Afternoon everyone,
My family has 3 plots of land in Duchesne county Utah and 1 of them is currently producing 4 wells right now. Berry Petroleum who we are under agreement with merged with LINN energy and today we were told that they have a different way of doing things now and that instead of 30 days in arrears LINN goes 60-90 days and that they are holding our checks for another 60 days to be paid out.
The agreement we have with Berry is 30 days. Is there a way to reinforce the agreement we have or even move our wells to another company who is willing to stand by their word?
You have a signed agreement with Berry stating 30 days? Signed by both you, and a representative of Berry?
Yes and now being told "its policy" and they will do nothing to change it.
Right now my family is not a fan of LINN Energy
The big problem is what happens if the agreement is not kept? If it said the lease terminates, Linn might be in trouble, if all you can do on the other hand is sue for damages, how big are your damages? I would make me unhappy too and I would voice my displeasure and Linn had better never need anything from me in the future but only you can decide if they made you unhappy enough for you to spend money on a lawsuit just to show your displeasure.
Never fails to amaze me that some companies still don't see the need to play by the agreements they signed. At least CHK got slapped with $121 million dollar judgement this year for their failure to execute an agreement they made in the past!
I would caution people with the new change over as I received an EMail this morning from Kay Simonson the "Senior Order Analyst".
Who stated:
X and the rest of the family should or will receive shortly a small check from Berry Petroleum Company LLC. I believe the checks were cut on either May 8th or May 12th and mailed. As X is aware (Nobody recieved anything to be aware of) her next check will come from LINN Energy at the end of June covering the time period from the last check received from Berry Petroleum Company.
Also the reason for checks to run this way for May and June is because of the merger. The two computer systems are entirely different. This insures everyone will receive their checks covering all the production that has been sold at the time checks are cut. Both LINN and Berry are in compliance with the statues of the state of Utah. (BUT not the agreement signed)
Please be advised that LINN Energy, as most oil and gas companies do, pays on TAKES and not ENTITLEMENTS.
If X has not received a letter from LINN Energy detailing the merger she should within the next week. (So the week that everyone is supposed to get paid they are not paying and they are sending out letters to everyone letting them know they will not be paid as normal and they are out of luck and have to just deal with it)
Here is a new twist for everyone. The lady that sent the email says that she will no longer give me information on my families land even though I have a power of attorney on file with them.
I suggest everyone stay away from LINN Energy/Berry Petroleum
Maybe it is time for you to start writing to the opinion editor of local newspapers? Just make sure you only state facts as they apply to you, and remember to clarify that it is your opinion.