Union Pacific Resources Group

In this case, we must determine whether a proposed class meets the requirements for class certification under Texas Rule of Civil Procedure 42. The trial court certified a class consisting of gas royalty owners in Crockett County who claim that lessees breached an implied duty to "obtain the best current price reasonably obtainable." The court of appeals affirmed. 51 S.W.3d 741. As certified, the class includes some royalty owners whose leases calculate royalty payments on an amount-realized (or proceeds) basis and other royalty owners whose leases calculate royalty payments based on current market value. Because a covenant to obtain the best price reasonably attainable is implied under Texas law only to proceeds leases, not to market-value leases, we conclude that the royalty owners have not established that there are "questions of law or fact common to the class" sufficient to support certification. Tex. R. Civ. P. 42. We therefore reverse the judgment of the court of appeals and remand to the trial court for further proceedings.