Enter to open, tab to navigate, enter to select
Remainderman
Practical Law Glossary Item 0-502-5458 (Approx. 3 pages)
Glossary
Remainderman
In the context of real property, a person who is entitled to receive possession of real property after the termination of the estate of a prior owner, such as in a life estate.
In the context of oil & gas, a joint interest owner with a life tenant under an oil & gas lease. In many states:
- The life tenant who is an oil & gas lessor is entitled to:
- delay rentals; and
- the interest on royalty paid from a producing well for the duration of its life.
- The remainderman is entitled to:
- the bonus and royalty that are held in an account until the life tenant dies; and
- ownership of the entire interest on the death of the life tenant.
The parties are free to agree on another arrangement for disbursing the funds and often do. If the open mine doctrine exception applies, all royalties, bonuses, and income may belong to the life tenant (Clyde v. Hamilton, 414 S.W.2d 434, 439 (Tex. 1967)).