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Permalink Reply by Nixon Dow on February 11, 2016 at 12:37

As a Royalty owner this applies:

Art. 3494. Actions subject to a three-year prescription 

       The following actions are subject to a liberative prescription of three years:

 (5) An action to recover underpayments or overpayments of royalties from the production of minerals, provided that nothing herein applies to any payments, rent, or royalties derived from state-owned properties.

However, as an "unleased" mineral owner in a Haynesville Shale unit you have been you have been forced into what is referred to as "compulsory unit". LA R.S. 30:9 & 30:10 sets the default rules and rights each party has under this "compulsory unit". This basically creates what we call a "quasi contract" situation between you and the operator of the well. Contracts (and quasi contracts) have a ten-year prescriptive period. My understanding to this point is that both you and Petrohawk(BHP) have the right to reconcile and make post adjustments on any production within ten years.

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Permalink Reply by Cayman Bum on February 11, 2016 at 12:49

Thank you Nixon. That is what I was wondering. Working with attorney to get some of it corrected now. Just shocks you when it goes back that far and is that much but have found a few more mistakes. Just have to watch every check detail close.

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