Midland TX Oil and Gas Litigation Attorneys - Lease Disputes and Royalty Claims

Surface estate and mineral estate owners benefit from skilled legal services from an experienced lawyer in Midland, TX, to help them negotiate contracts and protect their interests. Having a top legal team can help you whether you are disputing land use or royalties because it levels the advantages and resources of the big oil companies.

Calling the Midland lawyers at Carabin Shaw on our toll-free number, 800-862-1260, will get you an appointment for a free case review. This will help you make informed legal decisions and avoid costly mistakes. Someone is available to speak with you 24/7, and we offer our services on a contingency fee basis.

An oil and gas lease is a contract that allows an oil company to explore and drill on a specific piece of land. The mineral rights holder (who may or may not be the surface owner) has dominance in this decision-making process. However, the lessee and lessor may include landowners who only have surface rights as recipients of compensation for surface destruction during these operations. Lease disputes commonly arise because of inadequate mineral or property descriptions and unclear contractual language.

A typical gas and oil lease in Texas includes the following clauses:

• Granting clause: This clause is the primary purpose of the lease. It details the mineral rights in which the owner is leasing and provides a property description.
• Habendum clause. The term lengths allowed for exploration in the primary term and drilling in the secondary term are in the habendum clause.
• Royalty clause: Payments to the lessor are in the royalty clause, as well as how the oil company should calculate payments.
• Surface use: These voluntary agreements maintain the peace between the Midland, Texas, surface owner, and the mineral rights holder by agreeing to certain surface use restrictions or modifications.
• Damages: The oil drilling company must compensate the surface owner for property damage, and this clause specifies the types of damage covered.
• Pugh clause: This part of the oil and gas lease limits the acreage and depth a lessee can access. This prevents the lease from extending indefinitely because of expanded drilling operations.

Oil and gas leases are critical components of Midland TX oil and gas litigation, and the verbiage the parties use in this document often determines the outcome in court.

Royalty recipients have rights to timely payments outlined in the Texas Natural Resources Code. Common royalty claims include:

• Miscalculation of royalties
• Underpayment
• Shut-in royalty disagreements

Terms used in gas and oil leases to calculate royalties may include market value or proceeds, and gas and oil companies may manipulate these definitions to undercut mineral rights lessors. Hiring a lawyer pre- and post-lease agreement ensures that these disputes end in fair compensation for the lessor.

Aside from royalty claims, several other common lease disputes may cause a surface or mineral rights owner to seek an attorney. These disputes include:

• Extended expiration of the lease
• Water or land contamination
• Water use
• Breach of contract
• Reasonable development of the drilling operation
• Waste management

Oil and gas attorneys in Midland ,Texas will help you to protect your contractual or surface rights. This may mean proving that a drilling operation was violating environmental regulations, causing undue land destruction, or miscalculating royalty payments.

While landowners often consider oil and gas leases a great source of long-term passive income, much of that success depends on the oil and gas lease. If you’ve encountered trouble with the oil production company due to operational or financial disputes, contacting a reputable lawyer will allow you to generate optimized solutions and seek fair compensation.

Read our client reviews and contact the lawyers at Carabin Shaw today for legal advice regarding your gas and oil production agreement. We have English—AND Spanish-speaking staff, and we dedicate ourselves to helping all Midland landowners receive fair compensation from their gas and oil disputes.

For more information:

• RRC
• Texas Statutes 91
• RRC