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Permalink Reply by noaah on August 13, 2008 at 15:16

What does "the royalty is constant" mean? For simplicity please, base it on two people with undivided interest in a piece of property. As I understand, each can lease their 50% interest to any company they choose (they do not have to sign with the same company or the same provisions). Assuming both signed with different companies for 25% royalty, would each receive the same amount as a person who did not have undivided interest?

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Permalink Reply by BJ on August 10, 2008 at 17:46

At the risk of asking a totally dumb question..... because I'm trying to learn and understand how OG works:
If there are varying % of ownership on property and all of the owners/heirs agree to lease, is there any way all the heirs can agree to split a signon bonus and/or lease evenly? (with an attorney's assistance perhaps)?
Or are all heirs locked into receiving payments based solely on % of ownership?

((((sorry.... most of this is totally Greek to me.... but I'm trying)))

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Permalink Reply by BJ on August 10, 2008 at 17:32

Is this a trick question?

No. It's not a trick question.
I am just trying to understand how it works when there are heirs on property with varying % of ownership; and how signon bonus and/or royalties are determined per owner, if a lease is signed.
We have a situation like this on unleased land.
The 100 acres, etc, was hypothetical, however.
Thanks.

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