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TX Supreme Court Commercial Leases Royalties

McGinnis Lochridge

Texas Supreme Court Clarifies Limits of Shut-In Payment Notations in Lease Disputes

McGinnis Lochridge on

In this case (Scout Energy Mgmt., LLC v. Taylor Properties, No. 23-1014, 2024 WL 5249490 [Tex. Dec. 31, 2024]), the Texas Supreme Court held that vague notations on shut-in royalty check receipts cannot modify an unambiguous...more

BakerHostetler

Texas Supreme Court to Hear Case on “Capability of Production” Under Shut-In Clause

BakerHostetler on

On Sept. 2, the Texas Supreme Court granted review in a case that may clarify when a shut-in well’s capacity for production in paying quantities is determined. In BP America Production Company v. Red Deer Resources, LLC, No....more

King & Spalding

Texas Supreme Court Clarifies When Parties to an Oil and Gas Lease May Allocate Post-Production Costs by Agreement

King & Spalding on

The Texas Supreme Court recently decided Chesapeake Exploration, L.L.C. v. Hyder, providing a notable win for royalty interest holders. In a close 5-4 decision, the Texas Supreme Court held that Chesapeake had improperly...more

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