Prosperity Energy Corp. v. Terfam Family, Ltd.

Prosperity Energy Corp. v. Terfam Family, Ltd., 2015 Tex. App. LEXIS 6636 (Tex.App. 13th Dist) June 29, 2015

Where the nature or essence of a suit involves title to land, venue is mandatory in the county where the land is located.

Terfam brought suit solely for monetary damages against Prosperity in Hidalgo County. Terfam and Prosperity had entered into an agreement in which Terfam was to provide funds by which Prosperity would acquire leases in Denton County. Prosperity was to market the acquired leases and repay Terfam for its advances plus 10% interest. Additionally, Terfam was to receive a 1% working interest. Despite Terfam specifically disavowing any intent to acquire any interest in land in Denton County, the court concluded that the agreements at issue clearly involve title to land in Denton County and that venue is mandatory there.