As new technologies make it possible to extract more oil and gas from Texas oil and gas fields, contracts for royalties paid to land owners have become a significant factor. Under current Texas law, leases for drilling rights to explore for oil or gas on private property typically last three years. During that time, if the oil company taps into oil or gas, they may extend the lease.
Most lease agreements include bonus payments and royalties to the property owner, which can cost the energy company a significant amount of money over the length of the lease. Unfortunately, oil and gas companies do everything possible to reduce their liability for royalties and bonuses. In Texas, the standard rule of thumb is that the companies illegally reduce payments to property owners by as much as 10 percent of what is actually owed.
Tinsman & Sciano, Inc., in San Antonio is one of Texas' pre-eminent commercial litigation firms representing the needs of property owners in litigation matters and disputes about royalties, bonus payments and lease agreements with oil and gas companies. We have the knowledge, skill and resources to handle the most complex oil and gas litigation matters against the largest energy corporations in the nation.
We have experience representing clients in oil and gas litigation matters such as:
- Royalties and contracts for clients in which one spouse sells rights, but the other does not
- Reduced royalty disputes
- Bonus and royalties tax litigation
- Breach of lease contracts and agreements
- Fiduciary breach of trust between parties
- Horizontal drilling, oil and gas migration cases
- Lease termination disputes
Eagle Ford Shale Field Litigation
The development of directional drilling and hydraulic fracturing techniques has opened up production in oil and gas fields throughout Texas which were once believed to be dry or impossible to tap into. The Eagle Ford Shale field running diagonally through southeastern Texas was discovered in the early 1960s, but did not become viable for natural gas and oil production until the early 1990s, when fracturing became an accepted method for extracting gas and oil from dry shale deposits. Today, thousands of workers have jobs across a geographic area that covers roughly 50 miles wide by 400 miles long. We have experience representing landowners and interests involved in disputes and litigation matters related to the Eagle Ford Shale field.
Get Legal Counsel Before You Sign a Drilling Royalty or Lease Agreement
Oil and gas royalties and drilling rights form an entirely new and exclusive area of the law. Oil and gas companies typically take control of lease law by drafting the language in the lease agreements and royalty contracts. As a property owner, you have the right to protect yourself by having legal representation. As experienced Texas oil and gas trial attorneys, we understand the legal issues that often put property owners at a disadvantage. Talk to us about reviewing the contract to avoid potential areas for litigation during the length of the agreement.
Experienced Oil and Gas Lawyer
From offices in San Antonio, we advise and represent clients throughout South Texas. Call us toll free at 877-220-0867 or contact us by e-mail to arrange a free consultation with an experienced Texas oil and gas attorney today.
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Daniel J.T. Sciano and Richard Tinsman are board certified in each of the following categories:
Board Certified, Texas Board of Legal Specialization - Personal Injury
Board Certified, Texas Board of Legal Specialization - Civil Trial Law