According to the Complaint, this lawsuit involves a “Royalty-Lease” scam, in which three individuals allegedly set up shell companies disguised as legitimate drilling companies and fraudulently convinced a large group of royalty interest owners to purportedly convey a significant percentage of their royalty interests to these shell companies, under the guise of leasing their mineral interests.

Defendants filed a Motion to Dismiss the Complaint on October 31, 2018. On November 19, Plaintiffs filed an amended Complaint.

On November 4, 2019, the parties entered into a Settlement Agreement. The Court issued an Order granting preliminary approval of the Settlement on January 3, 2020. The Court granted final approval of the Settlement on June 5.