Chesapeake sold our lease to PetroHawk about 6 months ago. Since September PetroHawk has delayed in 2 months paying the monthly royalties by a month. Do we have recourse to force PetroHawk to pay timely?
They have up to 90 days behind production month to be paying you. Most companies will not pay if that month's royalty payment does not amount to at least $100. They will let it roll over until payment is in excess of the $100. You can start by making a call. Second, send a certified letter stating your intent to take legal action if they do not begin or resume your payments. Third, have an attorney send them a letter if you still have not had any satisfaction.
Guess the new owners are having trouble making payments on PetroHawk.
what happens if all the oil and gas companies get taken over by "flippers" and great debt added on? Will it go the way of Safeway?
I worked as and auditor of trusts at Republic Bank when that Safeway thing was going on. The first Proxy votes didn't give the CEO's what they wanted...they had another...then the rest is History. They shafted the stock holders big time, gutted a thriving business and sold the pieces as real estate. The CEO's got the money.
Oh and Romney? his hands were in that deal. He was one of the worst "takeover" culprits.
And we might be singing Hail to the Chief to him next November.
Hope he isn't going to do as Obama has done and "flip" USA.
Not a Romney fan. I hear ya.
We have a similar situation as yours....we leased with CHK and Petrohawk drilled the well and pays CHK first then we get paid. One months revenues were skipped so we notified CHK. They said Petrohawk hadnt paid them yet but we would see it on next revenue check. Well it wasnt there the next month, CHK said they were checking on it.
I took the initiative to call Petrohawk and they informed me they have paid CHK every month and had all the numbers of the cancelled checks. HMMMMM.......who is telling the truth?
I am not going to just presume that everything CHK says is necessarily the truth. Maybe certified letters from my attorney needs to go to both. We are not talking about $100.00 checks here we are talking about over$10,000.