Hilliard v. Shell Western E & P, Inc.

OPINION

QUIST, District Judge.

Plaintiffs are holders of royalty interests as lessors of mineral rights in oil wells leased to defendant Shell Western E & P, Inc. (Shell). They claim that Shell has wrongfully deducted from their royalty payments a 1% pro rata share of the regulatory fee imposed under the Michigan Supervisor of Wells Act, Act 61 of the Michigan Public Acts of 1939, as amended, M.C.L.A. § 319.1 et seq., M.S.A. § 13.139 (1) et seq. (Act 61). Shell acknowledges that it has deducted the fee, but denies that it has acted wrongfully.

Defendant’s Position

Shell moved for summary judgment…