» The oil company is deducting costs for transportation, compression, dehydration, etc. from my royalty payments.  What can I do?

The oil company is deducting costs for transportation, compression, dehydration, etc. from my royalty payments. What can I do?

The answer to this question depends in large part on your lease. Oil companies are often allowed to deduct reasonable post-production costs unless the lease provides otherwise. If your lease does not allow for these deductions, you may be able to collect damages. This is yet another reason why you should have a knowledgeable oil and gas attorney advise you when entering into an oil and gas lease.

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