I own minerals in Shelby County Texas. Sometime prior to May 2019, the land was re-surveyed by someone (assume it is another cotenant in the same minerals). It was determined to include more than the “original” acres.
An operator dilled a well (first production sale April 2019) and the adjusted acres was cited on the recorded and filed unit map survey May 2019.
I was never contacted to sign a lease until May 2020. I was never informed of an active producing well at that time. My lease referenced the old acres and I was paid a lease bonus on the smaller acres, but clearly they knew the corrected acres at that time.
In December 2021, other family members/cotenants received a royalty check dating back from April 2019 first production thru most current. I did not receive a check and through research, I become aware of the revised acreage.
I was never offered a Division Order nor asked to sign one as a condition to receive my royalties. I received my first check in Feb 2022 but only included dates starting June 2020 when I was first contacted and leased thru most current.
Operator tells me they don’t have to pay me before the lease date but that’s a topic for another post…
I requested an accounting to confirm my decimal interest as listed on my revenue statement. They in fact are using the new acreage for my payments.
Is the operator in some type of breach? Am I entitled to additional lease bonus or penalties?
Thanks @TODD_M_Baker for your reply. I am aware this is a forum of lay persons and not a bunch of attorneys doling out free legal advice but I posted in hopes that some other lay person may have had a similar experience too and be able to pass on a little bit of their own personal experience or knowledge.
With so many posts and topics here, we can all learn a little something. Most of us here I suspect don’t have large enough pockets to hire attys or take operator to court so I believe we are all here trying to learn and be empowered to be the David and stand up against the Goliath.
Hello. I had an issue similar to your problem. I had already signed a lease and was getting paid. I knew the acreage was wrong. I hired an attorney after being lied to and a is what it is response. Got all my back pay on the ajusted acreage. The numbers on Shalexp says one thing and but I get paid get paid the ajusted amount. Hope this was helpful. and got new division orders’
Keep in mind that: 1) if you follow someone else’s advice or experience you may cause a situation that costs you a lot more in lost royalties and attorney’s fees than if you had obtained correct legal advice in the first place; and 2) many times the attorney’s fee to answer a legal question is quite modest. Remember, when David stood up to Goliath he came prepared.
Miss AimeeHess is correct. I did a lot of research through county records. when I contacted the attorney I knew what I had coming. And what I’m telling you is correct because I went through it. But you need to make your own mind up what you want to do. Good luck
@AimeeHess thanks for your reply. Sounds like this kind of thing has happened before. Hopefully I can get it resolved before having to hire an atty. if it does, I will certainly post my results. Fingers crossed it is before topic is closed.