We own mineral rights in 8N61W. They drilled a well there in Jan. of 2014. According to the Cogcc website it started producing in March of 2014. As of this date we have not had anything. We e-mailed the landowners relations and they e-mailed back and said that the title was very complicated and they did not have the deck set up. Because of this they could not give us an ETA. Is it normal for it to be that long before you get anything from them?
Jan M.
That is a bit on the longer side than one might expect even if the "title was very complicated." If you have good records on your ownership, you should consider making a demand for payment under the statute to try and speed things up, but those requests aren't always well received. The key would be to have all of your documents in order demonstrating your title. The statute to look at is CRS 34-60-118.5.
The information is for general information purposes only. This should not be substituted for legal advice and should not be taken as legal advice for any individual case or situation. This information is not intended to create, and receipt or reading does not constitute, an attorney-client relationship. You are encouraged to contact an attorney for legal advice concerning the information provided
Will an oil company hold royalty payments on a well until titles are clear for all parties? I too own rights on this property, and I believe there are at least 3 families involved, each with heirs and probably the ensuing complications in title. Even if our family has all the necessary documentation, will the oil company hold payment on our portion until the other families provide the necessary documents?
Jenna H. Keller said:
That is a bit on the longer side than one might expect even if the "title was very complicated." If you have good records on your ownership, you should consider making a demand for payment under the statute to try and speed things up, but those requests aren't always well received. The key would be to have all of your documents in order demonstrating your title. The statute to look at is CRS 34-60-118.5.
The information is for general information purposes only. This should not be substituted for legal advice and should not be taken as legal advice for any individual case or situation. This information is not intended to create, and receipt or reading does not constitute, an attorney-client relationship. You are encouraged to contact an attorney for legal advice concerning the information provided
Many companies can legitimately hold the proceeds until the record title i.e. the recorded documents are updated, which often necessitates probates or other proceedings to have something appropriate to record. If a family has a complete chain of title and record title updated, then there should not be a reason to withhold payments because of other family member's interest that are not updated. It's important to address or inquire of any requirements from the company upfront as it is usually easier to adhere to their requests and formulate any title updates ahead of time rather than after you've completed probates or other processes.