Payments went to the wrong payee

Fraud involved. A man whose wife died did not notify Enervest that part of the royalty payments were to go to their children and continued to cash the checks for 18 months. It is being corrected from here forward but does anyone have any experience with or advice about any recourse the children have, without paying attorney fees, to collect the money from their father? Would Enervest get involved to try to correct it?

Enervest was not timely notified of the passing and change of ownership. Therefore this is a Family issue.

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not sure how you can pull this off without having legal counsel. The children can ask the father to please pay them. Father says no. There are no other non-legal remedies.

Lots of causes of action here, conversion, constructive trust, etc. Also may have violated various criminal statutes. What a mess.

Unfortunately, at least in Texas, generally the oil company is not going to be liable for royalties paid to the father prior to the time they were notified of the interest of the children. If the father won’t reimburse the children voluntarily, the children may very well have to pursue a civil claim for fraud, reimbursement and other available causes of action. They would need to consult with an oil and gas litigation attorney to evaluate their potential claims and the cost to pursue those claims. Pursuing a claim like this in court is not something they should do without an attorney representing them.

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