I have an interest in a Gray County Texas property that the operate. I get a check every month without fail.
The way I understand the legal reasoning is that RI's like me, are the owners of the minerals/oil, therefore the operating company needs to pay us first, it's just a pass through kind of thing. Other types of interest holders do not own the oil, their payments are profit based so if there is a problem (chapter 11, etc.) they may not be paid. This is the reasoning in the Linn Chapter 11 and the court has agreed with them so far.
Linn Energy operates my mineral leases in Limestone County. I still receive checks (though greatly reduced from a year ago). My question concerning the bankruptcy is do I have to file a claim with the court if I am just a mineral rights owner? My next question is what happens to property taxes if the operator goes bankrupt? Are property taxes based on the amount of gas produced by the lease, or is it just the county's valuation of the lease that is used to determine property taxes?
Yes I got a check yesterday--8/3/16 --about the same amount I have been getting ---rights are in Okla
I got a very small check last week
I have been getting my monthly checks from Linn. To bad they are in bankruptcy as they have always been good to me.
Got one this week. Noted it was styled “debtor in possession” or something like that.
I get paid every month just like usual. They haven't missed a check. The property is in Gray county, Texas
We're being paid monthly. Last check was in July, 2016.
Just received the latest communication from the Bankruptcy court in Texas concerning the Linn Energy Bankruptcy. This latest is a "Notice of deadlines for the filing of proofs of claim," and it includes a claim form for submission to the court. I've read through all of it and do not believe that it concerns Royalty Owners who are being paid by Linn. We are still receiving our royalty payments as of this month. From all of the letters we've received from the court the royal owners do not have to make claims as we are owners of the products (gas/oil) and therefore are automatically being paid. So, it would seem to me that we do not have to submit any claims, does this seem correct?
John a friend of mine has received the same papers and he has the same question. I have been told that Oklahoma passed legislation protecting mineral/royalty owners is situation like this? We are moving close to the deadline, does anyone know for sure?
From all I've read from the Bankruptcy Court payments will continue to royalty interests. What I've concerned about is the new wells that are going in Kingfisher County where we have royalties. I see other companies putting in some good wells but Linn (evidently) is doing nothing probably because of the bankruptcy. My question is, does anyone have an idea of when this may be settled and if Linn plans to put down some new wells OR sell the leases to another company. Seems like we're probably losing out on what could be some good production. Any ideas?
That is also my understanding, Royalty owners do not have to submit them. Proof of claims are for suppliers, etc. who believe Linn owes them for goods or services.
Our attorney in Kansas who has been the executive secretary for the Southwest Kansas Royalty Owners Association (SWKROA) has said that the paperwork does not effect us. Can't speak for other states.
I have also been receiving my Linn checks monthly with no interruption.
There is now a Linn Bankruptcy Information website online. They also have a number to call for questions, I called and asked about making claims if you are royalty owner. They said if you are still getting paid, then no need to fill out form. Linn is now in restructuring, they have received new money to rrestructure and come out of bankruptcy.
That's good news, thanks for posting it. Do you know the address of the bankruptcy website? In the meantime I'll do a search and see if I can find it.
Linn Energy Restructuring
www.linnenergy/restructuring.com or linnenergy.com/restructuring
Found it, thanks for sending the link also.