My parents assigned ORRI to their 4 children in 1980, and kept some of the same for themselves. We have been receiving checks for 6 wells in that section, and now 3 more have been drilled. My parents died, and their orri ownership in that section was conveyed to a family LLC, but not the orri that was originally gifted to us in 1980. We have received division orders for the new wells and the other wells also, attributing the entire ownership to the family LLC. The new company refuses to correct the division orders to reflect the individual and the LLC ownership correctly. The division order states that the signer certifies the ownership of their decimal percent. Is there a problem if we sign the division orders, which are incorrect individually, but MAY be correct for the total?
If your wells are in Oklahoma, the law does not require you to sign division orders. When you do sign, you are agreeing that the interests are shown correctly.
Is it possible that that the language of the probate court order (or assignment was so broad) that the property was, in fact, transferred to the LLC? If it wasn’t, you could continue to argue with the company, or you could just have a stipulation done that shows the ownership of certain orris in the LLC, and others in an individual name. If it was transferred, then the stipulation would take care of the problem. (sometimes its easier to correct what the company perceives as the problem rather than keep banging your head against the wall, if the company is convinced they’re correct.)
Thank you. We’ll try that. How do you make sure the stipulation is connected to the division order?
I’m not sure I understand the question. But, the stipulation should specifically specify what properties are owned by the LLC, and what properties are owned by the individuals. It will need to signed by all parties and be acknowledged (notarized). I will also say the words that most people on this forum don’t like to hear, but to make sure its done right, you should probably secure the services of a lawyer.