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About Alan H. Coogan
Expertise
Ohio geology, oil and gas fields and reservoirs leasing and mineral rights.Oil/water well contamination

Experience
50 years geologist, 30 yrs attorney 35 years in Ohio fields

Organizations
AAPG, AIPG. Ohio Bar Ass.

Publications
Bul. AAPG, AIPG, Northeastern Geology,Ohio geol. Survey, J. Paleontology, Revista Geol. Mex. Akro Law Review

Education/Credentials
PH. D., geology; J.D.

 
   

You are here:  Experts > Industry > Oil/Gas > Oil/Gas > "Bad Faith" by Gas company Leasing Mineral Rights

Topic: Oil/Gas



Expert: Alan H. Coogan
Date: 5/5/2008
Subject: "Bad Faith" by Gas company Leasing Mineral Rights

Question
I live in Texas.  I signed lease with Llano Royalty, LLC in July of 2007.  Up until about three weeks ago, they did not pay any signing bonus.  Since then I signed with another company.  So now, nine months later, Llano wants to pay me! And as I have found out, its because LLano is trying to sell my lease to the company I signed with the second time!

The check was not sent certified so Llano has no proof that they paid me.

The new lease I singed with the second company (Hillwood Energy) gave me a bank draft at the time of the signing.

Llano has my lease document recorded in the Tarrant county court house.

I have sent a "demand release" letter to Llano stating they release my document (sent it certified with return receipt).
Otherwise I have threatened to take legal action against them.

This proves that Llano did not act in "good faith" and had no intentions of drilling, only to low-ball me and to sell my lease for a profit.  What a bunch of low class people.

Do I have a case?"


Answer
Dear Richard: First I do not practice law in Texas.  In general, you appear to have stated a claim or cause of action for breach of contract. If so, you have a case, but not necessarily a winner--just a messy law suit.  Be careful and consider the question of whether one or both of the companies has a claim against you. In other words, get some paid for legal advice- they've got a lot of lawyers in Dallas.
AHC

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