# Division Orders

**URL:** https://www.mineralrightsforum.com/t/division-orders/11250
**Category:** Law & Legal
**Created:** [March 18, 2014, 1:44am UTC](https://www.mineralrightsforum.com/t/division-orders/11250 "2014-03-18T01:44:45Z")
**Posts on this page:** 4
**Page:** 1

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### Author: ![Steven\_Holt](https://www.mineralrightsforum.com/user_avatar/www.mineralrightsforum.com/steven_holt/32/4130_2.png) [@Steven\_Holt](https://www.mineralrightsforum.com/u/Steven_Holt)
#### Post date: [March 18, 2014, 1:44am UTC](https://www.mineralrightsforum.com/t/division-orders/11250/1 "2014-03-18T01:44:45Z")

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My family finally received Division Orders from the company that drilled our section but I am not comfortable with a provision contained therein.

Can anyone explain the meaning of:

“No change of interest is binding on Payor until the recorded copy of the instrument of change or documents satisfactorily evidencing such change is/are furnished to Payor”.

My concern is, although we have already gotten a couple of royalty checks, they’ve only been paying us at a 1/8th royalty when our leases (signed with another company before any of the customary legal hearings, prior to drilling… spacing, pooling etc…) stipulate 1/5th.

The drilling company has said they are going to pay us the 1/5th - which is in fact reflected in the decimal interest on the division orders just received - as well as the penalty interest on the unpaid balance. Does the above provision release them from paying the 1/5 royalty, the penalty interest, both or none of the above?

If anyone can shed some light, I’d be most appreciative.

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### Author: ![Mineral\_Owner5](https://www.mineralrightsforum.com/user_avatar/www.mineralrightsforum.com/mineral_owner5/32/16262_2.png) [@Mineral\_Owner5](https://www.mineralrightsforum.com/u/Mineral_Owner5)
#### Post date: [March 18, 2014, 6:05pm UTC](https://www.mineralrightsforum.com/t/division-orders/11250/2 "2014-03-18T18:05:45Z")

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A lot of times division orders are wrong. If you sign it you accept it and it is very hard to reverse this in Texas from my experience.

What state is this?

What is the name of the company? This might help you get an answer.

Good luck and be careful!

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### Author: ![wade\_caldwell](https://www.mineralrightsforum.com/user_avatar/www.mineralrightsforum.com/wade_caldwell/32/9599_2.png) [@wade\_caldwell](https://www.mineralrightsforum.com/u/wade_caldwell)
#### Post date: [April 3, 2014, 10:07pm UTC](https://www.mineralrightsforum.com/t/division-orders/11250/3 "2014-04-03T22:07:48Z")

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That clause means if you sell or transfer your minerals, they do not have to change the payee until they get a copy of the recorded deed.

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### Author: ![system](https://www.mineralrightsforum.com/uploads/db5755/original/3X/6/c/6c7c56608c843272ad6e3662ce9562a5956f173e.png) [@system](https://www.mineralrightsforum.com/u/system)
#### Post date: [August 15, 2018, 12:50am UTC](https://www.mineralrightsforum.com/t/division-orders/11250/4 "2018-08-15T00:50:38Z")

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