AI Generated Opinion Summaries

This summary was computer-generated without any editorial revision. It is not official, has not been checked for accuracy, and is NOT citable.

Facts

• After the death of Prieur J. Leary, Jr., the founder and sole member of Energy Royalties, LLC, Cradon Energy, LP, obtained a default judgment against Energy Royalties in Kansas in 2014. This judgment was domesticated in New Mexico, leading to a foreclosure sale of oil and gas leases owned by Energy Royalties in Lea County. Cradon Energy won the bid at the foreclosure sale. Subsequently, Ashley Leary, administratrix of Mr. Leary's estate, assigned the rights of redemption for the property to TAL Permian, LLC, which then filed a petition for redemption in New Mexico (paras 2-4).

Procedural History

• [Not applicable or not found]

Parties' Submissions

• Appellant (TAL Permian, LLC): Argued that the statutory right of redemption is a personal privilege not subject to the requirements of the Uniform Probate Code (UPC), specifically Article 4, and thus does not require ancillary probate proceedings in New Mexico for its assignment (paras 1, 6).
• Appellee (Cradon Energy, LP): Contended that the assignments of redemption rights were void due to non-compliance with ancillary probate proceedings in New Mexico, as required for any conveyance affecting real property in the state, including rights of redemption (paras 5-6).

Legal Issues

• Whether the statutory right of redemption in real property is a personal privilege not subject to the requirements of the Uniform Probate Code, specifically Article 4, thereby not necessitating ancillary probate proceedings in New Mexico for its assignment (para 8).

Disposition

• The district court's dismissal of TAL Permian’s petition for redemption of real property was affirmed (para 21).

Reasons

• The Court, per Judge Jacqueline R. Medina, with Judges J. Miles Hanisee and Kristina Bogardus concurring, held that the statutory right of redemption is considered property within the context of the Uniform Probate Code (UPC). Consequently, compliance with the UPC's requirements is necessary for the transfer of such rights. The Court determined that the assignments of redemption rights to TAL Permian were void due to the failure to comply with either Section 45-4-204 or Section 45-4-207 of the UPC before the assignment. This decision was based on the interpretation that the right of redemption, as an assignable right, falls within the UPC's broad definition of property, which includes anything that may be the subject of ownership. The Court also clarified that the UPC applies to the administration and distribution of property in New Mexico held by a foreign estate, requiring a foreign personal representative to establish authority in New Mexico before exercising power over estate property located within the state (paras 10-20).