Oil and gas producers aren’t the only ones who can be used in disputes over royalty payments.
The owners of the site where Oklahoma City created a landfill 12 years ago recently won their fight to keep the lawsuit in Oklahoma County District Court and out of federal court. It’s a battle over gas sales from the landfill.
Federal Judge Charles B. Goodwin sent the lawsuit filed by Hoster Brothers, Inc. back to Oklahoma County after Oklahoma City sought to keep it in federal court.
The lawsuit filed by the Hoster Brothers contends they were underpaid natural gas royalties by the city of Oklahoma City for leasing their land at 7001 South Bryant Street for the operation of a waste collection and landfill facility. It was a lease agreement and the Hoster Brothers claim they were underpaid around $75,000 in royalties from the sale of the landfill gas.
Their suit alleged Oklahoma City “may hae miscalucated” and therefore underpaid the amount of royalties. Part of the fight also stems from information that Oklahoma City reportedly has not made available in order to perform any royalty calcuations under the lease agreement.
The lawsuit was originally filed in August 2022 in Oklahoma County District Court but Oklahoma City had it transferred to federal court later in the year.
