I received two letters asking me to execute new division orders on wells that my records show have not paid anything since 2008.
Does signing a new division order, on a very small interest, when no payments are shown to have been received in over 5 years, ratify the underlying lease and thus allow the operator to hold the land?
Any suggestions are appreicated.
The division order allows the operator to produce if he can (and he has no reason not to)... and pay you to the limit of your royalty interests.
I had a division order recently that I signed, then the operator reconfigured the well to produce Oil & gas. Come to find out because of the new production included Oil I was cut out of the Oil royalty portion of production because of the acreage reassignment. At least that's what his legal team said. Go figure on that little trick..as those royalty ownership has been in our family for over 70 years. We have in the past received Oil royalties from that well.
Thinking about contacting a good land man / lawyer to make sure we got screwed legally:)) No rush on my part as any royalties do us..will be paid from first day of production.