Oil/Gas/Oil Well Working Interest Legal Rights
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Question
I have a working interest in several fields through an operating company. The fields are producing oil and the oil is being sold. Up until three months ago, checks were being received each month from the operator according to the oil production, price, less operating expenses. I have received no checks in three months and attempts to contact the operator have gone unanswered. The operator is still in business and operating. What are my legal rights and how do I proceed?
I am assuming you are a party to a Joint Operating Agreement for the wells in question. If you are, your remedies are spelled out in the agreement. If you are not, you should retain an attorney to make demand on the operator to find out what is going on, before the operator declares bankruptcy or otherwise impairs your ability to get your payments for production sold.
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Answers by Expert:
James H. McConnell, CPL
Expertise
READ CAREFULLY BEFORE ASKING ME A QUESTION I will try to answer questions about Oil & Gas leases, minerals, royalties, and servitudes, if the questioner has provided a good description of the lands. I require a section, township and range for any land not in Texas. I require a survey name and an abstract number if the lands are in Texas. I will answer questions about offers to lease or purchase mineral interests only if all terms of the offer are in the question, including the term of the Lease or conveyance, the royalty and the amount offered. Failure to provide this information will result in the question being rejected. I have answered more than 3800 questions on this site and get as many as fifty in one day. I do not have the time nor am I inclined to deal with detailed questions requiring an attorney. I am not a substitute for an attorney. If you do not write in a cognizant form, I will reject your question. If you have done real research and have a question I find interesting, I will answer it. If you haven't done any research on your own, I will not do it for you. If you do not rate the first answer, do not send a follow up, because I will reject it.
Experience
I have been a Professional Landman for more than thirty five years. I have drilled and operated oil & gas wells in Louisiana and Texas and an familiar with the rules and Regulations of the Texas Railroad Commission and the Louisiana Department of Conservation. I have testified in court as an expert witness.
Organizations
American Association of Professional Landmen
CPL #5303
Education/Credentials
BA NSU, 1971
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