Legal Question in Real Estate Law in Texas

My syblings and I inherited some mineral rights and entered into a lease with an oil and gas company. We were told that a well would be put on the property, we inquired and was never provided any ninformation that a well was erected. We were contacted by an additional company wanting to purchase our mineral rights, we decided to sell. About a year later we received a check for royalties on the mineral rights we had sold. The check detail illustrated that a well was erected on the property prior to our selling the mineral rights, royalties were accumulating and not being paid to us. We were misled as we were unaware thazt a well was on the property, producing and royalites being generated. As we would have not sold if we had known a well erected and royatlies being accumulated. DO we have any legal recourse.


Asked on 2/20/13, 8:16 pm

1 Answer from Attorneys

Joseph A. McDermott, III Attorney at Law

Do you have a copy of the letter the second company -- the one who bought the minerals -- sent you? Does it talk about paying you based on a multiple of your current royalty income (which is the most common approach)? If so, how do you explain selling? Have you been in touch with the first company? What does it say about the delay in paying you? Did you ever receive, after you signed the initial lease, a document called a Division Order? If so, did you sign and send it back? I need the answer to all these questions before I can tell if I can help you.

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Answered on 2/21/13, 9:17 am


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