ o~ T~u$~ u~on e~e~ ~he.'.~u~! p~/~nen~.o~. ~.,,A~on~! ~e~ by ~n~u~e o~ ~he e~~on..'o~;.~b~ Eo~.~L:Aa~6n~ ~xe~ ~h~ou~h o~he~ ~en 'ev~aen~e' o~ Eu~. p~e~ o~ ~e exp~e~on ~bi~y. "' . ~ .'.. 8. bLen ~o ~e~u~e Company's Ob~ons. ~o secure ~e ~e~o~m~n~ o~ Company's obl~on~ un~e~ ~~p~ ~, 2 ~n~ 3 he~eo~, Com~ny.,h~ by Dee~ o~ ~u~ (~he "Company ~.3e~ o~ ~he Comp~ny.,..5~e~:~es~be~:':~Ln' ~~he~ ~xh~b~ G co~encemenb or.',,bhe comple~ion.:'oE:i~He~r~z Road and bhe Ukilib7 Facilibies on or beEore bhe :Hea~b~':~Ro~8 Co~encemen~ Da~e or ehe ~eatez Roa~' Comp~ee~on'b~e'a~a/&f'::eo~ pa~ ehe.Heate~ Roa~ Costs ~t~htn eht~eT"(30)'-~aTs.aE~et:~,~he':~eate~ Roa~,.Comp~o~ton or. ~E Compan7 Eat~s ~o cause;'~he'eb~P~e~on;oE ehe P~actng an~ gta~tng o.e ~t~on ehe To~n Ceneet~Stee,'on'ot =be~o~e ehe ~t~ Comp~e~ton Da~e.an~/oc eo':p~r'~he ~tZ~'CoseS'.~tehtn ~ht~e7 (30) ~aya ae~et ~he. Et~ comp~eeton .ot..~t~ Company,: eat~s ~o pa7 Veneute an~ smounea .,~ue,~o.~.VeneUte:~' by Company: pursuant to paragraph 3 hereo~., and tE..CompanY.~.'Eu~'Ehet ~ails ko cause co~encemene or:ehe .compleeion..or:..k~e:~payment~oE ~he obligation hoe caused to be ,etmely per~Ormed.~'ot~-;paiO:::by,Company ~iehtn ninety (90) days:a~eer ehe.deltver~~ eO"Compahr"bY Venture o~ ~ ;'~ .';h :,'. :"::." ::' . . 'i,., :..' ~.: ~ .. : .. .... 3,-'. '4:.:. ' ~,.' ' :< .......? .;~.~ , .... .:.~ caused to be ti~lr 'performed 'or paid;'!Vantura may foreclose venture's lien "on" th~ .' COmpany .Lie~::',Tract pursuant to the Company Deed of Trust. . ........ ,,t..-~,: : Lime afeer the dace hereof,:,'Compan~'Shill hays the righ~ ~o deliver eo Venture a letter :':of c~$diET.~'eomplyin9 wleh provisiona of ~his paragraph 9~'~ ',and'{~V&~ure '~ill.. r~.lease Company Deed o~ Trust. ' . Any ,~.;le~r~'~, ::.' credit.: furnished ~o venture by Company -pursuan[ ~8 ;;[hl'S~;~'~¢dragraph 9' musk comply wz[h [he follow~ng: (~) ~ mUs[. b~,'?,t~ , [he -amo~m~ of Seven Hundred Thousand 'and No/100 Dollars ',(~70~000.00): (il)' ~ m~[ b~ irrevocable: (iii} i~-mus[ be .umco~dl[tomal excep[, for pres~n~a[~on of ~he letter 'of Cr~di~ ,amd.a sworn af[tdavtb from on~ of ~he venturers tn Venture c~t[tf~tng ~hak' vemkure entitled to drawn all of the proce~dS:,"o~: the letter o~ (iv) its expiration-date must~b* no.-a~rlier th~n one (1) year after the date of issuances'. (~)~ it ~ust'ba {Ssua~ fo and (vi) it must 'be iSsued.':;,by' cdrnarstohe' Bank,'.:/N.A., North Dallas Bank, MBahk Dallas',~"N.A.: or';¢another 'b~nk approved bY Venture. Venture... shall ..be, entftled:~'.to' draw and retain the proceeds 'of the-letter of~.credit .(as liquidated 8amages for Company's failur~;to' fimely cause fha $Co~encemant and/or the completion and/or ' the.".pa~ent- of' ComOany's obligations under paragraphs 1, 2 or ~ hereof) if Company fails to cause the co~encement or":the :completion of..Heartz~Roa~' and the Utility Facilities on or, before the Heartz'.ROad'Co~encement Date or the Heartz ~oad'.Completion Date and/or to pay the Heartz ~ond Cost~ within thirty (~0)'.daYs after fha'~Heartz Road Completion or if ComPany fails to'cause th~ completion of the placing and grading of fill:on the Town Center Site'on or befor~ the Fill Completion Date and/or to pay the Fill Costs within thirty (~0) days after the Fill Completion or? if.' Company fails to venture any amounts due to Ventur~ bY Company pursuant to paragraph 3 hereof and if Company f~rther fails to cause the co~encement or the completion'or the. pa~ent of the obIigation not caused to be timely performed ..or .paid by Company within ninety (90) days after the delivery ~to Company by Venture of writt,n notice sp,cffyfn~ th, oblig~tiofic:whfch Company has-n~ Venture also shal:l' be' entitled"to",~-dr~h th~'-'pro~eeds o~the letter, of credit'if 'such letter~ o~'~,credi~' is' not replaced by another letter 6{'"credit ~omplyinq::~ith':'.th~' provfsions'.oi this paragraph 9 at least thirty." (30)' darS,.',~rior, to the-.'exptration of the then ~ffectivn letter oi~{credit.~or if :,tha.: bank issuing th~ letter o~ ~redit Is qr,nt~d.sssi]t'inc~ or'is.'elos~d~ by ~h~ Federal D~posit Insurance Corp6ratiOa;...-~;;.I~ th~ proceeds 'o~ th~ l~tter of credit .'ar~ dra~n' bY'.~ Ventute'.~',:Ptlor 'to the occurrence of th~'Company'.D~fault,,:,-V~ntUra shall;.b~'.~ntitl~d to hold such proceeds, as S~curity' '~fOr.:. ~-tha ;'~patformanca.". ~0f Company's obligations undar",,paragraphs '1', 2 a~d.ha~ifiar~o~y~ntil".ths first , "' 1 :"': ' ': ":' '~ .... '. { -...1 ;,-.. ,.. '~ih' "": .. :" '. ',, i.~ . ~ ', .'. '-'?i~!~.~ :'~': ii .'~.',:,~i ' · . ,~,~,' ~!.~,: .~,.: .,.~....'~ , to occur oe: (i)'the ~Compan~.Deeau~?:'~n"~h~h'"ea~o Ven~uto ~. shall be en~le~ ~o ,~e~a~n ~ueh ~be~ (Lo~e~he/ ~h any ~ '. in~e~e~ bho~eon) a~ .~qu~a~e~~ ~amA~.;(ov Compan~'~ [a~u~e '.'~ ~Comp~e~on ~ven~~)~ ot (~) ~h~'~Ol~Vo~:,?~'~ Compan~ venture o[ another letter" ~ De et~xt~-' eomptXing with the .. p~ovisions o~ this paragraph.' 9 '..'(the 'Substitute Letter Event"). Any such proceeds' held by Venture shall be placed in an interest bea~ing account. I~ eiehet..~:the Completion Event DE the Substitute Letter Event occu~s.~Pttor to the occurrence o~ the Company Default, venture Shall pay 'the P~oceeds (together ~tth any interest thereon)'to Company; ~/:'~ the Completion Event occurs p~toz to the Company ~DeEault~ ..... any letter o~ credit delivered pursuant to this paragraph'9 which ts stiI~ tn venture' s possession, aha ll~.'be'.~ ~eeu~nea ,~eb Company' by veneu ., ;~;"..,,' ...... ..... ,,.... ,.. :~ .%: .;';~..~'~'~ /.,. , , · t0. Release" of bten ?on~'?com~,~.*.C~en'; Tract, te 'no~ previously release~ pursuant to the ;provisions DE paragraph g he=eoE, Ventu=e agzees to release '~th&: Company Dee~ DE Trust aEte= the later to occur o~: '(t) ehe~:Heart~ Roa~ Completion; (ti) the FtI1 Completions' or~, (t~t}*;C0=PanY~- furnishing the pa~ent Evidence eD Venture.'~ ?' '*~ ..... .'~. '* . .., ~ .~L:LI ,'~ ;.': ~,-?.* . yen:ute ' sha~l have :he ttgh~ ~o co~la~eta~y a~st~n to any To~n Cen~e~ stee' ehe:,.Company Dee~ ~.&E'.~.TtuSe' ot an~ ~eeeet o~ provisions o~ ~ata~taph,,~.:heteo~. C6~panY"sha~l have ~he tt~h~ eo co~a~etal~ 'asstgn'~ eo'~:'any ~:~e~et providing Company Oee~ oE.Ttus~ or'any ~ee~et.o~ ete~t~~-~utntshe~ eo Com~r by portions, o~;,.~he'~To~n" Cen~e'r~ Si~':'~nd. ~he Compan~ Si~e, as applicable,.'.as .'are requir&d ..b~ :.tho'.city. or applicable public, uei l'iey.~ companies.? and ;at~'~teksonably necessary Eot ~he develop~n~ .:. oe 'ehe .~.Oehet :~. ptte~.S:',, siee,.':;.'Ptov.~ded such easements do hoe, ineer~ere:::~i~h~,ot~:cause.~ddteiqhaz cose ~o the devolopmenk 6E' the'. Cite ~on which ".they, ate' Ideated, B. ,' Easemen'k'', .imptovement?~:~:C6~tS, :,'.The. costs eo cons~ruck any easemene-:improve~nes.~ shall','~be paid by e~ party : causing:'"' bhe'~/'~onSkrucet66~ehereo~ ."'"(the ' "~asemen~ :. ,,;. , .... ~ :" . . , · .~,,c~,~,.,~t.~.,.. · . ~,~. ~ ... ;, ~. . ~. ~ · . - ,,~.~. ~.-., . ~* ~. . , , .... . ,. ...... . .... . . . ~'~ : . · ;.'.';, ,'. , . the Other Party shall reimburse [he!.:gasement. Improvement Constructor for the Other~Party's'Pro:~Rata Share of the Basic Costs in cash~ on that~ date ~hich~.,is the later of:. (1) sixty (60) days a~ter the date. o~,~'.the"comple~ton of the applicable easement improvements;. (ii):::~orty-five (45) days after the Other Party has 'recelved'~,cOPiOS o~ construction contracts, invoices, ,statements~'.~':~'~nd ~...o~her evidence reasonably ~cessary to establlsh:'~'t~i~:amount of the Basic Costs and the .full payment:', thereo£;'~ or .~tii) .th~rt~ (37) days after the Other Party:ties int°~:°r"°tnerwise oegzns co use such easement improvements;","*' As used in this subparagraph, 'Pro Rata Share' meana'!;that amount equal to the product of (x) the Basic-Costs,:,.multi li~P--k~' (y) a fraction, the numerator'of which:,ls, the linear feet of easement improvements, contained within the Other Party's site and the denominator of bhich is-the total linear feet of easement improvements' contained..'.:within the Easement Improvement Constructor's site and the.ether'Party's site. a ..... ~ ~---in .'~aslc Costs* means~'the minimum cost~ necessary to obtaih the .service d~sired by the Easement Im rovement :Constr~ctor. - Basic' Co~ts;~',shall not include P -- - ...... ~ '---ts:~'Of the Easement supervision aha/or . Over,edu ~o ". Improvement Constructor.nor, unless :apProved by the Other Party in ~riting, shall-Basi~ Costs(include'items such as landscaping improvements or ~nder~round electrical lines (unless mandated by a controllinq .governmental authority) not necessary to obtain the service.desired by the Easement Improvement Constructor. .' ",.'. ' ' . ! C. Relocation- All .eisements referred to in this paraqraph 12 , shall .contain . provisions providing: (i) for the relocatlon of such easements by the party owning the stte,.:upon which the applicable easement is located so long as the service','to', the other site is maintained on at .least' the same level and at no greater cost to the .Easement Improvementi Constructor to provide~ service to its site as provided, bY .the appllcable easement prior to its relocationl and:(il) that upon the relocation of any easement· the ar~a covered by,the easement ~hich relocated shall he,released and terminated. ~11 costs to relocate such easem~nt.shall.;'be ,paid by the party wishing 13. Power ~ine,'.' R~10c~tiOh.-.",i',.V~nture . ,8n~ Comp8 acknowledge the ~-'~s-~nc~...of.--.a ..pow~t:?line cCnstructod upon portionso~ th~ To~n:;Cen~r Si~o and th6b.Company..SiE~ by Power t [Aght Co. ('TP$L') EO provid~"i~tvic~ to ~ho' ~u~tcip81 agreement, dated .February 6~ .1986, 'bC~6on. VCnEur~ and qrantin9 to TP~h. ~ho iiqht ~o uso,.'Ofl:,:,'a"Eom~or~rY basis, fifteen foot (15') .~ido s~rip oi land';;;aeross .portions et th~ To~n C~ntor Sit~,.and t~s Company SiE~ (Eh~.'Po~r Contract'). Tbs Po~[ ConhracE':providss'i°r'~hs'~uturo r~location et . . , ~,,;.(..~.~.,,~ .... ',:',. :,i. '- . .~...:...: ,, . ,~-,~3 : I* . ,, , : , . ' . ~-;'..." .'~ :, ¢';: '.',', · ...,.'.' ..? · ,~ .".~' : '. .., , , .' , ,~ .....~:.~ . ', ,.,.'! . ~,' , . . i, ,. ',' . .~.,~ : ~.i~". ".~ ' ~. ',.'.~.,. ,?; · '; Power Line conditioned upon the p~rty'.~e~destinq' the relocation bearing any reasonable costs, associated~:therewtth, i': Venture and Company agree that either Venture* or~i~ompsnY shall have the right to request, the: celocati~n~.:'Of~;~the Power .Line (the 'Relocation'), *and, .pursUan~.!.i,',;tO.*~.?~the ~ ~*,~PrOvtsio~s of subparagraph A o~ paragraph.12~'hereo[,?~:both::venture and company agree to grant easements acros~ .~.th6it~'~.re~oective sites,~ to accommodate the Relocation.:~'*Vent~re','~nd~Com~ahY agree to pay any reasonable costs for *Overhead ~'-.*eleCtrical improvements located on each respective party's Site associated with the Relocation, and Venture and Company agree that the provisions o~ subparagraph B of paragraph.X2 ..hereoE .rio not apply with respect to such costs, g~r any relocation of.the Power Line, Venture arid Company a ~ to ~¢ooperate. with each other to obtain a release of the Power Contract,/*i!~ .... ,f :?." .* 14. Enforcement. *~ I~ *Venture-ori**C°mp~y breaches any of the duti~ o--~--~-~-[ga~ions~ impOsed upgn the applicable party under the terms,* Provisions, conditions, · covenants and agreements . contained herein (the ''applicable party, the 'Defaulting Party,), the other party. '~,(the**'Non-Defaulting Party') shall have the right to{ (1) seek*injunctive relief to require the De~aulting. Party to perform such duties or obligations~ (ii). seek. compensation for *damages arising or resulting from the ~ailure o~ the Do,SUlking Party bo perform such dutie~ or~. obligations~ ~ (iii) cause such duties or obligations to be performed in whirl= event all sums expended by the Non-Defaulting Party in causing such duties or obligations to be performed shall become a demand obligation owed by the DeEaulting Party *to the Non-Defaulting Party from the dates such sums are expended by the Non-De,suiting Party, shall bear interest at the lesser of the highest lawful contractual rate of interest or eighteen percent (18%)~ per annum ~rom the date expended by the Non-Defaultlnq Party until repaid by the Defaulting Party, and shall be sub,.eot to collection by s~it in any court of competent jurisdlction~ or (iv) exercise rights or remedies*otherwise available at law, in equity or by statute. All rights and remedies shall,-be cumulative and not exclusive, lb is expressly agreed that time is oE the essence in the performance of all. terms~ provlsions~ .conditions, covenants and agreements contained' herein. In'any. legal or equitable proceeding for the*'enf~r~emen~..of any~Of the terms, prov~sions, conditions, covenants ~or~ .agreements contained herein or ~or dS~Sg,s for ~he breac~)':o[ an~ of the terms, provisions, conditions, fcovenants '~or~!!~:a~reemerits contained herein, tho losing' p~rt~ 'shall payf}.~he:~.,at~Orneys':' fees and cou£~ coats of the..prevailing PsrtY,~.~';~6ntUre'.'hereb~;gran~s to ce) Company ~he rtgheeo enter upon'ehat:p6tt[on oe the Teen"Center Site reasonably necessary ~or ~he purpose oE causing the dueie~ or obligations o[ Venture eo be performed as contemplated;in ~hts paragraph ~4 and eo cause ~he,plaetng and:grading oE Etll on ~he To~n Center.~ Site as tequir&d ~by paragraph 2 hereo[. Company. hereby qtan~s. ~o. venture· ~he~,tighe ~o enter boon . . . .. ', . ~ ~ ~, ~,~ ,'~",. ~ -. '",.~ . '(. ... por~ton of the Company Site ~/'rea~nably:'.necessary for the purpose of causing the:duties'~or~obligations~'o[ Company to be pec[orm~d as'' contemplated ':i i~' in:'. this paragraph 14, Notwithstandinq tho [oregoieg' po[tiOnS of this paragraph 14, Company acknowledges and ..agreesy~th~t.:.the, provisions of this paragraph.14 are .not applicable':~ith'resPedt to any ~ailure or £e[usal by Venture. to .,pay:--.the~,Additional.. Taxes and that Company's remedies-~or:' such.' failure : are~,.ltmited to. those contained in subparagraph I.. o[:f.l~pa~agraph I hereof ~nd in paragraphs 5 and 6 hereo[. .'/ .. ,,~ ''.' .... 15. Covenants Runn£nq ~ith Band, As used herein, Venture means and includes venture and all s~bsequent parties who [rom time to time:own or hold legal, ot.'equitable title to all or portions o[ the To~n .,Center Si(e.;:' As used herein, Company means'and includei Company and all Subsequen~ parties ~ho [rom time to time,o~n~or hold legal'0i.~.!.equitable title, to all or por2iOns of., the ' Company, $itel'.'i. The'. ~erms, provisious, conditions, . covenants and'. agreements ?cont~ined ' in this Agreement ares, covenants running ~ith ...the'.;land and shal! bi~d and inure to the-bent[it of venture, and .Company and their respective · heirs, -devisees, 'personal:.. representatives, successors or assigns ~ho item time to time own or hold legal or equitable title to'all or portions of the To~n Center Site or the Company. Site, " .i''" 16.. Expi~ation' of i~reeme~t.', Thi~ Agreement shall expire on June 30,2000.,.Upon the expiration of this Agreement, duties, obligations!and liabilities-imposed by this Agreement shall lapse, and 'become -.null-" and. void except for any reimbursement obligations under subparagraph B of paragraph 12 hereof accrued.prior to the date of the expiration of this Agreement ~hich shall survive such expiration until paid.~ 17. Control. A. :'. Venture. ~ Not~ithst&ndinq... anything to the contrary' contalned-:.hetetn, :so, long '.as Venture o~ns any portion of the Town Cenher Site, all rights;to the remedies set fiorth in clauses (i) and.,(lii) of..pi~aqraph 14 hereoE ' shall be/vested only. in',Vent2re 8nd nok~in any other o~ne; of portions 'o[ .:the' To~n Center Site. · ~hen Venture no CD longer owns,any portion!of.the ?o~n C~nhe~ Site, all rights to exercise the remedies set~f0tth in clauses (i) and (iii) N of paragraph,14 · hereof'- shall'~',,:be .,.vested in a party designaked by all o[ the thud ;5~nerS oi the To~n Center Site as:evidenced by an instrument of~ designation recorded ' in the Deed. Records oi.D8llS~ Coun~y,.'T~Iss, or' i~ no such _. party is so.'~desiqna~ed, in ~h~..~hen o~ner, of ~he largest ,03 portion' of the To~n Center. Site. As used in this co paragraph l?,.Ven~ure means :and .includes Venture and any successor.o~ venture ,(inclUding,'.~ithout'' limitation, the individual' venturers'.,.'in'.,VentUre)' or any 4tiiliate o~ .,~ ,. ,,,..,.,,.. ,, ........ ~ ~ ~:~ ?~'~.',~-~.ff~(~;.' , ~y, ,'~ ,C,".,.;~ ,,,. , ~,~ .~.. .,~,, ~or~h in clauses (i) and'~(~i~) .o~,f~t~gr~h 14 hereo~ h~ve been assigned. /".'~ '..7"~'.'~:~¥;~ ~.:' - contrary contains4 herein, ':So-L'.l~ng: as Company o~s any portion oE the Company Site~ .all~f~rightS~ to 'the t~dtes set [orth in clauses (i) and .(iii) o/~';pataqraph 14 hereo[ shall be vested only in CompahY ~nd h6~'~in'-any.' other owner portions o[ ~he Company Si~&. ~hen*.CompanY no longer o~ns any portion o[ ~he Company Site, all rights ,~o exercise the remedies se~ torch in clauses (1)and' (iii) o[ paragraph 14 hereof shall be~vdseed in a par~y: deSiqna~ed by all o[ the ~hen o~ners., o~ ~the - 'Company sile',:~' as evidenced by. an ins~rumen~ o[, designa~ion recordedl.'in"'~he 'Deed Records Dallas Coun~y,'.Texas; or ii no such patty is so designated, in the ~hen O~ner .of the 3argest portion. OE the Company Site, Rs used ' in this paragraph~ 17~ ' Company ~ans and includes Company and any successor of COmpany or any pa~ene, subsidiary or ~af[iliaee of,:Company' to ~hich the rights ~o exetcise, the remedies.' see's-~or~h in clauses (t) and (iii) of..patagraph 14 heteoi have been assigned. 18. Severabili~. I~ any term;'"-Ptovii'ion, condition, covenant or .agreemene'coneained'herein 'is:'held to'be illegal, invalid or uneneorceable, the legality,, · validit~ and en[orceabili~y o[ the remaining ~erms,,.provisJOns, conditions, covenants and agreements contained heget~ shall not be s~ected ~hereby, ~nd in lieu o[ each s~Ch illegal, invalid unen[orceable term, provision, '?.' condition; covenant agreement, the~e shall be added -~o' this Agreement a legal, valid and en[orceable term, provision, condition, covenant or agreement as similar as possible' 'eo.'-the ecrm, provision, condition, covenant or agreement declat&d illegal, invalid or unen[orceable. : . 19. No ~aiver. Except as p{ovided~ in paragraph 4 hereoE, no ~aivec o( any o[ the ~erms,'~,provisions~ ; conditions, covenants or agreements contained he~ein['sh&11 be:' ef~ective unless in ~rtting executed by the pare~.~ot ~h0se benefi~ the applicable ~erm, pcovisimt,, condi~ion~ eOvenan~ Or agreement is intended No ~alvet oi any ~e t~ ~.'.~..' Provision, condition, covenan~ or agreement con~ained :herein ~undet,, ~ pa~ticular circumstance shall be.':rdeemed a ~aivet..6~'.'~uch"-.e~m;, provision, condlbion, covenant .or agreement under, a~ di~[etenb'., circumstance. 20. ~eions. The c~P~ions co~'eiined in e~i~' Agreement are lot convenience only and shall ln t{~no ~ay enlarge ot limit ~he scope or meaning .oS the various~/~;and several paragraphs 21. Gender. ~ithi'n .2his .'Agre&~efih~'"~ords oE art gender shalt be held and construed eo;'.:incldde any other gen,~er, and .: . '? . , . : . ,. ,. ,:..:~'.,: words in l:he singular number 'shall~*'l~"*'held*'. and consl:rued to include t:he plural and vice vecsa,.,i~nli~SS .the*cohtext ot:he£wtse 22 Coun~e~. This , Aqr~ '~, has .'~ . been executed in multiple countetpacts, each 'o~ ~hich.'sha11 ' be deemed an o~iginal, and a11. o~ ~hich shall~?cofis~itu~e.bu~ one and the same instrument.' I ;.~ ..-: ,. ,,' ~':. ', 23. Exhlblks. All exhlbi~s ' a~eached hereto are inco~pocaeed herein, by ce~ecence ~ot a]~ purposes ~hereve~ cefe:ence is made to~ the same. '. , '.' 24. Governing ba~ and venue..: .t This' Agreement shall be governed by and cons~cued in accordance ~ieh the la~s o~ ~he Skate of Texas ,,':' and Venture ahd Company~both irrevocably ehae venue for'ang dispu~e'involving..ehis'~Agteemene shall be in any couz~ of competen~ ~risdicelon tn;.Vallaa"count~, Texas. 25. Complete Ag=eemene. '~ This ',Agtee~ne emboaies the enei~e agreement be~een Venture an~ :CompanF the subject maeeet hereof an~ supet, se~es all'Viler ag[eemen~s, ~iteen o[ oral, ~i~h cespece eo ehe"'sub~ect matter heteoi. 2&. ~en~ene' This Agreement'S(maYa[nee ~be"~amended, oc ~e~minated except by an agtee~ne in ~tieing execu~e~ by patties then o~ning o~ holding a legal(or.equitable ineecese in the To~n Center Site 'and the Compahr Sit&. ~ ..., .. ~,,.,?.'...~. . .:. E~C~ED as.oE the day, month' i~'~ir firs~ above ~ti~bon. THE PARK~ OF' COPPEbb JOINT VENIRE ,".:' ,,~. tL, /. . " .f. ,. ;;' -..: .'- By len .,:~ .., Venturer ~ :,.....-. , ,':.:. . ;;:~:, ..-~,. , ,:, ... ., , ....8y~ ' ' .......... ...: .Hin DEED RESTRICTION AREA TRACT- "A". BEING a tract of land situated in the sabered Henderson Survey, Abstract No. 629, the Clarinda Squires Survey, Abstract No. 1327 Imd the a.A. & H.O.R,R. Survey, Abstract No. 1430 in the City of Coppell, Dallas County, Texas and bain8 a portion of that certain tract of land as described in deed frma Good Firm.~cial. Corp. to H. Douglas Adkins,. Trustee. as recorded in Vela]Be 76188, PaEe 2355 in the Deed Records of Dallas Count. y, Texts and being more particularly described es follows.* COI~MENCING at the southwest corner of a tract 'of land deeded to Ruth Perkins a.q recorded in Volune 69241, Page 450 of the Deed* Records of Dallas County, Texas said point also being on the north line of Sandy lake Road (e variable width right-of-way); Thence North 1°22'49" #est, 620.80 feet leaving the said north line of Sandy Lake Road to the POINT OF BEGINNING; THENCE North 1'22'40" #est, 2004.13 feet te thk*beginntnf of · curve to the having a central angle of ~9oS8t22,, -nd a radius ef 209.00 feet; THENCE along said curve 100.38 feet to tho end of said curve, said point on the southeasterly line of Parkway Boulevard (an 88 foot *right-of-Ny); THENCE North S8'38049to East, 422.S4 feet *tlon~ the said southeasterly line of Parkway Boulevard to the befinntns of · curve to the ri~ht hvinj t central tails of 3028,30,, and · radius of 21S6.00 fee~; THENCE along aatd curve, and the said southeasterly line of Parkway Boulevard, 130.76 feet to the end of said curve; THENCE South 27'S2'41" East, 2SO.00 feet' 'letVtnf~ the said southeasterly line of Parkway Boulevard to · point for corner beane in a curve to the left runnln~ in a southwesterly direction and having a~entr·l anfl~ of 3028'30t' · radius of 1906.00 feet and a ch6rd bearing of Sou~h 60023'04" #est; THENCE mlonf said cdrve 11S.60 feet to the end of said curve; THENCE South S8°38'49' West, 24S.8S feet t6 ~ point for corner; THENCE South 1'22'40" East, 206S.68 feet to.i point for corner; THENCE South 89'S1014" #est, 2S0.06 feet to the POINT OF BEGINNIN~ ar.J conttinir.~ 14.814 acres (6~S,270 sq~re feet] of lend. 7 Stan Strickman/ABQ Development Corp. 625 Silver SW--iuite 200 f ' t ' Albuquerque, f~M 87125 This MU~a{~DOMo~°pmont.,Agreemen~ ("Agreement") to made and ente~ed into am of the ~daV.of,~Docember, 1088, ,between ABQ~Dove~o~mont*~OorpoFi~n,,,(,,Oompan~,), a New Mexico cor- poration, aching by and through itc dul~ authorized officer, and Pa~kway-Partner~,~{J, par%~h~p,,), a Texas general partnership, acting b~ and through itc duly authorized partner. 1~,00 WHEREAS, on the date hereof, Company=has sold and. con- veyed-to~PaFtnerohjp that.wcertaln land deecr2bed.,ln the attached Exhibit .~'A",(~he "Sales Trac~") pursuant to that certain Contra=t of Sale (~he "~ales Con~uaut") between Company and and WHERKAS,..,the Sales-Tract.:t8 contiguous,to propert~ owned by Compan~.w~h th~.ea~teFn-and.,sou~heFn bounda=ies of the Sales Tract. being conti~ous..~o,.8~ripe .of .~and. owned..by Company which aFe.~ub]ect.to a Mutuel-DFelnego.gaoement dated May 24, 1988 end duly recorded in Vo]ume,~88109, Page 2946, of the Deed Records of Dallas County, Texao (the "Easement Are~ and WHKRKAS, Company acknowledge~ that Partnership, as an investor, does not,have~anymi~ediate.~onetruction plane for the Sales Tract, bu~"to..e~ence,~..the-future..tnveet~ent value of the thte. Agreemenl; and ~ER~AS, Oompeny~and . the.. Partnership ~acknowledge the neceeeit~.to coo~e~ate.ln.,.~the.futu~e In Pautne~ehl~,e developmeut of the Salem Tra=t and Company's construction of improvements to the proposed llnear park-system,, including drainage system impro- vements, upon the ~asement~Area. or...as may be required by the City of Coppell, Texas, for the. proposed linear park s~etem drainage eystem{ and ~H~REAs., ae a'~ate~l~l~.induce~ent .to Company to cell conve~ the Sa~e~ T~act.,,-to~Partnerehtp,...and-to..Par~nerehip porchaee..the Sales-Tract-.-f~om .Company,.Company .and Partnership agree: to. enter~.~nto.,this.Ag~eemen~m NOW, THEREFORE, for and in consideration of the premises and of the agreemento contained herein, Oompany,.and agree.ac followe~ ~. ~velo ment of s ]~ T~act. Company ~°°~er~te'~C~~~o~P ~,~M~th Partnerohtp~e deve~op- menc of the ~aleo T~act:,Vto-the.~a~ ~t{-f~il~ zoni,g den~ MUTUAL DEVELOPMENT AGREF'~7~'- Pa~a 1 ,'3900 Ii 720 Company shall consent to or Join in Ithe platting of ,';ompany's adjacent land to the south and east of the Sales Tract that is presently zoned for multi-fami~y uses b~ the City of Coppell, Texas, so long az same will not impair or impede Company's construction of the proposed linear park system and drainage system Improvements upon land owned by Company. 2. Malntenance'~" ~t"~is' contemplated., by Company and ' ~ar~nershlp! t~at..the ~Ott¥~'of Coppell will 'accept the reapon- s'lb~ltY:and,obligation~fo~,,maintenance.of the-linear park system and.~ drainage, aystem.,~to~,~be..,conotructed by'~'Company up~= the ~eesment Area,. ~HONevt~)~.~f~he..C~t~,Of. Coppell~refuees to accept the::rsapo~a~b~t¥ andl~ob{~gat~on for malntenanceof such ltnear~ P~r~nershlp'e axpense'!k~.such l~near~.Park system and drat~ system l~provemente upo~F~he.gase~ent Area Partnership agrees to J[effect such 'maintenance responstblltt~ and obligation by (~) creation of an appropriate property owners association bearing the responsibility.and obligation.of such maintenance, or (it) imposition of restrictive .covenants .upon the Sales Tract imposing the responsib~lit¥"and.~.obltgatton of"such maintenance and providing that Partnership, Company and tha.C~ty of Coppell, Texas are beneficlariea,~of,~.euch..restrtctive.,covenanta and, as such, are empowered to enforce same, or (iii) such other method as may be mutually acceptable to Partnership, Company and the City of C0ppell, Texas. 3. Temporary Constructtn~__Easement. Partnership hereby GRANTS "AND CONVEYS to Company, '[~"Company~s successors and assigns, a nonexclusive Temporary Construction Easement, in, under, over and across such portions of the Sales Tract as are reasonably necessary for the construction of the drainage park system and linear park system required by the City of Coppell in the Easement Area. Provided, however, Company, in its cee thereof, shall not unreasonably interfere with Partnershtp~s use of the Sales Tract. Upon completion of such construction work, this Temporary Construction Easement shall cease and terminate and Company shall restore and clean up the surface of the Sa~es . Tract covered b¥_._such Temporary. Construction Easement into substantially ira prt~r condit~on to the full extent reasonably practicable. Partnership hereby bind~ itself and its successors and aeslgna to WARRANT AND FOREVER DEPEND this Temporary Construction Easement In, under, over and across the Sales Tract unto Company and Compan¥,s successors and aasigns against every party whomsoever lawfully claiming the same, or any part thereof, by, through or under Partnership, but not otherwise, 4. Permanent Easement. Partnership.hereby ORANTS AND CONVEYS. to Company, and Comp~ny's successors and assigns, a .nonexclusive Permanent'Easement. in, under, over and across that strip of land of the Sales Tract fifteen feet (15') in width located psra~lel to and..adJaoent to the'eaeter~ and southern pro-- MUTUAL DEVELOPMENT AGRF?~EN~ - Page 2 8900 perty'~lln~$'of'"~'the"S~Tss"Tract' (th~ "Permanent Eaeer,,mt Area") for the purpose of providing access, ingress and egress tr. the Easement Area and the "Compafly Easement Area" (as defined in a Mutual Drainage Easement by and between the Parks of Coppell Jolnt~ Venture II and ABQ Development Corporation dated May 24, 1988, and duly recorded in Volume 88103, Page 2345, of the Deed Records of Dallas County, Texas) and any other area of land lncluded~ within the~ltnear, park ,.~aystem and dratnage system required, by the" Cit¥~of:..Coppell,~.for equipment and machinery necessary for the construction, improvement, maintenance, repair, Inspection and reconstruction of such areas and/or any ~;aprove- manta therein. Partnership hereby binds itself and l~e suc- cessors and assigns to WARRANT AND FOREVER DEFEND this Permanent Easement in, under, over and across the Permanent Easement Area unto Company and Company's successors and assigns against ~very party whomsoever lawfully claiming the same, or any part thereof, by, through or under Partnership, but not otherwise. Provided, however, Company, or its successors and assigns, shall leave such Permanent Easement Area at the same level and condition that it was in prior to any entries upon same by Company, or its suc- cessors and assigns, to the full extent reasonably practicable, and tn the event that any entry should cause or produce damage to any Improvements that may be situated upon such Permanent Easement Area, Company shall promptly pay to Partnership any and all damages that may be caused by reason of such entry. PartnerShiP agrees not to construct any impediments to such access, ingress and egress, such as, but not by way of limita- tion, fences or walls. 5~'~ Addtti°nal~Ltnear~'Park':'Drainage~.System Easem htS. ~r~.~ereh~p._agrees toigrmnt, convey:o= dedicate such easements or fee' title ownerehlp~.q~porttone of the Sales Tract as may be required by the Clt¥.'~of}!Coppell~ Texas for the linear park system and drainage syatem..i~,.lmprovementa, so long. ee same will not unreasonably Interfere with Psrtner0htPee ~or proposed use of the Sales Tract. , ..... us 6. 9onatructton:.,,,of 'Llnear,;.ParkSystem and D~'atn,"g~ Syste~. Company agree$,.that:.,lt:shmll construct the Improvements to the'linear park :eYstsm;"and~:drmtnage system at no cost to Partnership and shall-do'.so,wlthout material deviation from plans and speclftcat!ons to,be~approved by the City of Coppell, Texas. ?. Plats and Company ADDrovals. Partnership agrees that Partnership shall deliver to Company copies of any plats (including all engineering Information) covering all or any part of the Sales Tract and will secure Company's prtor written appro- val to any easement granted to a third party on or across the Sales Tract which would, or c~uld, affect In any manner the land area necessary for the drainage system required by the City of Coppell, Texas. MUTUAL DEVELOPMENT AGreeMENT - Page 3~ J9001 7206 8'~""'Devsl°pment~Eesementa~Partnership ag~='.,~s to grant a~ch,~,aasements~-acrose"the ~ales TraCt-as"'are requested t,~ the City.of Coppsll' or public utility companies and as are r6aeonably necessary for the development of the other lands owned by Company within ~he City of Coppell sc long as same do not unreasonably Interfere with or cause additional costs to the development of the Sales Tract. 9. ......~nforoement. If, Partnership or Company breaches any of. the.duties or obltgatlons,.lmposed upon"the applicable party under.the terms, provtstons~ condttlons~ covenants and af~ceements contained herein (the applicable party, the "Defaulting Party"), the other party.(the "Non-Defaulting Party") shall have the right to: (t) seek.Injunctive relief to require the Defaulttng.~Party to perform such duties or obligations, (1t) seek compensation for damages arising or resulting from the failure of the Defaultlng Pa~ty to ~erform such d~tts~ o~ obligations, (ttt) cause such duties or obltgatlone~to~.be.:.performed. In ~whlch event all sums expended by the Non-Defaulting Party, In causing such duties or obligations to be performed sha11..become a de.and obligation owed by the 'Defaulting .Party-,,to the...Non-Defaultlng Party ~rom the dates such sums are expended by the Non-Defaulting Party, shall boar interest at the lesser of the highest la~ful contractual rate of Interest or eighteen percent (18~) per annum from the data expended by the Non-De,suiting Party until repaid by the Defaulting Party, and shall be subject to collection by suit In any court of competent ~urladlctlon, or (Iv) exercise all rights or remedies otherwise available at law, tn equity or by statute. Ail rights and remedies shall be cumulative and not exclusive.. In any legal or equitable proceeding for the enforcement of any of the terms, provisions, conditions, covenants or agreements contained herein or for damages for the breach of any of the terms, provisions, conditions, covenants or agreements contained herein, the losing party shall pay the attorneys' fees and court costs of the prevailing party. 10. ~ovsnants'-~Runnlna ~lth Lane. As used haretn, ~l~tnersh~p .~e~ns..,ndalncludes ~P~rtnirehlP.,.~nd mil subsequent title to all'or'Portt~ni.:of ~the~$sles Tract.. As used herein, Company means and Includes Company' and all subsequent parties fro~ ~l~e to time own or hold legal or equitable title to all or portions of the Easement ~..ea. ~he terms, provisions, con- dlttons, covenants and~agreemsnts..contalned In this Agreement are covenants.running wlth~the.land and shall bind and inure to the benefit ,of Partnershlp-'lnd, Oompany and their reepeotlve heirs, devisees, P~'reonal...repreeentatlvee, successors or asstgna who from time to time own...or, holi.,lsgal or equitable title to all or Portions o~ the;Salee,.~ract or,the Easement Area. MUTUAL DEVELOPMENT ~'~..~E__~N_~T - Page 89001 ,7207 11 '. ~xptratton~'-of~Agreement...:.~:~tThte~Agreee, ent shall explre~'-..on',,Decembe~.. 31, .... 2008. Upon.".ths .expiration of :'his Agrsement,.,.._all ~lghts,..,.....duttes obligations and liabilities lmpossd -b¥.,~thls Agreement-.shall lapse.and beC~a null and void except, for the rlghts, duties and obligations under the Permanent Easement-.granted pursuant~"to~:;paragraph '4' of this Agreement and the obligation and~.,,reaPonelbillty ~for]~malntenanoe imposed pur- auant-,to~:parapraph~3..of~t~ts~'Agreement, which shall survive such expiration and continue In full force and effect until otherwise terminated. 12. eeverabtltty. If any term, provision, condition, covenant or agreement contained herein ts held to be illega~ Invalid or unenforceable, the legality, validity and enfor- ceability of the remaining terms, provisions, conditions, cove- nants and agreements contained herein shall not be affected thereby, and in lieu of each such illegal, Invalid or unenfor- ceable term, provision, condition, covenant or agreement, there shall be added to this Agreement a legal, valid and enforceable term, provision, condition, covenant or agreement as similar as possible to the term, provision, condition, covenant or agreement declared illegal, invalid or.unenforceable. 13. N__o. ~alver. No waiver of any of the terms, provi- sions, conditions, covenants or agreements contained herein shall be effective unless tn.writing and executed by the party for whose benefit the applicable term, provision, condition, covenant or agreement Is Intended. No waiver of any term, provision, con- dltton, covenant or agreement contained herein under a particular circumstance shall be deemed a waiver of such term, provision, condition, covenant or agreement under a different circumstance. 14. Captions. The captions contained In this Agreement are for convenience only and shall tn no way enlarge or limit the scope or meaning of the various and several paragraphs hereof. 15. Gender. ~tthtn this Agreement, words of any gender shall be held and construed to Include any other gender, and words In the singular number shall be held and construed to Include the plural and vice versa, unless the context otherwise requires. 16. ~0unter~arts. This Agreement ha~ boon ~xecutad In multiple counterparts, each of which shall be deemed an original, and all of which shall constitute but one and the same Instru- ment. 17. ': Exhibits. Ail exhibits attached hereto are Incor- porated herein by reference for all purposes wherever reference Is made to the same. ~UTUAL DEVELOPHENT Aa~NENT .- Pag~ § I8. Governin~ Law and Venu~. This A~re~aent shall he governed by and construed in accordance with the law~ of the State of Texas, and ?artnerehip and Company both irrevocably agree: that venue for. any dispute involving this Agreement shall be In any court of .competent Jurisdiction tn Dallas County, Texas. ~ 19. Complete Aoreement. This Agreement embodies the entire agreement between Partnership and Company with respect to the subject matter hereof and supersedes all prior agreementG, written or oral, with respect to the subject matter h~eof. 20. Amendment.. This Agreement may not be amended, varied or terminated except by ~n agreement tn writing executed by all parties then owning or holding a legal or equitable Interest In the Sales Tract and the Easement Arem. EXECUTED as of the day, month and year first above written.. PARTNERSHIP: PARKWAY. PARTNERS, a Texas general partnership Ge~ /~--{ler , Partner COMPANY: ABQ DEVELOPMENT CORPORATION Vice President MUTUAL DEVELOPMEN~ %OREEMENT - Pag:: 6 89001 ?.209 , THE STATE OF TEXA$ -. :§ COUNTY OF DALLAS § This .l~.lnstru~.e~.t was acknowledged bef_or.~ me on the ~O~j Partner ~ r~WAy ~TRERS, a Texas general partnership, on behalf of sa~d partn'e=eh~p. OIVq ~NDE~_~ HAND AND SEAL OF OFFICE. th~ %he ~ NOTARY P -- THE STAT~F TEXAS My Co~selon Expires: Printed Name of Notary: THE STATE OF TEXAS § § COUNTY OF DALLAS § This Instrument wad acknowledged before me on the day of _~R~ , 198J, by Stan Strlckman, Senior Vice President of ABQ Development Corporation, a New Mexico cor- po~ation, on behalf of said corporatIon. GIVEN UNDER MY' HAND AND SEAL OF OFF~CE, thee the ~ day of ~..~_..~::.~c_ , 1988. ' THE STAI~ OF TEXAS My Co~se~on Expires: Printed Name of Notary: JWS/pcl#94 I AGREE1 .M.UTUAL~DEVELOPMEIi,f AGREE[dENT - Pag~ ? J:~27, l~Zlas C~unty, Texas, and be~ng l portZon of the ~4, M~) acre tract ~o~..~and conveyed to AB(t DeveZopment Corpor'et~on In VoZu~e 8810:~, Page 21Z~ of tt~.. Deed Records or DeZ2as County, Texas. .~Jd $.845 acres of l~.nd belh9 more iMirtZ~...~ar]y cl~scrlbed by Mtes and tound~ as follo11: , . ' EEGZNVZI~ at I 3/2"1~on tod lylno In 'the South rJl~t-or-v~y. Boulevard [.an ~8 foot *.~l~ht-of-way),. said point; belt~ on a eur~e, end lylno · . chord Mafln~ _of S 87' $~' 18" fi ~2.88 feet frps a 112' 1rog tod et the North,est ~orner of' Lot 1, Block 4, Parkvle~ Add/t/on to the City of' Coppe11, · . ~aco~ded In Volu~e ~80~1, Page J~44 of the Deed Records or Dallas County, ". Texas, and'the ~ost Northntly Northeast corMr of thc aforesaid .DeveJopment ~poratlon T:ect. THEM:E aZon9 the West end North Jlne of' the mutual dr·Irma· ease~en~ recorded In VoJu~e 8820.~, Page 2145 of' ~e Deed 'Records, Dallas County, Texas, as folloi'Jt .... 2. $ OJ: 35' 05' g . 2.55 feet to I 112'JJlal'lOd; .~; S ~3' 05' J~' W 11~.~8 feet to ~ llZ' Iron tod;' a. S 02' .14' 54" W .124.02 feet to · 1/2" lion " $.' S .I:RI. 23' 5~" E J44..~$ feet to a JI2' 1ton tod; · ~. 5 05· ~' ~8' Y at .94.4g feet passlr~ · 1/2" Iron tod In al! 95.82 feet to a point; 8, $ 8~· ~' 5,9" fi 47,~ feet to I l~x~tnt; . · ..: $ 88* 30, 1~" fl ,130.07 feet to · polnt; .lO. ~ 88° 58' 22" fi .124..11 feet to · point; THEM:~ N 00' -,)' ~)" fi $?~..14 reef d~4rtJnO- the'North line draZnege easement to a 1/2" Iron toe 2ying 2n the South tl*O~.-or-~ay or the arorestid Parkway Bottlererdt THENFIE NARTHEASTERLY "'. "42~.~¢ feet ~lon~ a cu~v~, to the R/ght, tmv~rq} · · adlus o1' 215~.00 fe/t~ a central an~le of 21' 3~' 44% · chord b~arlr~ N 80' 5~' 52# E 4~.21 feet tt/ THE PLACE DF BEGZMVZMI and cont.alnlnO 3.84] acres t254,502 ~uere feetJ of 8 Richard M. Dooley/Jackson & Walker ': .. ..... .... ' ~: '~ .. GF#Ml?2778COP 901 Main Street, Suite 6000 { .::';"?' J:~. Dallas, Texas 75202 ' '; ' 9335 2 2 91/03/89 T~t S''? Fi rs t~Amendment~' to "Mu tua l~-Dr a ~nage'~ Easement.. ( "Fi r s t Amendment') is made and entered into as of the.~O_~ day of December, 1988, by ~nd bet~een"-The---Psrks-,-of Copp~ll venture II ("Venture"), a Texas Joint venture, actinq by and through its duly authorized venturers, and'"ABQ,.-Development Corporation ('Company"), a Ne~ MeXico corporation, acting by and through its duly authorized o[ficer, W I TN ES SETH ! WHEREAS, on May 24,' 1988, Venture and Company entered {nfo that certain Mutual ' Drainage,~-Easement (herein so called) /' recorded in Volume 88103~,, pages,2345,.through-.23&9 of the Deed Records of Dallas County, Texas; and -.~ WHEREAS, Venture and"Company~w~sh--to.--amend ~the Mutual Drainage 'Easement to .clarlfy-.certain--,portions- thereof and,t~ add certain provisions'thereto-; NOW, THEREFORE, for and in consider&tion of the agreements contained herein and for other good and valuable consideration received by both Venture and Company, the receipt and sufficiency of which is hereby acknowledged and confessed by both Venture and Company, Venture and Company hereby agree a~ fol2ows: 1. Definitions. All defined terms used but not defined in this First Amendment shall have the meanings ascribed to such terms in the Mutual Drainage Easement. 2. Correction. Clause (1) of the second sentence contained in Paragraph'5 of the' -Mutua! Drainage Easement is hereby corrected to read as follows! "(½) sixty (60) days ~fter the date of the completion of the applicable easement improvements and all improvements to the applicable easement area (the Venture Easement Area or~ the Company Easement Area) required by the City;". 3. ~dit[~__~'. The Mutual Drainage Easement is hereby amended by adding the following new paragraph 18 thereto: 18. Mowing: Company~,agreeS~tO~a~se.,both.-ba,k~ of the dratnage, cha~B~l""i~th~t~[~'l~t~n.of--,the-Company Easement .Ares .... ~lo~ated~'~eqldJ~l~mmto'.~the .... Parkview Addition ~o.,-~he.Cl~y..~u~.-CoppeI.l~TenoS~ ..... ~o be kep~ clean o~ ~ras:~"and"~ris.-and-Eo-be-mowed_on a,re~u~ar bssisso that--t e.~-qra~l'~-tn,-~u~~ion-.-of~-'the.company Easement Area.,..never,-.exceeds--a~,hefght.--of--six.inche$ 4. No Zmp~ed Amendment. ~xCep~ as expressly amended hereby, the Hutual Drainaqe Easement shal~ remain in full force and effect as originally written. 5. Bindin~ Effect. This First Amendment shall be binding upon and inure to the benefit of Ve~ture and Company and their respective successors and assigns. EXECUTED as of the day, month and year first above written. VENTURE: THE PARKS OF COPPELL JOINT VENTURE v 'M~chael R, ~llen ~oint Venturer ~Glen A. ~inckley Joint Venturer By: John B. Kidd, Joint Venture r Attorney-in-Fact " By: The Slaty Susanne Alien Special Trust, Th& Christine Anne Alien Speetal Trust, Th~ John Michae! Al~en ~ SPecial Trust, The David Ctittenden Ai~en Special Trust, Joint Ventur=-s ."St/chael R. Allen each ~uch Truse 9 ~ 9340 2 2 01/03/$? STATE OF TEXAS § § KNO~ ALL MEN BY THESE PRESENTS: COUNTY OF DALLAS § That ~BQ D~0~M~NT~'~OR~0RATIONy a New Mexico cor- poration (herein called "G~t~"), for and tn con~tderatlo~ of (t) the sum of Ten and No/ldO Dollars ($10.00) a~ other good and valuable consideration to Grantor tn hand paid by the receipt and sufficiency of which am~ hereby acknowledged, and (t~) the execution and delivery by Grantee of ~ts one ce~{n Deed of T~u~t Not, (the "Not~") of even 4~e he~ewl~h, {n ~he orlglnal principal sum of $474,858.00 executed by Grantee and interest at the rate therein ~pectfted, th~ payment of which Note t~ ~ecure4, Inter alt~, bY the Vendo~'S--Dt~ and the ~upertor Titl~ h~retn and hereby expressly r~tatn~d and re~ervefl upon the property herein de~cribed ~nd conveyed and t~ ~ocurod by a Deed of--Trust of even date herewith to Jame~ W. Schell, T~u~tos, ref.r.nc~ to which t~ he~b~ made for .11 pur- po~e~, ha~ GRANTED. SOLD ~nd CONVEYED, and by the~e pre~nt~ tn Dalla~ County, .Tex~e, .. whtch.'-.ts-~.desorlbed- in-.Exhibit at~ached hereto and incorporated h~reln by ~hl. reference for purpo~e~ together with-.~ll...~nd--.,sin~lsr~the--~lght~,.,.-b~nefl~. prtvtlegee, easementsr..tenements,~.heredltamen~e-~nd..mppu~enmne6s thereon ov in ~n~ise-eppertalning ments loc~ted thereon---.mnd,.any..,rlght, Orantt~ In and to sd~mcent.,t~e,t.-~nd ~{ Thie conveyance'.l~'m~".~nd..accep%ed-sub]ect,, however, "P.rmltt~d Exc~ptlons")-'s~t. forth on-.Exhlblt--"B" attached h~rsto ~nd tncor-porat~d h~r*tn.by.thts..-~sfsren~s-{o~.sll pu~po~e~. TO HAV~ AND TO HOLD the above described together with ~13 and ~tn~ul~r the- rt9ht~ ~nd--~ppurt~nanc~ thereto tn an~tse belonging, ~ub]ect to the P~rmttted ~xceptton~ as aforegatd, unto Grantee,-lte..succegsore-,~nd~a~t~, forever: and subject to the Permitted ~xcepttons, G~antor does hereby bind Itself, Its successors ~nd ~stgns, to WAR~NT AND FOReVeR D~F~ND all and sln~lar the said premises unto Grantee, Its successors · nd assigns, against every person whomsoeve~ lawfully clmtmln~ or to claim the ~me or any p~rt thereo~, by, thr0u~h or under Grantor, but not otherwt~o. But it t~ expreo~ly agreed that ~rahtor herein Vondor'~ Lien, ae well no the Supe~tor Title In ~nd to the above SPECIAL WARRANTY DEED WIT~ VENDOR~ ~IEN - P~ge 1 9001 7173 described property, pr mises and improvements umtil the Note has been fully paid according to the face, tenor, effect and thereof, when th~.s Deed shall absolute, but that a releaee of said Note and the liens securir~g same by the owner and holder thereof shall be sufficient to release the lien herein retained without the Jotnder of the Grantor here~n, its successors and a~s~gns. IN WITNESS WHEREOF, this Special Warranty Deed is exe- cuted on behalf of Grantor, by the undersigned, on thie the day.of D6eemher~ ~9~8'. GRANTOR: ABQ D~V~LOPN~NT ~OR~ORATION, New Mexico COrpOration ---""$tln Strt~ckman, Senior Vice Pree~dent STATE OF TEXAS COUNTY OF TARRANT Thl~ instrument was acknowledged before me on the day of December, 198~, by STAN STRICKMAN, Sgnlor Vice President of ABQ Development Corporation, a New .Mexico corporation, on behalf of sa~d ~OIAR¥ THE STATe"OF TEXAS My Commf~on Exp~r~: Printed N~me of Notary: AFTER FILING, PLEASE RETURN TO GRANTEE'S ADDRESS: Parkway Par~ner~ ~ JWS/pcl#94 S.DEED1. SPECIAL WARRANTY DEED ~WITH, V~./~DOR'S LIE.Nr - PaOu 2 BEZ~G $.84~ acres or 'Jehd Joceted Jn. the CLAR, TM:R $Q~rlE$ 3~Y, Abstract conveyed to ~ ~yelo~ent Corporation ~n Yo~ ~8~0~, Page 232g or t~,~ ~ed Re~rds or ~llss Co~ty, Texas. ~d ~.8a3 acre~ o~ ]and ~1~ ~re ~'rtle;d~rIy described by ~tes ~nd ~ds aS ~o11~ ~GZ~ et a J/2" l~n ~d ly1~ Jn the ~h ~]Dht~r-~y. ~ne ~u]e~rd (an 8g root*~lDht~r-~y),.sald ~nt ~1~ ~ · e~, end lyZn chord ~a~l~ .p~ S 87° 5~' 18" W ~2.88 teat f~ · 112" Iron ~d ~t the ~rthwest ~or~r or LOt 1, B]o~ a, Parkvlev A~ltlon to the City oF Co~ell, .' . .. ~eeorded In Vol~e 88081, Page J944 of th~ ~ed Re~rds ot ~]lls Cq~ty, · Tex~S, and 'the ~st ~rth~ly ~rtheast mr~r o~ the ~Fore~l~' A~ .~veZo~ent ~rpora~on T~IcE. T~ IZo~ the ~est and ~rth JJne or the m~] ~raZ~e eas~nt re~r~d Jn VoZ~e 8810~, Page 2~45 or ~e ~ed *Re~rds, ~11a~ ~ty, follo~ .... 1. S 0~.' 15' 0~' E 2.~ feet ~ a'l/2"~mn ' 2. S 030 0~' 'J~' W 123.82 f~t ~ I 1/2" J~ ~d; ~: S O~' O~' 1~' W 1~.~8 feet to ail2" 1~ ~d~ a. S 02e ~' ~" W J2*.~ f~t ~ a II2" Z~n ~d; ' 5.' S.O8° ~' ~" E, J~.]5 feet ~ a J/2" l~n ~d; · ~. S 05° ~' ]8' W at ~4.4g feet ~s~ a 1/2' J~n ~d ~n feet ~ a ~lnt~ '7. S 1~· 5~' 2g' W 2~.~7 feet to 8. S 8&' 53' ~9" f ' 47.~ feet to I ~..: 5 88° 30' ~" W ~0.07 feet to 4 ~lnt; 10. ~ 680 58' 22" f 124.~1 feet to a ~lnt; Jl. S 660 55' ~" W JO2.7~ f~t ~ t ~ln~l T~ N ~* 5~* 5~" W 57J.]4 feet ~p~rt~ ~e ~rth lJ~ or ~ld ato~eM1d Pa~ay ~ule~d~ T~ ~T~AS~Y 4~6.~& ~eet alo~ · ~ to tM ~ght, ~adl~ or 215&.~ feet, a central angle Or jje )~e J4we I ~rd ~arJ~ N 80· 5&' ~2" E 4]&.21 feet to T~ ~A~ ~ ~GZ~ and ~ntal~ acres (254,502 ~re ~feet) o~ Z~nd. ' · EXHIS~ "S'-- This conveyance ts made and accepted subject to the following: 1. Those restrictive covenants and other matters as contained ln, a Declaration of Protective Covenants executed May 24, 1988 and duly recorded In Volume 88103, Page 2440, of the Deed Records of Dallas County, Texas. 2. Agricultural Lease between The Parks of Coppell Joint Venture ! and II, as ~'' December 31, 1986, said Agricultural ABQ Development Corporation pursuant to a Partial Assignment of Agricultural Lease between The Parks of Coppell Joint Venture II and A~Q · Developmen~ Corporation. 3. Any rights, Interest, easement or claim arising from or Inuring to.any party as ~ result of the location of 'an underground telephone line along the north side of the subject property conveyed hereby as shown on the survey dated November I1 / 1988, 'prepared by Jack M. Crawford R.P.S. No. 4059. ' J~S/pcl#94 R~H.B .... 900 I 7 I,'7,6 A m~, .~. j.~. SLorJ~S warml'tgs were ,recelve~l llAYe enda. ngered tile .lllile br ihs U. S. Weather R~frean'at New York. Wad' ~ot"at faa,it fn 'failin~ .tb;ahi~, '~esc warni~tgs were repeated m~ Mhnday allhongh lhe 'sierra cam~ in feat ,1~ ' morning. Thc winds increased in veh~ity, N. 1~.. lint the Warnin~s'predidt~'/,~ :tml shifted to N. I~:. Nn reqnes[ was made easterly wimls and rain:'. I)y Ibc 'J'illic S. f~r nssislancc h~wcver, ca~se a light barge tn I~mlnd m~lil ni~c ~'clock ~hmday mor~li~g, when stakes. The Irinl ct,irt was, Ihere~for~i I)crlh w;15 r~cc ¥~:(I hy al)l~llallt'5 I~g m;~s- ])ceres a~rlncd. let. ]le t'cfl~se(I I)~ca~se it wo~lhl ha~.(~ hcen too da~g('rous Io shift Ihs I)arge at Ihat tim¢. Ih:gore the storm std)side(I, the heavy sea~ had c~[t~se(I Ihs I)af'ge Io p~)liml agains~ and ride up over [he st)lies, causing damage to h~r wearing slril)s. [i] AIq)ell~nl argues that Ihs Tillie S., DOYLE et al. v. STANOLIND OIL & while lyi~g at the slakes, was only a Ii- CO. et al. ' ceases or ii,rhea, ;md Ihat, Ihere[ore, it (~w~J bcr t)o a~rmalivc (htly of care. The No. 10~5. c~nlrl I,:h)w. h~)w~ver, rclyi.g o~t ~)[er opio- Olrctdt (;start or Api~,nI.' rltlh (Sr(.tdt. behl th;u the Inw~ige relalionsl~ip comintted while Ibc b;Irge lay :il Ihs slakes, ami Ilia[ Rehenrln~ ~enled Jan. 12, 1042. (ll(~ al)p(:llant was ~l)ligalc(! !o lake r(.as~,~- I. CourSe ~343 ;ihle ~';ir~ oF her. That ol)ininn has so re- [n ~clh)n i~ ~('deral c~url for lille and ct:rely reviewed the cases and d~clrifies in- poss(:ssioo of land. question whelher there v~lvcd Ih~t [~rlhrr ~laboralion is mmc~ was proper joinder ~J parties plaintiff was ccssa, ry. 'i'h~re, while n~t forecG~sing thc irately one o{ procedure conlrnlled by fed- po~ihilily o~ olhcr arra~gem~d~ b~lween oral rul~s. Federal R~des o[ Civil l'roce- Ih~ p:~rlir~, w~: m*rquivocally hchl Ih;u, mt- d~lre, r~le Z0(a), 28 U.~.C.A. following lec- h'~s Ih~: ~:~,lttary ;Hq~ears, the c~mlraict in tion 72.1c. Ihcse t'irclnnsl;il c~s is G~r a retold IrilL Jhlrns liters, v. I'enn~ylvania Railro~ld Com- 2. Courts ~343 pany, 19,~X A.M.O..t82, relied qq~on by ap- Pla,oliOs ~itin~ for litle~fid I~elhmt, Ihs c~ntrary did appear; the barge lo tract of land described in pet,lion was a "mar~ct Ix~ll," which was Io he left males a~cl bound~ and as bisected hy at Ihs strikes by the shippers, for their own mnn ~undary line between two~ convenience, radii her cargo was sold and lracls, one of which was owned by one delivery could be made. ~ee, also, Valen- plaintiff, and Ihs olher by lhe olher ~ine, ],c., v. I'ennsylvania Railroad Cons- plainliffs, were properly joined p~ny, Iq.t8 A.M.C. 595, a~rmed 2 Cir., 101 notwithstanding per,Hen sh~fwed ~' ]:.gd 1011. and not a joint owner~hip.'~'Feaeral Rule( [2] We lurn I~ Ihs queslbm of negli- of Civil Procedure, hdc ~C~), ~'U~5.C,~[ gcnce. AIq~ellanl coldencls thai Ihs Tillie ~ollowing seclion 72~. ~. w;~s ;~l fauh for failh~g to pul out 8. Deeds ~3 fenders. Assmning that tbs piling was set Under Texas law~ there are in flush with thc walk or runway, so that tic,ally controlling ~lee,,'in .;deter,ninE fenders would not have gone between the . e~ and.effect, of a conveyaneej ~q)rights, they might still have failed to pre- intent,oD of the parties q~ derived fro~.t~;" vent thc damage, which was caused by the etruments, in.light of barge's riding up over the splits. The which they were ~xe~uted a6d ac~e~'6n,'ia value of fenders was extensively gone into contro!lii~~ ..~ .. ..... .. at the trial, and, although there is n0 si)e- cage finding on the subject, we must as: 4. Deeds ~111 , ~nme {lint tbs ce,ri below held aKahlst Under la~ oi 'Texas,~pte~umpft~,it aq~pellanl. We Ih,ak the evidence amply against the~etehlion ~hows Ibat fenders wmdd not bays pre- or air'ps between tracts o~te~ ~ vented Ihs damage. AIq~ellant.also argues o~, slid in Proo~ss of,disc,nE o~, k tilat tbs I~redicted S. E. storm would not tract.' ' /).OYI.I¢ v. STAN()I,INI) Oil.& OAS (~O. sss r. ta ~ · 5. l)eeds ~lll ACliou by the Sln,oli,d Oil & Gas Corn- ' Where ~.tl of n tract vnrio.~ly re- plluy ami others offal.st Gl()ri~ !r. Doyle fc~rc,I Io ~s c..lai~iuff 104, 107, aod 1~ ami olhers for title a.d possession of I~nd, acres, ~ranlor made a series of convey- wherein dele,da.Is filed a cross-aclion, ~,c~'s .I s.bshuflially Ibc s~me lime, ami Frlm~ a jmlRmeol f~r pinS.lifts.. Ibeir descril-'d cerlni, c~mw:ynnces as a ri.rib 20 Ibm for ~ummary j.dgme.t, 38 F.Supp. ~,d ~ s~mth 62 acr~.s, ffra.lor i,le.ded Io 89.1, defendanls appeal. c.nvey ~11 Isis Imhli.gs a.d did not iute.d Affirmed. tn rclam lille Io a oar~w slrip of 2.7l acres I.,l~vce. Ihe uorlh ~ml so.th Iracls, i. view ~nl Goodell, of T)nllas, Tax., for oi iht .nSf.tm o.~slr.clJo, hy the parlies, la.Is. ;m,I foci of Ihe dilTcrcnt eslimal~:s of acre- Fra.k ]. Scnrb~ck and Snowden M. 1.eft- affc was tmiml..lanl except f~r Ibc light wicb, I~lh of Dallas, Tax., for appellees. d~cy Ihrew oo gra.h~r's iuleulion. Before tlUTCIII[SON and McCORD, t. ~eeds ~118 Circuit Judges, and DAWKINS, l)islrict psrllllon ~8 J.dge. Where there bas been a division of I~,d i.to separnle parcels hy parlilion or IIUTCIIESON, Circuit Judge. I,v deeds, ~r where Ihere has bee. a con- The suit was for Ihe title and vcya.ce of laml adioS.lng or abulli.g on ~ of ~ tract of 2.71 acres of land; described, ri~lr of way or easement, every presm.p, in Ihe petition, by metes and ~nnds, ~nd, ~in. will be indulged nffainst inlention to as bisected b~ the ~m~n ~undafy line Ic~ve ffures or slrips between tracts so par- between two adjoioi.ff tracts, oneow~ed b~ lilioncd or conve~ed, one of lhe plaintiffs, the other by lh~'0ther two. There was ~ motion to dlsml~, 7. Dee~* ~11~ of mis-joinder of parties-plaintiffs, be~anse Parllllon ~8 Ihe petilio~ slmwed not joint bat I. ahse.ce of clear and convincing evb ownerships, a.d a morion for mor~ dance lo the contrary, inslrumenls effeclin~ stalenten~ or for bill of partic.l~rL a division of a Iract of laud by conveya.ce overruled, there was an anawer and 0r parlition will he co.strued as intemlinff action In effect deuyin~ plai.tiffs'i nhd ~n divide and as dividinff the l~nd inlo ad- serling defendants' lille. Pl~inliff~ th~re- j.i.i.ff parcels ~ml .or as intending to upon moved for summ~ry Jud~fltnt~o~ leave gores or strips betwee,, basis of ~. 611 ahd ~ba lea~e?, dat'~ ~p~ll - : 28, 19~0, from Arthur' ~ri~l~an t6' ~. A. Skipper, under wh~c~ ~th Appeal from the Dislrict Co. rt o~ the defendants hold, ~ ~ed from Arthur United Sidles for the Easlern District of ti~n to F~rl ~rlsti~n? a eonl~et,~ ~ Texas; Willinm Ii. Alwell, Judge. ~ssi~nments,s executed by Fra.~ R. i ?his after ~ met~ .nd ~un(l. de~H~ J D.t~ ~to~r 32, 10~8 in4 tio. of n Irn*:t o.t of the Jle.ry llntlm- by m~t~ nwd Imflnfl. ~ eom dA~ way 8urvoy, emml.(linf **lhen~ to the mst ~ thb J. k{. Farmer of laml mor~ or I~", ~ntln.ed "thin he- ~, 10~1. r~m r~tef to ~r' iht' Inl Ihl .nme land de~l~ to us by J.M. dalton, ~ltlflf that rNtet b Farmer by d~l recorded ~ Yol. ~8, pale ' ~nd ~lm to Jill th i~. I)eed ~eenrd~, ~relf ~unt7, 'ex~t in "the ~! end ~10 ie~ ~ tk~ ~ ~ ~er~ re)hi to the ~lo;ed oeh~l end 8 ~ &e~ ~t of the 'A~h0F church, there heio~ I~ n~res moro or lena trnnt In ¢h~ llenry lltthiW~y Bo~, ~' er but in . r~e.t ..rv~y theFe w.8 rmmd 4 (.) Ami~h~ht,t~*~oJl';s6d '~e~ lo be 107 ner~ er Inml more ~r leos". Ii from ~tef to ~o~ ddt~' 3dhue~ :~, . ~nch,ded th,m~ "I~ J. inte.ded herein to ' JORI. ~ntn161n~ tho b~e ~.vey In the lea.e, .Il Innd we own In set ohs la ~he the .lmve ..rvey eseept ~ ocr~ Bold of ebo~e, f~k th6t Iht !*~ (hd Ill the ~ W corner to ~RF] ~,rloti~n, de~d Iln(l~r It a~' ~OW Owh~ by r.or~p4 in flregK O(.mtT, T)ee,I /te~rd., '~.eli. lln( thit h~' k~l~8ill It hH.I the Inte,,lion to Include .11 Innd And Iflllr~ of t~e ofl~..l l~e in~ ~- awned or elehn~ by I~or In /aid ,u~ eat owner of tk~ leske ~ ~ hf veT.'* bm tbe 8 RI m~ or ~o 12.3 lf~DI0R&L RI~PORTI~R. 2d B~I~ plea.tiffs' decedent, a release~ executed by tracts ~or oil as adjoini.g owners. The~ pl~imiff, an a~davite of ~ st~rvcyor, that ~ntention was, Ihat the instrume.ts Fos~cf thc area calculated according to the metes executed, including those u.dcr whiclt a~td bare,ds description used in the Arthur plaintiffs claim, show Ihat he intended to Christian lease, was 104.95 acres, and that and did assign all of his right, title a.d in- dcductis~g thc Earl Christian 2S acres, there tercst in and to Ibc Christian Isaac huh[ would bc left io the lease, whefl Uoster estate, and that instead of being separat~ made hi~ conveyances. 79.94 acres, the fact by a narrow gore or strip, the tracts ow~ed that l;oster during his IJ~e time had never, by plaintiffs adjoin. mxd his widow had not u.til in 19~, The only attempted controversies of claimed that he had left a strip or gore be- these instruments, the a~davit and these tween the North 20 and the North 31 of facts, by defendants, was Ihs filing the South 62 acre tracts and that plaintiffs surveyor's a~davit which slated; that the have go.c upon and developed the two Christian lease, by actual survey on the trac~ ag lazed; (b) an a~igumeut of oil "whereas the said lea~e and nil and gan len~e from F~ter to llugh~ dst- thereunder fire uaw owu~ by F~ter, mt b'ebruary 11, 1031, c~utaiuJug the anise solar la annie eove~ aa u.divided referene~ and d~rlptlon la the Ohr~- interest In and to the N 81 aer~ of the tiao l~ae ne .~ve act out and a~iguing ~ 02 seres of the )~d coverml by it.' ]t the .aid lease in lo far an it eove~ the sells b~ undivided 1/~ lutereat in the N 20 aer~ of the a~ve-de~rl~d tract lease In ~ far aa Jt eove~ the N UI acres. of land. (e) &n a~l~ment to R~r nad 'l~,ere tollow, the .amc de~riptiu, of the l'e,~delton dated &~rll 10, 1931~ referring N 31 acre. H Is eontalu~ lu the H~ser to the ~hriitlau-~kipper oil mud gan lease a~wlKnment. for de~erlptio., and ~rauuferring in undl- Sq~ releuse, dated April 19. 1034. vid~ ou~-hlf of the owner's interest in from th~ p~intiffs (o gist Texas Oil Itc- It tn ~ far aa it ~vera O,e N 8t aero of fining ~ml,any, reh~ to ~e ~'~r iud tim ~ 62 aero of the land covered by It, R~er ~ntraet of date Jnuuarf ~, 1~1, n.d de~ribh, g th~ ~1 aer~ aa I~ H the mlgnmen~ made by g~ter of all tallows: "INit North ~undar~ line of .aid his i~erut h tho N ~ of tk~ ~ 02 Booth 02 aer~ shall h I~at~ by funning and a mervafion of an oil payment ther~ a li~Ae parallel to ~e Booth ~uadary line In. and reMt~ that ~ter had r~eiv~ et ~id land coverd by said leaN, and ua fuH and fi~! pa~ment and ttlta.~'tb. u to cut off B2 acres In addition to and ~ast Texan OII Refining Oompau7 aud'i~ exclusive of the approximately ~ aero pr~morn from all obllsatioM tract d land eonvex~ by Arthur Ghfiu- the eontrae~ tiaa and wife. ~]lza Ohrbtiau to ~rl ' "1 have exam[ned the field notes ~hriulian. ~d ezelu.ive of tko ~]or~d out ~ an oil and gal I~u dated .cll~l and church lot out of tho 8oMb- ~. 10~, r~rded Yol. 4, Page 8~ of tke wot earner. ~th of which were ez~ptd Oil and aaa ]dale R~rd. of 'Oregg from the Arthur ~hr~tlau leaH." '~e ~uuty. TezH, from Arthur ~lriMi~n ~uth ~uu~ry line et said 8~ aer~ shall and wih. Eliza (~rbtian, Jack O. ~ loe&t~ by running ~ lin~ parallel ~o and W. O. ]iur. t tn B. A. Rkt~r., the North ~)uudary lin~ of said fl2 aer~ hav~ ealeul~ted 0~0 ar~& embraced tract. I~ated H atotuaid, and at .ut~ n the d~ription ut o~ In ~atd oil i~d dhtance to the 8ou~ the~from as to in- lean and find ~ area to h 1~.95 elude ~1 acres betw~u said North and ~e a~ve mesition~ I~ c~.taJun fluuth boundary linu; ~ 8outh ~und- ~a~e excepting '~ ~er~ .old ary Ibm of said 31 aar~ herein shall bo N.W. ~rner ~ ~arl ObrJatJan;' ~iucident wi~ the North boundary Hne Cwuty-fivo ae~ he ~#~ed f~m ~, of 31 acr~ of said lea~ ~i~fled to gor~ aer~g, widch I h~vo ~aleul~te~ by F~ter." (d) ~ aMliument from ~'~- will ~ left 79.~ acrm. tlr to ~aMt Tuxao Reflfling ~onlpany. "l have *xamlued th0 l)~d to dit~ April 10, 1~1, In the .nme ter~ Ohrjotl~, whic~ WM rd~rr~ to as ~t to lt~r. ~nveyln; 1/~ of g~- a~v~ mentiond oil lad gas .lea~ ~r'a lnt~r~t. (e} An Huiznment, Jun. which ~ wH d;t~ ~t~r 1~. 20, 1932, from ¥~r ~ ~'rauk I~ ~'~- and r~rd~ In Velum0 ~, pagq ~, ~;d ter. ~le., referring to ~e Ohrbtlan-8~i~ X have a~ ~d Ge nr~ ~wiug d~cri~ ]au~ Sm Orejg (~uut~ It.d 0f ~iug,~ .~ aC~f ~lng ~ ncr~ mor~ or i~, known ~ t~e 2~.~ ae~. If lhlo e~uut ~ ~duc~ AKhur ~hriutian Farm, iu the llen~ from ~. total of l~.~. them will Rafl,iwa~ survey". It fu~er r~tM ~.10 ~ of had." I)OYI,I~, v. 8TANOI,INf) OIL & (]Ai~ CO. Kr.mid ('.,il;ti,led. ,:,)l 104.9S acres ns pi:hl- lhe [:ct lh:l Iht nsNiRmnc~nl~ ~lld Iht lilts' SIIllVC},4)r had conlplllcd it frtllll its tract nlltll~r which part of Ihrm were field iIO1~, ilor 10~ acres Rs it recites was were substantially conlemporRucollS; and fo.nd hy a rCCelll SllrVey, hilt 1~.71 acres; tile fact IhRt for years chlring which l:lai.- Ih~t ~c(lllcliliK [rom Ibis fllll(llllll, the 25 ti~s haYe developed the land for oil ns acre ]{arl (~hristiall Iracl. leaves R4.71 joiners, neither Fosler nor appellees Gave acres; lit;il when lite two 31 acre end lite claimed the existence of ~ slrip or'gore he- ~ acre Iracts assigned hy ];oster are de- tween them; flirnish [ndisptilahle evidence dilCtc*l fl*(llll Ibis, there fClll~ins IIiiCofl- of fin inlellt on the part of ]:oster to pass x. cy~d, 2.71 acres; alid that it is ilnpossilllc to nil of his inlerests in the lense, nn~ not coati)talc Iht aclnal ~rea of ~ tract fronl the is now helaledly claimed, Io reserve ns s.rvcyor h;~s do.e, wilhont an acing[ slit- small narrow strip I)elwee. Ihs Norlh an~l vcy o. the grmmd. Sonth tracts. S.Gmilled on the mellon for snmmary jmlgmc.I Ihere was a jndgment G~r plain- [1,2] We agree with appellees. The lilts. AppellRnls here insist, 6r~t, Ihat it qneslion o{ joi.der is purely one of pro- was error lo overrnlc Iheir motion for mis- cedars and is conlrolled hy the federal j~imlcr o{ parlie~, i. thai Ihs pleading rains. The Texas anlhorilies appellanl~ sh.wed .,~l that I~lRinliff~ were joinlly in- cite are withont applicalion. Rnle 2{}(a) ICteSled in Ihs laml shed for, b.I Ihat each l~ermissive Join~ler, in Ihs largeness claimed a. entirely different and segregated compreheosivencss of ils lerms is pec.liarly part, o.e the North, Ihs olher, Ihs So.th, applicahle here. l'lai.liffs here, in Ihs very hal{ of il. On tGe merils Ihey .rge Ihnt lerms of the tale, assert right to relief thc s.rve~,~r's n~dRvit filed by defemlants joinlly nmi severally, or in the allernntive, ~lmwi.g Ihat after assigning the two .11 m respect of a series of transaclion~ or acre tracls and the ~ acre tract onl of the currences and q.e~tio.s of law and of fact L~rislia. i~'ase, Ihcre remained nnassig, ed common to all of them arise in the action. and hclongi.g Io Foster a Iract of 2.71 It would Ge di~cnlt lo imagine a more acres lyis~K hetween the ~ and the Norlh ~ite case. ~1 a~re tr~cts, and plainti~s n~d havi.g [3, 4] On Ihs instils, Ihs case is tnled c0ntraverted this a~davil, defendauts, not by Texas decisions which have !o.~ estnb- plai.tiffs, shmdd have had jndgment, or at lished that in determininE the scope and least Ih~' mo[ion for snmmary jndgment e~ect of a conveyance, there nee nn nrti- she.hi h~ve heen de.fed and the canse set down for trial on tl~e merits, fieinlly cnntrollin~ rules. The seltled law here is that the in~ention of the pntlie~ AIq~ellecs insist than the issne of mis- derived {rom the inslr.ments, in the light j~,imlcr is determined against appellanls by of Ihs circumslances nnder which they ~ere Rain 20(a), Rains of Civil i~rocednre, 28 execnted and acted .~n, is controilin~ and U,S.C.A, ~ollowing seclion 72~c.~ On the n presumption arises against the relentio. merils they nrge Iha~ the a~davit o{ plaio- o[ ~ores or strips belween trncls of li~s' snrveyor raised no malarial issue of sold ns a part of, nnd in the pr~ess o~ dis- ~act, Gees.se Ihs controlling qneslion in Ihs ~sin~ of, a larger tract. If the assignment conslt~lction o[ Ihs inslrnments in question of the Norlh ~ acres had c°~dnined n call is not the n.mber of acres aclnally included for the Sonlh 62 acres or the assignment of in Ihs Go..daries of the Christian lease, its Norlh 31 acres had called for the North b.t Ihs nm. her of acres Fosler, as assig.or, ~ acres, it would of course be readily ~hought were included in it. They insist mitred that there was no intention to Iplit Ihat Ihs i.struments as a whole, in Ihs light t~em apart. of the recilatioos in Ihs assignments he made, tl~al the Iract had been recenlly sur- [5-7] Appellants' whole ease is based rayed ami fo.nd to contain 107 acres; of n~n the contenlion that in Ihs absence my Jol. I. one action ne plelnuffs if Ihey fendnnt ne~l not be IMe~led In oblnln- a~ert any tight to rdief ~olntly, several- In[ or defendin~ against hll the relief d~ I~, or In the alternnllve la respect of or m~ded. Judgment may be Wen for one nrisln[ o.t of the name trn.nnctlon, ~- or more of the plaintiffs a~rdl.; to ~trrem~, and If any q.~th.n nf law or or more defendnnl..eeordln[ to their fact common to nil of ~em will eden In .p~lve ~.ch a j.lnl.K call, the only ~vay the 20 Iract of I.ml will l~e con~lrnrd .~ n,tres cnn Ii~,. laid off is by 6xink ils Norlh In divide and as dividin~ Ihs Innd i.to Ihle cnincid~,nl wilh the Norlh li,e of Ihe joining p:~rceis ~ml nol as i,lemlink h:ase nmi ils So. Ih line ~1 ~ ~int which leave s,ch kores or slrips helween. Amon~ w~mhl give 20 heres, neilher re,re nor less. lhe ma,y a,lhoritics which m~y he oiled Io If Ihe assignmcnt lo lhe 20 ~cres slood Ihis ~int ~re: Beck v. G,If l~rl,clion :done, if il were Ihe only facl in the c~e, Co., Te~Civ. App., II.] S.W.2d 258; ri~ :q~Pellanl wonhl umio,blcdly he rikht. !1,l Bravo Oil CO. v. Weed, 121 Tex. 4~7, it by no me~ns stands ~l~me. 11 sl~n(l~ ns S.W.2d 10R0, R5 A.I..R..191; l)nwson v~ olio of a s(:rh:s of collvcyances m;~de ~t sub- 1lickm~n, Tex.Civ. App., 9.~ S.W.2d slnnli~lly Ihe snme lime for Ihe pnrpose of Cnnlley v. Gnlf Pr~l,clion Co., I.]~ 'l'ex. dividing Ihe land iuto n,d sellink it off ~s ~ 339, 14.1 S.W.2d 912; ford v. McRae, N~rth 20~nd n South 6Z acres, so ~s lo dis- fex. 1~, ~ S.W.Zd ~; ~Mo~ls v. pose of all of il excepl the m~divided i,ler- Oil ~ G;~s Co., fex.Cm~.App., 12 est relained by l:oster in the ~orlh 31 ~; Cf. Shcll Petrolcnm Corp. v. Ward, a~:res. St:~ndink then ~s one of ~ ~eries of Cir., !~ 3;.2d 778. illslr~lllCIIIs so designed, no rensm~ahle con- S,n Oil Cmnpn,y v. Smith, Tex. Civ. APp., ch~sion co.ld he ~rrived ~1 ~s Io lhe inlenl 113 S.W.Zd 68.!, ciled by nppell~nls w~s ;~ml effect of Ihe jnstrnme,ls ~s ~ whole, tided o, f;~cls hnving no remole lllnn Ihnt T;osler, by sellink the Z0 ~s lhe blance Io Ihose ~! bar; ~ml Zeppa v. Norlh 20 ~nd Ihe 6Z ~s Ihe Sonlh 6~. di- ton Oil Co. of Tex~s, Tex.Civ. App., 113 S. vided in Inrn inlo a Norlh ~ml South b~lf. W.2d 612, on which ~ppell~nl~ so ~lronkly inlemlcd to divide his holdings i,lo three lr~,cls, hy using Norlh ~ml S~mlh ~ lhe rely, does nol, we think, at nil Present the basis of the division, ~nd ~s divided, to sell point on which Ihis cn~e lnrn~. 3'h~re ~11 lhal he owned in them. snbjecl to ~n oii i.slr~lment not only showed an inle,lion I~ny,le. nl. '~he ex,ct am,m~l of ~creaRe in hnl did ~clunlly, reserve a slrip belween Ibc Ihe Irncl seems ~lw~ys Io h~ve been ~ litlle l~st I~ and Ihe We~l 50 ~cres. The uncerl~in. Referred to thronkho,t the lion lhere w~ nol whelher ~ slrip wonld be lense ~s a 10,I ~cre Ir~ct and, by c~lc,l~ljon found lo exist, b.t whelher the sidled ~n~n- i, ~ccordnnce wilh Ihe mele~ ~nd ~,nd~ lil~ of 18 acre~ wonld iimil lhe strip lo Ih~t ,sed in the le~se, shown Io co.l~in !~.95 amonnl in Ihe f~ce of m 6,din~ that ~cres, stRted in the lease lo have been fonnd was more limn 18 ceres between l~e hy a recent snrvey to he 107 acres more or I~ and West 50. The prinelple on'which~ that case went off ia wilho.t spplic~lion' less, ~nd now claimed by defe.dnnts to be here. There Ihe q.estlon w~s merely as t~': 109 ~cres, these different estimates of ~cre- whether the q.antity stated Io Ge in the nKe are important only for Ihs liKht they slrip shonld control elements'in 'the de- throw tlpml the intention of Ihs Rr~nfor to p:~r~ with all or only a p~rt of his holdinRs, seription which seemed more si~nifie~n~:~: The a.th.rilies not only in Tex~s hot else- especially in view of ~e fact ~ fonnd where slronRly declare thnt where there the emlrt tha~ the parties to Ibc inslrnmehfs~ hns heen a division of land into separate had Kiven them n contrary c~.strncliofl." p;lrcels, by partition or hy deeds, or where ]lets, wh~t is contended for and what will' there has I~en a conveyance of land adjoin- .ot be permitled is the insertion of a i,~, or abuttlnK on, a riRlit of way or ense- between two tracts, contrar~ to the maht* ment, every presumption will be indulK~ lest Intention of the p~rties, ns shown ~t~ aRainst the intentio, to lc.ye ~res or strips by the instrnmente themselves and by l~etween tracts so partitioned and conveyed, uniform construction ~iven to them hy the ~t Js the Iow t~ Ih~t in the absence of dear parties, th.t tile trsclg conveyed did; ~nd eonvhlein~ evidence to Ihs contrary, ~honld, nd join. inslrumenls e~eetinK snch division of a The judKment wac riRht. Ti tn B ,~2~. Tex. 441 SOUTH WESTERN REPORTER, 2d SERIES c,mstances when selli,g to an impostor, credit card as lite only proof of identity. The holder's liability has its limitatio,s The j,dgment nmst therefore l~e reversed. whether it he said that the iss,er cannot We are mlahle t<} render j,dgme,t here avoid liability for his ow, negligence, or favor of Sears hy holding, as Sears that the promise of the holder shotlld be Ibat there was ,o evide,ce of its lack of conslr,ed as heing condilional upon the care. Many p,rcbnses were made i, the merchant's ftdfillme,t o[ his obligalio,, same slores, n,d one New Y~rk area st,re See Comment: The Tripartite Credit Card inquired of the L.bhock st~re as to 'rransacti~>,: The Legal Infant. 48 Calif. credit standing in cmmection wilh L.R. 459, 483 (19()0). in G,If Refini,K large pnrchase wilho,t any q,estion heink Co. v Williams ]{oofing Co., ~8 Ark. ~Z~ raised aho,t the irreg,larily. 'l'l~e case 186 S.W.Zd 7~, 158 A.L.R. 754 (1945), the mast he remanded to the Conrt of Civil Ap- holder of the card had prinled "C;OOD peals for reco,sideration of the poi,ts of FOR TRUC~ ONI,Y" on the face of the factnal ins, fficiency I~ s,pport the credit card. It was held that the seller was finding, wbicb is a matter solely within req,ired Io ,bserve Ibe limitation. In an that co,rt's j,ris~licti.,. of re, cited Orcko, case. the address on the The jndgment is reversed a~rl the ca,se credit card of the holder was slmwn to he is remanded to the Co, rt of Civil Appeals in Oregon. while ldnho license plates were [or {,rther proceedi,gs co,sisient with II,is on the car nsed by the impostor when the purchases were ~:~adc. This was held to opinio,. raise a fact q,estio, as to the seller's care. U,ion Oil Co. of California v. Lnll. 220 Ore..112. 349 P.2d 2.13 (1960). [8.9] The cases differ as to the natl~re of the les,er-seller's dnty of care. a,d as to the h, rden of prooL We hold that the seller ,ced ,or dema,d m~re idc,tif~ation Jerome ANGELO el u~., Peltllo~ers, than the credit card ns n matter of normal v. procedure. This is the fnnction of l~e ~. E. BIS~AMP~ credit card, and it sholdd be cm~sidered sat- No. B-1203. isIactory cvide,ce of ide,tity oi the bolder or a,thorized user. mdess the appearances ~,i~rmn~ On, ri. of 'rexns. or circmnsta,ces wa, Id raise a q,estion i~ May 14. the mi,d ~f a reaso,able seller. I'roof that the seller did fail to ,se ordi,nry care in Reh~arin~ Dpnlod .Imm 11. 1~1. this respect is a defense to the lial~ility o[ the hohler of the card. and the Imrden of Action in Irespass in try tille was proof sbo, ld be pl~ced ,pon him. bro,ght to determine ownership o[ aha,- d~med railroad right-of-way. The District [10. 11] The Co, rt of Civil Appeals has Co,ri, Jefferson Comity. Jack Rronhshire. r,led that the j,ry iindi,g in favor of J.. e,tcred jndgme,t for the Sears. as to its care in ascerlaining the nod the i~lni,tiifs appealed. The lien,- identity ~,d authority of the persons ,sin~ n,,at Court of Civil Appeals of the Ni,lh the credit card, was not s~pported hy suf- S,preme J,dici~l District. Stephe,snn, J., ficient evidence. [Iowever. that coati has 431 S.W.2d 947. aifirmed a,d error was i,c~rrectly idaccd the Imrde, of i~roof npon I~rn,ghi. The S,preme Cm~rl. 1 Sears a,d has further enlarged the b, rden J.. behl that w]lere railroad had o, Sears hy holding that it could not dis- right-of-way dnri,~ time owners of real charge its d,ty o[ care by accepti,g the estate s,hdivision were vesled wilb litle ANGELO v. BIS(JAMP Tex. ~l(Ij;icclit laild, the ~,orthern portion of right-of-way a(ljoi~i~g lot conveyed where riRhl-of-way ripc~e~l i,~lo fee si,nple lille disp~ted ~rea was commercially v~d,~alde vested i,~ s~d~divisio~ ,~w~ers so that pre- property ~1 the h~l omvc).cd w~s smaller sm~q~lio~ of ~,~ i~te,~t to convey al~lti~ nnd presomahly less valnalde than the casement was .et applicalde in s~d~livisio~ joini.g. ~l~a,~doncd r~ilroad right-of-way. o~wler's s~l~se(itte~lt co,~veyance et certain lots adj.i~dng s~ch ~d~a~do.cd right-of- ~. Appeal and Error way. ~ince S~preme Conrt dctermi~ed Ihat J.dgmc,~ls of trial co~rt a,~d Co~rt of Co~rt of Civil Appeals ha~l hased ils j~dg- Civil Appeals reversed a~d j~lgment rea- me~t on ~msom~d con,ch,sion, it became dcrcd i~ accorda~ce with opinion, necessary and approprinle to consider as- sig~m~e~ts of error pcrtai~dn~ to st~t~te limitalio~s iss.e which was considered! to l~e I. Deeds ~111 immaterial a~d had .et hecn passed ~pon ])ced lo la~l ab~tting o~ railroad by i~tcrmediale cot~rt. righl-of-~,ay co~ve),s title to cc,~ler righl-of-~vay Itnlcss co~trary i~te~t is ex- 6. Adverse P0s~esslon ~41 pressed in instrmne~t, hcca~,se co~veya~ce tn view of determinalio,~ that deed is presm,~ed to reflect a~ i~lent lo carry grantee did ~ot carry title to dispelled Iract wilh it Ibc app~rlc~a~t e;~scmenls n~d inet- as an appt~rte~ant cascmo~t or as a "strip do~ts I~clo,~ging to property at time of con- and gore", gray,lee failed to show that he vey~ce, had received lille to Iract io reg~dnr chni~ of transfers ami had ,~ot cst~ddished lille 2. Easements ~24 m~der three years' star,tie et li~l~itations. X~here railroad had ahandoned right- Vernon's Ann. Civ. St. arts. 5507, 5508. of-way d~ri~g lime ow,~ers of real estate s~d~division wcre vested with lille Io adja- - : ce~t la~d. Ihe northern porlion of right- Carl R. C;riffith. l~eamnont, for pclilion- of-w~y ripe~cd i~to fcc simple title vested ers. i~ s~d~lirisio~ o~v~ers so Ihat pres~mplion of an integer to co~vcy shuttling easemc.t ]~avon L. Jo.es, ]~eamnont. for respo~d- was .et apldicadde i~ s~d~division ow,~er's eat. s~d~seq~e,~t co~veya,~ce of certain lots ad- joi~i~g s~ch alfa.do,,ed right-of-way. ][AMILTON. J~stice. 3. Deed~ ~117 This an actio~ i~ Irespn~s lo try title ~¥hco it is apparent Ihat relatively bro~ghl hy the petitio~ers lo determine the ~arrow strip of land which is small i,~ size ownership of a 50 foot hy 140 foot tract of a~l vah,c i. comp. riso~ to ndjoi~dng tr~ct land oat of the norther~ half of an ahan- co~veycd by gra~tor h~,s ceased to I~e of do~ed railroad right-of-way. bc~cfit or importa~cc to Kra~lor, ~nder The petitioners in this case were con- "strip a~d gore" doctrine it is prest~med vey~ Lots 18, 19, ~, 21, a.d 22 in ~lock tJ~t gra~tor i~te.~led to convey snch nar- 21 of the Jarrett Additio~ to the City of row strip along with la~'ger tract. Beat~mont on April 6, 1956. Each of these see p,ddicnti~n Words nmi Phrases five lots meast~re 25 feet by 140 feet. f~,. (~lher jt,(licinl ~o~mtrt~etlo~m lt~d Solllh of a~d adjacent to Lot i8 ~t Ihe defi~tilio~m, tim~ of thi~ co~v~y~llc~ w~s ~11 easeme,~t 4. Deeds ~117 for a right-of-way belonging to the mo~t, So~r Lake n~(I Western Railroad "St,-ip a~,d gore" doctri~c w.s not ap- Company in dispute in this case. It is ~ot plicaldc to co~vey =d~ando~ted railro=~tl dispelled that this eascme~t was limiled to 526 Tex. 'itl SOUTH WESTERN REPORTER, 2d SERIES a riliht-of-way ohtaioed hy the railroa~l iii [2] Il, lhe ease at bar, however, the c~mdemnation procecdi;~s on ];el,rliary 24, j,ry delermined lhn/ the railr~n~l al~an- 1912. doued the riRht-of-wny d,[rin~ Ihe time the petitioners were vesled with lille te~ Ihe (In K'larch S, 1059 lhe petitioners con- intent la,~d. Whc,~ Ihis nl~nmlonment veycd I.ms IR, 19, 20, 21, and 22 to the re- c,rred, the 50 fo,~t by 1,10 fool norlbern spomle~t; the deed described the five ~rlion of the ri[bt-of-way ripened into mmd~ered lois as I~ein[ i~ I[Iock 21 ~[ the fee simplc title vesle~l ht Ihe pelilhmcrs. Jarrelt Additio~ to the City of Beaumont. ~lale v. l%ller, supra, 407 ~,W.2d Al Ir~al, the jury iom,I in answer lo spe- 47 Tex.Jur.2d Railroads, Sec. 1{)2 (1%3). cinl i~sues II,at the riEht-oi-w~y had been With Ihe dis;~ppearnuce of Ihe easeme~t ahandoned before th~ co~veyance to the right ~nd the inveslih~re o[ fee title rcsp~mde~l, Imf d,rh~[ the time the peri- the pelilioners, a pre~m~qdlon of nn tioners had Ihle Io the five lots; Ihe j~ry lent lo convey Ihe ab~ltinE easement also i-.mi Ihal the respondent had hchl not ~pplic~lde. Therefore we find the exclu~i~,e, peacenhle, nnd adverse posses- Cm~rt of Civil Appeals in error h~ofar sion of the laml in controversy for over it here applies the doctrine nrticulaled three ),ears I~elwee~ March 5, 1959 and the ~io Br~,ocase. August 21, 1~3. After these jury [iml- inks, the trial court entered judgme~/ for The re~l~)~tde~l, wilh the Cm~rt the respondent. Appeals agreeing, conlends Ihal lite 50 foot hy 1.10 fora tract passed I~ him m~der Ihe The (:m~rl of Civil Appeals h~s ~ffi~med "slrip ~,d ff~re" doclri~e followed hy lhis the judgment of the trial court. 431 S.W. Court i~s Canlley v. (;ulf Pr~d,cli~m Co., 2d 017. In its opi.ion, Ihe Court of Civil 135 Tex. 339, !,13 S.W.2d 912, 915 (1~)-10), Appeals hehl Ihe March 5. 1959 deed to the to wit. that: resp.ndent to include Ihe conveyance of Ihe disp,led Irnct, relyi~sg upon opi.i~ms by "Where it appears that n ffrantnr has this Co,fl in Rio Bravo Oil Co. v. Weed, co~veyed all land owned by him adjoin- 121 Tex. 422, 50 S.W.2d 1080. 85 A.L.R. inff ~ nnrrow strip of land that has 391 (1932) ami (:amley v. Gulf Production ceased Io be oF nny benefit or impor- Co.. 13~ Tex. 339, 143 S.W.2d 912 (1940). lance to him, Ihe presmnption is Ihnl lhe This (:m~rt d~es o,t [iml these c~ses con- fir;rotor inlemled to incl,de such slrip trolli,g nmi co,cludes Ihat the jmlgments s.ch omveyn,ce; unless it clearly below ~re in error, pears in Ihe deed, by islai, nmi specific I;mg,nffe, Ihnt Ihe ffra,lor i,tended ~o [1] I, l~i. Ih'avo Oil Co. v. Weed, su- reserve the strip." pta, this C~mrl hehl Ihal a deed Io land In SIr;~yhorn v..lones, 1~7 Tex. nh,Ui,g on a railr,ad right-of-~vay con- S.W.Zd 623, 63g (1~)57), Ihls Co,rt recog- veys lille Io the ceoler of lite righl-of-w~y nized this doctrine as t~nless a contrary i,le~tion is expressed Ihe inslrmne~t. This is a well-eslablished "expressiou thai il is nffni,st p.hlic rule i. Texas, and is hased upon Ihe pre- cy to leave lille of n Im~ff n:~rrow strip stlmptio~ Ihat a conveyauce reflecls an in- or ffore of Innd in n Rra~lor c.nveyinff a tention t. carry wilh il the ~pp, rlen~nt l~rffer Irnct ndjoinin~ or s, rro.mlinff easemems ami incidems belonffinff to the Ihis strip." See also llaines v. properly at the time of the co,veya,ce. 154Tex. 272,276S.W.2d777(1955). l~io Ilrav, Oil (:o., s.pra. 50 S.W.2d 1(~5; 26 C.J.S. Deeds ~ 106 (1956); see also Slale [3] [I is our c-ncl,si.n Ih~l this doc- v. Fuller, ,107 S.W.gd 215 (Tex. Sup.19(~0; trine was conceived and i,tended I~ apply C,x v. (:ampbell, 135 Tex. 428, 143 S.W.2d to relatively n~rrow slrips of In,d, small 361 (1910). size nnd v;d,e in c~mparison Io Ihe adjoin- --a. NGELO v. BISOAMP ~ 52'/ inff Iracl convcyc(l lly Ibc granior. 2~ C. 3~9 ~.W.2d 650, 653 .J.~. I)ccds ~ 107(a)(1956); sec also McKce McKelvy v. Barber, 381 ~.W.~d 59 (Tex, v. Stewart, 139 Tcx. 260, 162 S.W.Jd 948, Sup. 1964). 950 ('l'cx.(;o,nm. App. 19.12, ol~inion adopt- cd); Miller v. Ermn, 314 S.W.2d 389, 395 At IriM l~e j~ry fonnd io answer 1o (Tex.Civ. App.---Fort Worth 1958, no writ special issue that the rcspo,dcnt had held hisl.); giro,n, v. l(udco Oil & (;ag Co., 132 exclusive, pe~ceal,le, ~ud ~dver~e po~se~- I.'.2d 211 (5lh Cir. 19-12); (~ilics Service sion for ~ period of Ihree ye~r~ or longer (~. v. I)unlnp, 117 F.2d 31 (5th Cir. 1941). bclween M~rd~ ~, 1959 ~od An~n~t 21, I~l these inglances, whe~ il i~ ~pparen~ Iq63. The respomlenl ur[ed in Ihe courlg that the ,,arrow strip ha~ ceased to be o[ below Ihal fie Ired perfecled tille IhronEh bcucfit ,}r importance to thc grantor of thc Ihe Ihree years' adverse pogSegg~Ott larger tract, it c~m he presumed Ihat thc Art. 5507, Vernon's Ann. Civ.gtat., by hohl- graf;for intended to convey such n strip, ins possession nnder his deed describing Ibc five lots hy nomher. Art. 5507 provides [4] But in this case, if title to the dis- that title to reMty can he perfected Imted tract is to pass re}der the "strip and three years' peaceable and adverse posses- gore" d~ctrinc, it nmst do so by virtue o[ sion nndcr title; title is defined in Art. thc convcya;~¢¢ o[ the adjoining l.ot 18. 5508, Vcrnon's Ann. Civ. Stat. ns a "rcgnlar I.ot 18 is smaller aod prcsomabl~ less valu- chain of transfers from or under thc soy- able than thc tract here in dispute. The creignly of the soil." evidence shows that the disputed area, as well as thc platted lots, is commerciMly [6] In this case, the rcspondent's vahtMdc property within Ibc City of Bealt- March 5, 1959 deed does not purport to dc- mont. To apply the "strip and gore" doc- scribe or convey thc disputed realty. trine to prcsnme the intent to convey this view o[ oar holding nhove that this deed disputed tract wonhl be to presnme that hy did not carry tltle to the dispnted tract as the conveyance o[ a smaller city lot, the an appurtenant ea~ment or as a "strip and grantor intended to convey a larger sod gore," it necessarily follows that the re- perhaps more vahml}le adjoining tract. In spondent has failed to show that he re- this Conrt's opinion this is not in keeping ceived title to the tract io~ rcgnlnr chain with thc intent or policy of the strip and of transfers. For this reason we cooclude Rotc doctrine. Accordi.gly, we hold the ns a matter of law tl~nt the respondent has doclrinc to he ioapplicahle in this instance, not cstahlished title tmtlcr the three years' statute of limitations. [5} Thc Court o[ Civil Appeals has als,) hchl the petitioners' assignme,ts o[ er- ht accordance with the conch,stoas of rot i,crtaining to thc statute of limitations law reached alive, lhe judgments o[ Ibc issue ansxvcrcd by thc jury to be immatcri- trial conrt and the Lk)nrt of Civil Appeals al and has therefore not ruled t;potl them. are reversed. Judgment is rendered that As this Court has determioed that the lhe petitioners recover of and front the re- Court of Civil Appeals hased its judgment spoudent title to ~nd p~session of the dis- below tll)Oll an Inlsollnd c~mclusion, it be- paled 50 foot I)y 140 foot tract south comes necessary and appropriate to consid- and adjacent to Lot 18 in Block 21 of lhe er this queslion of law not ruled npon in Jarrett Addilion Io thc Cily of Beanmont, Ihe i~slermcdiate cotut. Porter v. Wilson, Jcffcrsou Connty, Texas. Tex.Cas~s 4~1-442 S.W.Id~ll C ~.0~ 'rex. ~ 146 SOUTH WESTIIIIrIN IIEPOI1TEIrt. 2d had l~cfore it these statntcs nmi ~nlcs ofhcrwlse, the q,csti~n then fhcrcm flor. March 3. 1936, Ihis opinion whether s,ch taxes or fec~ might there- old,ion slg,cd hy Ibc AUorney Gcncrnl paying them. It ;s ~t least pla,tilde that after "havi,K I~ccn considered i, con- covcry wo,ld l~c de,icd nnder the provisi,m~ {crc,cc.' l, s,l~slancc, lids ol, iuion held o[ Art. 4.3~q, si,ce thc payment~ were not that the powers conferred in II~c nl,~ve (by those mn~in~ their) deposited in q,otcd provision o[ II~e net, while very trees,fy s,spe,se ~cco,nt re,let proicst hmad a,d ge,cml in charncicr, did ,o[ provided i, Ih~t article. See ll~iney v. inch,lc that of a~scssin~ ~ l~x or fee ~s n Malone. Tex. Civ. App.. 141 S.W.2d 713. coudilion precedent to iss,ln~ n license to The case ~t her, however, prego,ts no those parlicipnti,g in raci,g, and Ihat thc ~nnlo~o,s sit,atica. The fcc~ were col- slate had ,o interest whatcvcr in linc rural, leered solely n~ vohmf~ry ~Vc havc ,o doubt of thc correct,ess of Ihi~ to a f,,d in which the contrilmtors had ~, view. Co,ccdlng, ar~uc,do, thc power o[ inier~st ami in which the state or pnhUc h~d Iht icgislalurc to delegate to Ihc C0mmis- none. Thc district c0,rl hod the ~cner~l s~o, h-~:~l n,lhorily lo prcscrihc llcc,sc power to nppoint ~ ~eceivcr to dlttdhnie fees. ii is pcrfcclly clear II,hi n- such n,- Ihs m~cxpcmlcd halenco o{ Ihs fuml Ihority wa~ allcmptcd lo hc dclcgalcd. The Iho~e whom ii mi~hI jmlicially delcrmine nulhority Of the Cm,mis~iou Io make r, lcs to he ils riKh~fnl owncr~; ami appcllnni~ nmi rr~,latim~s was expressly llmiicd to l~nvi,~ s, rrcmlcred possession of the f,nd rcason~ldc rcstric[ioos and c mht~ ns to the receiver in obedience 1~ the decree. with reference to hOhli~ races .oder the Ihelr rcspectiv~ d,tics ami rcsponsihilltles act nmi Ihs coral,ct of pnrlicipn,is in s,cli in re~ard In it, of whnlcver character they races. There is no i,timniio, of nny dele- might hove been ,p to that time, ceased ~nliou of n,thorltg to collcct nny liccn~c or altogether nnd I1~cir interest in the s,bject olhcr fees from nnyone except Ihnsc ~pccif- molter of Ihs s,it was nt a, end. Philllp~ ic~lly prcscrihcd in Ihs net ii,elf n,d re- v. Paine. Iil Tcx. I12, 229 S.W. 849. q,ircd to he paid into the State Trens,ry The motion is granted and the appeal dis- for thc primary pnrpose of dcfrayi,~ the missed. expo,scs of ndmlnlstrntion of Iht net. Snh- division (4) of Role 152 clearly shows lhat ~ thc p, rpose of the Commission in prcscril)- i'g these fccs was one wholly ontsidc Ihs p, rvicw of the nct.~nnmcly, to raise an i,s,rn~ce or hene6t fnml in Ihs interest o[ j. ockcys, trainers, nmi others pnyinE Ihs fees. It is tr,e the rule provided Ihnt 'JosLIN et ale. ~TATE ,t ~1. thc Commission might devote Ibc fnnd to such olhcr p,rposcs ns it miEhI choose, nnd No. 8618. .. was not rcq,ircd to accom~l 1o n,yo,e in re- ~tt o[ Civil Appe~le el Texa~ .AhaUn; g~rd to its disposition. This. however, did ~ot chnn~e the character o{ the fnnd so Io,~ Nov. 18. ns it was ,ct diverted to olhcr p,rposcs; Rehenrin~s l~nlea D~. ~1. lg40. and when Ihs act was rcpcnlcd nmi Ihs' Commission ~holishcd, thc m~cxpcmlcd hal- I. ~a~dRrleS ~13, 20(I) nnce in the f,nd relaincd its original char- l'rivnl:e grnnt~ of lnmln ~r~lorln~ ncicr de~ ~e*l iii Sol). (4). as money received at.resin, highways, nml no,nnvl~nhle nt. renmn from vohmtary contributions lo a fm,I convey tll.le to the ~,ter of the str~l.s, hiEh- created primarily, nt least, for thc t)c,c~t wnyn. nmi nirenms even t. ho,~h tim corners of the contribniors; it was expressly to I)e ore mnl-k~d, the lines ore de~nltely local, e4, so "held and rcgardcd." Umlcr ~o tenso,- nml the q,nntll~ of Innil Is exnelly nm:ertnl~- nhlc II,cory c~n the slnle he co,sidereal od. m)le~s the deed co,thins n cio,se which ns hnvi,g nny interest in the nncxpcmlcd expressly ~leclnres n cn,trnry Int~,Uon or balance of this fm,l. co,tnlon some d,~,lnrnUon equivalent ~ such [2.3] If the Cnmmissinn. ncli,g u,dcr a prcsmncd n,thorily, had altcmptcd to ~?~eead~le~ levy nl~ excise tax or privilege fcc for ~nme Prlvnfe Rrflntfl of In,an I~nr~Iprlng p,ldic p,rl)o~c con,cereal wilh thc ncl or rnllrond rl~ht~ of ~vny convpr Iii. lc ts ' JOSI,IN v. STA'I'E 'Pex. 209 center of the rights of why even though lite Acl[oii by tile State of Texas and others riehl nuteu descrlbhlg Lite hind stol) aL tile agaillSt A. F. Joslh, a,~ others, involvh,g 01de line uldes8 a contrary letenLiotl Is ex- the ownership of the title to a portion pressed !il l)lahl nlld une(ltllv(mal Lei'ms. tile T. & l). RaiJwa~ Colllpally'S right of 3. Boundaries ~14, 200), 22 way in Et)or County. l~rom Ihe judgment, defendants appeal. {he~ e~tl b~ h)t'll(ed Oil {}t~ gl'OIIlll], flad the Reversed slid jtldKmell[ directed. httentloit or the Imrl. ies where thaL can be l{ornsby & Hornsby, o{ Auslin, and Fred delinltely lt~certalned, 3irfi iml~ortnnt in tie- II. Wo~lard and Kleberg, I']ckhardt & terrain s,~ the extent of a gramt or laml bet- I.owe, all of Corptls Christi, for appellallt del-ht~ o~ n street, hlghwtly, nommvlgnble ~. F. Joslin. qtre:~m, or ralh'ond right or why. Will. K. Ilall, of Fort Worth, Whitaker, 4. B0o~darlet ~14, 20(I), 22 Perkins & Tm'pin, of Midlaml, Samuels, .. 'l'hotJgh the intelHion of the parties to a Foster, lJrowll & McGee, of fort Worth, C,'nnt where n~t~rt~dmlble genernll~ con- and John W. Stayton and }{lack & Graves, trois, nbaent all exjn'esa re~ervntloJI, the all of ~ustit], for appellauts Skclley Oil grent la ~:oneluslvely I,'em*med lo go to Iho (;o., California Co., Empire Gas & Fuel center of n Immmvlgnl,lo stremn, hlghwsty, or Co., Tide Water Oil Co., Texas Co., Phil- ralh'lmtl right of way ami ~*ther evhlem:e lips I'ulrolcmn Co., W. l~. C, nmell's cslal~ emit:er]ling the i~arlles' l~lte~th)n becomes Jolm Scharbauer, and Millard l~idson. tmimlmrlant. Wm. McCraw, l,'ormer Ally. GelL, and IL ~. B0~ndarlet ~20(3), 22 Grady Chan(llcr, Asst. Atty. Gen., fur appcl- A $rant by the ~late of laml~ bordering lee Slate of T~xas. on a slreet or highway eo*~tah,ln~ Im ex- Gerald C. Mann, Alty. (;en.~ Janles press re~ervathm sh-uhl le co~*strued the A~st. Ally. Gen., and Robert E. Kepke, ~ame as gv. tfl~ between lmlh'hhmls, ~nd Assl. Ally. Gen., Win. l(a~ Miller and the qame lu [rile Of It gramt by the state llenry II. llrooks, both of Austi]t, for ap- of lamla borderh~g on a rltih'ond right of way. pellets Elden Il. Busb~ and Grisham-llunter 6. Court~ ~0(I) Coq*oration. A Judgment, In a treSlmss to try title milt by the stnte ngninat rnih'ond determln- BAUGII, Jnstice. It,g thnt r:dh'oml maluh'ed only ~tll ensemelit The controlling question involved in this over certain hind and dhl not nequh'e n tee case is the ownership of the title to a $hnlde title thereto, wes i~ot "slate deelsla" lion of the T. & P. Ry. Co.'s right of way aa ~*gahlst owl,ers of ndJohH,g hinds hi ~ult in Ector county. When this ease was levolvhtg question whelher pate.t~ by the milled in this cotlrt, there was pending st~te eoi, veyed title to ennler or right of the Supreme Court, on writ granted from wily or Ilierely to It~ aide lines, where own- the Amarillo Court of Civil Al)peals (80 ers were m,t Imrtles to earlier suit 8~d eon- S.W.2d l~0), the ease o{ Cox v. Camp- bell, involving ownership of a portion ~tructlon of lheh' Imtents wns In no way thc right o{ way of the same Railway Com- brought In question. See ~Vol'ds nlld l'hr,s,s, l'erm,ne,t party hi Gregg Comtty; thc question ~dition, for ,all other delinitio,s o{ volwd being whelher thc owners of "St,r~ I)~eisis". adjoining the Railway Company's right way acquired title to the cemer of the right 7. g0urts ~0(I) of way, or whether the side lines of the The docl.rhte of "stare {leelsl8" elq~llo9 right of way marked the bomtdary of their only to questhnta or htw, It htvolves ms respc, clive laml5. Oil Ihe assuml,lion that element of "eal~qq,el", nmi It Ol,eVnles ets ldl Ibc decision in the Cox v. Campl}cll case, per~,a nmi ~mt merely on the Imrtles to Tcx. Sup., 143 S.W.2d 361, would control the particular i)roceedhJg alJ(I their privies, the disposition of this case, we have with- Buu Wurd~ ~md /'llrnuea, l'erma~ut~t held decision hereJll tllitJl (hat case was de- ,dillon, fur all other deli,itioou of lei'lit[lied by Ihe Stlpl'ellle Court. "l~stOpl*el'*. The lamls inw, lvcd in the b,slant case are -- ~ Ihe ~ame as those iltvolvcd in 'J'cxas & 1*. Ry. Co. v. St;de, 'l'ex. Civ. App., 52 S.W.2d Appeal from District Court, Travis Cotm- 957, al}h'mcd by the SUln'cmc Court in 12.t ty; Il. A. ])ulan, Judge. Tex. ,182, ~8 S.W.Zd 580. Other tha,i 210 ~l'ex. ~'~ 'I.IB ~OUTll Wlr,,~'I'IOlIN lt~l'OllTlr, ll, 2,1 ~IE~ conlrr~w, rsy ,vcr who has a I,rb~r right to way; nor i~ it cnnlrnvcrlcrl Ihnt Ihe an oil lense on sold lands, which depends quantlt? of land slated in lhe purchnse~ o~l whelher Ihe State has title fl~ereto, the from the State was contained within the ~. pnrnm,tml q~estin~* presenlcd is wheqher field notes of such ~urveys. Nor have the Ihe sale 1)y the Slale of ils lands, umler field owners of Ilse abullhtff I~tsd~ p3id lbo notes of surveys calling to go only to mark- ~nything f~r the I~nrls inchtdcd within Ihe ";'.. ed cot.ers m~ the edge of 1he right ~[ w~y, right ~f w~y which they now claim ~s n gave Ihe purchasers of ~dj~ininff Inmls ti- part of their ~djni~fiuff tracts. But most lie extendis~g to the center of the right of o[ the ~nme facts were pre~enled i~ lhe w~. Rio Bravo nnd Cox v. C~mphell cases, pm, to which the S~lpreme Court applied [1] ~t has long been sellled that pri- the rule neverlheless. vote grants of lands borderiuff upon streets, highways, a,~d non-n~viff~ble streams, even In Ihe Rio Bravo and Cox v. C~mpbell though the corners be marked, the lines del- cases the portions of lhe railroad riffhls o[ initely located, and quantity of land exact- w~y involved h~d been acquired hy the R~il- ly ascerinined, convey title to the ce,~lcr o~ way Compn~y from priwle owners, nnd theslreel, hiffhway~r~lrenms, ual s~zuch not Ihronffh ffrnnts from the Stale, ns w~ deed conlnins n clause which expressly de- true in II,e inslant case. In Ilmse elates Ihe conlrnry intenli~ or cnntnin~ Iht ~late h~d Iherel~fore pnrled wilh ils some olher declaratim~ cquiv~les~t Io such tille to nil of Ihe I~mls involved, the co~- express declaration." Texas Bilu!ilhic Co. ~roversles were between prlvnte p~rlle~, v; Wnr~vic~, Tex. Com. App., 293 S.W. Iff0, ~nd a co~structio~ o{ lhe oriffln~l 164; Milchell v. B~s~, 26 Tex. 372; l-)s~t- {r~m thc Sl:~le wa~ n~t involved. It i~ the ton v. Vierling, Tex. Civ. App., 152 S.W. contenlion of Ibc ~ppellees Ih,t Ihe llber~l 450, 453. This, umler the rule of construe- rules of cou~tructi~,n in favor of Ihe grin- lions nf snch ffranls, is now well settled by tee ~s belween private parties do nol ~pply decision in this State. to imhlic ffrn~l~ made hy ~he State; but : that in snch czscs a slrlct rsde of conslruc- e And it is now settled by decisions lion in favor o{ the Slate and offal,st the of S ~prcme Conrt Ihat Ibis rule of con- granlee must I~e applied: cil i,~ff pnrtlc~- slrucli~m apl,lies xvill~ equal force to gray,ts larly, among other cases, Sclmlre v. bordering upon railroad rights of w~y. l(io ney, 'Fex.Civ. App., 204 S.W..~42; City of Br,vo Oil Co. v. Weed, 121 'Fex. 427, .~0 S. A~stin v. llall, 9;~ 'l'ex. 591, 57 S.W, 563; W.2d 10g0, R5 A.L.R. 391: Cox v. Camp- Magnolia l'et. C~. v. W~l~er, 125 Tex. 4.]0, bell, Tex.Sup., 14.~ S.W~d .~61. ~s. is 8.] S.W.2d 929.' true notwithstnmli~ff Ihe former ~sec~sson b ~ i of ~l~e Supreme Court in Couch v. l exn~ & [~] Two cnrdi,~nl rule~ o[ constri~- P. i~y. Co., ~ Tex. 464, ~67, 90 ~.W. ~C~, ilo, of the extent of, ~r,,t ,re, (1) which case was specifically c~n~idered i~ th~ f~t~teps o[ the ~utveyor, where the}, Brnvo nnd Cox v. Carol,hell cases, czn be located on the ground; and (2) the I~'~ij': 1he Rio A~d ns nl,l,lied to co~veyn~ccs bordering intention of the p~ttie~, where tlmt c~ ~ I.~'~ npo~ railro:,l rights of way, the Supreme he definitely ~certaine~. 'And appellees ! Conrt in Cox v. Cn,npl)ell [14.1 S.W.2d 3fi6], nrffe that upon re~rveys of Ihe lands nd- referrinff to such rule of cnnstruclirm, say:. joinlnff Ihe rlghl of way, Ihe [ool~teps o{ "nmi such rule is ~ot overcome even lhouffh the surveyor up~m which lhe patents were the field ~oles descril)is~g the Inml st~)p at. i~sued were defi**ilely e~lnl)lished ns fin- the side line of the slreet, lmhlic highway, lng only to the ~ide li,~es ~f Ihe tight of or rnilrond right o~ way, unless n c~,~lrary way; nmi that the facts and circums~anc- intcnlioss is expressed in plain nnd uneq~iv- es, nnd tl~e findi,sffs of lhe trial court, show ocnl terms." that it was Ihe intention holh of Ihe State No such express reservation of lille in nnd of the grnnlecs, that msly the Innd~ Io the Stale lo the rnilrond right of way here the edge ~,f the right of way be iucluded. involved, was made in the ffrnnts to Ihe llut it was hehl hy ]ndge Key in l)ullo~ v. '.' individu:tl l, srchnsers of the adjoining In,~dS Vierlinff, suprn, notwithslnnding lhe foot- from Ihe St~te. It is not c~)nlrovcrlcd, steps of Ihe surveyor, which were Ihcre :~ .. however, that the foolsteps of the survey- found; nnd Iht exact acreage inchi~led or, the calls for coarse and dislnnce, hud within Ihe field notes, in the nhsence of n the idenlificatlon of mar~ed corners on the clear reserv,lion in Ihe grant ~howlnff ~ gro,nd o{ the lands here involved, extend- contrary i~tention,'the convey,nee went lo ed only to the side lines of the right o[' the center of n non-~avigablc slrenm. The same rule has been applied to streets and 517, 523, 61 N.lg. 891, 85 Am. St.llel). 694. highways in Texas Bitulitlsic Co. v. War- In subseqncnt cases decided by that sa*ne wick, supra. While the intention of the conrt, however, Graham v. Stern, supra. parties 1o a grant, where ascertainable, gen- was distinguished on ils own facts, and orally controls, Ihe following significant general rnle that a grant by the Slate language is used in the Rio Bravo case [121 governed by the same rnlcs apl)licable to Tex. 427, 50 S.W.2d 1087, 85 A.L.R. 391]: private grants, was announced and fol- "The prime object aud pur~se of such. lowed. See 2 A.L.R., p. 35, as,d cases there rnles for construction] ia to enable them.to annotated. ascertain and ~ivc effect to the true inten, 2. In Schulze v. Dabney, snpra, Judge lion of the parties a,st,~ ~acls i*u,.tie,s ~ Jenkins clearly recog, izes tlu, t his bohl- iace*sti~t~**t ~tls wa**se tettt,~l ~ o/1~.~' ing is contrary to that of the Supreme (Italics ours.) And thc settled rule of laW Courl in Mitchell v. Bass, supra, bnt held therein aunonnced and followed in Cox v. the Bass case inalq)licablc becanse decided Camp~li, supra, is that, abseut an cxprcqs under thc civil law. llowever that may reservatiou, the graut is coa,clusively pre* bare been, thc Snprcme Court ilself, on the sumcd to Eo to the center of the non-navi- issne here involved, has cited wilh approval gable s~team, highway or railroad right of and folh)wed the Bass case in Texas llitu- way. There being 0o such reservation in lithic Co. v. Warwick, Tcx. Con~.fipl).' ~9.1 thc grant, uuder such rule of constructio0, S.W. 160, 162; Cox v. Camld,cll, Tcx. Sup., uther evidcucc as to what was the inten- 143 S.W.2d 361. The necessary result of tion of the parties becomes uni*u~rtasu, these decisions by the Supreme Court is to Now as to the apldicatio,~ of this I'nle of overrule, if san~e were necessary, the views constrnction to public grants. The case of expressed by Judge Jenki,s in Schntze v. City of Austi,~ v. llall, snpra, involved a Dabncy. And since the Supreme Cotlrt in grant bordcri,g upon a ,s,t~iy~,bt~ streant, the Rio Bravo and Cox v. Caml,belI cases It is now settled by the decisions herein- n~ade expressly al)plicable lo gra,,ts adjoin- above cited, and olhcrs, that sncb rule ing raih'oad rights of way thc rule al)pli- docs not aPl*ly to laltt]s I)nrdering hi*On nay- cubic to non-navigable streams, streets and igable streams itlld tide waters, ll-wcvcr, highways, in which latlcr cases public highways, railroad rights of way and non- grants are COliStrtlCd i~ thc same manner as **avigable strca,ns constitute a distinct clas- private grants, it follows that such con- silicalion from navigable streams, and such struction applies with equal force in the i',tlc of conslrtlclioll us Io lands bordering grants here involved. on thc former d~es apply to the littler. [6] The remaining question presented [5] The general rule is that a grant by is whether the former suit I)y the State the State of lands bordering npon a street or hi~way, which contaius no express res- against Ibc Texas & P. Ry. Co., inw)lving crvatlon, is to be constrt~ed in the same the same land as here, in which the Slate recovered its jndgment, but to which shit maimer as grants betweeu individua5. Mitchell v. Bass, 26 Tex. 372; l;ristoe v. lhe adjacent owners were not parlies, is Bhnn, 92 Tcx. 76, 80, 45 S.W. 9~8; Wil- stare dccisis as against them in the instant loughby v. Long. 96 Tcx. 19-1, 71 S.W. 545; suit. In that suit (see Tcx. Civ. App., 52 Aa,Icl'son v. l~ohiso,s. 111 Tcx. 402, 229 S.W.2d 957 and 124 Tex. ,182, 78 S.W.2d 580) thc State shed the T. & P. l~y. Co. in S.W. 459, 238 S.W. ~3; 8 Am.Jur., ~ 47, p. 780. Thc ollly 'l'cxlts cilse, al)plicld)le to trespass to try title to that portio** of the right of wi*y here involved. The T. & the precise qucstioll here illvoivcd~ is l~y. Co. by cross action pleaded specially its ~chutzc v. Dalmcy, supra, principally relied Ul*O~ by al)polices. On alii)cai to the Si,- asserled chain of title fron~ the Slalc. It I,rcl*~e (:ourt (sec 228 S.W. 176) Iht dcci- was also slipnlatcd in that case Ihat the sion of this court, writlcn by J*ldgc Jcn- Slate had, prior to thc filing of Ihat suit, patented to individnals all of the adjoining risc exact qs*csli(m here presented not dc- cilically called to run lo n,arked corners on citled by thc Supreme Coort. thc edge of Ihe right of way, and thence Two matters in corn,cotton with Judge wilb its side lines parallel wilh, and ~ Je,d~ins's decision in 'l'ex. Civ. App., 204 S. varas from, the center of the raih'oad track. W. 3,12, arc to be noticed: Thc trial court snstained in that ease the 1. lie predicated his opinion largely np- Stltle's eXCel,lions to the special pleas of ti- on the ease of Graha~n v. Stern, 168 N.Y. tlc made by Ibc T. & P. I~y. Co., and ten- d~red j,dfflncnt that Ih~ Stal~ recover ~ni(I It would eslabllsh ~ s~ranffe dnctrlue lo I:,ld ~lb.~ecl I~ Ihe ea~en~enl Ihereon h~ hnhl that ~n~der lhe pre,per cnl~slfllClioll o( law~r ,~f lhe r;~ilroad co~p:.~y. Ih~ field nntes in Iheir p~tenls, 3n~b by It is tr~e Ihat the j~dffmeut in Ihnl cn~e lue lhereo[, Ihe p~rcha~ers of did award Ihese land~ Io the Slnle; bat lnml~ hod ~cfl,dred from the Slnle lille non~ of Ihe n~vs~ers nf Ihe adjois~i~ff lands the center of the railroad right of w~y; but were parlie~ Io Ihat s~sit; nor was Ihe cnn- Ihat they nrc now deprived of ~ny riffhl to slrucli~n of their, pale~sls in nt,y manner assert that lille I~y ~ jndffment obtained by hronght i~ qneslion. ]~s reality, ns Ihe opin- the Stale against s,me~ne el~e in ~ suit ions of this co~rt and of the Supreme to which they were oot ~ party, and in Court readily disclose, tl~e only issue Ihere which Ihe issue of their title was not ~d-. presented n~l delermined w~s llsnt the T. judicnted. & P. l~y. Co., when it obt~im~d its right of Under the conclusions reached it hecome~ way across that section of Ihe Slate, nc- unnecessary for t~s to determine the quired only nn e~scment over this Inml; between A. F. ]osli~ ~nd Eldrn 11. aud did nnt nC~lnire n fee simple lille there- ~s Io which one of Ihrm hod ~ prior right Io. Whelher the State had snbse~lnenlly Io n mineral lense ~n said Innds. The Imrled wilh its tille to this Inml to olhers right of eilher In s~ch lense depended ~1~' was n~>t involved nor adjudicated in any o~ title in the .State Io lhe Innds involved. m~,ner. For the reasons slated, Ihe judgme~t of [2] Nor is the judgment in Ihnt case, the trial conrt i~ reversed ~nd judffme,t in o~r ~pi~finn, slate decisis nf the q~eslinn here rendered that the State o{ Texas, ~ of law pre~enled in the i~sln~t case. The plni~tiff hell,w, and Ihe defemlnnt~ Joslin doclrine of store decisis is now ~ seltled nmi llnshy, lease npplicnnls, lake nothing' ~ j~nrt of o~r .j~sri~pr~ldence. II applies "~- nffnln~t the nlher defendnnls named. ly I'~ ~l~esli~,~s of law; it involves no cie- Reversed'and rendered. meat ~f esloppel, ~ml it opernles on all per- s~ns, and m,t merely Ihe pnrlie~ Io the par- licular prnceedinff and Iheir privirs." Tex.Jnr., ~ .~68, p. 46, nnd cases thrre cited. ~ Snch, for example, ~s the construclion by Ihe c~rt of last resort, of a wrillen me~l, or of ~ judgment, or Ih~ ~djudicnlion of the boundaries of a particnlnr snrvey. The latter inslanco is one which n~st fre- queasily ~cc,rs. ~ee Porter v..Slate, Tex. Work, Tex. Civ. App., 94 S.W.2d 7~4, federal l{~yally Co. v. Slate, 128 'Fex..~g4, ~ur~ of Oivll Appe~l~ of '~exn~. 98 S.W.2d 99.~, 996; ~11 cited nnd relied Now 27, 1~40. ~pnn by appellees. ~ But Ihe question 0f law decided on appeal in lhe for~ner suit by ~eh~nrlng l}enled l)ee~ 11~ 1040. lbo Stole against Ihe Texas & P. ~y. Co. wn~ whelher the T. & P. ~y. C~. I. ~arrlor~ obtnhsed the lille to, or merely nn easement A l~tll.l~ nll~gln~ that d~f~ndnnt over, Ille innds i~cl~ded in its right of way. eont~net~d to trnn~r~ pinlntlff'~ That was the co~trollinff fl~eslinn prese~led g~o~l~ nnd I.hnt n~ffll~nt ~due~ o~ and decided on that appeal; nsanifestly ~n m~ nmi err~w-d~femlanl, wh~ trnek~ o~tirely different question of l~w from Ihat lltl~d Jolntl~ and ~ernll~ wn~ the dlr~l here prese~lted~lhat is, whetl~er pntenls by nnd proxin~nt.~ enuge o~ Io~ and , Ihe Slale to indivldu~l purchasers of ~dja- lion ol ~1~ wa~ no~ d~mnrr~bl~ a~ ehar~. cent lands, co~vey title to the center of Ihe ln~ ~egll~ene~ o~ I~Inlntl~'~ p~rt, though right of w~y or merely to ils side lines. Imllm~n~ wn~ ~li~el~d, li~ ~ipported Jud~- Clearly, we think, the decision of Ihe for~- m~n~ for pinlutl~ agnlu~ ero~.def~ndnnl. ef "q~estio/~ of l~w" couhl not and should wh~r~ Jur~ nequll.l.~d dofentl~n~ o~ ilot ~pply to, control, or determine lhe lat- and ~n~lelod ero~-defe~Inn~ of ter "~lUeSlio~ of law", a selmrnte ami dis- proxhnntel~ en~wln~ dnmn~e~, ~ml li~ot q,estion, delertninable to,der el~tirely wn~ r~mter~d o~ t.heor~ of ~ Joint nmi ~- different principles ~ud decisions. ~rni torl nnd no~ on th~or~ of bnllm~n~ D MEMORANDUM TO: KRA FROM: WDF DATE: June 26, 1991 RE: RIGHT-OF-WAYS excepted from a conveyance: What happens to the underlying fee? QUESTION PRESENTED Where a deed conveys land but excepts therefrom the conveyance of a Right-of-Way, does fee title under the Right-of-Way convey to the grantee? SHORT ANSWER Unless the excepted Right-of-Way is unequivocally reserved, the fee title under the Right-of-Way passes to the grantee. DISCUSSION "[I]t is fundamental that a warranty deed will pass all of the estate owned by the grantor at the time of the conveyance unless there are reservations or exceptions which reduce the estate conveyed. Also that the property excepted, or the estate reserved is never included in the grant." Cockrell v. Texas Gulf Sulphur co., 157 Tex. 10, 299 S.W.2d 672, 675 (1957). An instrument of conveyance which conveys land definitely described in such instrument, and then excepts from such conveyance a road, railroad Right- of-Way, canal Right-of-Way, etc., as such, occupying a mere easement on, over, or across the land conveyed, conveys the fee to the entire tract, and the exception only operates to render the conveyance or grant subject to the easement. Lewis v. East Texas Finance Co. Tex. 146 S.W.2d 977, 980 (Tex. 1941) . It is well known that separate ownership of long narrow strips of land, distinct from the land adjoining on each side, is a fruitful source of litigation and disputes. To avoid this source of contention, it is presumed that a grantor has no intention of reserving a fee in a narrow strip of land adjoining the land conveyed when it ceases to be of use to him, unless such fee is clearly reserved. Cant!e¥ v. Gulf Production Co., 135 Tex. 339, 143 S.W.2d 912, 915 (1940). A grantor may defeat the presumption by the use of adequate language in his deed. Haines v. McLean, 154 Tex. 272, 276 S.W.2d 777, 784 (1955). Language of "save and except" is not considered to be an express reservation of the fee under a Right-of-Way. Id. at 782. Moore v. Rotello, 719 S.W.2d 372, 376 (Tex. civ. App.--Houston [14th Dist.] 1986, writ ref'd, n.r.e.). In the Rotello case, the deed read as follows: "Thence N 78 degrees W, and up Big Creek, 151.0 varas to the place of beginning, containing 57.17 acres. Save and Except 2.35 acres for the I. & G.N.R.R. Right-of-Way, leaving 54.82 acres, as surveyed by. Evans Moody, Registered Public Surveyor...". Rotello at 376. The court held the fee title under the Right-of-Way passed to the grantee despite the save and except and net acreage provisions. Id. In Penn v. Holland, 105 S.W.2d 351, (Tex. civ. App.--Galveston 1937, writ ref'd.), the Court held that a deed conveyed the fee under an excepted Right-of-Way. The language in the deed set out a legal description of the tract "save and except three (3) acres of land out of said tract, the same having been conveyed by me to the Houston Galveston Electric Railway Company." Penn at 353. In Lewis v. East Texas Finance Co., supra, the Court adopted the holding of Shell Pet. Corp. v. Ward, 100 F.2d 778, (5th Cir. 19 ), cert. denied, 307 U.S. 632, 59 S. Ct. 834, 83 L.Ed.2d 1514 (19 ). The Shell case involved the conveyance of a tract of land that was bisected by a canal. The description of the land by metes and bounds included the 5.6 acres covered by the Right-of-Way deed. Following a description of 162 acres, the deed stated: "save and except therefrom 5.6 acres taken up by the rights of way of the Neches Canal Company lateral, making 156.4 acres herein and hereby conveyed." The Shell court held the conveyance passed the fee under the excepted Right-of-Way stating: ~ This principle is especially vigorous in operation, where, as here, a construction is contended for which would produce the unreasonable result of splitting into two pieces a tract of land, which existed as one tract, subject only to an easement, and which, in reason, must be considered to have been conveyed as such, and not to have been split into separate parts, with a thin wedge of land between. Stroud v. Hunt Oil, 147 S.W.2d 564, 566 (Tex. Civ. App.--Eastland 1941, no writ) (quoting Shell Pet. Corp. v. Ward, supra). It should be noted that in the Shell case, the court held that describing the canal right-of-way as "5.6 acres taken up by the right-of-way" was so ambiguous as to require construction. The case holding could possibly have been different had the excepted acreage been described in unambiguous terms. CONCLUSION There is a well settled presumption in Texas, that the fee under a excepted or reserved road, canal, or railroad right-of-way etc. conveys with the fee of the surrounding tract when it is conveyed. However, this presumption may be overcome by clear unequivocal language in the deed. Deeds "saving and excepting" or setting forth a net conveyance of acreage have been held to nevertheless convey the fee under the excepted acreage. MEMO.ROW MEMORANDUM OF [.AW TO: Steve Soule From: Karl R. Albert Date: 6/27/91 Re: Right-of-way reservations/conveyance FACTS A --_____ B CONVEYED C E Right-of-Way F RETAINED G ti QgESTION_PRESENTE~D 1.) Where tract ABCD is conveyed out of a large tract ABG}{ and is described by metes and bounds as not including any part of tile ri§hr of way CDEF, w.tll any portior~ of the lee under the right of way nevertheless be conveyed with ABCD? ~IIORT ANSWER 1.) Yes, in the above example, fee to the center line of the right of way is conveyed. [W]here a deed conveys by specific field notes land abutting on a street or public highway or railroad right of way, it conveys title to the property to the center of the street, public highway, or railroad right of way: and such rule is not overcome even though the field notes describing the land stop at the side line of the street, public highway or railroad right of way, unless a contrary intention is expressed in plain and unequivocal terms. Cox v. Campbell, 135 Tex. 428, 143 S.W.2d 361 (1940). "...[E]ven where the grantor owns at the time the land on both sides of the easement, his conveyance of a tract adjoining one side carries fee title 'to the center line." Haines v. McLe~B' 154 Tex. 272 ..... 276 S.W.2d 777, 782 (1955). "...[A]bsent an express reservation, the grant is conclusively presumed to go to the center of the non- navicable stream, highway, or railroad right of way." ~oslin v. Statg, 146 S.W.2d 208, 211 (Tex. Civ. App.--Austin 1940, writ ref'd). CONCLUSION Unless a clear, unequivocal contrary intention is expressed in the deed, a conveyance of tract ABCD would carry with it the fee to the center line of the right of way CDEF. E HABY v. HOWARD Tex. 39 Cne ~* ?$7 S.W~2d ~4 (Tex. App.--.8',n An(ohio P)88) court was precluded from finding adverse Testimony offered by appellees' witnesses possession by appellees as a matter of law. showed that the property was in part used Appellant's first point of error is sustained, as a picnic area by neighbors in the vicini- ry. Finally testimony was offered by Viola Title b~t Circumstantial Evidence Haby that she had paid taxes on the prop- Appellant next complains that the appel- erty continuously up to the present. lees were not entitled to recovery of the Clearly the issue is disputed; the evi- disputed property under the doctrine of dence does not establish as a matter of law title by circumstantial evidence as a matter the complete non-claim of the apparent of law. She argues that the doctrine is not record holder. Therefore, the court may relevant in this case and should not be not find as a matter of law that appellees applied when genuine issues of material have demonstrated a right to title by cir- fact exist, cumstantial evidence. The second point of [10] The doctrine of title by circumstan- error is sustained. tial evidence is basically a common law adverse possession cause of action. This is Doctrinz of Strip and Gor~ also referred to as the "lost grant" theory. In his third point of error appellant com- Where'a party has asserted a claim to plains the trial court erred by ruling, as a property in dispute for a long period of matter of law, that appellees were entitled time, has established a general reputation to recovery under the doctrine of strip and of owning the land, is able to establish a gore. complete non-claim b~l the holder of ap- parent record title, and lack of a claim by [12] When it is apparent that a relative- any other person over the same period, a iy narrow strip of land which is small in court may presume the existence of a "lost size and value in comparison to the adjoin- grant" that conveyed the property in dis- lng tract conveyed by the grantor, pute to the adverse claimant. Purnell ~. ceased to be of benefit or importance to the Gulihur, 339 $.W.2d 86 (Tex. Civ. App.--EI grantor, it may be presumed that tho Paso 1960, writ ref'd n.r.e.). The court in grantor intended to convey the narrow Purnell found the claimants had estab- strip along with the larger tract under the lished title by circumstantial evidence doctrine of "strip and gore". Angelo v. through their long term assertion of the Biscamp, 441 S.W.2d 524, 526-27 (Tex. ) claim for the property. The court also 1969). In one case, a warranty deed to a f found claimants had established a general parcel of land did not include a strip of land ! reputation of being the owners of the prop- next to a river bank, but there was evi- e erty in dispute, as shown by the tax rolls, dence that the deed was intended to include h the plat books, and the redemption receipts such a strip since there was no fence sepa- o from the State of Texas. This was com- rating the strip from the rest of the parcel s bined with a showing of a complete non- of land, and the strip by itself had little 2 claim by the holder of the apparent record value, if any. Under these circumstances title and an absolute lack of any showing the strip was held to pass to the grantee ~t that the property had been claimed or used under the "strip and gore" doctrine. e. by any other. Id. at 92. Strap. thorn v. Jones, 157 Tex. 136, 300 S.W. y, [11] In this case there is no question of 2d 623, 638 (1957). ~e a lost title or a grant. Neither do appellees [13, 14] The strip and gore doctrine ap- ,le claim or offer proof of payment of taxes, plies only when that specific .strip is not .ct Appellees offer evidence of possession and included in the field notes or the property ed the reputation of their ownership, description of the conveyance. Id. The On the other hand there is evidence that deed from Titus Haby to J.R. Lambert does vi- the property was claimed by appellant and not include the disputed strip. We note of that appellant made use of the property in that the disputed strip is not small in size · iai dispute to graze cattle from time to time. when compared to the adjoining tract con- 40 Tex. 757 SOUTH WESTERN REPORTER, 2d SERIES veyed by the grantor. In fact the disputed appellees were entitled to recovery of the property is approximately the same size as. disputed property under the doctrine ef that granted in the deed, both being ap. strip and gore was not proper~ The third proximately one and one-fourth acres. We point of error is sustained. next look at the value of the disputed prop- arty lying between the 1072 foot and tl)~ 7'he Deed from Hab~l to Lambert 1084 foot contour lines along the lake shore. Lastly, appellant complains the trial Appellees argue that the disputed prop~ court erred in ruling, as a matter of law, arty is isolated and worthless, a 50 foot, that the deed of real property from Titus wide strip of land containing nothing b~ Haby to J.R. Lambert was unambiguous in rocks, brush, and cedar trees. Attached to favor of the grantee. Appellant argues their motion for summary judgment is the that genuine issues of material fact are affidavit of A.C. Schwelthelm, a real estate present in the record and indicate ambigui- appraiser, who offers his opinion that th~ ties in the deed and such ambiguities are land in dispute, standing alone, has poteu- issues of material fact to be determined by tial only for use for picnicking and recrea- the trier of fact. The 1918 deed contained tion. Schweltheim considers the value of the following language: the property limited when used for grazing That we, Titus A. Haby and wife, Lizzie because of its size and shape. He statas Haby ... convey unto J.R. Lambert ... that the property has a nominal value bat all that certain tract and parcel of land adds that it is doubtful that the property ... containing one and one-fourth (11/4) would be marketable as a severed tract, acres of land, and known as Cedar Point Appellant argues that the strip of proper- Bluff on the east side of an [sic] fronting ty in dispute, located between the 1072 and and adjoining Medina Lake, more fully 1084 "natural contour lines", tgijoins over described as follows:' beginning at a 100 acres of land owned by Viola Haby but stake, a point where the south line of located below the 1072 natural contour line, such survey no. 1, intersects the high When the water level drops below the 1072 datum water line of the Medina Lake; natural contour line the disputed property fence east 133 yrs. along said south line adjoins a substantially larger area of th9 of said survey no. 1, to where said line exposed lake bed and is used to grase again intersects the high datum water cattle. In addition the deposition testimony line on the west side of a deep gulch; of Carle, also an appraisal expert, reflects fence following said high datum water his opinion that the disputed property has line in a north westerly, western and some value when considered with the larg- southeastern direction to the place of er parcel of which it was a part. This beginning and containing one and one would apply whether the disputed strip quarter acres of land, more or less ... were considered in conjunction with the o~ [15] Appellees argue that calls for acre- and one-fourth acres deeded to appellees mr age in a deed are the least reliable of all if the disputed strip were considered iu calls. Texas Pacific Coal & Oil Company conjunction with the adjoining lake bad v. Masterson, 160Tex. 548, 334 S.W.2d 436, owned by Viola Hahy. 439 (1960). Calls in a deed for adjoinder to There is conflicting evidence as to the natural objects as a boundary or terminus actual value of the disputed strip of proper- are given priority over calls for distance. ty, which is not small in size in comparison Bickler v. Bickler, 403 S.W.2d 354, 361 to the adjoining tract conveyed by the (Tex.1966). They argue that because the grantor. Finally, the record reflects some deed states the property conveyed fronts evidence of the benefit of this property t~ and adjoins Medina Lake, the call for ad- Haby, the original grantor. Under the cir- joiner to Medina Lake must control, even if cumstances these issues are for the finder it means conveying more acreage than the of fact. A ruling as a matter of law that amount of acreage specified in the deed. F 568 Tex. 787 SOUTll WESTERN REPORTER, 2d SERIES estate was not expressly devisod, Victor is taken ns true, attd 3) every reasonable and Dorothy each took, by way of a residu- inference is indulged in favor of the non- ary clause, an undivided one-half interest in movant and any doubts resolved in its fa- the 24 acre mineral strip,t Victor, acting var. Nixon v. Mr. Properly Management as executor of his mother's estate, con- Co., 690 S.W.2d 546, 548-49 (Tex.1985); veyed to himself the 106.88 acres "lying Dieter v. Baker Service Tools, 776 S.W.2d West of the uew State Highway 59 Ex- 781, 783 (Tex.App.--Corpus Christi 1989, pressway ... together with all and singu- writ denied). A defendant is entitled to lar the rights and appurtenances thereto," prevail on a motion for summary judgment and he conveyed to Dorothy the 105.03 if he establishes as a matter of law that no acres "lying East of the new State ttigh- genuine issue of material fact exists on one way 59 Expressway ... together with all or more elements of the plaintiff's cause of and singular the righka and appurtenances action. Dieter, 776 S.W.2d at 783. thereto." Tile mineral interest underlying In the present case, there is no dispute of the 24 acre strip was not expressly con- fact. The dispute concerns the legal conse- veyed in either deed. quence of the conveyances described above. Subsequently, Victor conveyed the sur- Texstar contends that, by application of the face and minerals of his 106.88 acres, and strip and gore doctrine, appellants no long- Dorothy did the same with her 105.03 er own the mineral interest in the 24 acre acres. The deeds contain descriptions of strip. The issue is whether the dcscrip- the tracts by metes and bounds to the edge tions in the deeds executed by Victor and of the highway, "together with all and sin- Dqrothy, conveying their respective acre.~, gular the right~, and appurtenances there- operate to transfer title to the center of to." 'The conveyances were made subject highway 59. We hold that they do. to various utility and road easements. Texstar acquired an oil and gas lease on The Strip and Gore Doctrine. the 106.88 acre tract and drilled a well [3,4] It is a well-established rule of the which produced in paying quantities. Ap- common law that absent an express reser- pellank~ sued Texstar for drainage of the ration to the contrary, a conveyance of 24 acre strip, asserting their alleged miner- land bounded on a public highway carries al interest. By appellants' first two points with it the fee to the center of the road as of error, they contend that the trial court part and parcel of the grant. State v. erred by granting Texstar's motion for Williams, 335 S.W.2d 834, 836 (Tex.1960); summary judgment and by denying appel- Goldsmith v. H, mble Oil & Refinin.o Co., louts' motion for partial summary judg- 145 Tex. 549, 199 S.W.2d 773, 775 (1947); meat. Since both points involve the same Cantley v. Gulf Production Co., 135 Tex. issue, title to the mineral strip, we will 339, 143 S.W.2d 912, 915 (1940); Cox v. dispose of them simultaneously. Campbell, 143 S.W.2d 361, 362 (Tex.1940); [i,2] When reviewing the granting of a Rio Bravo Oil Co. v. Weed, 121 Tex. 427, sttmmary judgment, this Court follows 50 S.W.2d 1080, 1083 (1932); Mitchell v. three well-established principles: 1) the Boss, 26 Tex. 372, 380 (1862); Texa.~ Bitu- movant for summary judgment has the lithic Co. v. Warwick, 293 S.W. 160, 162 burden of showing that there is no gennine (Tex. Comm'n App. 1927, judgm't adopted). issue of material fact and that it is entitled This presumption of intent to convey title to judgment as a matter of law; 2) when to the center of the highway applies if tbs deciding whether there is a disputed mate- appurtenant strip exists in fact at the time rial fact issue precluding summary judg- of the conveyance. Williar~% 335 S.W.2d meat, evidence favorable to the non-movant at 836. Cf Goldsmitk, 199 S.W.2d at 776 I. Appellants take under Ihe residuary clau~ be- as grantor, owned the tracts abutting both sides cause, as later discussed, the strip and gore of the highway. See Rio Bravo (h'l Co. v. Weed, doctrine would not apply to the conveyance 121 Tex. 427. 50 S.W.2d 1080, 1083 (1932). between Louise and her children since Louise, KRENEK v. TEXSTAR NORTH AMERICA. INC. Tex. 569 Cleo ~- 787 S.WAd S4~6 (Te,z. App.--42orpu~ Chvt~l 199Q) (where the road was not in existence when Creek Basin Authorit~t, 589 S.W.2d 671, the deed was executed). Furfimrmore, rite 678 (Tex.1979); Tex. R.Civ. P. 166a(c). Ap- presumption is not overcome by the fact pellant~' first and second points of error that the deed describes the abutting laod are overruled. by metes and bounds extending to the edg~ By their third point of error, appellants of the highway. Williams, 335 S.W.2d at contend that the trial court erred when it 836; Cox, 143 S.W.2d at 366; Warwick, granted Texstar's motion for a protective 293 S.W. at 162 (whm:e the deed described order and, as a sanction, awarded Texstar the property by metes and bounds, $750.00 in attorney's fees. Appellants stopping at the street line). On the oth~r claim that after the trial court entered the hand, the pr~umption does not apply if the smmnary judgment itl favor of Texstar, grantor owns land abutting both sides qf appellants discovered additional evidence. the strip. Rio Bravo, 50 S.W.2d at 1086; In connection with this "new evidence," Couch v. Texas & Pacific Raiiwa!l Co., 99 appellants se/'ved Texstar with a second Tex. 464, 90 S.W. 860, 861 (1906). Like- request for production of documents. The wise, the presumption doe8 not apply if fils smnmary judgment was rendered pNor to strip i~ larger and more valuable than tile this discovery request. In response, Texs- conveyed tract. Ang¢lo v. Biscamp, 441 tar filed a motion for a protective order and S.W.2d 524, 527 (Tex. 1969). sanctions, as.~erting that there was no long- er a dispute pending between appellants [51 Applying the foregoing prineiple~, and Texstar. we reach the inescapable conclusion that Victor and Dorothy conveyed the mineral [7] Under Texas Rule of Civil Proce- strip. Any other construction would nulls- dare 166a, a court may adjudicate claims fy the rule repeatedly announced by tile upon which there are no genuine issues of Texan Suprenle Court. Appellants' deeds material fact. The clear purpose of Rule conveyed tracts abutting the highway, ua~ 166a is to make the issues determined in lng a metes and bounds description to the the motion for summary judgment final. edge of the highway. The highway exiate~ Lindvr v. Valero Transmission Company, 736 S.W.2d 807, 810 (Tex. App.--Corpus st the time of the conveyance. The two Christi 1987, writ ref'd n.r.e.); City of tracts did not have a common grantor for Houston v. Socony Mobil Oil Companl], tile relevant conveyance, i.e., Victor con- 421 S.W.2d 427, 430 (Tex. Civ.App.--Hous- veyed his west half and Dorothy conveyed ton [lst Dist.] 1967, writ ref'd n.r.e.). The her east half. Lastly, we find that fils issues decided cannot be fro*,her litigated s~rip (2,860 feet by 330 feet or 24 acres) unless the summary judgment is set aside wan not larger than the conyeyed tracts, by the trial court or reversed on appeal. recognizing that each appellant owned ,# Lindez; 736 S.W.2d at 810; Soconll, 421 one-half (12 acre) interest. Having coil- S.W.2d at 430. sidered all tile relevant factors, we hold that aa a matter of law, appellants co/~- [8] To be final, a summary judgment veyed the strip when they conveyed thei~ must dispose of all parties and issues in a tracts; consequently, they had no mineral, lawsuit. Chas~ Manhattan Bank, N.A.v. h~terest that could have been drained by~ Fourteenth Court of Appeals, 33 Tex.Sup. Texatar. Ct.J. 278, 279, 1990 WL 17468 (Feb. 28, 1990) (orig. proceediug); Tcgr 'v. Dudd&s- [6] Appellants, within their first point ten, 664 S.W.2d 702, 703 (Tex. 1984). A of error, argue that Texstar is estopped to summary judgment granted on separate deny appellants' title to the minerals by issues within a single cause of action is virtue of Texstar's acceptance of tile oil partial and interlocutory until all of the and gas lease and Tex~tar's payment of issues are either adjudicated or ordered delay rentals. Assuming Texstar could be severed by the trial court. Chase, 33 Tex. estopped, appellants' peint nevertheless Sup. Ct.J. at 279; Pan American Pc,role- fails because the argument clearly was not um Corp. v. Texas Pacific Coal & Oil Co., presented to tile trial court and was there- 159 Tex. 550, 324 S.W.2d 200 (1959). Tile fore waived. City of ttoustou v. Clear finality of a summary judgment is G 912 Tex. 143 8OUTII ~VFISTI~tlN IIF, PORTI~II1, 2d nnder the will of Mrs. Pierce and was 4. Boundaries thereby estopped to assert a different claim, Where partition.map nnd partition de- aS is attempted ill this suit. It is sufficient eree set apart a narrow strip of land a.~ to say that tile record as presented does road reservation, ami strip was never u.~ed not show as a matter of law that defend- ns road, nmi grantor bonght and conveyed ants in error so elected. See 44 Texas adjoining lot hy deed describing, lot ns Jurisprudence, page 871, Section 29, where- "* * * heginnlng 80 feet W. of the N. in it is said: "An election may be express w. eot. of Lot No. 2 * * or implied. When not expressly made, it 25 1~. keeping 30 feet from the West line of is a question of intention and mast be de- l,ot No; 2 for a road re~ervntlon * * *", c~ded from all the facts and circnmstances and grantor nnd bls children surrendered of the particnlar case. The question has possession of lot and strip to grantee, and been said to be one of fact ordinarily and there was no showing that strip was of bene- to be submitted to the jury for determi- fit to grantor or Umt there was nny reason nation." We pretermit further discussion for reserving it when eonveynnee was made, in view o~ another trial. ,.-" the deed conveyed title to the strip. The judgment of the Court of Civil Appeals which reversed and remanded the judgment of the trial court is affirmed. Error to Conrt of Civil Appeals of Sixth Opinion adopted by the Supreme Court. Supreme JndJcJal District. Suit in trespass to try title by Mary Can(icy and others against the Gulf Pro-  dnction Company and others wherein Ben m"mu"sm~ Laird intervened. To review a jndg-ment of tile Court of Civil Appeals, 118 S.W.2d 448, affirming a jndgment for defendants, plaintiffs briaR' error. OANTLEY et .el. v. GULF PRODUCTION Judgments of the trial conrt and of the CO. et al. Conrt of Civil Appeals affirmed. No. 7457. Mayfield, Grisham & Grlsbam' and J. A. Lantz, ali o1: Tyler, and Wynne & Wynnb_, Bupreme ODer( of 'rexn&' of Longvicw, for plaintiffs ill error. Oct, 23, 1940. John E. Green, J'r., John Brongbton, B. I. Deeds '~:::~118 C. Clark, Robert F. Carter, and Irwin W. Where n grantor has conveyed all land Coleman, all of Houston, for defendants in Owned' by him adjoining a narrow strip or error. Innd that has ('ensed to be of any benefit to SIIARP, Justice. grantor, presumption Is thnt grantor Intend- ed to inelnde such strip in conveyance un- Mary E. Cantley, Polly Timms, and Al- leas it Cl¢~arly appears in deed, by plain lan- bcrta Tibbs,. being the children of John guage, that grantor Intemled to reserve strip. Do,glass, deceased, joined by their hus- bands, filed a trespass to try title suit for 2; Boundaries 41=~20(I), 22 " a 30-foot strip of land~ designated as Lot Where a deed conveys by specific field No. 5 in a partition of the Tucker estate, notes land abel(lng on a street or puhlle set aside in the decree of partition for a highway or railroad right of way, deed con- road, which was never opened.' Plaintiffs veys title to property to center of street, in the trial court specially pleaded title highway, or right of way, and such rnle is by the ten years statnte of limitation; not overcome even thongh field notes de- which was sustained by the finding of the scribing land stop at side line of street, jury. The Gulf Production Company, aS highway, or right of way, unless a contrary the alleged leasehold owner, and various intention ia expressed in plain and unequivo- royalty owners, the fee owner,, and the esl terms, heirs of Tncker were made defendants. Ben Laird, the owner of Lot No. 2, which 3. B0undarle~ ~:~20(I) adjoins the land in controversy, intervened. Where a highway ts lald orr entirely Tile trial court entered judgment denying on owner's land, rnnnlng along the margla the plaintiffs and the intervenor any re- of his tract, and owner nftermvnrds conveys covcry. The interven0r did not appeal. the Innd, the foe in ~vhole of soil of highway from the judgment of the trial conrt. The vests in grantee. Court of Civil Appeals at Texarkana OANTLE~ v. GULIO I'ItODUIJTION CO. 'rex. 913 firmed the judgment of the trial court. 118 Wc qnote from the opinion of the Court S.W.2d 448. of Civil Al)peals the following statement In 1910 a 668-acre tract of land was par= of facts [ 118 $.W.2d 449]: titioned in the District Court of Gregg "It is clear from other recitals ill the Connty among the heirs of M. E. Tucker. decree and from this map as filed that a The report of the Commissioners, contain- narrow strip of land was set apart as a ing field notes for each subdivision, aud ac- 'road reservation' between Lot No. 2 to the companicd by a partitiou map prepared by east ired Lots Nos. 1, 4 and 5 to the west. thc comity surveyor, was duly recorded. A This decree describes LOt No. 5 to-wit: substantial reproduction of tile map relat- "'Out of the W. P. Chism survey, be- iug to the land in controversy is inserted giuning 30 feet West of thc N. W. corner herein: of Lot No. 2, a stake in Rabbit Creek; Lot No. 5 Lot N-°.c~ I. Lot N.~ 5 914~ Tex. 143 $OUTI1 WESTI~IIN REPORTER, 2d 8IOIIII~8 Thence S. 25 E. keeping 30 feet from Lot West llne of said road. It i~ to be further No. 2 for a road reservation 750 yarns to nnted that the deed refers to the tract the N. E. coruer of Lot No. 4', Thence ~ being Lot No. 5 and refers to the decree 81 W 800 yrs. to ~abbit Creek; Thence with n plot then of rccm-d. This plot shows down said creek to thc place of beginning, that the cast llne of I.ot No. 5 fronting contnhfin~ 74 ncrc~.' on fl~e strip stops nt ~l~e exterior llne of '"Thc entire tract was in the woads at such road rcscrvalion and shows lhe loca- the time of the pnrtitiou. After John tion of this strip of lnnd for a road. Douglass, thc f~thcr of these appellants, * * pnrchnscd Lot No. 5 and Ben l.Mrd ac- "Douglas acquired a ten-year limitation. quircd Lot NO. 2, lhese lands were fenced title to thc whole 30-foot strip, nnd title to nnd placed in cnltivntion. The fence o{ the West lmlf of the strip hy virtne of Douglass erected abont 1913 included the thc convcynnce to him of Lot No. S. When 30-foot strip in controversy which he col- he and his children conveyed this lot off, tivatcd, nnd his possession of it ripened this 30-foot strip was s]tlmlcd upon thc into a ten-year limitation title. A road was eastern edge of his laud then conveyed by never cslnh[ishcd upon tlfis strip. Don~lnss him. lie owned no Innd on fnrfl~cr to thc opened ~p n road on this I.ol No. 5 which East of thc strip." ran strip controversy The 30-foot strip of land in controversy west O~ the in which was used in ilcn o[ thc road dcsig- was created as a road reservation in thc nntcd in thc partition decree. After thc p~rtition prncccdin~s, hut was never nc- dlscovcry of oil in that Commmfiiy an ira- tnnl[y used in its entirety asa road. Plaln- proved lfighwny w~s constroctcd through ti~s claim' fl~s strip ~ Innd by I]nfitntlon, Lot No. 5 west o[ thc strip in controversy, nnd thc jury found H~nt }ohn Don~lass had' "The des~riplion 6f I.ot No. 5 in the deed ncqnil-ed Ihe innd hy the ten years stnhlte wherein John D~uglnss ncqulred ~ille nmi of limitntlm~. The defendnurs contended' fl~e deed wherein Dot,glass and the chil- that the description used made the 30-foot dren of his deceased wife cnnveyed off in strip n part or I.ot No. 5, and this conten- 1929, nuder x~hich last conveyance appel- tion was npheld by the trial court nnd by lees cl~im title to :this 30-foot strip are the Court of Civil Appeals. The descrip- the same, and each rends as follows: tions relating to this 30-fo~t strip, ns usedl i~i the partition proceedings and in subse- "'A part of lhe W. P. Chlsm sur. and qucnt instruments, are substantially as fol- kuown as tract No. 5 beginning 30 feet lows: West of the Norfl~west corner of l.ot No. 2 ~ stn~e in Rabbit Creek; Thence South The description of I~t No. 2 makes no. 25 E~st. keeping 30 feet from Lot No. 2 for mention of the strip, its West line being a road reservation 750 varas to the North- "thence N. 25 W. 1415 vara~ to the center east cor. of Lot No. 4; Thence S. 1o Rab- of Rabbit Creek." bit Creek; Thefice down said creek to The description of Lot No. 5 reads: place of beginning containing 74 acre~ 0f "*.* * begimfing 30 feet W. of the N.W. land, described as tract No. 5 in Commis- cor. 0{ Lot No. 2 * * *', thence S. 25 E. siouers' ). M. Hosldns Co. to keeping 30 feet frmn tlie West line of Lo6 report District Court of Gregg Comity, April term No. 2 for a road reservation 750 yarns." A. D. 1910 il~ the case of Lizzie Cra~vford The description of Lot No. 4 reacls~ et als v. Aurelia Laird et als, * * * "* * * to a stake 30 feet West of th~. ~vhich report is ou record in Book X pages West line of Lot No. 2, said 30 feet 17~179 in records of deeds of Gregg for a road reservation; fl~euce N. 25 W~ County, Texas, for full explanation ref- keeping 30 feet West of the West line o[. ercnce is made to said records.' l~t No. 2." "It is to be noted that the deed executed Johu I)ougla~s bought I~t No. 5 by tlgl. by Douglass and his heirs called for be- description in 1912, and sold it hy the same ginning point to be thirty feet West of description in 1929. John Donglass and the Northwest corner of Lnt No. 2 and his children surrendered possession of all, feet from Lot No. 2 for a road reserva- this stril~. So far as this record discloses,. tion. This, in effect, calls for thc .W~st they never made any claim to. lt until this line of this road as tlie' East line of Lot suit was filed. The controlling question. No. 5, or it may be said that it designates for decision here is: Did the deed from this thirty-foot road or strip as the Easterfl Douglass and his children convey the title boundary of said Lot No. 5, or along the to this 30-f-or strip of lafld, t6'tlteir gran-. CANTLI~¥ v. OULtV PRODUCTION CO. 'l~ex. 915 ~s3 s.w.za tees, or did tb~y exclude this strip from grantees. This act definitely indicates that such conveyance? they intended to convey all land owued by thein in this survey. [1] It is well known that separate own- ership of long narrow strips of land, dis- In the case of Rio Bravo Oil Co. v. tinct from the land adjoining ou each side~ Weed, 121 Tex. 427, 50 $.W.2d 1080. 1084, is a fruitful source of litigation and dis- 85 A.L.R. 391, the rule of presumption was lmtes. To avoid this source of contention, amlounced with reference to conveyances it is presumed that a grantor bas no inten- of land adjoining a railroad right of way. tiou of reserving a fee in a narrow strip Tim rule ailllomlced in that case was based of laud adjoining the land conveyed when upon a practical effect of the intention of it ceases to be of use to him, unless such tile grantor iu such conveyance, and not fee is clearly reserved. The reason for solely upon a consideration of public poll- tim rule is obvious. · Where it appears that cy. In the course of the opinion rendered a grantor bas conveyed all land owned by in tbat ease it was said: btm adjoining a narrow strip of land that "The use of this presumption is merely has ceased to be,of any benefit or ira- the al)plication in a different form of the portance to bi,n, thc presumption i~s that familiar rule of construction which has the grantor intencled to include such strip always been enforced by the courts, that in snch conveyance; unless it clearly ap- is, to indulge tile presumption that a grant- pears ill the deed, by plain and specific lan- or intends to couvey to his grantee all guage, that the grantor intended to reserve 9f the apptlrtenant rights incident to the the strip. See Cox v. Campbell, Tex.$up., beneficial enjoyment of property whicll lie 143 S.W.2d 361; Rio Bravo Oil Co. v. bas conveyed. In other words, when a per- Weed, 121 Tex. 427, 50 S.W.2d 1080, 85 son conveys a piece of property abutting A.L.R. 391; Texas Bitulithic Co. v. War- upon a public highway or nmmavigable wick, Tex. Com. App., 293 S.W. 160. For an stream it is but natural to assmne, in tile annotation of the decisions bearing on this absence of an express reservation to the question, see also 123 A.L.R. 543, 47 A.L.R. contrary, that he intends to convey tbe 1277, and 2 A.L.R. 7. same with all of the beneficial rights eh- In this instance'Donglass~:and his chii, joyed by him in its us~. * * * dren conveyed all the laud.lthey owned i~ "We think tile legal presumption is sus- this vicinity adjoining this strip of land. tained by sound reason when it is based sod surrendered possession of such land t~ upou the fact that valuable rights and the grantees, including the strip in corn privileges appurtenant to property should troversy. There is nothing in this record be presumed to pass in a conveyance there- to show flsat this land was of any benefit t® of in the absence of a clear aud uucquivo¢itl Douglass and .his clfildren, or that there intention to tile contrary," . existed ally reason for reserving it at die time the conveyance was made; nor is [2] In the recent case of Cox v. Camp- there uny language used ill the deed o~f bell, Tex. Sup.~ 143 S.W.2d 361, this Court cvltvcyance made b~ ~hcm that it w~s t):e. ir reviewed this qncstion anti thc decisions imentiou to' defiuit¢ly reserve ti,is ~trip rclativg thereto, and reiterated the following ffOIll liUCli CollYeyalll~. general rule: "Tl,c rs,lc has bcc, t definitely announced in tile Warwick and Weed cafes Ill construing ' tile conveyance from that where a deed conveys by specific field Douglass and Iris children to their grantees with reference to this strip,, it must be notes laud abutting on a street or public highway or railroad right of way, it con- kept iu mind that jn tile description of the vcys title to tile property to tile center of various subdivisions'of thc land partitioned, the street, public highway, or raSh'cad right as above, described, reference is made to of way; and stlch rule is eot overcome the map accompanying the report' of tile even though the field notes describing the Co,uufissiuuc,'s, which was duly reco,ded, land stt{l~ at the side lille of the street, The .deeds executed aftdrwards refer to public' highway, or ,'ailroad right of wily, such subdivisitms for a definite description t,nle'.s a cont,'ary intention is expressed of the land conveyed.' The map clearly plain and u,tcquivocal terms." 'shows 'that tiffs strip was reserved .for a road. The description of the land con- [3] Ill 9 Cori)us Juris, p. 203, § 97, it is veyed by, Douglass and his children doe~ said: "Where a highway is laid off en- not show an intention to :reserve this strip tirely on the owner's l~nd. running algng of land...In short, they surrendered this the margm'of his tract, and he afterwards strip with tile other.land conveyed to tits:ir COltvey:~ thc laud, thc fcc in thc wholq of 916 Tex. 143 SOUTII Wlr, S'I'ERN ItEPOIVI'I,,'IL 2d SERIES the soil of the highway vests in bis gran- tact.., show with certainty that tile call for tee." For a discnssion of tile foregoing an ndJolader was hy mistake. rule, see the followi,lg authorities: Snoddy v. Boles, 122 Mo. 479, 24 S.W. 142, 25 2. Zud~lment ~:=570(6) S.W. 932, 933, 24 I..R.A. 507: Johnson v. Whore parties to cm,nty's .suit In Arnohl, 91 Ga. 6.59. IR S.F_'.. 370; Taylor v. pnnn lo try title 1o ree,lv~r .school lnnd Armstrong, 24 Ark. 102, 107; Ilaherman agreed to have ~urveyor Invc,."tlll,'lle th~ hind v. Baker, 128 N.Y. 253, 28 N.E. 370, 13 In eonlrovor."y and, thel'onfl~:~r, UlWm I..R.A. 611; In re Rnhhins et al., 34 Minn. ~lon of report of inve.ntlgntlon, mdt wa." 99, 24 N.W. 356, 57 Am. Rep. 40; Clnleo v. mis.ned by eounly, tile agreement nmonuled Champlin Ref. Co., 178 Oki. 198, 62 l'.2d only to an ngreement to tllsmls~ the cause 82; Pattie v. Consumers', etc., Co., 6 Cir., nnd dht not enn.~titnte a compromise and 71 F. 626. See also 11 C.J.S., Boundaries, ~ttlemont of the merlls of the enll.~e of ne- § 35, pp..580, .581, 582. ties, and the Jndll~nent of all}mi."ssi there- In view of the pnhlic palicy of this Slate fore wan ,lot "re.n indicate" in mlb.~equent with refere~ce to such strips of land, and salt in tr~,.~pn,~.n to try title betweea the the presumption that it was tile intention same pnrllen to recover the snm~. lnnd. of the grantors to convey such narrow 8*e Words and l'hrn~,~.", strip to the grantees with the other land Edithm, for MI othe~ definitlon~ ndjoining same, we do not thluk that it "Re. Judi~tn". . affects the rule, so far as the title to tho 3. Boundaries strip is concerned, if the road was never Ill bonndary dinp,t.e between county used or if it was ahandoued. Amerman v. Missouri, K. & T. R. Co., Tex. Civ.App., and defendnnl:.", where evhlenee did not tahll~h tlmt the enil for an ndJoln¢ler was 182 S.W. 54. mnd~ by mistake, county's mirvey marie ot~ [4] Applying the foregoing principles ~ame day Ill 1~40 as survey on which announced hy this Conrt to lhe facts in- fendant.n relied flx~,d nnme bomHinry line volved here, the conclusion is inescapable; lln.ni.n of the ndJolnder, mlb.~eq,ent from the language used in the conveyance by county and repre.~entntlons made In con- from Douglass and his children to the scan- veynnee.n ny eonnty fixed .~ame line, eondnel. tees, that it was the intention of the scan- ot~ parties ~howed relinn~ on snch repre- tots to include this strip of land in such ~entnt. lon.n, and previo,s milt filed by coon- conveyance. Any other construction of ty Involving same dl~pnte had been dis- such conveyance would nullify tile rule ml.n.neft by county after Inve.nthcallon I)y sur- annonnced in the decisions above cited, veyor, enll for dl.ntnnee would not I~ and xvhich has become the public policy of lowed to control over tim enll for the. this State. Jolnder, aa against coal.enrich or county that We have carefully considered the ques- the call for adjolnder xvas conjectnraL tions raised in this record, and conchld~ that the trial conrt and the Court of Civil Appeals correctly decided the issnes i~.~- Error from Disl'rict Court, Cass County; voived iu this case. Therefore, tile judg- ments of the trial court and of the Court R. II. llarvey, Judge. of Civil Appeals are affirmed. Suil in trespass to try title by Cass Comi- ty anti another against Derious Ramho and others. Judgment for defendants was .. affirmed by the Court of Civil Appeals, 131 ;-~.~ $.W.2d 214, and plaintiffs bring error. Judgment of the Court of Civil Appeals affirmed. Newlnnd, Cornett & Whltworth, o[ Lin- CASS COUNTY et al. v. RAMBO et al. den, Wyune & Wynne, of Lougview, anti No. 7651. Virgi~ Childress, La,vier, Wood & Ch}i- Supreme Gourt of Texas. dress, aud R. O. KenlcY, all of ttouston, for plaintiffs in error. Oct. 16, 1940. Ramey, Calho,n & Marsh, of Tyler, Ben I. Boundaries ¢:=3(5) A. Ilarper, of ttouston, Lasseter, Simp- A call for an ndJolmler will be rejected Sou & Spruiell, of Tyler, W. H. Francis had call for distance will control, If the and Walace Itawkihs, both: of Dallas.