Cherry v. Resource America, Inc.

—Order unanimously modified on the law and as modified affirmed without costs in accordance with the following Memorandum: Plaintiffs, the owners of real property on which are located deposits of natural gas, entered into oil and gas leases with a predecessor in interest to defendant Resource America, Inc. (Resource America). The leases provided that the respective plaintiffs would be paid a royalty for the gas produced from wells drilled on their property based upon a percentage of the value of the gas “at the wellhead” and “the contract price, whéther above or below the prevailing market…