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FREQUENTLY ASKED QUESTIONS

 

 

Question: What are royalties?

 

Answer: Royalties are the mineral owner's proportionate share of production. The royalty interest is either reserved in an oil and gas lease or is created in a mineral deed.

 

Question: What is a Division Order?

 

Answer: A Division Order is a document Legend issues that describes the property, the operator, the owner's remittance address and tax ID information, if known, as well as the owner's decimal interest in the property.

 

The Owner is asked to sign and return the Division Order. Legend uses this information to remit proceeds to the owner.

 

A Division Order does NOT alter or amend the lease in any way.

 

Question: I have a question about my royalty check. Whom do I contact?

 

Answer: Generally, questions about interest amounts, account suspense and account transfers can be answered by someone in Legend's Land or Accounting Departments.

 

All inquiries should be made in writing and sent to: Legend Natural Gas, LP, 410 W. Grand Parkway South, Suite 400, Katy, Texas 77494; or This e-mail address is being protected from spambots. You need JavaScript enabled to view it

 

Question: How did you determine my interest in a well?

 

Answer: Legend bases the interest determinations on title opinions received from title opinion examiners and attorneys.

 

If you have questions about how your interest was determined, please contact our Land Department.

 

Question: I think the interest on the Division Order is wrong. Whom do I contact and what do I do?

 

Answer: All inquiries should be made in writing and sent to: Legend Natural Gas, LP, 410 W. Grand Parkway South, Suite 400, Katy, Texas 77494; or This e-mail address is being protected from spambots. You need JavaScript enabled to view it

 

Question: Why didn't I receive a check this month?

 

Answer: Texas law permits Legend to accrue proceeds until the total amount due to an owner equals $100.00.

 

If an account balance is less than $100.00, Legend holds the money until the balance reaches $100.00, and then a check will be issued to the owner.

 

Every November, Legend releases all money due to an owner, regardless of amount.

 

Question: Why does my monthly payment sometimes vary?

 

Answer: Many factors contribute to payment variances, including production volumes, market conditions, and price fluctuations.

 

Question: Why does my payment differ from others in my family?

 

Answer: This occurs because ownership interests between family members are not always equal or some family members may own interest in other properties in addition to those commonly owned. Legend may provide an owner with information regarding their personal royalty interest, but Legend cannot provide information concerning another individual's royalty interest.

 

Question: Why are royalty payments suspended?

 

Answer: The most common reasons that payments are suspended include: a title dispute, the assignment of interest, notice of death, transfer of property, lack of a signed Division Order or in the event of an incorrect address.

 

Question: How do I change my address?

 

Answer: Please see the Change of Address form below. For your protection, address changes will not be accepted by telephone. Please mail the form to the attention of our Land Department or fax to 281-644-5998.

 

Click here for Change of Address form

 

Question: Why am I being asked to provide a W-9?

 

Answer: Federal law requires that individuals and partnerships provide a certified Taxpayer Identification Number (TIN) for the owner account. For individual owners, your TIN is your Social Security Number. If the appropriate TIN is not received, Legend is required to withhold a percentage of your payment.

 

Click here for W-9

 

Question: Does Legend provide direct deposit?

 

Answer: Not at this time, but please check back with us in the future.

 

Question: Why am I being asked to record documents in certain counties?

 

Answer: In the State of Texas, a royalty interest is an interest in real property. As the documents affect this real property interest, we require that these documents be recorded in the county where the well is located. Once the documents have been recorded in this county, we ask that you forward copies of the recorded instruments to our office for review.

 

Question: What if the owner dies without a will (intestate)?

 

Answer: A copy of the following documentation is required: Copy of Death Certificate. Recorded Copy of Affidavit of Heirship,which must be completed by a disinterested party familiar with the facts (but not an heir), notarized, and filed or record in the county/counties where the property is located. A W-9 for the new owner of record. In the event administrative proceedings were necessary, a record copy of the Order Appointing Administrator