I have a small interest in 5 producing wells in N. Texas. At the beginning I received some royalty payments along with monthly statements. The last statement and payment that I received was for August 2012. I have been told that I was overpaid and my account is in suspense. I have asked for statements showing the sale of products as well as the balance owed. I did receive a short statement once listing my net figures but that has been about 2 years ago. This statement only showed my net sales and expense figure only.
This was from a major company.
My question is what action should I take. Should I send a demand letter? Or perhaps some other action. My interest is not large enough to justify hiring an attorney.
Clois
Who was the operator of the wells? I would send a certified letter with return receipt requesting the information. You'll more than likely get a response.
This happened to us years ago. The company with the lease sold out to another company. They audited the previous payments and then charged us for past "compression and transportation." We were pretty green then. Our interest was small, but we had family members that had much larger slices of the pie.
Texas is a difficult state for class action law suits, but if we had enough moxie back then, we could have banded everyone on the lease into a law suit. They all had the same lease.
Pull out your division order and your lease. Read it carefully. Our lease prohibited these charges. It was prepared by some of the best oil and gas lawyers in the state of Texas.
Our leases had been sold and traded so much, I don't think the company that bought them even ever bothered to read them. They just do what they want to do.
Good luck.
EOG out of Houston
Robert V. Gill said:
This happened to us years ago. The company with the lease sold out to another company. They audited the previous payments and then charged us for past "compression and transportation." We were pretty green then. Our interest was small, but we had family members that had much larger slices of the pie.
Texas is a difficult state for class action law suits, but if we had enough moxie back then, we could have banded everyone on the lease into a law suit. They all had the same lease.
Pull out your division order and your lease. Read it carefully. Our lease prohibited these charges. It was prepared by some of the best oil and gas lawyers in the state of Texas.
Our leases had been sold and traded so much, I don't think the company that bought them even ever bothered to read them. They just do what they want to do.
Good luck.
EOG has the first lease and has 5 producing wells there. I have talked to EOG and they told me that my account was in suspense because of overpayment. I have not since received any info from EOG. I have kept up with the wells at the RRC so know they are producing.
Clois Richardson said:
EOG out of Houston
Robert V. Gill said:
This happened to us years ago. The company with the lease sold out to another company. They audited the previous payments and then charged us for past "compression and transportation." We were pretty green then. Our interest was small, but we had family members that had much larger slices of the pie.
Texas is a difficult state for class action law suits, but if we had enough moxie back then, we could have banded everyone on the lease into a law suit. They all had the same lease.
Pull out your division order and your lease. Read it carefully. Our lease prohibited these charges. It was prepared by some of the best oil and gas lawyers in the state of Texas.
Our leases had been sold and traded so much, I don't think the company that bought them even ever bothered to read them. They just do what they want to do.
Good luck.
Hi, Clois -
I can't imagine EOG's not being willing to send you a regular statement regarding your account. If for no other purpose, you would need something for tax purposes, wouldn't you?
Ask who the Landman is that is in charge of your County or area or whatever. He or she should be able to get you some sort of information.
If not, I know a couple of Attorneys that would be very reasonable in their costs to help you.
Charles Emery Tooke III
Certified Professional Landman
Fort Worth, Texas