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Oil/Gas/lease offer


I am negotiating a lease presently but recently a new offer came into play. The boss of a close family member happens to get in on leases by leasing the minerals for top dollar and the same 3/16 interest percent oil company is offering me so he can participate in the well. So aside from the lease $$$ and if a well is in fact drilled and hits who do I receive my checks from? Plus, what are the risks for electing this option?  It seems logical that large companies are more accountable.
Thank you in advance.

You may receive your checks from the guy you lease to or the operator of the well...or, the gatherer of the oil product.  Each project is negotiated so there is not a standard answer for that question.  It is irrelevant, from my point of view, with whom you lease.  The individual is going to be held to the same standard legally speaking.  The individual may be more responsive when you have a question.  Just my 2 cents worth there.

Large companies may be more accountable but they also have a habit of dropping you into cracks so your question isn't answered.



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Cliff Williams


I will try to answer any question you have. Even if I reject a question, I still will give a shot at what I would do in your position. The only questions I will not take a shot at would be a highly technical engineering or geological question. I am beginning to see quite a few questions from land men and other oil companies and that doesn't matter to me either. I will attempt to help.


I am an oil and gas attorney that has been in the business for more than 20 years. I have held a series 22 and 63 securities license, been in oil and gas operations, land man, division order analyst all prior to obtaining my law degree. Today, I typically write title opinions verifying ownership of oil and gas minerals, assist landowners in negotiations on oil, gas and mineral leases, easements and conveyances. I also assist oil and gas companies with the sale of working interest ownership as well as common business law issues.

State Bar of Texas, Member of the Tarrant County Bar and the Dallas County Bar Associations.

Multiple oil and gas topical columns on

I have a B.S. degree which I rely upon more than my Business Mgmt degree or Law degree...

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Husband and father of 26 years

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