Texas is home to many reserves of oil and gas, and companies need to be able to access these reserves in order to get them out of the ground and into use.  Clearly, no one can control where these reserves are located, and many of them expand underneath plots of private property.  This reality leads to agreements between fuel companies and landowners so that the fuel can be obtained, but these situations can lead to problems.  When these problems arise, those who have been or who are being harmed need the help of Texas oil and gas litigation lawyers.  Below is a brief overview of this issue.

Environmental Problems

Wells and drilling for wells are not immune to problems.  Problems that can arise include leaking of the wells or pipelines that exist underground, and when this occurs it can lead to serious damage both to the land that’s owned by the private individual and to the health of anyone in the area.

What’s worse is that these damages can be inflicted for many years without the knowledge of those who have agreed to allow fuel companies to use the ground beneath their land to obtain this fuel, which can lead to disastrous results both for the property values of the lands that have been damaged and for the health of the people who have been unwittingly exposed to toxic substances for years at a time in some cases.

Indemnification Issues

Aside from the damage that can be done both to the people and to the land under which the fuel sits, there can also be situations that arise after those who have agreed to allow fuel companies to use their land discover that these problems exist.  Specifically, most lease agreements between fuel companies and landowners contain indemnification clauses and other forms of coverage that protect the landowner from financial liability.

Unfortunately, these terms of the lease agreement are not always honored, and a common tactic of these enormous fuel companies is to simply have their in-house attorneys delay the situation as long as possible so that the costs of paying out the settlements or claims can be avoided on the company balance sheets.

In general, leasing agreements between fuel companies and individual landowners can contain several ‘traps’ or confusing terms that can provide the room necessary for fuel companies to inflict damage of all sorts on those who agree to allow them access.  If this has happened to you, contact the Texas oil and gas litigation lawyers at Parker McDonald, P.C. as soon as possible to schedule a free initial consultation.