It’s been over a year since Civitas Resources received corrective deeds from my attorney. Is this common? Anybody else experiencing this problem? On top of that they sent a check that paid my family for wells we didn’t own and now they have suspended our checks. They owe us for suspended funds, interest and current production. However they have overpaid us with the last check. Any thoughts and guidance would be appreciated…
Not sure why you are unhappy that you have received more money than you are entitled to.
It put us in a higher tax bracket for one thing.
If you believe you were overpaid, why don’t you send them the amount you don’t think is yours back to them. Then mail them a 1099.
Todd does it usually take over a year to reconcile an account? Civitas has made lots of mergers the last two years and they are not taking care of their mineral owners. They have stated in emails that they are way behind.
In general, once an account is overpaid for any reason, then the oil company will net the monthly royalties against the overpayment until the account is in balance. If effect, your royalties were paid advance, whether the overpayment was due to the wrong wells or the wrong DOI or other reason. As you have already paid income taxes on the excess royalties, you will not receive a 1099 for the monthly royalties being netted. You can request a reconciliation which shows where you stand at present to see how soon you will be back in pay. I have seen situations where the overpayment was so large that it took 5 years for the oil company to recoup the funds.
1 Like
Thanks tennisdaze for your response
This topic was automatically closed after 90 days. New replies are no longer allowed.