I know this is a long shot but I was just wondering if anyone has had any success in fighting a lease? I signed a lease years ago for my 1200 acres. It was a stupid decision I am only getting 1/8th while most of the people in my area are getting 1/6 or 3/16. Is it worth hiring a lawyer to fight the contract or should I just suck it up and forget about the bad decision. Or is there anything that can be done?
Matt:
First question is when does the lease expire? Second, is this acreage covered by a drilled well since the lease was signed? If it is under lease and a well has not been drilled, then all you can do is wait until the expires or possibly top lease the acreage several months before the lease expires whereas you can negotiate a better bonus and royalty amount. I leased some minerals in 2008 for 1/8 royalty which was the going rate in my area at the time I leased. That lease is expiring next year and if no well is drilled between now and then, I will research the current bonus rates and royalty rates for that area and hopefully either top lease or extend the lease with the current operator for these current rates. I don't know how you would fight this contract even with an attorney if you negotiated and signed a lease in the past unless the lesee failed to observe the terms of the lease.
Dear Mr. Johnson,
When you say years ago -- do you mean years and years and years?
From closely reading your post, you are less interested in voiding a lease that you agreed to and are more interested in getting more royalty.
I have actually had limited success in writing a nice letter to the VP exploration of the company respectfully asking to be put in line, royalty wise with your neighbors. Couch it along the terms of good public relations. You might be surprised.
If you have any doubt of how to prepare such a letter, get someone to help you or pay for some good advice. You will only have one shot at this request, unless they really need you down the line for something.
Ditto, Charles' answer.