In Ohio, how are overriding royalty interests classified by courts?

In Ohio, overriding royalty interests are classified as personal property. This classification indicates that when a landowner grants an overriding royalty interest to another party, that interest is considered a right to receive a share of the production or revenues from the lease, rather than an interest in the land itself.

This distinction is important because personal property is generally defined as movable items or rights that are not permanently attached to or associated with a specific piece of real estate. By contrast, real property refers to land and anything permanently attached to it, such as buildings or other structures. The classification as personal property affects how these interests are treated in transactions, taxation, and inheritance.

Understanding this classification helps clarify the rights and limitations associated with overriding royalty interests compared to other types of interests in real estate.